Veeva Systems (VEEV) 28 Aug 242025 Q2 Earnings call transcript

Company Profile

Participants

Gunnar Hansen	executive
Peter Gassner	executive
Joseph Vruwink	analyst
Paul Shawah	executive
Saket Kalia	analyst
Timothy Cabral	executive
Hoi-Fung Wong	analyst
Brian Peterson	analyst
Rishi Jaluria	analyst
Tyler Radke	analyst
Stanislav Berenshteyn	analyst
Brent Bracelin	analyst
Dylan Becker	analyst
Jack Wallace	analyst
Carolyn Valenti	analyst
Craig Hettenbach	analyst
Ryan MacDonald	analyst
Charles Rhyee	analyst
David Larsen	analyst

Call transcript

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, good afternoon. My name is Christa, and I will be your conference operator today. At this time, I would like to welcome everyone to the Veeva Systems Fiscal 2025 Second Quarter Results Conference Call. [Operator Instructions] I will now turn the call over to Gunnar Hansen, Director of Investor Relations.

You may begin.

Gunnar Hansen

to the XXXX XXXX. quarter welcome conference quarter and for call ended afternoon, Veeva's second fiscal earnings Good July XX,

a p.m. prepared website posted chance to you reminder, Veeva's before a As Relations the them Investor call. have remarks had just today. Pacific on X read We hope after we

Interim Peter Strategy; used Executive Officer; Chief be will With and call our Cabral, for Q&A. Officer. me Shawah, Gassner, EVP, Chief today Today's primarily for Tim our Q&A Financial are Paul

may statements forward-looking we our trends, of the current business, and are expectations call, will financial regarding views strategies this During statements and uncertainties. our subject make the regarding performance based forward-looking results. anticipated on to These and and be various including future guidance risks

materially. risks recent most may to and refer release earnings results listed our on risk actual factors in the the Form XX-Q. Our differ included in filing our Please

public but being any discuss XXXX, our or call information. to of If after statements contain statements. call will may as replayed or the forward-looking information to today, made forum. today's today, the quarter our during we performance so available accurate further provide call, a or Veeva guidance do update current facts not made revise the not viewed the XX, are guidance in presented August us call We on or is during the during may on on disclaims obligation this any Forward-looking any updates we today. unless based

reconciliation available today's both supplemental and GAAP can website. presentation, the the of we results. understanding metrics our believe our comparable that we investor which aid measures certain A the discuss in of in earnings are non-GAAP found On in on financial be release call, may to

to With that, us, call joining for I'll over and thank the Peter. turn you

Peter Gassner

$XXX income results million Gunnar, our the non-GAAP quarter operating was welcome, QX Total $XXX quarter a the with everyone, revenue million. guidance. call. to Thank of with was above you, and in strong

to key an in strategic all major the clinical Site Thanks with This suite. advanced included new and the the important of streamline areas of in and Veeva expansions trials wins. release to first product release we Service Center team, CRM customer Connect

our are We have executing on clear strategy product and well vision. a

call We'll open questions. the up to your now

Operator

from Instructions] first Baird. Joe line of Your [Operator question comes with the Robert Vruwink

Joseph Vruwink

Great.

I CRM interesting, quarters. think X has picked for it's of the cadence core wins up now

course, Vault. all a to CRM quarter Veeva. And the on backwards, migrate Of actually to the was you even think decision than winning more basis I looking made you're did before CRM last quarterly was

customers commitment. comfortable seems So this clearly, making are it

just a applications I wanted related solution, Center marketing guess road ask and map I to to the proven other this decisions? register starting to Veeva, automation of like in might be is the of and product much than and things how comfort Service because set

when related customer more adopting enterprise or full to about do think across the being vision to suite customer might up And you that, a a maybe areas, Veeva? that then ends the customer think SMB for an you have an enticing around X

Paul Shawah

this Joe, the question. for Paul. Thanks is

quarter. we're strong became in exclusively Vault the It's very April. selling We generally had You're what right. -- another We market. CRM into available

In XX the had quarter, we wins.

CRM we're think virtually deal. winning I every

of winning feels of competitors it winning not them, never we're that any like know all to you're know certainly we're but deals all we're in. You if certainly We losing them. competing

about our good there. really feel execution we So

is them and those I most a Center, as they deliver to is -- absolutely often company. and the Your of This today. Manager, of Campaign going their want vision, something early part a they playing a important And part it's think it's overall direction. Service that yes, customers, broader question know about the moment vision the work for continued

with. the also efficient on same and very sales all And they a for way, marketing in platform. launching more can grow Campaign technology different their of simple and doing actually Manager want that a and Service service preparing medical their But Center together and way medicine. bringing stack, launch a they They're that something very and

So executing well. we're product a from that big that. certainly playing a component a And standpoint. and is of vision migration well We're then executing perspective from

taking So of customers are notice that.

pleased So with yes, I'm our progress.

Joseph Vruwink

progress, great with That's obviously mentioned coming adoption path the wins, just I around core quarter, but AI to Okay. here summit data you both newer their this And then have ask, hear. wanted system a APIs. forward studying is customers even R&D been since to good the bulk also with up,

where are would approaching be where out clarity summit of a Or R&D? in does serve as you I coming maybe terms anticipate an event just more maybe could actually forum customers guess questions how address 'XX help provides and will the obviously, at can R&D? it another, one visibility speak and fiscal into your with Veeva customers decisions because and and more just educate expectations year-end maybe into this

Peter Gassner

our summit is Yes. is boost. always a I I'll one. visual take that like for Peter. This have The

gives our and and to your you faster. You're that they a dad and learn they boost. go And learn. customers you refine. and to push on talk and like our we and customers we a And forward customers, our It's us because bicycle, talk we

