Doximity, Inc. Q3 FY2025 earnings call

• Financial Highlights: Delivered $169M revenue, 25% Y/Y growth, 10% beat; adjusted EBITDA $102M, 61% margin. - Network Growth and Engagement: Unique active users hit fresh highs, news feed usage over 1M unique active prescribers, workflow tools over 610k, AI prompts over 1.8M. - Commercial Highlights: New products (point of care, formulary) grew over 100%, contributing 20% of sales; integrated programs personalized campaigns; client portal with over half of brand clients access and plan to roll out to all clients in 2025.

For the third quarter of fiscal 2025, Doximity reported $169 million in revenue, representing 25% year-on-year growth and a 10% beat from the high end of the guidance range. The bottom line was strong with a record adjusted EBITDA margin of 61%, or $102 million, up 39% year-on-year. In terms of product segments, the point of care and formulary products grew over 100% in Q3, generating over 20% of pharmaceutical sales. Unique active users on quarterly, monthly, and weekly bases hit fresh highs with double-digit percent growth year-on-year. News feed usage saw over one million unique active prescribers, workflow tools had over 610,000 unique active prescribers, and AI tools had over 1.8 million prompts.

• For Q4 2025, expected revenue in the range of $132.5 to $133.5 million (13% growth at midpoint) and adjusted EBITDA in the range of $62.5 to $63.5 million (47% margin). - For full fiscal 2025, expected revenue in the range of $564.6 to $565.6 million (19% growth at midpoint) and adjusted EBITDA in the range of $306.6 to $307.6 million (54% margin). Incremental growth due to new product traction, larger multi-module programs, and higher percentage of January launches.

Forward-looking statements are subject to various risks and uncertainties. Actual results may differ materially. Risks include macroeconomic factors, regulatory changes, and uncertainties related to the pharma HCP digital market.

Q: Brian Peterson asked about the 50% of customers on the portal today versus those not on it, and their buying patterns.

A: Jeff Tangney said portal clients have higher growth, plan to roll out to all clients this year, and portal allows seeing ROI monthly.

Q: Glenn Santangelo asked about drivers of momentum, new products vs portal.

A: Jeff Tangney said portal helps during upsell season, integrated programs helped during upfront season.

Q: Ryan Daniels asked about seasonality of larger multi-modal integrated programs.

A: Anna Bryson explained these programs start in January, start with first available content, provide flexibility and better revenue predictability.

Q: Ryan MacDonald asked about targeting NPs and PAs.

A: Jeff Tangney said over 60% of NPs are members, they use workflow tools like telehealth, fax, scheduling, and AI tools.

Q: Elizabeth Anderson asked about agency vs direct client split.

A: Jeff Tangney said agencies are not resellers, maintain direct relationship with end clients, and there's symbiosis with data insights.