Slide 1: Q3 Fiscal Year 2022 Financial Review
Q3 Fiscal Year 2022 Financial Review DocuSign PUBLIC 1 | DocuSign PUBLIC
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements that are based on our management’s beliefs and assumptions and on information currently available to management. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as “m
Slide 3: Non-GAAP Financial Measures and Other Key Metrics
Non-GAAP Financial Measures and Other Key Metrics To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we use certain non-GAAP financial measures, as described below, to understand and evaluate our core operating performance. These non-GAAP f
Slide 4: How customers buy from us
How customers buy from us Prepaid Model Dollar Weighted Average Contract Product Functionality Capacity-Based Model Length1 35% >12 months Pricing by Functionality Volume Capacity Multiple levels of product functionality Pre-Set # of Envelopes Provisioned eSignature Envelopes 18 months Single-user M
Slide 5: Strong and consistent revenue growth at scale
Strong and consistent revenue growth at scale Total Revenue1 Subscription Revenue1 Revenue Contribution2 50% 49% $1,453 3% Subscription $1,381 Professional Services & Other 54% $974 53% $918 97% 44% $701 42% $664 $529 39% $545 38% 12% $383 37% $367 Web & Mobile (Digital) 35% Ent & commercial (Direct
Slide 6: Strong growth in billings and revenue
Strong growth in billings and revenue 1 Billings2 Revenue Billings Rolling 4-Q Y/Y Enterprise & commercial Web & mobile Rolling 4-Q Y/Y $545 $600 120% $550 $512 120% $595 68 12% $550 $565 110% $500 $469 110% 12% 63 $500 $535 $527 $431 100% $450 12% 58 100% $450 $383 $400 53 12% $440 90% 90% $400 48
Slide 7: Large and growing customer base
Large and growing customer base 1 2 Total Customers Enterprise & Commercial Customers 1.11M 160K 160K 892K 140K 41% 125K CAGR 120K 52% 589K CAGR 100K 477K 80K 75K 373K 60K 56K 43K 40K 54K 20K 4K 0K FY13 FY18 FY19 FY20 FY21 Q3 FY22 FY13 FY18 FY19 FY20 FY21 Q3 FY22 (1) For the fiscal years ended Janua
Slide 8: Cohort and large customer expansion
Cohort and large customer expansion 2 Cohort analysis Customers with >$300K in ACV 121% 785 Net Retention Rate as of Oct 31, 20211 45% 599 CAGR 437 310 30 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Q3 FY22 FY13 FY19 FY20 FY21 Q3 FY22 (1) Compares the ACV for subscription contracts from a set of en
Slide 9: 121% Net Dollar Retention
Strength in customer demand driving growth at scale 125% 123% 125% 124% 121% Net 122% 121% Dollar Retention1 120% 120% 119% 117% 117% 115% 110% Q3 FY20 Q4 FY20 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 (1) Compares the ACV for subscription contracts from a set of enterprise and commerc
Slide 10: Investing in International Growth
Investing in International Growth 68% y/y Int’l Revenue Growth (Q3 FY22)1 Digital - 180+ Countries Direct - Focus 8 23% of Total Revenue (Q3 FY22)1 (1) For the fiscal quarter ended October 31, 2021 compared to same period a year ago. Market Prioritization & Investment Tier 1: Market Leader Tier 2: S
Slide 11: Achieving increased leverage
Achieving increased leverage Headcount 2 Non-GAAP gross margin1 7,056 Subscription Gross Margin Total Gross Margin 5,364 86% 84% 84% 84% 82% 79% 79% 79% Q3 FY21 Q3 FY22 FY20 FY21 Q3 FY21 Q3 FY22 FY20 FY21 Q3 FY21 Q3 FY22 (1) For the fiscal years ended January 31, 2020, 2021 and the fiscal quarters e
Slide 12: Achieving increased leverage
Achieving increased leverage Non-GAAP S&M1 Non-GAAP R&D1 Non-GAAP G&A1 50% 49% 44% 43% 40% 16% 14% 14% 14% 13% 12% 11% 9% 9% 7% $639 $198 $477 $218 $70 $131 $139 $39 $352 $165 $53 $104 $35 $109 $82 FY19 FY20 FY21 Q3 FY21 Q3 FY22 FY19 FY20 FY21 Q3 FY21 Q3 FY22 FY19 FY20 FY21 Q3 FY21 Q3 FY22 (1) For t
Slide 13: Improving profitability and cash flow
Improving profitability and cash flow Non-GAAP Operating Operating Cash Flow Free Cash Flow 2 Income1 2% 5% 12% 13% 22% 11% 12% 20% 15% 19% 7% 4% 15% 10% 17% $297 $181 $215 $105 $122 $116 $57 $90 $49 $76 $47 $46 $44 $38 $15 FY19 FY20 FY21 Q3 FY21 Q3 FY22 FY19 FY20 FY21 Q3 FY21 Q3 FY22 FY19 FY20 FY21
Slide 14: Q4 FY2022 Guidance
Q4 FY2022 Guidance Q4 Fiscal 2022 Total revenue $557M - $563M Subscription revenue $544M - $550M Billings $647M - $659M Non-GAAP Gross margin 81% - 82% Non-GAAP Operating margin 17% - 19% Non-GAAP diluted weighted-average shares o/s 205M - 210M 14 | DocuSign PUBLIC
Slide 15: FY2022 Guidance
FY2022 Guidance Fiscal 2022 Total revenue $2,083M - $2,089M Subscription revenue $2,017M - $2,023M Billings $2,335M - $2,347M Non-GAAP Gross margin 81% - 82% Non-GAAP Operating margin 19% - 21% Provision for income taxes $3M - $4M Non-GAAP diluted weighted-average shares o/s 205M - 210M 15 | DocuSig
Slide 16: Appendix
Appendix 16 | DocuSign PUBLIC
Slide 17: GAAP to non-GAAP gross profit reconciliation
GAAP to non-GAAP gross profit reconciliation Gross Profit (in $K) Quarter Ended October 31, Nine Months Ended October 31, 2021 2020 2021 2020 GAAP Gross Profit 429,488 285,092 1,191,388 759,671 Add: Stock-based Compensation in Cost of Revenue 15,365 11,782 40,902 30,010 Add: Amortization of Acquisit
Slide 18: GAAP to non-GAAP operating gain / (loss) and free cash flow reconciliation
GAAP to non-GAAP operating gain / (loss) and free cash flow reconciliation Adjusted Operating Gain / (Loss) (in $K) Quarter Ended October 31, Nine Months Ended October 31, 2021 2020 2021 2020 GAAP Operating Loss (3,358) (48,470) (36,706) (148,958) Add: Stock-based Compensation in Cost of Revenue 15,
Slide 19: GAAP to non-GAAP operating expenses reconciliation
GAAP to non-GAAP operating expenses reconciliation Sales & Marketing (in $K) Quarter Ended October 31, Nine Months Ended October 31, 2021 2020 2021 2020 GAAP Sales & Marketing 275,619 209,944 777,110 576,729 Less: Stock-based Compensation in Sales & Marketing (49,663) (36,881) (134,720) (93,851) Les
Slide 20: Computation of billings
Computation of billings Computation of Billings (in $K) Quarter Ended October 31, Nine Months Ended October 31, 2021 2020 2021 2020 Revenue 545,463 382,923 1,526,385 1,022,149 Add: Contract Liabilities and Refund Liability, End of Period 961,243 702,691 961,243 702,691 Less: Contract Liabilities and