So to that. way that's need about the I think think you

the order with do Now leverage best applications, Veeva how of Veeva applications, do all to AI new that the data. to relates What Veeva to Veeva types to what the how things. applications,

has R&D probably It's about we're bigger have be nothing we impactful just been. ever it Summit. than more So that -- it's this been will because than special it

Operator

the comes Kalia next line Barclays. Your of with from Saket question

Saket Kalia

job just gains XX going maybe Maybe of some have CDMS? the little we Nice how some Great. the tool, those touch share Vault sort to about sort that Peter, the ramps continued quarter. for pipeline Okay. in and with latest on market. of pharmas Can we how a touch of adopted are maybe that just with top of you. bit the on start could talk looks on with the

Peter Gassner

actually what the they XX a fast have that's well. Great we adopt. schedule, ramp adoption, on time, that they fixed the ramps based goes really on. a based efficacy top sell -- The we focus question. CDMS, on I not schedule When on going large how are

want arrange them So even is it's the to get anyway. financial we run. to we're not for good. short always they their that, a run [indiscernible] the full a fair full feel win we before and and customer, when what in We're for adoption And ramp. the long That's get for we it

using think So on positive the of No adoption the would I system. The couple negative is say user is good, a good. good. site from interface of than in realization expected value experience feedback fact, I site is areas. quite feedback quite in sites, better our the

very people where of data studies EDC. then of And clinical building custom cleaning, our our less terms using that's programming, CDD product, the the most those large using sponsors, customers products savings our conjunction less are errors. feedback, good cost faster, data products for data together. And database our when are significant in in something with cleaning Certainly in the in

So And they're site, actually data that with out responding. our work finding data intervention our be They're that able site the to is than query capabilities CDB product. human to manual anomalies the through rather science might CDB CDB product automatically closing the reduce there. in automatically, sending

going that's quite So well.

share. market gain to continue will we think I

Our of a with pipeline talking very healthy. the number in companies is There's us. in enterprises top healthy, XX

their when on. they so they and at They strategic have exactly to know can business they strategic once. what make priorities all going can much going decision depends -- make never You have only on they're else it change a make because

I we organizations. research would say where is more area the progress to make like would in clinical

we'll would where progress. we will not make think large we there get the in particularly to organizations, time. It's I but like research yet over but -- there, it clinical

that guess like clinical sometimes last product when EDC do and data That's CTMS the have take I operations intricate like think means of integration. that no we to And work. advantage products difficult value comment, do not overlook the add. care structural really Veeva have me, and That's my that management clinical That that. eTMF. we customers want I believe a people can

So area. the EDC things well going are in

Saket Kalia

on sort CRM. see Does businesses this sense? great profile tied you commercial, to go touch aren't year. Great for Basically, what guide hear. and non-CRM that maybe part of maybe called of for growth of Can that make great. for maybe commercial Veeva just the my Tim, the to size you. right? we've those follow-up revenue That's for up That's subscription to the

Timothy Cabral

it Yes, does.

look the non-CRM, overall And of at commercial using Saket, the is probably we business, that. the words, As XX% the other are CRM your suite XX%.

imagine While the suite. well, you question the CRM as heard non-CRM that you doing the the is CRM quite business, that Paul suite core of faster growing than first part can call, the answer is much on

with perspective. pleased and both the our a and continued from from the an perspective success innovation business that making, commercial progress very of customer So we're performance

Operator

line Your of next with Wong Oppenheimer. the from Ken question comes

Hoi-Fung Wong

Great. Fantastic.

think subscription I on investors realize Tim. Can like you, trimmed what's kind through like. always going ago. of guys line? help You The you quarter trends first for R&D the linear question a us it demand we aren't with

You you back relative X what confidence? that a Like bumped it gives to guys up. ago months changed renewed

Timothy Cabral

second moving Yes. talked the can that year. last deals What we're right. you And imagine, to about getting later Look, as specific into the pipeline. visibility some we're days larger half XX in quarter better we're the we was

today, think with continue to productive we And really customers. those build I conversations

subs the or through move input just revenue the for we today, in was days ago, year. cycles than And better R&D customers. with to did XX increase continue modest good sales -- informed We which have to visibility those we Ken, a

Hoi-Fung Wong

Got or just wins, Paul, a it. customers, Perfect. fantastic then CRM XX that's circling back outcome. Vault the And Peter to

in of of of will in timeline. So release migrate? release version to when impact of on next timeline? guess mentioned also deployment an You I Vault reason fall would CRM customers kind start is delay somehow Any your to then the a short, the and like migration think that next will that that have Vault QX CRM

Paul Shawah

full then Yes. it we're next excited release and first, the to Yes, as calling the gets functionality what about so we're us more.

everything have plus that Vault like CRM CRM that's CRM some we'll built content opportunity management we've Vault functionality like have will to better in. integration, in additional Veeva unique So delivered

of to to CRM road between map. CRM and going that a Vault increase time continue over Veeva lot And new capabilities. with that distance We're have will

that it any have Now -- how timeline. have impact customers not on their should about migration not think will

Vault anything, bit innovation happening see fact, on opportunity CRM. the want to faster. us customers all get to will it little if In of create as of for a They'll CRM Vault an

through we go thoughtful very it process, don't do their timing want -- the to want Vault they that. But that's will their customers, innovation migration. right? them they're help adding they through about for they're So timing in with get certainly and a own that to to appropriate I And

Operator

comes Peterson with question next from the of Raymond James. Your line Brian

Brian Peterson

the I'll on keep to quarter. Congrats one. it

next the Center success how would we're I that years, market? curious, way there, I'm of see contribution about launch. the have to revenue contributions define things good obviously, over know As the you but that versus you rank So few Service days stack in early it's in any kind that offer? other to thinking

