Veeva Systems Inc. · NYSE:VEEV

Veeva Systems — Investor Day (November 2023)

49 slides from Veeva Systems's investor day presentation, Nov 9, 2023

Slide 1: Investor Day
Investor Day November 9, 2023
Slide 2: 2023 Veeva Investor Day
2023 Veeva Investor Day THURSDAY, NOVEMBER 9 Veeva Vision and Strategy Peter Gassner, Founder & CEO Financial Update Brent Bowman, CFO Break Partnering to Advance the Industry Paul Shawah, EVP Commercial Strategy Nicole Rosenberger, Madrigal Pharmaceuticals Q&A Copyright © Veeva Systems 2023 Copyrig
Slide 3: Safe Harbor and Other Information
Safe Harbor and Other Information This presentation and associated commentary contain forward-looking statements regarding Veeva’s expected future performance, market size and opportunity, and financial outlook, including, in particular, guidance provided as of November 9, 2023 about Veeva’s expecte
Slide 4: Peter Gassner
Peter Gassner Founder & CEO
Slide 6: Vision and Values
Vision Building the Industry Cloud for Life Sciences Values Do the Right Thing Customer Success Employee Success Speed A Public Benefit Corporation Copyright © Veeva Systems 2023
Slide 7: A Public Benefit Corporation
A Public Benefit Corporation Building a Lasting Company Customers | Employees | Shareholders Attracting the Deepening customer Right Talent Relationships Copyright © Veeva Systems 2023
Slide 8: Our Industry Cloud Segments
Our Industry Cloud Segments Biopharma MedTech Consumer Products Life Sciences SOFTWARE • DATA • SERVICES Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 9: Life Sciences Industry is Large and Growing
Life Sciences Industry is Large and Growing $2T+ Growing at 6% CAGR Biopharma • MedTech Source: Evaluate Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 10: Our Life Sciences Opportunity
Our Life Sciences Opportunity ~12% Penetrated FY24E Revenue $2T+ 1% Veeva Technology Solutions $20B+ TAM 6% CAGR Biopharma • MedTech Sources: Evaluate and Veeva estimates TAM: Veeva software, data, and high value services Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 11: Our Life Sciences Opportunity
Our Life Sciences Opportunity Regulatory & Safety 10% Quality 20% Clinical 35% $20B+ Life Sciences TAM Commercial 35% FY24E Revenue ~12% Penetrated Source: Evaluate and Veeva estimates TAM: Industry specific software, data, and high value services Fiscal year ending January 31, 2024. FY24 revenue ba
Slide 12: Industry Cloud for Life Sciences
Industry Cloud for Life Sciences SOFTWARE • DATA • SERVICES Veeva Veeva Veeva Development Commercial Data Cloud Cloud Cloud Business Consulting Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 13: Technology Foundation for Product Development
Technology Foundation for Product Development Clinical Clinical Regulatory Drug Quality Operations Data Safety eTMF EDC Registrations Safety QualityDocs CTMS CDB Submissions SafetyDocs QMS Study Startup RTSM Archive Workbench Training Payments ePRO Publishing Signal Validation Site Connect eClinRO L
Slide 15: Complete Solution for Sponsors
Complete Solution for Sponsors Clinical Operations Clinical Data eTMF EDC CTMS CDB Study Startup RTSM Payments ePRO Site Connect eClinRO Study Training VAULT PLATFORM One App for Patients Free Software for Sites Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 16: Technology Foundation for Commercial Excellence
Technology Foundation for Commercial Excellence CRM Suite Medical Marketing Crossix Patient CRM MedComms PromoMats Consumer Patient CRM Email MedInquiry Marketing HCP Engage Automation Audiences Events Service Align VAULT PLATFORM VAULT PLATFORM VAULT PLATFORM Service Center, Marketing Automation, a
Slide 17: Veeva CRM and Vault CRM
Veeva CRM and Vault CRM Veeva CRM • Supported until 2030 • In stability mode Vault CRM Tracking to Plan • In early adopter mode with heavy innovation • Product Development and migration progressing well • On track for planned GA in April 2024 • Three SMB early adopter wins • Deep discussions with to
Slide 18: The Modern Data Platform for Life Sciences
The Modern Data Platform for Life Sciences OpenData Link Compass Pulse Reference Data Deep Data Transaction Data Pulse Data Commercial Key People Patient Commercial Clinical Key Accounts Prescriber Clinical Medical Insights National Scientific Awareness Workflow Clinical Common Data Architecture Ope
Slide 19: Veeva Link
Veeva Link Deep Data Leading in Deep Data • Data with a cloud application on top • A cloud application that comes with the data Deep Data • Thousands of complex data sources • Technology automation and manual curation • Delivered through specific applications Key People I Medical Insights I Clinical
Slide 20: Veeva Compass
Veeva Compass Transaction Data Products • Patient • Prescriber • National Building a better alternative to IQVIA • Full transaction data suite including projected data • Better data • Better delivery • No TPA restrictions • Clean lines between data products and analytics Copyright © Veeva Systems 20
Slide 21: Veeva Pulse
Veeva Pulse Pulse Data Unique Global Industry Data • Generated by Veeva Applications • Used today in Veeva Business Consulting • Commercial Pulse as a subscription in 2025 • Clinical Pulse is a future direction Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 22: Common Data Architecture
Common Data Architecture CONNECTED ENTITIES CONNECTED VALUES People Organizations HCP Types Therapeutic Areas HCP IDN Key Opinion Leader Hospital Disease Areas Physician Guideline Maker Trial Site Specialty Biomarkers Investigator Publications HCO Types Product Classes Clinical Trials Products Commo
Slide 23: Software and Data Together
