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Veeva Systems' Stock Up After Q4 Earnings & Revenues Beat Estimates
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Key Takeaways
Veeva Systems' Q4 FY26 EPS of $2.06 beat estimates and revenues rose 16% y/y to $836M.
VEEV's subscription revenues climbed 16% to $707.7M, driven by demand for established and newer solutions.
VEEV expects FY27 revenues of $3.59B and EPS around $8.85 while expanding AI agents across platforms.
Veeva Systems, Inc. (VEEV - Free Report) reported adjusted earnings per share (EPS) of $2.06 for the fourth quarter of fiscal 2026, which increased 18.4% from the year-ago figure of $1.74. Adjusted EPS beat the Zacks Consensus Estimate by 7.3%.
GAAP EPS in the fiscal fourth quarter was $1.45, up 22.9% from the year-ago period’s $1.18.
VEEV’s Q4 Revenue Details
In the quarter under review, the company’s revenues totaled $836 million, beating the Zacks Consensus Estimate by 3.4%. On a year-over-year basis, the top line improved 16%.
Shares of the company gained 11.3% in yesterday’s after-market trading. The stock lost 31% in the past six months compared with the industry’s decline of 34.8%. However, the S&P 500 Index has increased 6.4% in the same time frame.
Image Source: Zacks Investment Research
The fiscal fourth-quarter top line was driven by Veeva Systems’ robust segmental performance.
VEEV’s FY26 Results
For fiscal 2026, VEEV registered total sales of $3.19 billion, up 16% year over year.
The company reported adjusted EPS of $8.10 for fiscal 2026, up 22.7% compared with fiscal 2025.
Segmental Analysis of VEEV
Veeva Systems derives revenues from two operating segments: Subscription services, and Professional services and other.
In the fiscal fourth quarter, Subscription services revenues improved 16% from the year-ago quarter to $707.7 million. Per management, this uptick was driven by both its established and newer solutions.
Professional services and other revenues increased 14.1% year over year to $128.2 million.
Q4 Margin Performance by VEEV
In the quarter under review, Veeva Systems’ gross profit improved 15.3% year over year to $622.5 million. The gross margin contracted 40 basis points (bps) to 74.5%.
Sales and marketing expenses increased 11.1% year over year to $110.2 million. Research and development (R&D) expenses rose 9.5% year over year to $198.8 million, while general and administrative expenses decreased 4.4% year over year to $67.6 million. Total operating expenses of $376.6 million increased 7.1% year over year.
Operating profit totaled $245.9 million, which increased 30.5% from the prior-year quarter. The operating margin in the fiscal fourth quarter expanded 330 bps to 29.4%.
Veeva Systems Inc. Price, Consensus and EPS Surprise
The company exited fourth-quarter fiscal 2026 with cash and cash equivalents and short-term investments of $6.56 billion compared with $6.64 billion at the fiscal third-quarter end.
Cumulative net cash provided by operating activities at the end of the quarter was $1.42 billion compared with $1.09 billion a year ago.
Q1 & FY27 Guidance Provided by VEEV
Veeva Systems has issued its financial outlook for the first quarter and full-year fiscal 2027.
For the fiscal first quarter, the company expects total revenues between $855 million and $858 million. The Zacks Consensus Estimate is currently pegged at $845.4 million.
Subscription revenues are estimated to be approximately $720 million, and the same for Professional services and other is expected to be in the range of $135-$138 million for the fiscal first quarter.
For the fiscal first quarter, adjusted EPS is anticipated between $2.13 and $2.14. The Zacks Consensus Estimate is pegged at $2.03.
Veeva Systems expects revenues for fiscal 2027 between $3,585 million and $3,600 million. The Zacks Consensus Estimate is currently pegged at $3.54 billion.
For fiscal 2027, Subscription revenues are expected to be approximately $3,040 million. This consists of Commercial Solutions’ subscription revenues of around $1,380 million and R&D Solutions’ subscription revenues of approximately $1,660 million.