Paul Shawah

question about speed. really, thanks that delivering there, last we something excited that generally Brian, product executed It's I'm well. with the proud the now, that for release. available Yes, year, of we're for on and we and team announced really

This be available of at we've products. is us, those Patient. a We're across new of and on product executing Campaign the like X end Manager year. Campaign to announced for Manager's the all just well track

guess I but new and of go that kind think Vault CRM, Campaign products all the are product, Center, you I just we've product about the announced I'd CRM. way Manager won't them, since X of the Service those by Patient combine sizing, if

core as it will of as that CRM, I roughly play the certainly and same size out. think opportunity

to up has for them new advantage as opportunity Obviously, to CRM, be move that And customer will But out of our those to CRM new that take of open on customers advantage Vault products. time. take over opportunity it will Vault a to innovation. play

Operator

line next RBC of comes question Jaluria Capital from Your the Rishi Markets. with

Rishi Jaluria

X. got I've

traction the First, remarks, maybe what the with cases you about partner you Can AI are early you've talked of Peter, program. in the use of some your talk seen some so about prepared seeing you're far?

the which that as the use even own see is in get quick start then there have early out point and I've And cases maybe flexibility And maybe got some may a platform? built you plans to to and inform you some see your accelerate these gen integrating of road of into map terms at internal a some maybe follow-up. AI philosophically, adoption,

Peter Gassner

commercial with to use The science. types cases data of have in often Rishi. do Thanks,

generation, targeting, planning, So dynamic specific in can report that. things like action, doing precall And document more next like they clinical like things medical study R&D, best coding, be that. a things like or things generate

type So those use are the of cases.

point innovation thing. When like fast the weren't the accurately, know make practical That's because consumed API, And so can and data before whole cases the that that's don't you become use API practical. data transactionally the you you're be the an unleashing. direct can

-- first a innovation, way not salesforce.com thing. step it when, I and knew just good API, designing the back if I lot know. unleash going It's back mean that's you of the I don't to predictable, was the and

own internally Now disrupt customers. in really some our don't want but be success. our and own informing terms are type road the partners there of that of map, mostly to may I customer our comes especially from us monitoring We that innovation [indiscernible] of guess with thinking our having when partners, that,

holistic, that maybe guess because specifically If more map success, case is than our we and be step might would going to that we sense what reason, I customers use there's clear not major a would, need some and the yes, we're to and the But want a would ability we be in we're for tackle more would partner I ecosystem and ecosystem. guess, do road in customer that resources very generally delivering to more would something sway a have partner to own there. some respectful not

Rishi Jaluria

it. Service the of Manager or talked later here, some I adjacencies And we comes That's Center year. about in out really Campaign know Got then this Yes. terms of just helpful. and

some interest. had signs You've early early kind traction of and of

seeing have to number success is these about Maybe basis this And Center relative a with this thinking incumbent can standalone with greenfield? on advantages of early, vendors? you're generally understand, one, the we us should the be Is how you help products some that even displacement? a Service

Paul Shawah

Yes.

maybe requirement or one the product will are These with of a small new and CRM or course, companies. market. that the to, have smaller Vault a midsized customers -- in Vault net that most CRM are they is So company, starting of They're are often have customers. precommercial

those advantage with over of companies expect adopters of some the will Center. go It'll next some our to X take ones live Service we years. first earliest of the the and some So be X be to that

also. But be the Service into Manager from have will as customers mature equally for CRM. will right out the enterprise applicable but they which play That a and is the product, built create fundamentally Center the distinct Campaign value advantage large that time beginning, and over we and they're

that customer has So everything of compliance happens information. Everybody share the the that same everybody the They rules. that single consent. centricity. They means same in share same can They happens, customer about the record, that a the which view against share it's touches share content. creating team, customer They exact same customer. the

integrations much It of it's eliminates centricity. and complexity. stack. valuable It's collaboration technology a lot more handoffs creating terms of a and simpler data in customer of And and much

to SMB be So available to start of our uptake to we products expect customers. in continue the certainly these see larger but

will It's conjunction Now you very these be with CRM. asked standalone. likely used Vault use that about in

to or of significant Campaign Vault add-ons a does somebody can of as for It's will you implementation. example, -- be unlikely think that a standalone Manager. Center, them Service implementation These CRM

Operator

question the Tyler line from Citi. Your Radke of with next comes

Tyler Radke

see here beaten is particularly that and the you new weakness. if function raise better? to getting slightly of bookings strength services I'm of despite environment encouraging attribute the some the a wondering some saw you it's Peter, in

we're your I maybe bottom. would know the And see from certainly called much but the out you sciences results moving some in headwinds, I indicate quarter, about peers of life traded last macro. the publicly off anything didn't too

acceleration, that the of just by So if you've half? second project more end seen optimistic anything curious, any environment the overall about the you makes

Peter Gassner

is this Peter. Tyler,

overall [indiscernible] on days going going we XX can I other ago, macro what on. think I from have change that see the environment, is from things

quarter. performance very well strong executed related good We execution. the to So the in is

good maybe no had and luck. luck bad we some Also,

no that. quarters in the overall, some it's macro like environment and strong are think But I I execution see. change that can

Tyler Radke

helpful. follow-up for Great. a And That's Tim. maybe

pieces as you in services Just guide, piece? just walk moving I through look the at the can the

you side? CRM the talked Or I outperformed biggest the quarter, portfolio as the then commercial wins driver was the on And the from mostly that of commercial that the coming the about new it that is pieces other think of it commercial, about was raise? in guide

Timothy Cabral

Yes.

