Adjustments for Non-Cash Items (USD, thousands)

Stock-Based Compensation (USD, thousands)

Changes in Working Capital (USD, thousands)

Capital Expenditures (CapEx) (USD, thousands)

Proceeds from / Repayments of Debt (USD, thousands)

Share Repurchases (USD, thousands)

Dividend Payments (USD, thousands)

Net Change in Cash (USD, thousands)

7627c16552abb3636abc0f18493d852503a2b6c03dab26fa2e4b134bdd9a9014

5a955c436127e0e7175a4808f83c4122599a138da5a085c51a9b2be919e8fc65

North America

- Subscription Services

- Professional Services

Europe

Europe and Other

Asia Pacific

Middle East, Africa, and Latin America

Total Revenue

fee121b6f75b5e76dc24873279cb75e8d45ccad328f1fe44265c41db7313e9b4

d3f74a0f95d1a9a3aca0ed13d3530751a85f5c384d5eae4b6eee8c4026d379fc

c48e02ff265d33eeb9ec89ff0eb368d1d9b5995dd92c0f576bd997833570f760

| Name                  | Position                                   | Start Date          | Short Bio                                                                                                                                                                                                                                                                                                                                                     |
|-----------------------|--------------------------------------------|---------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Peter P. Gassner      | Chief Executive Officer and Director       | 2007                | Peter P. Gassner is the CEO and Director of Veeva Systems Inc. since its founding in 2007. He has extensive expertise in the software industry, having previously served as SVP of Technology at Salesforce.com and Chief Architect at PeopleSoft  **[0001140361-24-021323_ny20019009x3_def14a.htm:22]** **[0001140361-24-021323_ny20019009x3_def14a.htm:5]** .                                                                                                      |
| Thomas D. Schwenger   | President and Chief Customer Officer       | April 1, 2024       | Thomas D. Schwenger has been President and Chief Customer Officer since April 1, 2024. He joined Veeva in 2019 and previously served as President and COO. Before Veeva, he had a long tenure at Accenture plc  **[0001140361-24-021323_ny20019009x3_def14a.htm:22]** **[0001213900-24-028720_ea0203047-8k_veeva.htm:2]** .                                                                                                                                      |
| Tim Cabral            | Interim Chief Financial Officer            | April 1, 2024       | Tim Cabral served as Interim CFO from April 1, 2024, until September 16, 2024. He was Veeva's CFO from 2010 to 2020 and has been on the board since 2022. He has held leadership roles at PeopleSoft and Chiron Corp  **[0001213900-24-028720_ea0203047-8k_veeva.htm:1]** **[0001140361-24-021323_ny20019009x3_def14a.htm:5]** **[0001140361-24-018850_ny20019009x1_pre14a.htm:5]** .                                                                                                                             |
| E. Nitsa Zuppas       | President and Chief of Staff               | April 1, 2024       | E. Nitsa Zuppas has been President and Chief of Staff since April 1, 2024. She was previously Veeva's CMO from 2013 to 2024 and held executive roles at First Virtual Group and Siebel Systems  **[0001213900-24-028720_ea0203047-8k_veeva.htm:1]** **[0001140361-24-021323_ny20019009x3_def14a.htm:22]** .                                                                                                                                                       |
| Stacey Epstein        | Chief Marketing Officer                    | April 1, 2024       | Stacey Epstein was appointed CMO on April 1, 2024. She was previously CMO at Freshworks Inc. and held roles at ServiceMax, including Chief Marketing and Customer Experience Officer  **[0001213900-24-028720_ea0203047-8k_veeva.htm:1]** **[0001140361-24-021323_ny20019009x3_def14a.htm:22]** **[0001140361-24-018850_ny20019009x1_pre14a.htm:22]** .                                                                                                                                                              |
| Alan V. Mateo         | Executive Vice President, Global Sales     | April 2015          | Alan V. Mateo has been EVP, Global Sales since April 2015. He previously held executive roles at Medidata Solutions and PeopleSoft. He is set to retire on April 30, 2024, transitioning to a part-time advisor role  **[0001140361-24-021323_ny20019009x3_def14a.htm:23]** **[0001393052-23-000020_veev-20230314.htm:1]** **[0001140361-23-023888_ny20006683x4_def14a.htm:23]** .                                                                                                                             |
| Jonathan (Josh) Faddis| Senior Vice President, General Counsel, and Secretary | September 2012 | Jonathan (Josh) Faddis has been SVP, General Counsel, and Secretary since September 2012. He previously worked at Taleo Corporation and practiced law at Fulbright & Jaworski LLP  **[0001140361-24-021323_ny20019009x3_def14a.htm:23]** **[0001140361-24-018850_ny20019009x1_pre14a.htm:23]** .                                                                                                                                                                   |
| Brian Van Wagener     | Chief Financial Officer                    | September 16, 2024  | Brian Van Wagener became CFO on September 16, 2024. He was previously EVP, Finance at Veeva and held roles at BetterUp and Frontier Communications. He has over 20 years of experience in technology, healthcare, and life sciences sectors  **[0001393052-24-000065_veev-20240911.htm:1]** .                                                                                                           |

