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Here's What Key Metrics Tell Us About Veeva (VEEV) Q3 Earnings

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For the quarter ended October 2023, Veeva Systems (VEEV - Free Report) reported revenue of $616.51 million, up 11.6% over the same period last year. EPS came in at $1.34, compared to $1.13 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $615.88 million, representing a surprise of +0.10%. The company delivered an EPS surprise of +4.69%, with the consensus EPS estimate being $1.28.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Veeva performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Non-GAAP Gross Margin- Subscription services: 85.5% compared to the 85.4% average estimate based on seven analysts.
  • Non-GAAP Gross Margin- Professional Services and other: 34.1% compared to the 30.7% average estimate based on six analysts.
  • Revenues- Subscription services: $494.91 million versus the 11-analyst average estimate of $493.70 million. The reported number represents a year-over-year change of +12.1%.
  • Revenues- Professional services and other: $121.59 million versus the 11-analyst average estimate of $122.08 million. The reported number represents a year-over-year change of +9.8%.
  • Revenues- Professional services and other- Veeva R&D Solutions: $73.69 million versus the six-analyst average estimate of $74.31 million.
  • Revenues- Subscription services- Veeva R&D Solutions: $243.75 million compared to the $245.20 million average estimate based on six analysts.
  • Revenues- Subscription services- Veeva Commercial Solutions: $251.17 million compared to the $247.78 million average estimate based on six analysts.
  • Revenues- Professional services and other- Veeva Commercial Solutions: $47.90 million versus the six-analyst average estimate of $48.47 million.
View all Key Company Metrics for Veeva here>>>

Shares of Veeva have returned -8.3% over the past month versus the Zacks S&P 500 composite's +5.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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