Press Release: Docebo Reports Second Quarter 2025 Results

Dow Jones08-08
TORONTO--(BUSINESS WIRE)--August 08, 2025-- 

Docebo Inc. (NASDAQ: DCBO; TSX:DCBO) ("Docebo" or the "Company"), a leading learning platform provider with a foundation in artificial intelligence (AI) and innovation, announced financial results for the three and six months ended June 30, 2025. All amounts are expressed in US dollars unless otherwise stated.

"Docebo delivered a solid quarter, outperforming our guidance on both revenue and profitability while maintaining disciplined execution in a still-uncertain macro environment," said Alessio Artuffo, President & CEO of Docebo. "We continue to invest with focus--advancing our AI-first strategy, strengthening our leadership team with the appointment of Mark Kosglow as Chief Revenue Officer, and achieving FedRAMP Moderate Authorization to expand our public sector reach. These milestones position us well to support our customers' evolving needs and to drive durable, long-term growth."

Second Quarter 2025 Financial Highlights

   --  Subscription revenue of $57.1 million, an increase of 15% from the 
      comparative period in the prior year, represented 94% of total revenue. 
 
 
   --  Subscription revenue increased by 13% after adjusting for the positive 
      impact of approximately 2 percentage points resulting from the weakening 
      of the U.S. dollar relative to foreign currencies. 
 
   --  Total revenue of $60.7 million, an increase of 14% from the comparative 
      period in the prior year. 
 
   --  Total revenue increased by 13% after adjusting for the positive impact 
      of approximately 1 percentage point given the weakening of the U.S. 
      dollar relative to foreign currencies. 
 
   --  Gross profit of $49.1 million, an increase of 15% from the comparative 
      period in the prior year, represented 80.9% of revenue compared to 80.7% 
      of revenue for the comparative period in the prior year. 
 
   --  Net income of $3.1 million, or $0.10 per share, compared to net income 
      of $4.7 million, or $0.15 per share for the comparative period in the 
      prior year. 
 
   --  Adjusted Net Income1 of $8.9 million, or Adjusted Earnings per share of 
      $0.30, compared to Adjusted Net Income of $7.9 million, or Adjusted 
      Earnings per share of $0.26 for the comparative period in the prior 
      year. 
 
   --  As at June 30, 2025, ARR was $233.1 million, an increase of $27.2 
      million from $205.9 million as at the end of the second quarter of 2024. 
 
 
   --  Adjusted EBITDA1 of $9.2 million, representing 15.2% of total revenue, 
      compared to $8.0 million, representing 15.0% of total revenue, for the 
      comparative period in the prior year. 
 
   --  Cash flow from operating activities of $6.2 million, compared to $6.8 
      million for the comparative period in the prior year. 
 
   --  Free Cash Flow1 of $11.4 million, representing 18.7% of total revenue 
      for the three months ended June 30, 2025, compared to $8.4 million, 
      representing 15.9% of total revenue, for the comparative period in the 
      prior year. 

Second Quarter 2025 Customer Updates

   --  Notable new customer wins include a large cross-sell within a Big 5 
      US-based global technology leader replacing an internally developed 
      system to support a Customer and Engineer training use case. 
 
   --  Founded in 1904, Big Brothers Big Sisters of America $(BBBS)$ is the 
      nation's oldest and largest one-to-one youth mentoring organization, 
      supporting 400,000 volunteers and youth across 300+ U.S. affiliate 
      offices. In replacing its legacy LMS, BBBS chose Docebo for its 
      configurability and ability to support complex audience segmentation. The 
      upgrade focused on delivering a better user experience, tech stack 
      integration, and stronger analytics to measure onboarding effectiveness. 
 
 
   --  A global leader in education solutions--supporting millions of learners 
      and educators across K--12, higher education, and professional 
      development in more than 80 languages--selected Docebo to replace its 
      legacy LMS and bring greater flexibility to its learning strategy. Key 
      factors in the decision included Docebo's real-time analytics, ease of 
      integration across a complex tech stack, and ability to support a range 
      of Employee and Customer Experience use cases, including Sales Enablement, 
      Customer Support, Onboarding, Professional Development, and Leadership 
      Training. 
 
   --  A North American based leading men's fashion retailer selected Docebo 
      to power its Sales Enablement programs across its retail network. With 
      products manufactured in more than a dozen countries and sold through 
      several distinct retail chains, they chose Docebo for our ability to 
      deliver scalable, customized learning experiences tailored to each 
      brand. 
 
   --  Docebo's Government Sales team secured two new state-level wins for 
      Employee Experience use cases, in partnership with our systems integrator 
      partners in Connecticut and Utah, and an upsell with an existing 
      department in Kentucky. 
 