Professional services and other revenues for fiscal 2027 are expected to be between $545 million and $560 million.
Adjusted EPS for fiscal 2027 is expected to be approximately $8.85. The Zacks Consensus Estimate is pegged at $8.50.
Our Take on Veeva Systems’ Q4 Results
Veeva Systems exited the fourth quarter of fiscal 2026 with better-than-expected results, wherein both earnings and revenues beat the Zacks Consensus Estimate. The uptick in both top and bottom lines and robust performance by the Subscription services segment during the quarter were impressive. The uptick in Professional services and others’ revenues also bodes well.
Veeva Systems closed fiscal 2026 with strong momentum, delivering fourth-quarter results ahead of expectations marked by deepening partnerships and expansion with both new and existing customers. The company ended the year with a total of 1,552 customers, including 1,196 in Veeva R&D and Quality Solutions and 767 in Veeva Commercial Solutions. Strong customer success and product innovation helped VEEV achieve a $3 billion revenue run rate in early 2025. Looking forward, solid business momentum and continued operational discipline reinforce management’s confidence in achieving the company’s $6 billion revenue run-rate objective by 2030.
During the quarter, VEEV built deeply integrated, industry-specific AI capabilities across its platforms. With core systems of record embedded in critical life sciences workflows, the company believes it is uniquely positioned to deliver high-value AI that combines specialized datasets, sophisticated logic, deep process integration and safeguards while maintaining compliance and strong data integrity. Following the December launch of its first Veeva AI Agents supporting CRM and commercial content, several customers have gone live, while additional projects are underway. Management noted that more AI agents across its key application areas remain on track for release throughout 2026.
Veeva Development Cloud and Quality Cloud secured several top-20 biopharma wins during the quarter, including a major selection of Veeva RTSM as an enterprise standard. Safety momentum continued to gain traction with the sixth top-20 customer win and the first top-20 biopharma going live on Workbench and Signal. Veeva LIMS advanced toward its first top-20 biopharma go-live across two manufacturing sites expected in 2026.
The company continued to expand the adoption of its next-generation Vault CRM. More than 125 customers are now live, including two top-20 biopharmas across major markets, while 10 of the top-20 global biopharma companies have already committed to the platform. Management expects this number to rise by advancing its commercial strategy. Crossix also delivered strong momentum during the year across its Measurement and Audience solutions, further strengthening Veeva Systems’ commercial data and analytics capabilities.
VEEV’s Zacks Rank & Stocks to Consider
VEEV carries a Zacks Rank #4 (Sell) at present.
Some better-ranked stocks from the broader medical space are Intuitive Surgical (ISRG - Free Report) , AngioDynamics (ANGO - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Intuitive Surgical, currently sporting a Zacks Rank #1 (Strong Buy), reported fourth-quarter 2025 adjusted earnings per share (EPS) of $2.53, beating the Zacks Consensus Estimate by 12.4%. Revenues of $2.87 billion surpassed the Zacks Consensus Estimate by 4.7%. You can see the complete list of today’s Zacks #1 Rank stocks here.
ISRG has an estimated long-term earnings growth rate of 15.7% compared with the industry’s 14% rise. The company beat earnings estimates in the trailing four quarters, the average surprise being 13.2%.
AngioDynamics, sporting a Zacks Rank #1 at present, reported breakeven adjusted EPS for second-quarter fiscal 2026, surpassing the Zacks Consensus Estimate by 100%. Revenues of $79.4 million topped the Zacks Consensus Estimate by 4.5%.
ANGO has an estimated earnings growth rate of 59.3% for 2027 compared with the industry’s 17.1% rise. ANGO’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 82.1%.
Phibro Animal Health, currently sporting a Zacks Rank #1, reported second-quarter 2025 adjusted EPS of 87 cents, which surpassed the Zacks Consensus Estimate by 26.1%. Revenues of $373.9 million beat the Zacks Consensus Estimate by 4.7%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12.6% rise. The company beat earnings estimates in the trailing four quarters, the average surprise being 20.1%.