04b69f642c8205d666cac90ab38efcb83642b5d0875937e9294f5f3c982965e9

Veeva Systems Inc. is a leading provider of industry cloud solutions specifically designed for the global life sciences industry. The company offers cloud software, data, analytics, professional services, and business consulting to help life sciences companies develop and bring products to market more efficiently, market and sell more effectively, and maintain compliance with government regulations  **[0001393052-24-000062_veev-20240731.htm:22]** **[0001393052-24-000075_veev-20241031.htm:21]** **[0001393052-24-000013_veev-20240131.htm:4]** **[0001393052-23-000066_veev-20231031.htm:26]** **[0001393052-23-000051_veev-20230731.htm:22]** **[0001393052-24-000013_veev-20240131.htm:59]** **[0001393052-23-000025_veev-20230131.htm:56]** . Veeva's solutions are organized into major product categories that address various business functions from research and development to commercialization  **[0001393052-24-000062_veev-20240731.htm:22]** **[0001393052-24-000075_veev-20241031.htm:21]** **[0001393052-23-000066_veev-20231031.htm:26]** **[0001393052-23-000051_veev-20230731.htm:22]** **[0001393052-24-000013_veev-20240131.htm:59]** **[0001393052-23-000025_veev-20230131.htm:56]** .

1. **Commercial Solutions** - Includes Veeva Commercial Cloud, Veeva Data Cloud, and Veeva Claims solutions, helping life sciences companies engage with healthcare professionals and organizations, and execute effective marketing campaigns  **[0001393052-24-000013_veev-20240131.htm:59]** **[0001393052-24-000062_veev-20240731.htm:22]** **[0001393052-24-000024_veev-20240430.htm:20]** .
   - **Veeva Commercial Cloud** - Facilitates intelligent engagement across multiple communication channels.
   - **Veeva Data Cloud** - Provides data management and analytics capabilities.
   - **Veeva Claims** - Supports compliance and marketing claims management.

2. **R&D Solutions** - Comprises Veeva Development Cloud, Veeva RegulatoryOne, and Veeva QualityOne solutions, streamlining product development processes and maintaining regulatory compliance  **[0001393052-24-000013_veev-20240131.htm:59]** **[0001393052-24-000062_veev-20240731.htm:22]** **[0001393052-24-000024_veev-20240430.htm:20]** .
   - **Veeva Development Cloud** - Enhances clinical, regulatory, quality, and safety functions.
   - **Veeva RegulatoryOne** - Manages regulatory documents and trial information.
   - **Veeva QualityOne** - Ensures quality management throughout the product lifecycle.

0bf176426da4e2792351ac925b1812a8e431ed0576072cc17bbff09efb72bae8

1. With the migration from Veeva CRM on Salesforce to Vault CRM progressing slowly and significant margin improvements spread out until 2030, can you provide more precise timelines on when investors can expect to see a noticeable impact on gross margins due to reduced Salesforce royalties?  **[VEEV_3411041_29]** 

2. Despite announcing your pivot toward horizontal enterprise applications, you've yet to share a concrete product strategy or timeline; when can we expect more detailed information on the specific application areas or customer segments you plan to target, and how will this diversification impact your core life sciences focus?  **[VEEV_3411041_21]** 

3. Given that clinical trial starts have been increasing globally over the past two quarters, how is Veeva leveraging this trend within your Development Cloud offerings, and are you seeing a corresponding uptick in demand that aligns with these industry metrics?  **[VEEV_3411041_37]** 

4. You mentioned having only marginally better visibility into fiscal 2026 compared to prior years; given the uncertain macro environment, what factors are limiting your ability to forecast more confidently, and how are you addressing potential risks to maintain your growth trajectory?  **[VEEV_3411041_7]** 