and for question. So -- thanks on Tyler, the

On delays the here, timing we meaning same side, saw the some services perspective. bit in quarter, last some service projects in the dynamics a about talked a from that we of little

saw, somewhat to they not SIs a party. thing or don't paper or is The instead on whether know decided quite we new that a third-party to it dynamic, one other that few be going which with customer we was of -- trend a directly to a had contracting the were our who third so will go directly we customers, large,

it reduction make is certainly for don't the those. talked customers we're we've in to think is revenue how service and past, and our as about a in decisions, And while supports really what which we you'll opportunity, success. fight marginal optimized that these business, see about the So we in customer try against

success on and customer about customers products deliver. to is really success value This our customer to innovation best that the enabling and realize the and move our

think that piece. those are I some the things So services informed

commercial side, guide would I increase the and same. the QX, in On one in say and the the are outperformance

While momentum increase really what CRM the we are on our Crossix area performance guide and area. core seeing outperformance certainly, continued and Tyler, in the the the was content informed commercial our piece, in progress and

-- the that are the those drove So cycle. past X in larger really in guide this the

Operator

Your Securities. with comes from next Stan question Berenshteyn Fargo Wells

Stanislav Berenshteyn

with looking walk other itself RIM prepared win for Vault top just to standardize And work how your pipeline? through multiple Could the just potentially generally, maybe pipeline on us take is suites? did think, and you CTMS. large long deal this I to remarks, biopharma in the in how a called [indiscernible] through product R&D, out XX So you pharma standardizing it

Peter Gassner

take Stan, one. that I'll

roughly it relationship opportunity information, some ago, okay, discussions, it year active, about stuff. on customer, years X information. that became I of years remember share things it think Then building, roughly with ago that going we're think really ago, that let's yes, went working more into, a when here, really type and X was I to

type the frame of those about that's time things. So of

the there And are XX, top if look you in multiple opportunities.

for example, clinical, our some So In regulatory, very don't have we've safety, In in added yet. more many In suite. quality, products. new products product products.

various are there's time. a of in of that number every and active activity So those stages

right? top might total, So XX about a total think opportunities opportunities, you hundred X you major in different that's have and of

the So to we one given there certainly it multiple just have top more time. That's XXs, one about in because not think are than active way any things at XX opportunities opportunity. these

Stanislav Berenshteyn

Helpful. Maybe strength from the election that Anything benefiting from? just wondering more incremental maybe seeing. omnichannel seeing to you're cycle? reliance related seasonally that to just Crossix just a quick there follow-up Or on the election is on call I'm by clients anything you're the if you're marketing out cycle.

Peter Gassner

wouldn't say I No, seasonal. it's

product think there a leadership. for of didn't been I market were just in well -- delivering now. increasing it's in so ROI. some quality and the out there those out while a entrants We've that some And pan and

So there's I little quality to of coming now. a back think customers bit

marketing businesses a using X having one Crossix, digital we optimization one are And audiences, audiences we -- their are in is Also, of measurement media customers have the where consumer is our other the our for audiences, campaigns. and campaigns.

something a results little And off. we've business are year, paying the audience those on focus more in the last put and is

things -- weren't the anything cyclical driver. not it's So really

Operator

from Bracelin Sandler. Brent question comes Piper next with Your

Brent Bracelin

I the quarter. it got bit XX of and like little you. change quality, a execution get R&D, top just XX the people, luck on you a question quarter margins. like curious, wins? on linky from some stronger helping driving top activity and a safety, this follow-up last feels deal Peter, looks But It One what's a

that's And this super can sort for to color just there? And vendor you why closed Tim. helpful. out follow-up deals quick of the Any resonating be quarter would a if curious point consolidation it's additional then

Peter Gassner

is I in building doing, Development reason if it's very step no timing there. we're really specifically, [indiscernible] Cloud business we're a area would say because the other back, just just There timing. you that, what durable was than

degree that that areas We of in the had we doing products. that. a where together are lots the success actually of really different out these advantage these of customers getting all and only products sit and company structural have have And customer ROIs a have we're high

can come what they're So to what's efficient, driving increased on get more return it's -- trying is investment. They that's to customers and to us just do.

and number they limited But tackle of once. all at there's change that a can things

it why to So way for they're same of We're that happens the durable very their they processes, all customer difficult change very products are somewhat the time. change consume to one have to the not long-term building at about also is because that's but franchise this all software these sticky. think

They don't out. move them

might another change." what "Hey, area. lose prioritize that's generally vendor. lose to competitors. We So this with inactivity. another The to not customer We to says, But not don't to losing particular area we're prioritizing we're generally I building. I'm want my

Brent Bracelin

And just Helpful see I seen Great the talk improvement. then, color Tim, Can a Is op And in you X shift? gross years. above XX%. biggest think margin margins, that going we've about what's that bit about It driving like were back margins should think as just that? trending how factor looks there. mix we forward? on little to follow-up the was a it highest there

Timothy Cabral

think mix revenue than for pay all shift, royalty on so more services side, the both Yes, the question. of that the non-Veeva it's I yes, gross margin CRM we combination Salesforce. other and thanks subscription don't the a revenue with Brent, products And more to

think mix margin. comes into about you So the improved both those of play as shifts gross

And with -- revenue a good. was performance quite line was while out, margin little I in the call services guidance,

the think about So efficient a Brent. And to way. team value very that continues overall you in how I service is our company, probably think deliver

of of leadership the in efficient operating seeing amount results it. our you're And are our value highly doing tremendous customers. we Peter in to team the and margin. think I deliver a that

Operator

William question with comes Dylan from Your Becker next Blair.