Software and Data Together Legacy Today Vision Connected Software Disconnected Software & Data Disconnected Data Connected Software & Data SOFTWARE SOFTWARE SOFTWARE CONNECTED SOFTWARE CONNECTED SOFTWARE SOFTWARE CONNECTED DATA DATA DATA DATA DATA DATA DATA Copyright © Veeva Systems 2023 Copyright ©
Slide 24: Technology Trends
Technology Trends
Slide 26: Execution Matters Most
Execution Matters Most
Slide 27: Execution Matters Most: The Veeva Way
Execution Matters Most: The Veeva Way Innovation & Customer Product Excellence Success Values Clear & Operating Model Strong Growth Correct Markets Trust & Profitability Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 28: Long Runway Ahead in Life Sciences
Long Runway Ahead in Life Sciences Product Suite Maturity and Market Share Veeva Product Quadrant High Regulatory Product Maturity Market Share High Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 29: Consistent Execution with a Long-term View to 2030
Consistent Execution with a Long-term View Looking ahead to 2030 2019 Goal 2015 Goal $3B in 2025 $1B in 2020 $1B in Tracking about 2019 one year ahead Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 31: Brent Bowman
dat ve Brent Bowman ah
Slide 32: Guidance Update
Guidance Update in millions Q3’24 Prior Guide Preliminary Results Variance1 Total Revenue 614–616 616 0 Subs Revenue ~493 495 2 Services Revenue 121–123 121 (2) Non-GAAP Op Income2 223–225 232 7 Q4’24 Prior Guide Current Guide Variance1 Total Revenue 635–638 621–623 (15) Subs Revenue ~517 ~517 0 Ser
Slide 33: Consistent History of Strong Growth and Profitability
Consistent History of Strong Growth and Profitability $2.75B+ Revenue $2.36B Non-GAAP Operating Income1 $2.16B $1.85B Includes -$90M estimated TFC $1.47B impact $1.10B $1.0B+ $862M $830M $827M $759M $583M $412M $307M FY19 FY202 FY212 FY22 FY23 FY24E3 FY25E3 Fiscal Year Ending January 31 ¹ A reconcil
Slide 34: Continue to Track About One Year Ahead of 2025 Targets
Continue to Track About One Year Ahead of 2025 Targets Metric CY 2025 Targets Total Revenue Run Rate $3B+ Commercial ~$1.2B R&D ~$1.8B Non-GAAP Op Margin 35%+ We are not able, at this time, to provide GAAP targets for CY 2025 operating margin because of the difficulty of estimating certain items exc
Slide 35: Execution Matters Most: The Veeva Way
Execution Matters Most: The Veeva Way Innovation & Customer Product Excellence Success Values Clear & Operating Model Strong Growth Correct Markets Trust & Profitability Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 36: Annual Inflation Adjustment
Annual Inflation Adjustment Lower of CPI or 4% US CPI1 (%) April 1, 2023 March 31, 2024 8.3 4.0% 5.3 3.7 1.3 April 1, 2024 March 31, 2025 2020 2021 2022 2023 3.7% 1 US CPI based on August Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 37: Our Life Sciences Opportunity
Our Life Sciences Opportunity Regulatory & Safety 10% Quality 20% Clinical 35% $20B+ Life Sciences TAM Commercial 35% FY24E Revenue ~12% Penetrated Source: Veeva estimates TAM: Veeva software, data, and high value services Fiscal year ending January 31, 2024. FY24 expected revenue based on the high
Slide 38: Early Days in Significant Product Opportunities
Early Days in Significant Product Opportunities Subscription Revenue Mix Most Established Products Core CRM (CRM Suite) 40+ Other Products PromoMats (Commercial Content) 40% 60% eTMF (Clinical Operations) QualityDocs (Quality) Submissions (Regulatory) Approximates Q2’24 subscription revenue mix Copy
Slide 39: Our Industry Cloud Segments
Our Industry Cloud Segments Life Sciences Consumer Biopharma MedTech Products 94% 4% 2% SOFTWARE • DATA • SERVICES Based on Q2’24 revenue mix Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 40: Our Biopharma Customer Segments
Our Biopharma Customer Segments Emerging Enterprise SMB CRO Biotech 66% 25% 5% 4% SOFTWARE • DATA • SERVICES Based on Q2’24 revenue mix Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 41: Durable Operating Model
Durable Operating Model FY20 FY21 FY22 FY23 FY24E2 FY24E2 (Reported) (ex TFC) Non-GAAP Gross Margin1 75% 75% 75% 75% ~74% ~75% Non-GAAP Operating Expense % of 37% 35% 34% 36% ~39% ~37% Revenue1 Non-GAAP Operating Margin1 37% 40% 41% 39% ~35% ~37% Non-GAAP Operating Cash Flow Margin1 35% 32% 38% 32%
Slide 42: Key Takeaways
Key Takeaways Consistent Execution Proven Operating Model Consistent Long Runway for Durable Operating Execution Growth Model Long Runway of Growth Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023
Slide 43: Fireside Chat
Fireside Chat Nicole Rosenberger VP, Head of IT
Slide 44: Appendix
Appendix
Slide 45: Continued Momentum in R&D
Continued Momentum in R&D Avg. Products 2.25 2.35 2.61 2.85 3.02 3.14 Per Customer: 1,052 1,025 860 551 550 664 480 538 423 389 346 244 239 281 197 168 125 236 257 95 183 67 107 47 FY19 FY20 FY21 FY22 FY23 Q2FY24 Customers with: 5 or More Products 3-4 Products 2 Products or Fewer Copyright © Veeva S
Slide 46: Expanding Our Commercial Leadership
Expanding Our Commercial Leadership Avg. Products 3.25 3.51 3.95 4.04 4.02 4.05 Per Customer: 684 690 653 572 523 358 362 454 335 297 306 277 221 219 214 194 167 150 97 107 114 81 27 50 FY19 FY20 FY21 FY22 FY23 Q2FY24 Customers with: 8 or More Products 4-7 Products 3 Products or Fewer Copyright © Ve
Slide 47: Statement Regarding Use of Non-GAAP Financial Measures
Statement Regarding Use of Non-GAAP Financial Measures We provide the following non-GAAP measures, which we define as financial information that has not been prepared in accordance with generally accepted accounting principles in the United States, or GAAP: Non-GAAP gross margin, non-GAAP operating
Slide 48: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures Fiscal Year Ending January 31 Q3’24 reflects preliminary results Copyright © Veeva Systems 2023 Copyright © Veeva Systems 2023

