DocuSign shares rose in after-hours trading on Thursday after the eSignature provider’s second quarter fiscal 2024 earnings blew away expectations.
The company reported earnings per share of $0.72, up from $0.44 in the year-ago quarter and ahead of the consensus analyst estimate of $0.65, per Zacks Consensus Estimate.
Revenue rose 11% year-over-year to $687.7 million, ahead of the Street estimate of $676.8 million.
Subscription revenue rose 11% from the year-ago quarter to $669.4 million and professional services and other revenue was up 8% from the same period in fiscal 2023 to $18.3 million.
DocuSign also raised its full-year revenue outlook for the year ending January 31, 2024, from a range of $2.71 to $2.73 billion to a range of $2.73 to $2.74 billion.
"Our results for the first half were solid and reflect strong progress on our business transformation," DocuSign CEO Allan Thygesen said.
"We increased our pace of innovation by delivering key new features while strengthening our self-service and partner distribution channels, and we've received tremendous enthusiasm on our product roadmap, particularly from our enterprise customers."
Further, the company announced that its board of directors has authorized an increase of $300 million to its existing stock repurchase program for a total of $500 million.
DocuSign shares had added 4.5% at US$54.49 shortly following the release of its 2Q results.
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