DocuSign, Inc.

earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. As a reminder, this call is being recorded and there will be available for replay from the investor relations section of the website following the call. If anyone should require operator assistance, please press star zero on your telephone keypad. I will now pass the call over to Matthew Sonnenfeld, head of investor relations. Please go ahead.

Thank you, Operator. Good afternoon, and welcome to DocuSign's Q4 Fiscal 2025 Earnings Call. Joining me on today's call are DocuSign's CEO, Alan Teegerson, and CFO, Blake Grayson. The press release announcing our fourth quarter fiscal 2025 results was issued earlier today and is posted on our Investor Relations website, along with a published version of our prepared remarks. Before we begin, let me remind everyone that some of our statements on today's call are forward-looking. We believe our assumptions and expectations related to these forward-looking statements are reasonable, but they are subject to known and unknown risks and uncertainties that may cause our actual results or performance to be materially different. In particular, our expectations regarding the pace of product innovation and factors affecting customer demand are based on our best estimates at this time and are therefore subject to change. Please read and consider the risk factors in our filings with the SEC together with the content of this call. Any forward-looking statements are based on our assumptions and expectations to date, and except as required by law, we assume no obligation to update these statements in light of future events or new information. During this call, we will present GAAP and non-GAAP financial measures. In addition, we provide non-GAAP weighted average share counts and information regarding free cash flows and billings. These non-GAAP measures are not intended to be considered in isolation from, a substitute for, or superior to our GAAP results. We encourage you to consider all measures when analyzing our performance. For information regarding our non-GAAP financial information, the most directly comparable GAAP measures, and a quantitative reconciliation of these figures, please refer to today's earnings press release, which can be found on our website at investor.docuSign.com. With that, I'd like to turn the call over to Alan.

Thank you, Matt, and good afternoon, everyone. Fiscal 2025 was a transformative year for DocuSign, led by the introduction of Intelligent Agreement Management, or IAM. Our vision is that DocuSign IAM establishes a new system of record that transforms how organizations create, commit to, and manage their agreements in a full suite, AI-powered, end-to-end platform. During the year, we also improved the performance of our business, building a strong foundation to add greater customer value and drive future growth. Q4 revenue was $776 million, up 9% year-over-year, and fiscal 2025 revenue was $3 billion, up 8% year-over-year. IAM momentum was strong and fundamentals across the core business continued to improve, with dollar net retention increasing to 101% in Q4. In addition, we produced strong profitability with 29% non-GAAP operating margins in Q4 and 30% for fiscal 2025, both significant increases from fiscal 2024. reflecting continued progress in our commitment to improving efficiency while prioritizing investment to re-accelerate growth. As we look to fiscal 2026, we're focused on increasing the value that we deliver to DocuSign customers as the world's leading agreement platform. We will continue to execute across our three strategic pillars, accelerating product innovation through an ambitious AI-led product roadmap, evolving our three routes to market, and leveraging operating efficiency gains to invest in future growth. Let's dive deeper into why the future is bright, turning first to innovation. Last spring, we introduced IAM at our Momentum event, then rolled the platform out to our sales-led small and mid-market customer segment in the United States, Canada, and Australia. At the end of the year, we launched departmental-level deployments to enterprise customers while also opening up IAM availability globally. The initial launch delivered DocuSign Navigator, our intelligent agreement repository, DocuSign Maestro, our automated workflow builder, and the DocuSign App Center, where ISV partners deliver third-party apps to customers. We followed that launch by releasing DocuSign for developers to support our developer ecosystem. And through the acquisition of Lexion, we integrated additional powerful Agreement AI capabilities. Today, IAM customers are using Agreement AI to streamline document review and editing, extract critical insights, verify parties, and build workflows integrated with third-party applications. Some IAM customers have reduced their contracting cycles by up to 75%. You can see our full list of recent product releases in our earnings release. We hope you can join us at our April Momentum Customer Conference and Partner Day in New York, where we'll share our ambitious fiscal 2026 product roadmap, featuring agreement AI, innovative new workflows, an expanded ecosystem, and powerful new capabilities for enterprise customers, all with the goal of becoming the agreement system of record.