DOCUSIGN, INC. has recently released its 10-Q report. DocuSign provides electronic signature and agreement-management software in the U.S. and abroad, centered on its AI-powered intelligent agreement management platform, e-signature tools, and contract lifecycle management products. The company also offers document generation, signer identification, standards-based signatures, remote online notarization, web forms, and real estate transaction tools, and it sells through direct sales, partners, and digital self-service.
Management’s discussion and analysis
DocuSign said its fiscal year ends Jan. 31 and framed the quarter around three priorities: expanding IAM into an end-to-end platform, extending its AI and data capabilities, and broadening routes to market. As of July 31, 2026, the company said more than 1.9 million customers and more than 1 billion users worldwide were using its products, up from over 1.7 million customers and over 271,000 direct customers a year earlier.
Subscription revenue remained the main engine, accounting for 98% of revenue in both the three and six-month periods ended July 31, 2026 and 2025. DocuSign said subscriptions are generally sold on one to three-year terms, with substantially all multi-year customers paying annually in advance.
For the second quarter, revenue rose to $875.7 million from $800.6 million a year earlier. For the first six months, revenue increased to $1.706 billion from $1.564 billion. Total costs and expenses were $758.1 million in the quarter versus $735.4 million, and $1.477 billion year to date versus $1.439 billion.
Operating income improved to $117.6 million from $65.2 million in the quarter, while six-month operating income rose to $228.9 million from $125.5 million. Net income was $77.7 million in the quarter, up from $63.0 million, and $155.9 million for the first half, compared with $135.1 million a year earlier.
Stock-based compensation expense declined to $148.6 million in the quarter from $160.5 million, and to $290.0 million for the six months from $306.1 million. Cash provided by operating activities increased to $334.5 million in the quarter from $246.1 million, and to $656.2 million for the six months from $497.5 million.
Capital spending also increased. Purchases of property and equipment were $38.8 million in the quarter, up from $28.4 million, and $71.0 million for the first six months, up from $52.0 million. Cash, cash equivalents, restricted cash and investments totaled $990.4 million at July 31, 2026.
International revenue grew 17% in the first six months of fiscal 2027, and represented 31% of total revenue in both the three* and six-month periods, compared with 29% a year earlier. DocuSign said it has been expanding beyond English-speaking common-law markets into civil-law jurisdictions, including support for standards-based signatures in Europe under eIDAS rules.
The company said it had 1,296 customers with more than $300,000 in annualized contract value as of July 31, 2026, up from 1,137 a year earlier. It also said it had more than 1,100 active partner integrations, and that no single customer accounted for more than 10% of total revenue in any period presented. Following these announcements, the company's shares moved 3.7%, and are now trading at a price of $68.41. If you want to know more, read the company's complete 10-Q report here.