Dylan Becker

remarks. with here. Peter, starting the prepared you, Really in out for job nice you Maybe called Connect Site

the so more clinical on offering. could if context wondering of the we kind of some And extension get

long way past, the tool that's channels, existing about about ePRO, early clinical, should the within within solutions right we of [indiscernible] emerging thinking early, maybe there's think kind a recruitment the other how set. about But of in and it? of more runway the talked We've if

Peter Gassner

Dylan, the specifically evolution Site world. to the innovative. sites, clinical on here, because is for used Connect for it's it, doesn't I'll it. the and with their specialist software any sites it And Site side. Connect very is research new of Connect, can our product around consume our a new all Veeva take Site key by sites require release use It easy

a bunch added We've of site functionality.

So some I to think the sponsors, sites are about And the efficiency. the of So in sponsors going the to the really customers right? like site the are care they that. ways, have site

the Now use also of well it the for letter Site Connect, these distribution, in as exchange all efficiency for all safety, terms document and use cases, drives sponsor different cases.

has that Connect a interesting network Site is effect. So it

helps lot, a sponsors efficiency. actually site lot it the with It the helps their a and

network as And times, from products that at effect drag So will Veeva other start I well. along kicking it in. clinical will, think

Site about Connect. that's So

question, another it. don't and recall You follow-up have I

Dylan Becker

more other kind stage ]all No, talked think that or clinical. was -- covers It just ePRO, of the yes, around areas Connect was, solutions [ it other areas about was some I of Site it. yes, of other ECO early in the but we've around recruitment clinicals, in

Peter Gassner

Yes. RTSM. cycle, very in excited They're just their earlier on about

it especially suite. we with world-leading think solution I as integrate our a really operations we clinical there, have

in game standard the it I leader enterprise customers, large we'll customers to choose X drive just next -- Veeva's to and years, we the the RTSM, that clear have every change be really efficiency especially on trial. think we encourage use and over plans can

we there. [ lot in use That's cases And how ] is ECO are are ePRO therapeutic of specific early. depending is a on early. ePRO, And confident area RTSM. there

set So we first of something -- that's have customers. our

companies are products fine license and have enterprise ] with ePRO time. move with will just processes. to we'll forward, and over take midsized That agreements time. And them be some one improve [ just We of and companies. our Think ECO midsized product our our

Operator

comes Jack with next Your from Securities. the line Wallace Guggenheim question of

Jack Wallace

competitor ask wanted some Peter conversations strong and got outlook. and the about migration a a And coming noise on to how along. quarter made about I takeaway. a Paul, -- the Congrats are you've the that's

winning how of is hearing to new noise two, like are AI-based any out a progressing from and customers couple functionality largest other are one, way going the that they're Vault you're any sounds that's It deal And those to pick conversations I your much every be customers? guess, thinking pretty you off with there. competitors timelines? a around your

Paul Shawah

Yes. I'll with migration. start the

migration very continuing well. discussions And pretty the SMB. progress would across say to those customer So I conversations We're having that's enterprise really are our across and base. broad-based

commitments Every customer I timeline move they they expect XX to over certainly when a kind additional well. their And to are to decision of as CRM, I on when discussions commit own will going the make moving say, next top play and Vault to but would out would the XX months.

decision We're -- to when make unnatural customers want ready to not it's for right to timeline. We So we're when the doing a force well. they're extremely executing I decision anything and think them.

But I XX additional months. expect just as said, commitments some next over I the

we're executing going. how So are migrations well that that's And on of that. kind you see

migration the to some customers first of the of end also by some on track of starting some larger We're year. year but our happening small migrations with this have next

little competition, was I about the second space, what's to think your happening question bit in competitive a AI. related

I to little what's think a happening bit landscape an a step standpoint. a competitive there back take from is opportunity around maybe

up that. brought competitive did you think We takeaway. I a hear about

marketplace. sold hasn't for OCE it's competitor the rights and performed that the with the right? back IQVIA. their compete to to in Salesforce. primary They We IQVIA, But off licensed us is product clear used Salesforce,

them So see a we don't as competitor anymore.

that on product. It turns out build Salesforce top going is of to

a hear mention them I IQVIA, did takeaway. competitive So

of aware is. You not that about ask there. have to to We're them what specifically they're what referring

of primary release I lot they're see do next They AI. a product They lot first year. going have competitor. end of So to do their about talk as a the the about how towards Salesforce a talk

Obviously, there's This them, is for specific. motion a that's right? industry something and different doing very deep

remains part happen AI But there. that what will selling of of is a it course, seen be pitch. So to big actually

our a advantage. about that position terms kind competitive talked have In about in think the improve, of saw the position, think you to do I But Peter we I continuing clinical space. structural of our results. is in

also in CRM and the really the that commercial we reasons. think I in for structural have space number advantage of a

is First the execution.

product have available a the marketplace. in We that's

We on it. have XX customers live

the pharma our XX migration next from that have will of customer XX year over end be by countries. live in We top

that know That's to that. on or hard that really, to able do. deliver or Salesforce that able on even that. we get to years. Even wasn't deliver IQVIA can clear in not really if X there deliver on X can they're It's all, X at anybody

having a Certainly, or we've executing with on for customers relationships, big our some selling So XX available XX these years product a that's and these the and consistently, of delivering or last that customers. and with X been working customer advantage.

