nCino (NCNO) Q3 2025 earnings summary

Executive summary

• Total Q3 FY25 revenue was $138.8M, up 14% year-over-year, with subscription revenue at $119.9M, also up 14%, and non-GAAP operating margin improving to 20%.

• Non-GAAP net income was $24.4M ($0.21 per diluted share), up 51% year-over-year; GAAP net loss narrowed to $5.3M from $16.4M.

• Over 30 multi-solution deals were signed, with more gross bookings from net new customers than the previous two quarters combined.

• International momentum increased, with major deals in Japan, Norway, Luxembourg, and international revenues accounting for 21.3% of total revenues.

• Acquisitions of FullCircl, DocFox, and ILT were completed or announced, expanding onboarding, compliance, and international presence.

Financial highlights

• Q3 FY25 total revenues: $138.8M (+14% YoY); subscription revenues: $119.9M (+14% YoY); professional services: $18.9M (+10% YoY).

• Non-GAAP gross profit was $93.2M (gross margin 67.2%), up from 66.5% a year ago; GAAP gross margin was 61.3%.

• Non-GAAP operating income was $28.0M, up 38% year-over-year; non-GAAP operating margin was 20%.

• Free cash flow for Q3 was $5.1M; cash and equivalents at quarter-end were $258.3M.

• Remaining performance obligation (RPO) at October 31, 2024: $1.095B, up 19% year-over-year.

Outlook and guidance

• Q4 FY25 revenue guidance: $139.5M–$141.5M; subscription revenue: $122.5M–$124.5M.

• FY25 revenue guidance: $539.0M–$541.0M; subscription revenue: $467.0M–$469.0M.

• FY25 non-GAAP operating income expected at $95.0M–$96.0M; non-GAAP net income per diluted share $0.75–$0.76.

• FullCircl expected to contribute $4M to Q4 revenues.

• Management expects continued revenue growth driven by expansion within existing customers and new customer wins.