5. With CRO revenue remaining approximately 5% of total revenue and not materially changing, what strategies are you implementing to accelerate growth in this segment, and how critical do you view CRO partnerships to your long-term growth plans?  **[VEEV_3411041_37]** 

93b730e34708b260df12437e5425512775df1a76d20c989e440eb4cedf368bee

Subscription Services

- Commercial Solutions

- R&D Solutions

Professional Services

2f72cffb47ab1096aa6916cc9fd11eacca65c42f37b1abdaf028b1a76fe9390d

- **Strong growth in Data Cloud business**: Veeva's Link product has over **100 customers**, replacing incumbents due to superior data quality and software, contributing to strong growth in the Data Cloud business. Additionally, Compass is driving growth by providing clients with unprecedented patient insights, enabling them to understand prescriber behavior and patient use of their products.  **[VEEV_3391191_23]** **[VEEV_3391191_12]**
- **Vault CRM progress and adoption**: Vault CRM is now the **sole go-forward solution as of April 1**, with multiple new customers already live and positive customer feedback; this sets a strong foundation for expansion and industry-wide migration over time.  **[VEEV_3391191_8]**
- **Operational efficiency and margin maintenance**: Veeva is **maintaining operating margins and operating income despite revenue coming down**, demonstrating operational efficiency with focused hiring and **lean teams**, indicating strong financial management.  **[VEEV_3391191_15]**

99b1dea42658a2f4510c778b965bfd6b942a6616e0d21cf448914c5f51cb16fb

- **Veeva reduced its full-year revenue guidance by about $30 million due to a challenging macro environment and delays in deal timing, impacting services revenue.**  **[VEEV_3391191_1]** **[VEEV_3391191_5]** **[VEEV_3391191_21]**
- **There have been multiple guidance reductions over the past several quarters, raising concerns about the potential for further cuts and the company's ability to accurately forecast future performance.**  **[VEEV_3391191_5]**
- **Services revenue growth rate is significantly lower than historical levels, indicating weakness in the services segment that may affect overall revenue growth.**  **[VEEV_3391191_27]** **[VEEV_3391191_21]**

1fcebfc73c4630f237ab5ef95660fba3473933b948507b485623817a199f59ff

- Veeva is **winning top 20 deals and building a durable business** in Development Cloud with a **structural advantage** of offering integrated products that deliver high ROI to customers, making them **the only company** doing this.  **[VEEV_3400058_15]**
- **Migration to Vault CRM is progressing very well**, with expectations of **additional top 20 commitments over the next 12 months**. Veeva has **15 customers live** on Vault CRM and a **top 20 pharma customer** will be live by end of next year in **over 50 countries**, showcasing their **competitive advantage** over competitors like Salesforce.  **[VEEV_3400058_19]**
- **Operating margins are the highest in 3 years, trending above 40%**, driven by **improved gross margin** due to mix shift towards **more subscription revenue than services** and **more non-Veeva CRM revenue** which does not have Salesforce royalties. The service team is delivering value **in a very efficient way**.  **[VEEV_3400058_16]**

faecc102ea68d6c2cbc522ea6e9292d806f93ef23a4dfb235ba67c30569faa52

1. **Vault CRM Adoption and Migration Progress**  
   **Q:** How is the adoption of Vault CRM progressing among customers?  
   **A:** Veeva is making strong progress with Vault CRM, securing commitments from four top 20 biopharma companies, including Boehringer Ingelheim, an existing CRM customer.  **[VEEV_3411041_27]**  Additional commitments are expected over the next several months, and having a real product in the market has been a significant advantage.  **[VEEV_3411041_20]**  Migration timelines vary by customer size, with small customers taking 4–6 weeks and top 20 companies up to 2 years.  **[VEEV_3411041_27]** 

2. **Growth Visibility and Outlook**  
   **Q:** How does Veeva's visibility into FY '26 growth compare to prior years?  
   **A:** Veeva has marginally better visibility compared to a year ago, as customers have settled into the current macro environment.  **[VEEV_3411041_7]**  The company is pleased with its updated guidance reflecting subscription growth of about **15%** for the year.  **[VEEV_3411041_22]** 

3. **Impact of Macroeconomic Environment**  
   **Q:** How is the current macro environment affecting Veeva's business?  
   **A:** Customers are settling into the current macro environment, viewing it as a "new normal".  **[VEEV_3411041_13]**  Veeva hasn't detected significant changes and notes that people are getting used to high interest rates and global uncertainties.  **[VEEV_3411041_13]** 