And vision. is cloud, course, anybody doing. our and market industry cloud, building than that's of very a different commercial We're what else then, the in

The you gave on position answer, I wanted and you competitive a execution. long focused but to is so I we're context. So some is give why out, playing this

areas marketing products the some create that going execution. focus and we based think to opportunity business durable a on of the and continue growth we'll have and patient. new to on strategy. I We about We're earlier product in with of And service right talked that, with

Jack Wallace

on appreciate National. launch a the Really in been X since Prescriber I could, -- if quick and one And it. It's Compass. months of

data And determination. how not to what have point, are your larger wondering this like compensation be at progressing. the any timeline if look clients yet grade, deemed with of if at a and would level Just customers that a conversations for high

Peter Gassner

of In brands with Yes, terms Prescriber projected on, good and in that National adding. the progress bit sales next Compass for it lot a going I the will more that there's area have in and but don't anybody ready. and compensation here a products, little of education happen We there, education of activity patient new using getting yet. sales expect mostly do there's and year. we're

taking particularly to new approach important that fundamentally Prescriber a and data remember It's for National, approach. Compass, of different we're

to prescriptions not delivered -- not specialty through projecting retail only retail data data pharmacy. are We therapies only but are complex things but that specialty

they before used have will get compensation. use That's projecting we're totally that X,XXX So about for for it and brands. new, something to people to

switch They're general that's For generally people compensation, on also basis at on the an going right? annual look midyear. in not average, that that to

term, with It's a big see out National. we'll over but to Mt. long take how going I'm things very boy, that's bullish time. to hill not Everest, play So the climb. and but it's Prescriber quite

Jack Wallace

it. again. Congrats Got

Peter Gassner

Thank you.

Operator

Callie question comes from of line next the Your Sachs. Goldman Valenti with

Carolyn Valenti

the on Congrats quarter.

Just at of your a addressable R&D suite do to most time? opportunity look And continue in see versus higher any level kind with. of you for more commercial? to that the just Is market like the call product the the would you developing start over specific When side curious business products today, functionality kind what of one out. me you of

Peter Gassner

and say that products grow multiple very new, have Both room as commercial would Service -- to quite are I have both new R&D such in all Manager, Callie, Center. them of areas. Campaign

over then And the In Compass suite, on ePRO. on safety got we we Compass, Prescriber. just talked

the -- is area. clinical billion laid XX% If biggest of about you another TAM, how are which commercial quality, we clinical, right, sort at areas at then look our $XX big and our overall, XX each, out, and about TAM have commercial it we

LIMS have there. out coming We

We have both of clinical say how it. and I one there's it's X about biggest a established The commercial, I areas, they then to [indiscernible]. would that's dominant new And wouldn't and area. after products. and think have regulatory and safety. that, mix say

Carolyn Valenti

And makes sense. just quick follow-up. other then that Yes,

the flexibility wanted to kind how to of those of ones just as evolving to with you evolve about the solutions and some Just at trial clip, solutions, built kind that? your science that with ask, of a think into of you've deal continues do facing rapid particularly some that

Peter Gassner

Yes.

mentioned If We're where biology are advancing. you that how real operates, how the about science And is understanding This body do, lot and science. the human is right we there's work. look the a now, needs more unmet we unmet what you of treat at really can needs.

on of not clinical with to manufacture types to do our marketing Veeva all what all involved and solutions to that trials sales drugs of of products. science. level does, different the of different types we're Now generally handle types We at all the different design

specifically we we're So flexibility affected build that science generally not the by because in.

industry overall therefore, more in the medicines evolution Veeva good that sciences more more automation. more patients, science is life for for grow, helps for need value, because Now

Operator

with Craig Your Stanley. line Hettenbach Morgan comes from of next the question

Craig Hettenbach

on I wanted up. balance there that strategy update the and put capital as to to build to allocation on continues opportunity touch Any your work? cash to

Timothy Cabral

This for Yes, that. us heard What you've for powder is to the in is question. potential Craig, the past update No on thanks Tim. talk about focused primarily M&A. dry

past. change heard us what in you've no talk no, in So the about

Craig Hettenbach

I'm broadly, going touching thinking weakness are response up my of headcount terms the of about that. next headcount kind X% more sure is of to then And just how services year-over-year. in follow-up, and as you year? some But that of Okay. just some on into just

Timothy Cabral

have Yes. for the will and in large you And of both today, we investment, Craig, in we look level us. include Peter which Paul continue of we as the adding about this heard a look front talked opportunity do call to forward, to team. right as

called also I been and efficiency. you've what last year of efficiency. we've you adding, probably the where services, think is seen seen area of trying terms think largest over the been gain while drive I out we've And an more it have we amount in to

And seeing that earlier, business that margin you're I in mentioned performance outcome. of gross that the

us, to an and to team, invest lean how think appropriately I be. in we're want front an the we'll opportunity at as a look, it. also on want a there's But we opportunity, organization efficient very time, big thoughtful against as So we same how of be

Operator

next Your from Company. MacDonald with Ryan question & Needham comes

Ryan MacDonald

prepared mentioned resistant a Obviously, remarks, with I Peter, customers Congrats continuing to it's it nice segment quarter. as on about in bit. a the wanted there. to talk it's a complicated to great have was change. safety But success

customers, is have Just this that look and sort prospective drive continuing safety of those conversations unlock we on-prem curious, kind grade there for you're should some as the cloud help to of to safety with into versus modernization of your sort wave the as opportunity months, about And innovation next unlocks think hastens of the catalyst segment XX that or a you to maybe is market? view that the of XX in that there in there?

Peter Gassner

will catalyst. can't or I a I be catalyst. do think But expect do predict catalysts, about be The when thing there'll a we there what.

have We and and a really innovation a for of suite lot happy time. some product a in period have that of clear safety the cloud, live have customers strategy,

X There what legacy and There if tenable. providers. providers smaller are legacy or We some know it do. don't that X and they here but those around mainly having there, starts and one legacy be We issues issues start becomes don't may mainly. getting of know providers not ones, there's them has

moving. Veeva We're of That good. is that going kind to be Veeva's because hasten solution to the stable. Okay, would not move

savings savings. I accelerant, gets is would is start product, say, connection other significant cooking be can we have do to traction to done. People EDC our product Another and that things as safety repurposed product there's our there, significant EDC more customers when our

So that would be noticed. would get -- that

there of Remember, is breakthrough on may that could type be some And over this too. safety happen the Vault time, platform.

