# Veeva Systems Inc. (VEEV) Q2 2026 Financial Results Summary
**Release Date: August 27, 2025**
Veeva Systems Inc. (NYSE: VEEV) reported its financial results for the second quarter of fiscal 2026, ending July 31, 2025. Here’s a summary of the key financial metrics and highlights:
## Financial Highlights:
– **Total Revenues**:
– $789.1 million, up **17%** from $676.2 million in Q2 2025.
– **Subscription Services Revenues**:
– $659.2 million, an increase of **17%** compared to $561.3 million in Q2 2025.
– **Operating Income**:
– $195.9 million, an **18%** increase from $166.5 million in Q2 2025.
– **Non-GAAP Operating Income**:
– $352.6 million, up **26%** from $279.8 million in Q2 2025.
– **Net Income**:
– $200.3 million, reflecting a **17%** increase from $171.0 million in Q2 2025.
– **Non-GAAP Net Income**:
– $333.4 million, up **25%** from $267.3 million in Q2 2025.
– **Net Income per Share**:
– Fully diluted net income per share of $1.19, compared to $1.04 a year ago (up **14%**).
– Non-GAAP fully diluted net income per share of $1.99, versus $1.62 a year ago (up **23%**).
## Operational Highlights:
– **Deep Industry-Specific AI**:
– Continued development of Veeva AI, with new agents targeting clinical operations, regulatory tasks, safety, quality, and medical applications.
– **Performance Milestones**:
– Significant progress with the Vault CRM Suite, with more than 100 customers and major biopharmaceuticals going live.
– **Expanding Market Foundation**:
– Additional selections of Veeva products by top 20 biopharmaceutical companies further establish Veeva’s position in drug development and quality.
– **Partnership with IQVIA**:
– A long-term global agreement aimed at advancing efficiencies in the life sciences sector.
## Dividend and Share Repurchase:
– The report did not mention any declared quarterly dividend or share repurchase program for the current quarter.
## Financial Outlook:
### Guidance for Fiscal Q3 Ending October 31, 2025:
– **Total Revenues**: Projected between $790 million and $793 million.
– **Non-GAAP Operating Income**: Expected between $348 million and $350 million.
– **Non-GAAP Fully Diluted Net Income per Share**: Projected to be between $1.94 and $1.95.
### Updated Guidance for Fiscal Year Ending January 31, 2026:
– **Total Revenues**: Expected between $3,134 million and $3,140 million.
– **Non-GAAP Operating Income**: Projected to be around $1,388 million.
– **Non-GAAP Fully Diluted Net Income per Share**: Expected to be approximately $7.78.
## Summary:
Veeva Systems Inc. demonstrated robust financial performance in Q2 of fiscal 2026, showcasing significant revenue growth and an increase in profitability across key metrics, emphasizing the ongoing success of its cloud-based solutions for the life sciences industry. The guidance provided indicates a positive outlook for continued growth in the upcoming quarters.
| Three months ended July 31 | 2025 | 2024 | Six months ended July 31 | 2025 | 2024 |
|---|---|---|---|---|---|
| Subscription services(3) | $659,183 | $561,277 | $1,293,951 | $1,095,232 | |
| Professional services and other(4) | $129,898 | $114,904 | $254,173 | $231,294 | |
| Total revenues | $789,081 | $676,181 | $1,548,124 | $1,326,526 | |
| Cost of revenues(5): | |||||
| Cost of subscription services | $93,830 | $78,791 | $172,176 | $156,939 | |
| Cost of professional services and other | $101,423 | $91,581 | $196,901 | $187,317 | |
| Total cost of revenues | $195,253 | $170,372 | $369,077 | $344,256 | |
| Gross profit | $593,828 | $505,809 | $1,179,047 | $982,270 | |
| Operating expenses(5): | |||||
| Research and development | $192,677 | $176,429 | $376,710 | $339,140 | |
| Sales and marketing | $109,439 | $101,528 | $208,067 | $198,829 | |
| General and administrative | $95,804 | $61,365 | $164,630 | $122,642 | |
| Total operating expenses | $397,920 | $339,322 | $749,407 | $660,611 | |
| Operating income | $195,908 | $166,487 | $429,640 | $321,659 | |
| Other income, net | $69,456 | $58,573 | $134,545 | $110,302 | |
| Income before income taxes | $265,364 | $225,060 | $564,185 | $431,961 | |
| Income tax provision | $65,055 | $54,019 | $135,686 | $99,256 | |
| Net income | $200,309 | $171,041 | $428,499 | $332,705 | |
| Net income per share: | |||||
| Basic | $1.23 | $1.06 | $2.63 | $2.06 | |
| Diluted | $1.19 | $1.04 | $2.56 | $2.02 | |
| Weighted-average shares used to compute net income per share: | |||||
| Basic | 163,496 | 161,708 | 163,129 | 161,566 | |
| Diluted | 167,685 | 164,564 | 167,272 | 164,497 | |
| Other comprehensive income: | |||||
| Net change in unrealized (loss) gain on available-for-sale investments | -$11,300 | $25,175 | $6,067 | $6,314 | |
| Net change in cumulative foreign currency translation gain (loss) | $390 | -$104 | $352 | -$1,252 | |
| Comprehensive income | $189,399 | $196,112 | $434,918 | $337,767 |
| July 31, 2025 | January 31, 2025 | |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | $1,930,431 | $1,118,785 |
| Short-term investments | $4,473,282 | $4,031,442 |
| Accounts receivable, net | $422,071 | $1,016,356 |
| Unbilled accounts receivable | $50,348 | $40,761 |
| Prepaid expenses and other current assets | $118,456 | $101,458 |
| Total current assets | $6,994,588 | $6,308,802 |
| Property and equipment, net | $61,210 | $55,912 |
| Deferred costs, net | $25,899 | $26,383 |
| Lease right-of-use assets | $71,538 | $63,863 |
| Goodwill | $439,877 | $439,877 |
| Intangible assets, net | $36,445 | $44,460 |
| Deferred income taxes | $309,639 | $343,919 |
| Other long-term assets | $60,231 | $56,540 |
| Total assets | $7,999,427 | $7,339,756 |
| Liabilities and stockholders’ equity | ||
| Current liabilities: | ||
| Accounts payable | $33,578 | $30,447 |
| Accrued compensation and benefits | $40,647 | $39,429 |
| Accrued expenses and other current liabilities | $58,807 | $35,557 |
| Income tax payable | $3,662 | $9,024 |
| Deferred revenue | $1,107,696 | $1,273,978 |
| Lease liabilities | $10,663 | $9,969 |
| Total current liabilities | $1,255,053 | $1,398,404 |
| Deferred income taxes | $439 | $587 |
| Long-term lease liabilities | $74,785 | $65,806 |
| Other long-term liabilities | $30,611 | $42,586 |
| Total liabilities | $1,360,888 | $1,507,383 |
| Stockholders’ equity: | ||
| Common stock | $2 | $2 |
| Additional paid-in capital | $2,757,440 | $2,386,192 |
| Accumulated other comprehensive loss | -$1,997 | -$8,416 |
| Retained earnings | $3,883,094 | $3,454,595 |
| Total stockholders’ equity | $6,638,539 | $5,832,373 |
| Total liabilities and stockholders’ equity | $7,999,427 | $7,339,756 |
