DocuSign Inc Q2 2026 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Robert Owens - Piper Sandler - Analyst : Great, good afternoon and thanks for taking my question. While the early success and IAM is compelling, I actually want to drill down into improve fundamentals across your core e-signature, and you spoke to improvement in consumption, growing volumes, and really what's underpinning this? Is it economic? Is it evolutionary, higher utilization driven by a tach of IAM? Thanks.

Question: Robert Owens - Piper Sandler - Analyst : All right, thanks for the color.

Question: Tyler Radke - Citibank Cameroon SA - Analyst : Yeah, thank you for taking the questions. I wanted to ask you about CLM, which, seemed like it had a breakout quarter with some of the large deal momentum you referenced, including T-Mobile. Can you just talk about the pipeline that you're seeing in that business? Would you sort of say that this was a timing, benefit, or do you think this is kind of the start of a more sustainable trend? Thank you.

Question: Jake Roberge - William Blair Capital Partners - Analyst : Yeah, thanks for taking the question and congrats on the great results. Nice to hear that more than 50% of your enterprise reps have already signed, at least one IAM deal. Could you talk a little bit more about how the roll out of your newer markets like enterprise and international have progressed compared to your core North American commercial market and just whether that pricing uplift that you originally thought has held as you've entered into those new markets. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 04, 2025 / 9:00PM, DOCU.OQ - Q2 2026 DocuSign Inc Earnings Call

Question: Jake Roberge - William Blair Capital Partners - Analyst : Great. Thanks for taking the question and congrats on the results.

Question: Josh Baer - Morgan Stanley - Analyst : Congrats on a very strong quarter. Appreciate all the detail with, kind of breaking out the outperformance and billings between gross retention CLM early renewal strength, duration, number of other factors. I don't think IAM was really one of them as far as driving the outperformance. Was hoping you could talk about that a little bit and really just straight, being straightforward, what are the economics when a customer adopts IAM? Is it a creative to growth and by how much?

Question: Josh Baer - Morgan Stanley - Analyst : Yeah, that's really helpful. And, I mean, you sound great and there's a lot of, and this quarter was really strong, there's a lot to like. I think, I mean, It would be super helpful if, IAM is going to be double digit percentage of bookings to just better understand the economics of the uplift with moving over to IAM and what other factors are changing in the contracts, like that would really help to unlock that story, but something it sounds like we'll look forward to as you have a couple more quarters, actually selling to the enterprise and up market. But, congrats again. Thank you.

Question: Kirk Materne - Evercore Inc - Analyst : Hi this is Bill on for Kirk, and thanks for taking my question. Can you dive into some of the drivers behind the improved growth retention, and is there more to go on that front in the second half of this year and into next?

Question: Kirk Materne - Evercore Inc - Analyst : Great, thanks for taking my question.

Question: Brad Sills - Bank of America - Analyst : Oh wonderful, thank you so much. I wanted to ask about the federal -- the partnership with the US federal General Services Administration. It seems like a big deal. Just curious what this means for your Federal business, your federal pipeline and what we should expect out of that segment of the business going forward.

Question: Brad Sills - Bank of America - Analyst : Excellent. Sounds exciting. Thanks, Allan.

Question: Austin Cole - Citizens JMP Securities LLC - Analyst : Great, thanks for taking my question. I wanted to ask on the go-to-market front and those changes that were made at the beginning of the year. How do you feel about how reps have adapted to those changes? Are they kind of well equipped and incentivized to sell IAM? Or might there still be some changes to make down the road? Thanks.

Question: Austin Cole - Citizens JMP Securities LLC - Analyst : Great. Thank you.

Question: Mark Murphy - JPMorgan Chase & Co - Analyst : Thank you very much. Allan, is there any way to approximate the kind of customer acceptance for opting in where they would have Iris AI scan their agreements and learn from them or index them? It's hard externally to understand if they just do that by default or not. And then is it common enough that you can build up an agreement library that would, with enough intelligence can kind of move the risk scoring and the cycle times to a different level?

Question: Mark Murphy - JPMorgan Chase & Co - Analyst : Thank you.

Question: Brent Thill - Jefferies LLC - Analyst : Hey, Blake, on the margin, I know you're kind of stalling the margin progression this year versus last year. I guess many are asking, when do we see the fall through on the top line? We're not necessarily seen -- we saw a good quarter. But in terms of just overall real acceleration to I think Allan's aspiration to be back to double digit, how do you think about that trade-off? And where are all these investments going this year? Is it go-to-market? Is it in the products, all the above? Any color there would be helpful. Thanks.

Question: Brent Thill - Jefferies LLC - Analyst : And just real quick. On the cloud transition, when do you approximate that will be less of a headwind? When does that actually transition end? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 04, 2025 / 9:00PM, DOCU.OQ - Q2 2026 DocuSign Inc Earnings Call

Question: Brent Thill - Jefferies LLC - Analyst : Great, thanks.

Question: Alex Zukin - Wolfe Research LLC - Analyst : Yeah, hey guys, thanks for taking the questions. Just two quick ones. On IAM, clearly, you're continuing to see, maybe on the broader business, early renewal strength and the percentage of early renewals with expansions continue to grow. Are any of those starting to be driven by IAM attach? I think before you talked about it more heavily skewed towards new users. But I'm curious if the sales changes and some of the momentum you're seeing is kind of shifting that to -- or not shifting, but in addition to that, also now grabbing some of the existing customer relationships that you have? And then I have a quick follow-up.

Question: Alex Zukin - Wolfe Research LLC - Analyst : Perfect. And then maybe just a broader question. I'm sure you could appreciate there have been a lot of questions about how changes in kind of search and SEO are affecting top of funnel dynamics for a lot of companies. Anything that you guys are seeing there? Or maybe you're completely immune to it or you course correct a while ago. And are you seeing any changes to the top of funnel? What percent of top of funnel is SEO related, et cetera?

Question: Rishi Jaluria - RBC Capital Markets Inc - Analyst : Oh, wonderful, thanks so much for squeezing me in. Nice to see continued strength in the business and broad-based momentum. I want to maybe drill and ask a little bit philosophically about IAM. Obviously, you've discussed all the use cases and the real unlock especially with AI. The question I want to ask is, we hear a lot of AI vendors talking about one of the use cases for LLMs and search and reasoning being analyzing contracts, finding the right answers, being able to synthesize information for multiple contracts, et cetera. And it almost feels like they're trying to tackle that same problem in a different way. Maybe can you help us understand, even with others kind of looking into that use case, what gives you that kind of continued right to win? And what are investment opportunities that you can make to drive further differentiation versus those so this doesn't become more competitive or more commoditized? Thank you.

Question: Rishi Jaluria - RBC Capital Markets Inc - Analyst : Very helpful, thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 04, 2025 / 9:00PM, DOCU.OQ - Q2 2026 DocuSign Inc Earnings Call