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Veeva Systems' Stock Up After Q4 Earnings & Revenues Beat Estimates
Key Takeaways
Veeva Systems, Inc. (VEEV - Free Report) reported adjusted earnings per share (EPS) of $2.06 for the fourth quarter of fiscal 2026, which increased 18.4% from the year-ago figure of $1.74. Adjusted EPS beat the Zacks Consensus Estimate by 7.3%.
GAAP EPS in the fiscal fourth quarter was $1.45, up 22.9% from the year-ago period’s $1.18.
VEEV’s Q4 Revenue Details
In the quarter under review, the company’s revenues totaled $836 million, beating the Zacks Consensus Estimate by 3.4%. On a year-over-year basis, the top line improved 16%.
Shares of the company gained 11.3% in yesterday’s after-market trading. The stock lost 31% in the past six months compared with the industry’s decline of 34.8%. However, the S&P 500 Index has increased 6.4% in the same time frame.
Image Source: Zacks Investment Research
The fiscal fourth-quarter top line was driven by Veeva Systems’ robust segmental performance.
VEEV’s FY26 Results
For fiscal 2026, VEEV registered total sales of $3.19 billion, up 16% year over year.
The company reported adjusted EPS of $8.10 for fiscal 2026, up 22.7% compared with fiscal 2025.
Segmental Analysis of VEEV
Veeva Systems derives revenues from two operating segments: Subscription services, and Professional services and other.
In the fiscal fourth quarter, Subscription services revenues improved 16% from the year-ago quarter to $707.7 million. Per management, this uptick was driven by both its established and newer solutions.
Professional services and other revenues increased 14.1% year over year to $128.2 million.
Q4 Margin Performance by VEEV
In the quarter under review, Veeva Systems’ gross profit improved 15.3% year over year to $622.5 million. The gross margin contracted 40 basis points (bps) to 74.5%.
Sales and marketing expenses increased 11.1% year over year to $110.2 million. Research and development (R&D) expenses rose 9.5% year over year to $198.8 million, while general and administrative expenses decreased 4.4% year over year to $67.6 million. Total operating expenses of $376.6 million increased 7.1% year over year.
Operating profit totaled $245.9 million, which increased 30.5% from the prior-year quarter. The operating margin in the fiscal fourth quarter expanded 330 bps to 29.4%.
Veeva Systems Inc. Price, Consensus and EPS Surprise
Veeva Systems Inc. price-consensus-eps-surprise-chart | Veeva Systems Inc. Quote
VEEV’s Financial Position
The company exited fourth-quarter fiscal 2026 with cash and cash equivalents and short-term investments of $6.56 billion compared with $6.64 billion at the fiscal third-quarter end.
Cumulative net cash provided by operating activities at the end of the quarter was $1.42 billion compared with $1.09 billion a year ago.
Q1 & FY27 Guidance Provided by VEEV
Veeva Systems has issued its financial outlook for the first quarter and full-year fiscal 2027.
For the fiscal first quarter, the company expects total revenues between $855 million and $858 million. The Zacks Consensus Estimate is currently pegged at $845.4 million.
Subscription revenues are estimated to be approximately $720 million, and the same for Professional services and other is expected to be in the range of $135-$138 million for the fiscal first quarter.
For the fiscal first quarter, adjusted EPS is anticipated between $2.13 and $2.14. The Zacks Consensus Estimate is pegged at $2.03.
Veeva Systems expects revenues for fiscal 2027 between $3,585 million and $3,600 million. The Zacks Consensus Estimate is currently pegged at $3.54 billion.
For fiscal 2027, Subscription revenues are expected to be approximately $3,040 million. This consists of Commercial Solutions’ subscription revenues of around $1,380 million and R&D Solutions’ subscription revenues of approximately $1,660 million.
Professional services and other revenues for fiscal 2027 are expected to be between $545 million and $560 million.