Veeva Systems — Investor Day (November 2023) on 6ix

Veeva Systems — Investor Day (November 2023)

Slide 1: Investor Day

Slide 2: 2023 Veeva Investor Day

Slide 3: Safe Harbor and Other Information

Slide 4: Peter Gassner

Slide 5: Highlights

Slide 6: Vision and Values

Slide 7: A Public Benefit Corporation

Slide 8: Our Industry Cloud Segments

Slide 9: Life Sciences Industry is Large and Growing

Slide 10: Our Life Sciences Opportunity

Slide 11: Our Life Sciences Opportunity

Slide 12: Industry Cloud for Life Sciences

Slide 13: Technology Foundation for Product Development

Slide 14: Veeva Clinical Platform Vision

Slide 15: Complete Solution for Sponsors

Slide 16: Technology Foundation for Commercial Excellence

Slide 17: Veeva CRM and Vault CRM

Slide 18: The Modern Data Platform for Life Sciences

Slide 19: Veeva Link

Slide 20: Veeva Compass

Slide 21: Veeva Pulse

Slide 22: Common Data Architecture

Slide 23: Software and Data Together

Slide 24: Technology Trends

Slide 25: Veeva's AI Approach

Slide 26: Execution Matters Most

Slide 27: Execution Matters Most: The Veeva Way

Slide 28: Long Runway Ahead in Life Sciences

Slide 29: Consistent Execution with a Long-term View to 2030

Slide 30: Highlights

Slide 31: Brent Bowman

Slide 32: Guidance Update

Slide 33: Consistent History of Strong Growth and Profitability

Slide 34: Continue to Track About One Year Ahead of 2025 Targets

Slide 35: Execution Matters Most: The Veeva Way

Slide 36: Annual Inflation Adjustment

Slide 37: Our Life Sciences Opportunity

Slide 38: Early Days in Significant Product Opportunities

Slide 39: Our Industry Cloud Segments

Slide 40: Our Biopharma Customer Segments

Slide 41: Durable Operating Model

Slide 42: Key Takeaways

Slide 43: Fireside Chat

Slide 44: Appendix

Slide 45: Continued Momentum in R&D

Slide 46: Expanding Our Commercial Leadership

Slide 47: Statement Regarding Use of Non-GAAP Financial Measures

Slide 48: Reconciliation of GAAP to Non-GAAP Measures

Slide 49: Reconciliation of GAAP to Non-GAAP Measures