the of So it direct Vault flexibility platform, data has including API. complete the the

be a that AI the be So of will what can on top things? point. what cause type -- things type than tipping be what some on might done direct can can of That AI legacy, that be of API, that and of AI, done type data different

to know that's because start our advantage. have believe along. we're don't for just -- point strategy There we quite and that in moving structural won't move to legacy at the we safety doing, I I going a along able providers X are happening. good we're what be is some when know

Ryan MacDonald

on of small follow-up in question, real your Peter. just Maybe terms a Vault of segment wanted -- Basics there, sort business quick. I of color the exposure. smaller know Helpful a to just as touch it's

it's more we the look over biotech. obviously, one XX last earlier-stage But been that the in been volatile months has if

Basics lower earlier-stage if here of over a turn that can Vault market of about of curious Veeva. growth next that that of segment some engine think maybe the years more for couple the gives end Just you into success the momentum early or you at

Peter Gassner

love just reasons. I already live about major it signed there. ago. customers is Basics, many One or Vault have we get did that We really Yes. up. innovation than a I love man, customers starting more there. that And year XX many, some let's we're out for only

and Development of Even the the on the available shows people great size, full not great have it, things. to put that didn't So would because interesting available also to Veeva, they not that was there opportunity XX% we the and move Cloud. just about just at on wherewithal done Veeva. speed of go be opportunity before they've our It's can that to

shared drives that. So like paper they on things -- and spreadsheets and were would stay and and transfers collaboration,

to So more market. we're the getting of

would that Now that consider you huge. not maybe market -- is

good think success revenue more it's or that range. customer -- that's customers. in it's it's those I million But that's and for $XXX

help thing industry is other done get really more more time. how over simplify, even the enterprise doing to to and And that's to the how efficient it's standardize. a teaching way, But to that going it's Veeva how in GXX our help business

to that going time to for that run So and and to because who it. it's customers it's enterprise and that like simplification the to Basics customers change for going feeling been business Basics, Vault our a truly can has it's dividends. drive process enterprise use those over use standardization really are going we a to improvements great going the not the Vault the help home Veeva that, pay are starting And but

time, will We'll Vault concept over bring -- applicable. of different are applications Vault commercial We we slightly in do more a to will Basics the in areas. the it way commercial, Basics very to build including but

Ryan MacDonald

Makes sense. Appreciate Congrats the color. again.

Peter Gassner

you. Thank

Operator

ISI. Your from Materne Kirk Evercore next comes line question of the with

Unknown Analyst

This is Bill on for Kirk.

Data Direct is right to can of it that kind happen Vault on at it Looking using something and it is seamless Or something an start turn for Is away? how needs that API, it customers it? implementation?

Peter Gassner

purchased that I'll This Peter. customer. is one, that's the That take Bill. by something is

customer that free is fee is large. something covers use. thing. to So compute that it. is of It The that our type They purchase for the not cost, not

it. really decide After want implementation. that, there's no So they they that to have no,

it's on. on, that. that's And and it You turn

do use is would use documentation, figure bit of it, the want different it? have use customer implementation. to How it can But to use it, to out, hey, for? beat Now API. there's I no a I a this little type how What learn to

it's on, You it turn on.

Operator

Jailendra line question with from of Truist Singh Your next Securities. comes the

Unknown Analyst

at Singh Truist for on Securities. Chou This Jailendra is Jenny

to question report a a but congrats spot Veeva be solutions it on professional part the service. of the quarter, a in nice Just first, this on professional Well, services continued seems weak quarter.

still still or that then professional with see because bid be of for third-party to some as and And customers to delay vendors, continuing are where discretionary contracting that do is costs driving What is you think driven part services? kind are directly Is initiatives that? customers services by efficient? more the

Timothy Cabral

that and thanks take Jenny, question, is Yes. Tim. for this I'll it.

a customers earlier, of I first, for we're is they as our as delivering that think would and our So strength that customer success customer it's some It as very services certainly deploy Veeva. team important of success, optimizing help adopt these mentioned not but one a I which services weakness, I characterize professional is very, applications.

I that's So think first foremost. and

attach -- that I across Secondly, will as a the different seeing, it's that how it of -- we again, There the products. about for you rates at think our look be function are it's fact think dynamics product or different we're portfolio, some of, and are the services lumpy. business, a

best we be And to what is partner make you try may them. -- with decisions have And to as customers are that them to make the for optionality sure customers that I feel very stated do they as to or confident. our that unique stated and earlier,

being this What important. not I a would say generally not services is of is that function

examples Jenny, our unimportant be some or the that fact are a reduced professional little out customers it's services I in While solutions. maximum of to our get that to a these the bit share not value pie of of might services gave, our really

Unknown Analyst

deals frame like Like back time months? their substituted typical if you by a and since the come of the any that have some And elongated Since any? just to seen what back cycles has weren't timing. year, deal Veeva last internal I come follow-up. you a November was solutions, for for delayed that in seen been own decision-making then, XX last have the remember seeing deal

Timothy Cabral

this Tim Yes, is Jenny, again.

think the in our And had that you headwinds into somewhat XX I I months macroeconomic informed play. conversation that was just about the ago. ago, as think to we XX months starting come think conversation were

there. somewhat and As that. are heard about that Peter nice But of there done job our I talk out headwinds are through customers a working with still executing earlier, think is you macroeconomic what we've

we deals close appropriate to some screen for radar customers the them. the So in elongated, at continue terms cycles on and these closing those time yes, them deal keep are while, of get to very

a that. it's think of headwinds, through but executing macroeconomic I function the So we're

Operator

Next of line with question from the Charles TD comes Cowen. Rhyee

Charles Rhyee

Well, first, I wanted to ask about [indiscernible].

a accelerate performance well? now here. a convert. think commercial demand second in starting projects the that across we've about as that And heard solid to thawing you quarter had biopharma you talk peers also other the seeing The seeing delayed you Are can discretionary space offerings for some companies in your spend of

Peter Gassner

can't call I for when things you that little Peter. is is sometimes sometimes this causes have it a No, think Charles, I -- off of really. demand, what just thawing puts that later. happens a bit pent-up

be you a it wouldn't I I call seeing think may thawing. that. So

bit a of got up, maybe little I had just they enough. pent and pent-up think things

material, So negative last the for example, there's there's no to in been days. -- XX news macro the no

think extra When a thawing, negative of It's might like coming. the start you you then and don't macro call now. again. any news thaw -- you negative, might little A bit better a flowing ice, to that I a just flood have thawing have there's there's creates thawing. that flowing it to things are a wouldn't when But a not the It's things that.