Adjusted EPS for fiscal 2027 is expected to be approximately $8.85. The Zacks Consensus Estimate is pegged at $8.50.
Our Take on Veeva Systems’ Q4 Results
Veeva Systems exited the fourth quarter of fiscal 2026 with better-than-expected results, wherein both earnings and revenues beat the Zacks Consensus Estimate. The uptick in both top and bottom lines and robust performance by the Subscription services segment during the quarter were impressive. The uptick in Professional services and others’ revenues also bodes well.
Veeva Systems closed fiscal 2026 with strong momentum, delivering fourth-quarter results ahead of expectations marked by deepening partnerships and expansion with both new and existing customers. The company ended the year with a total of 1,552 customers, including 1,196 in Veeva R&D and Quality Solutions and 767 in Veeva Commercial Solutions. Strong customer success and product innovation helped VEEV achieve a $3 billion revenue run rate in early 2025. Looking forward, solid business momentum and continued operational discipline reinforce management’s confidence in achieving the company’s $6 billion revenue run-rate objective by 2030.
During the quarter, VEEV built deeply integrated, industry-specific AI capabilities across its platforms. With core systems of record embedded in critical life sciences workflows, the company believes it is uniquely positioned to deliver high-value AI that combines specialized datasets, sophisticated logic, deep process integration and safeguards while maintaining compliance and strong data integrity. Following the December launch of its first Veeva AI Agents supporting CRM and commercial content, several customers have gone live, while additional projects are underway. Management noted that more AI agents across its key application areas remain on track for release throughout 2026.
Veeva Development Cloud and Quality Cloud secured several top-20 biopharma wins during the quarter, including a major selection of Veeva RTSM as an enterprise standard. Safety momentum continued to gain traction with the sixth top-20 customer win and the first top-20 biopharma going live on Workbench and Signal. Veeva LIMS advanced toward its first top-20 biopharma go-live across two manufacturing sites expected in 2026.
The company continued to expand the adoption of its next-generation Vault CRM. More than 125 customers are now live, including two top-20 biopharmas across major markets, while 10 of the top-20 global biopharma companies have already committed to the platform. Management expects this number to rise by advancing its commercial strategy. Crossix also delivered strong momentum during the year across its Measurement and Audience solutions, further strengthening Veeva Systems’ commercial data and analytics capabilities.
VEEV’s Zacks Rank & Stocks to Consider
VEEV carries a Zacks Rank #4 (Sell) at present.
Some better-ranked stocks from the broader medical space are Intuitive Surgical (ISRG - Free Report) , AngioDynamics (ANGO - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Intuitive Surgical, currently sporting a Zacks Rank #1 (Strong Buy), reported fourth-quarter 2025 adjusted earnings per share (EPS) of $2.53, beating the Zacks Consensus Estimate by 12.4%. Revenues of $2.87 billion surpassed the Zacks Consensus Estimate by 4.7%. You can see the complete list of today’s Zacks #1 Rank stocks here.
ISRG has an estimated long-term earnings growth rate of 15.7% compared with the industry’s 14% rise. The company beat earnings estimates in the trailing four quarters, the average surprise being 13.2%.
AngioDynamics, sporting a Zacks Rank #1 at present, reported breakeven adjusted EPS for second-quarter fiscal 2026, surpassing the Zacks Consensus Estimate by 100%. Revenues of $79.4 million topped the Zacks Consensus Estimate by 4.5%.
ANGO has an estimated earnings growth rate of 59.3% for 2027 compared with the industry’s 17.1% rise. ANGO’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 82.1%.
Phibro Animal Health, currently sporting a Zacks Rank #1, reported second-quarter 2025 adjusted EPS of 87 cents, which surpassed the Zacks Consensus Estimate by 26.1%. Revenues of $373.9 million beat the Zacks Consensus Estimate by 4.7%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12.6% rise. The company beat earnings estimates in the trailing four quarters, the average surprise being 20.1%.