4. **Operating Margin and Cost Discipline**  
   **Q:** What's driving the strong operating margin performance?  
   **A:** Veeva achieved an operating margin of **43.5%**, the highest on record, driven by strong execution across sales, services, and product teams.  **[VEEV_3411041_19]**  Over half of the margin outperformance was due to revenue beat, with additional gains from expense timing and ongoing cost discipline.  **[VEEV_3411041_19]** 

5. **Development Cloud Strategic Partnerships**  
   **Q:** What progress is Veeva making with large strategic partnerships in Development Cloud?  
   **A:** Veeva is making progress on several large strategic partnership opportunities in Development Cloud, similar but not identical to previous deals with Merck and Boehringer Ingelheim.  **[VEEV_3411041_6]**  Each partnership is unique, and discussions are more expansive due to a more mature product suite.  **[VEEV_3411041_6]** 

6. **Generative AI Products and Gross Margin Impact**  
   **Q:** How will the adoption of generative AI applications impact gross margins?  
   **A:** Veeva introduced two generative AI solutions: CRM Bot and MLR Bot.  **[VEEV_3411041_11]**  MLR Bot will be charged for and may impact compute costs, but there won't be any material impact on gross margins, and AI is factored into the gross margin profile for 2030.  **[VEEV_3411041_11]** 

7. **Competitive Landscape with Salesforce**  
   **Q:** Is Salesforce showing up more often in customer discussions?  
   **A:** Salesforce is present in the majority of Veeva's larger customers, which is expected.  **[VEEV_3411041_25]**  Veeva continues to compete primarily with Salesforce in the market, as IQVIA's product has sunset.  **[VEEV_3411041_25]** 

8. **Crossix Performance and Drivers**  
   **Q:** What factors are driving Crossix's strong performance?  
   **A:** Crossix's growth is driven by good execution, innovation in micro audiences, and an expanding data network.  **[VEEV_3411041_15]**  Integration with Veeva's CRM suite is also a factor.  **[VEEV_3411041_15]**  Crossix is one of several drivers of commercial strength, alongside CRM products and Commercial Content.  **[VEEV_3411041_15]** 

9. **Impact of Regulatory Changes on Business**  
   **Q:** How could potential regulatory changes, such as elimination of direct-to-consumer advertising, impact Veeva?  
   **A:** Such changes would require significant steps, including policy and legislation, and would likely be challenged.  **[VEEV_3411041_14]**  Veeva does not expect any near-term impact and hasn't seen customers reacting negatively.  **[VEEV_3411041_14]** 

10. **CRO Market Challenges and Veeva's Position**  
    **Q:** Why is Veeva not affected by challenges facing CROs?  
    **A:** CROs are impacted by fluctuations in study volumes, while Veeva's revenue is less tied to study-by-study arrangements.  **[VEEV_3411041_31]**  Products like eTMF and CTMS are long-term enterprise licenses, insulating Veeva from short-term study volume changes.  **[VEEV_3411041_31]** 

11. **Services Revenue Outlook**  
    **Q:** How is the services market outlook, and what growth is expected?  
    **A:** Veeva is pleased with execution and momentum in services, seeing stabilization after earlier factors impacted performance.  **[VEEV_3411041_5]** **[VEEV_3411041_24]**  Specific growth assumptions were not provided, with guidance to be given after Q4 results.  **[VEEV_3411041_24]** 

12. **Headcount Increase and Investment**  
    **Q:** What's behind the acceleration in net headcount increase?  
    **A:** Veeva is investing in growth, with headcount increases focused on product areas.  **[VEEV_3411041_28]**  The company is pleased with hiring execution as it looks ahead to next year.  **[VEEV_3411041_28]** 

13. **Horizontal Enterprise Applications Strategy**  
    **Q:** When will Veeva share more about its horizontal enterprise applications strategy?  
    **A:** Veeva is taking a platform-specific approach to horizontal business applications but has no specific timeline to share.  **[VEEV_3411041_21]**  Updates will be provided as more information becomes available.  **[VEEV_3411041_21]** 

14. **Replatforming Effort to Vault CRM**  
    **Q:** How is the replatforming of Veeva CRM to Vault CRM progressing?  
    **A:** Veeva is very comfortable with the replatforming effort.  **[VEEV_3411041_36]**  They have live customers and the necessary product features are in place, with Vault CRM now offering full functionality compared to Veeva CRM.  **[VEEV_3411041_36]** 