Charles Rhyee

Tim. maybe X% the implies In then kind third And a third the fourth quarter, quarter the up billings the in it helpful. here, steps it. about That's quarter. for back year-over-year guidance Got of for follow-up in

few out years, a your constant. in been billings Anything at has issues. prepared about call to more the little bit timing earlier talked know I I you growth here? year-over-year last look If comments,

be maybe any comments Just would helpful.

Timothy Cabral

Sure, Charles.

last things. guide of that combination think a harder is I bit so little One, little shape a of bit back year, stronger compare. for year the quarter a of the half the X that and was a guide a of of QX

movement have deck can we seeing impact is billing. of term Most also also, it are heard of as our being that changes. that dates. But press and normalize supplement That to the in release, Charles, by that supply driven to think you we an will you've a I us where see normalized billing some renewal

Operator

from Larsen line of with BTIG. Your the comes next question David

David Larsen

Can on sounds especially Congratulations a strong lot quarter. the you environment, talk clinical a side years. It advancements on you've the side? about the of made clinical the little bit over on like the competitive

is Phase all your when now? have those if metadata suite and that least you it? Forward to like portfolio expect at And have would So modules have you of not, technologies? eResearch and comparable those Do to competitors

Peter Gassner

Peter. one. is This take I'll that

broadest the and before, to we're offering look broadness of of of our to you I when at the offering, terms has able -- believe smaller ones. the companies especially we talk anybody the In largest that had have

clinical So clinical we full operations and data a suite. full a management -- have suite clinical

something metadata, not not that Forward that you or that's that's mentioned really example, for they've had Phase -- something -- before. That's

So how it. I of see that's kind

And we that execution. how did just through disciplined I get way? think it's

with look you If time product clinical first our back, was, believe, eTMF. in XXXX I the frame

really hard we and build were started then they got CTMS products them got focused really we So live, products, And and worked while really we're move good. on mature live, few stayed happy, EDC. on going then bit to a didn't to those until customers, a made for that, hey, them more announced a there we on get

Now and we started Connect talking training. about EDC study and Site

of multiproduct a build X of them. you approach need not suite. it systematic products it whole be And a takes your all been just great the X that if it's because to or So company, to be want great, means to out

that So methodical a this you a durable kind long-term That we're you clinical that's -- building a just what really do you're setting concentrate would because you're do. a of -- not for structure if to that hard, making say we've to should it's approach application to and out I what got and taken business to That's generations. certain out a wasn't area, right? in last set

of trying So is frame to different. we're accomplish just reference what our and

David Larsen

biopharma the [indiscernible] really to is And the Peter, way. have your channel on have X say Some talked of from side Great. all base? then, I've commercial kind side, to Okay. a different the in single it perspective, and of people companies clinical you in on important how sort the one Vault

then commercial you side. sales and side, You got got the research the

having on Vault doesn't matter. is view So everything really maybe My different.

I bit maybe a just about matters Peter? perspective, think a talk that Can lot. you little from your it

Peter Gassner

When used the years and wasn't even brought many the had had industry cetera, quality, CRM Yes. thing area. that that platforms. It's commercial ago, different function. certainly new. area is We not platform each The Veeva started something each own It in the regulatory area. et their functional It's to. into Salesforce.com

Now what okay, we're the commercial seeing that's lot the is, Vault, R&D side, side. a Vault we're on of bringing and

may that be before. [indiscernible] not I they something experienced because the it's think not customers of advantages to

do they're in that's things. There's tremendously significant, efficiencies learning, all system management, yes. IT, thing, integrator efficiencies of capabilities, vendor I those in network, one the think security, types

a companies. better. help initiative connect That's But thing can commercial clinical these is the bigger customers it of to the many CEO-level at

to have see experience common it would will I having kind to tremendously. that's a -- the and data and think believe platform But it thing a architecture it. common of a you that help

That's the becomes wow, to side. they Vault. their because that R&D commercialize they the side vision that, we that's large on in expect be the Veeva have. use to vision it then don't that product, biotechs say smooth, that's was on clinical companies connected buy And I was experienced going reality. that our until I a all smaller customers, and first in to by first would go see and and that

That's where first it will happen.

what a our have plan, but not The We execution, you way industry. the the on And thing is main that vision. execute It can the execute. takes fine Now do through on. do help Everybody with is easy. quality, that's we're you to got focused which that's to to is focus. and want

Operator

And the remarks. Gassner closing for conference session. now back that will over concludes I to Peter turn our question-and-answer

Peter Gassner

in thank you, Veeva Thank the look today, outstanding continued our you your quarter. again call I for the forward Day to and November to and Investor the X. on at you. speaking Thank your our you team partnership joining with everyone, customers for work for

Operator

disconnect. conference may you your today's call. for Thank now participation, concludes you this and And

We use cookies on this site to provide a more responsive and personalized service. Continuing to browse, clicking I Agree, or closing this banner indicates agreement. See our Cookie Policy for more information.