   --  At the end of May, Docebo was named one of Newsweek's 2025 Top 100 
      Global Most Loved Workplaces$(R)$--a recognition earned through the 
      commitment and values of our global team. This distinction reflects a 
      culture rooted in collaboration, continuous growth, and shared 
      purpose--key drivers of our ability to innovate, serve our customers, and 
      execute with agility. 
 
(1) Please refer to "Non-IFRS Measures and Reconciliation of Non-IFRS 
Measures" section of this press release. 
 

Financial Outlook

Docebo is providing financial guidance for the three months ended September 30, 2025 as follows:

   --  Total revenue between $61.0 million and $61.2 million 
 
   --  Adjusted EBITDA as a percentage of total revenue between 19.0% to 
      19.5% 

Management expects subscription revenue to be in line with total revenue growth.

Docebo is revising financial guidance for the fiscal year ended December 31, 2025 as follows:

   --  Subscription revenue growth of 10.75% to 11.75% 
 
   --  Total revenue growth between 10.0% to 11.0% 
 
   --  Adjusted EBITDA as a percentage of total revenue of between 17.0% to 
      18.0% 

The information in this section is forward-looking. Please see the sections entitled "Non-IFRS Measures and Reconciliation of Non-IFRS Measures" and "Key Performance Indicators" in this press release for how we define "Adjusted EBITDA" and the section entitled "Forward-Looking Information." A reconciliation of forward-looking "Adjusted EBITDA" to the most directly comparable IFRS measure is not available without unreasonable effort, as certain items cannot be reasonably predicted because of their high variability, complexity and low visibility. Docebo believes that this type of guidance provides useful insight into the anticipated performance of its business.

 
Second Quarter 2025 Results 
Selected Financial Measures 
                        Three months ended June 30,                    Six months ended June 30, 
                  2025        2024      Change   Change         2025         2024      Change   Change 
                     $           $           $        %            $            $           $        % 
                ------      ------      ------   ------      -------      -------      ------   ------ 
Subscription 
 Revenue (in 
 thousands of 
 US dollars)    57,066      49,821       7,245     14.5%     111,249       97,711      13,538     13.9% 
Professional 
 Services (in 
 thousands of 
 US dollars)     3,666       3,233         433     13.4%       6,779        6,746          33      0.5% 
                ------      ------      ------   ------      -------      -------      ------   ------ 
Total Revenue 
 (in thousands 
 of US 
 dollars)       60,732      53,054       7,678     14.5%     118,028      104,457      13,571     13.0% 
                ------      ------      ------   ------      -------      -------      ------   ------ 
 
Gross Profit 
 (in thousands 
 of US 
 dollars)       49,148      42,797       6,351     14.8%      95,049       84,274      10,775     12.8% 
Percentage of 
 Total 
 Revenue          80.9%       80.7%                             80.5%        80.7% 
 
Net Income (in 
 thousands of 
 US dollars)     3,076       4,698      (1,622)   (34.5)%      4,550        9,867      (5,317)   (53.9)% 
Earnings per 
 Share - 
 Basic            0.10        0.15       (0.05)   (33.3)%       0.15         0.33       (0.18)   (54.5)% 
Earnings per 
 Share - 
 Diluted          0.10        0.15       (0.05)   (33.3)%       0.15         0.32       (0.17)   (53.1)% 
 
Cash Provided 
 by Operating 
 Activities 
 (in thousands 
 of US 
 dollars)        6,244       6,761        (517)    (7.6)%     14,189       15,187        (998)    (6.6)% 
 
 
Key Performance Indicators and Non-IFRS Measures 
                                                 As at June 30, 
                                         2025   2024  Change    Change % 
                                        -----  -----  ------  ---------- 
Annual Recurring Revenue (in millions 
 of US dollars)                         233.1  205.9    27.2    13.2% 
Average Contract Value (in thousands 
 of US dollars)                          58.9   52.8     6.1    11.6% 
 
 
                    Three months ended June 30,             Six months ended June 30, 
                  2025    2024   Change   Change        2025     2024   Change   Change 
                     $       $        $        %           $        $        $        % 
                ------   -----  -------   ------      ------   ------  -------   ------ 
Adjusted 
 EBITDA (in 
 thousands of 
 US dollars)     9,225   7,954    1,271     16.0%     18,146   15,421    2,725     17.7% 
Adjusted Net 
 Income (in 
 thousands of 
 US dollars)     8,914   7,929      985     12.4%     17,409   15,203    2,206     14.5% 
Adjusted 
 Earnings per 
 Share - 

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August 08, 2025 06:00 ET (10:00 GMT)

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