Veeva Systems (VEEV) reported $720.89 million in revenue for the quarter ended January 2025, representing a year-over-year increase of 14.3%. EPS of $1.74 for the same period compares to $1.38 a year ago.

The reported revenue represents a surprise of +3.24% over the Zacks Consensus Estimate of $698.28 million. With the consensus EPS estimate being $1.58, the EPS surprise was +10.13%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Veeva performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Non-GAAP Gross Margin- Professional Services and other: 24.7% versus the nine-analyst average estimate of 22.9%.
• Non-GAAP Gross Margin- Subscription services: 86.7% versus 85.7% estimated by nine analysts on average.
• Revenues- Subscription services: $608.58 million versus the 10-analyst average estimate of $595.93 million. The reported number represents a year-over-year change of +16.7%.
• Revenues- Professional services and other: $112.31 million versus the 10-analyst average estimate of $102.35 million. The reported number represents a year-over-year change of +2.9%.
• Revenues- Professional services and other- Veeva R&D Solutions: $66.70 million compared to the $59.40 million average estimate based on five analysts. The reported number represents a change of +5.5% year over year.
• Revenues- Subscription services- Veeva R&D Solutions: $315.19 million versus the five-analyst average estimate of $312.72 million. The reported number represents a year-over-year change of +21.4%.
• Revenues- Subscription services- Veeva Commercial Solutions: $293.39 million versus $283.40 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +12% change.
• Revenues- Professional services and other- Veeva Commercial Solutions: $45.61 million versus the five-analyst average estimate of $42.85 million. The reported number represents a year-over-year change of -0.6%.

View all Key Company Metrics for Veeva here>>>

Shares of Veeva have returned -6.4% over the past month versus the Zacks S&P 500 composite's -4.1% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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This article originally published on Zacks Investment Research (zacks.com).

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