By Denny Jacob
DocuSign Inc. shares rose in after-hours trading Thursday after the company issued third-quarter guidance and raised its fiscal 2023 outlook following better-than-expected results in the latest quarter.
Shares were up 18% after closing at $57.95. For the year, the shares have lost about 62%.
The e-signature software maker expects between $2.41 billion and $2.42 billion in subscription revenue and between $2.55 billion and $2.57 billion in billings for the year ending Jan. 31. It previously forecast $2.39 billion to $2.41 billion in subscription revenue and $2.52 billion to $2.54 billion in billings.
DocuSign maintained its outlook of $2.47 billion to $2.48 billion in revenue for fiscal 2023.
In the third quarter, the San Francisco-based company expects $624 million to $628 million in revenue, between $609 million and $613 million in subscription revenue and between $584 million and $594 million in billings. Analysts polled by FactSet expected $625.4 million in revenue, $607.1 million in subscription revenue and $593.4 million in billings.
The company has a stronger foundation in place to deliver in the second half of the year, said interim Chief Executive Maggie Wilderotter.
The raised guidance comes after the company posted better-than-expected results in the latest quarter, with revenue at $622.2 million, above DocuSign’s guidance of $600 million to $604 million and expectations of analysts polled by FactSet at $602.2 million.
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