DocuSign reported strong third quarter results with revenue growth of 40%.
The company, best known for e-signature software, reported a third quarter net loss of 26 cents a share on revenue of $249.5 million, up 40% from a year ago. Non-GAAP earnings were 11 cents a share.
DocuSign was expected to report third quarter revenue of $239.86 million with non-GAAP earnings of 3 cents a share.
CEO Dan Springer said the company is continuing to expand its Agreement Cloud products and seeing traction.
As for the outlook, DocuSign projected fourth quarter revenue between $263 million to $267 million with billings between $346 million to $356 million.
For fiscal 2020, DocuSign projected revenue of $962 million to $966 million. DocuSign ended the quarter with $912 million in cash, cash equivalents and restricted cash and investments.
Okta also delivered strong third quarter financial results that topped estimates. The cloud identity management firm reported a non-GAAP net loss of $8.1 million, or 7 cents per share, on revenue of $153 million, up 45%. Analysts were expecting a net loss of 12 cents per share on revenue of $143.7 million.
"Industry leading growth in subscription revenue, remaining performance obligations, and billings were driven by strong execution and the continued secular tailwinds of increasing adoption of cloud applications, digital transformation as companies improve how they connect with their employees and customers, and deployment of zero trust security environments," CEO Todd McKinnon said in a statement.
Subscription revenue for the quarter came to $144.5 million, an increase of 48% year-over-year. Total calculated billings were $175.6 million, a 42% increase.
For the fourth quarter of fiscal 2020, Okta is expecting total revenue of $155 million to $156 million, with a non-GAAP net loss per share between 5 cents and 4 cents. Wall Street is expecting $154.59 million in Q4 revenue with a net loss of 6 cents.
For the full year fiscal 2020, the company now expects revenue the range of $574 million to $575 million, compared to analyst estimates for $$562 million.
Meanwhile, cloud-based subscription management company Zuora topped its third quarter earnings targets. The company reported a Q3 net loss of $18.2 million, or 16 cents a share. The non-GAAP net loss came to 6 cents per share on revenue of $71.8 million, up 17% year-over-year.
Wall Street was expecting a non-GAAP net loss of 9 cents a share on revenue of $70.4 million. Shares of Zuora were up slightly after hours.
Zuora said subscription revenue came to $54 million, an increase of 25% year-over-year.
In terms of guidance, Zuora expects fourth quarter revenue in the range of $71 million to $72 million and a non-GAAP net loss between 11 cents and 9 cents. Analysts were expecting a loss of 9 cents and revenue of $70.08 million.