15. **Contribution from MLR Bot and Monetization**  
    **Q:** What is the early interest and monetization plan for MLR Bot?  
    **A:** There is significant customer excitement for MLR Bot, which will be offered as a separate license.  **[VEEV_3411041_4]**  Veeva is working through monetization details but anticipates it as an add-on to PromoMats.  **[VEEV_3411041_4]** 

8e31f4248f206d8da87b557a2849e50cacb528acb90f4a6d21693df1574b4a74

- **Delayed Revenue Recognition from Recent Wins**: Several large contracts, especially in the R&D area, will take 4 to 5 years to fully contribute to revenue, leading to a delay in financial impact from these wins.  **[VEEV_3376115_3]** ,  **[VEEV_3376115_2]**
- **Reduced Services Revenue Due to Project Delays**: The company has lowered its services revenue outlook due to continued project timing delays, indicating challenges in the services segment.  **[VEEV_3376115_29]**
- **Adoption of Lean Teams May Limit Investments**: Emphasis on lean teams and disciplined hiring to improve operating margins might restrict investment in growth areas, potentially impacting future innovation and competitiveness.  **[VEEV_3376115_18]**

fa3dc2deb416be6ed43f408ea09640f90ccbd5da4010e2f1821c1ddc2160e7d8

- **Increased competition from Salesforce:** Salesforce is increasingly present in Veeva's customer base, appearing as a competitor in the vast majority of their customers. This heightened competition from Salesforce, especially with their Life Sciences Cloud being part of top deals, could challenge Veeva's market position.  **[VEEV_3411041_25]**
- **Uncertainty in Veeva's horizontal enterprise applications strategy:** Veeva has not provided a specific timeline or concrete product strategy for its pivot toward horizontal enterprise applications. This lack of clarity may limit investor confidence in Veeva's ability to expand beyond its core life sciences market.  **[VEEV_3411041_21]** **[VEEV_3411041_22]**
- **Regulatory uncertainty under a new administration:** Potential changes in regulations with the new Trump administration create uncertainty for Veeva. While customers are accustomed to changes, new policies could impact how customers make decisions, potentially affecting Veeva's business.  **[VEEV_3411041_8]**

adf2776f8366f79ac565f40fbf7c5220fdc0926574f2c813c8071d304f34022e

- **Veeva's Development Cloud is growing at roughly 20%**, representing **about 50% of revenue** and **65% of the overall opportunity**, with long-term contracts driving future revenue growth.  **[VEEV_3376115_3]**
- **Veeva is gaining market share** with products like **Crossix Data Cloud**, **EDC**, and **Data Cloud products like Prescriber and Compass National**, leading to diversified large deals across multiple customers.  **[VEEV_3376115_13]** **[VEEV_3376115_8]** **[VEEV_3376115_31]** **[VEEV_3376115_26]**
- **Raised operating income guidance to a 39% operating margin**, reflecting improved operating efficiency, scalability, and strong financial discipline, resulting in higher profitability.  **[VEEV_3376115_18]**

6bf7d7d9a8e68e7838286b881f04c785b80d2cad0d499ebc463ea916fdc79e45

- Despite reporting strong execution, **management confirmed that the macro environment has not improved**, suggesting potential ongoing market challenges.  **[VEEV_3400058_11]**
- The company **has no customers yet using its Compass Prescriber and National products for compensation purposes**, with adoption expected only next year, indicating delays in monetization of these offerings.  **[VEEV_3400058_20]**
- **Early-stage clinical solutions like ePRO are still in initial phases with only first customers**, implying that significant revenues from these products may be further out.  **[VEEV_3400058_18]**

5e13f852e5cfa83dd09ec535e79713492726f39c34a188fe11fee2c88e8d49db

- Veeva achieved a record high operating margin of **43.5%** in Q3 FY2025, showcasing strong execution and effective cost management.  **[VEEV_3411041_19]**
- The company is enhancing its data network through strategic partnerships like **Walgreens**, strengthening products like **Compass** and **Crossix**, and solidifying its position with the strongest data network in the industry.  **[VEEV_3411041_33]**
- Veeva's safety solutions are **approaching a tipping point**, offering a comprehensive suite that meets customer needs for modernization and advanced automation, positioning the company for further growth.  **[VEEV_3411041_12]**

b5539395be4b5fb874e46e2b4e14ce60a3f82d0c35dfbc984157fb223a265bb2

Veeva Systems Inc (VEEV)

Financials