Veeva Systems Inc (NYSE:VEEV) stock fell 4.42% (As on December 7, 11:21:07 AM UTC-4, Source: Google Finance) after the company posted better than expected third quarter earnings but weak sales guidance for the current quarter saw the stock trade lower. Subscription services revenues for the third quarter were $494.9 million, up from $441.6 million one year ago, an increase of 12% year over year. Non-GAAP operating income for the third quarter was $234.6 million, compared to $219.5 million one year ago, an increase of 7% year over year. Non-GAAP net income for the third quarter was $218.7 million, compared to $183.2 million one year ago, an increase of 19% year over year.

VEEV in the third quarter of FY 23 has reported the adjusted earnings per share of $1.34, beating the analysts’ estimates for the adjusted earnings per share of $1.28, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 12 percent to $616.5 million in the third quarter of FY 23, beating the analysts’ estimates for revenue of $615.88 million.

For its fiscal fourth quarter ending January 31, 2024, the company guided revenue between $620 million and $622 million, lagging estimates of $623 million but its forecast EPS of $1.30 was above the expected $1.26. Non-GAAP operating income is expected to be of about $227 million.

For its fiscal year ending January 31, 2024, total revenues is expected to be between $2,353 and $2,355 million, Non-GAAP operating income to be of about $830 million and Non-GAAP fully diluted net income per share to be of approximately $4.76.

For its fiscal year ending January 31, 2025, total revenues is expected to be of at least $2,750 million and Non-GAAP operating income to be of at least $1,000 million.

Meanwhile, Veeva announced new innovations coming in Veeva Commercial Cloud including Marketing Automation for campaign management and Patient CRM to manage sensitive patient information and workflows. Veeva also crossed significant milestones for Vault CRM – including the first customer live – as it looks ahead to delivering the next-generation of CRM for life sciences. Veeva Data Cloud provides the industry a modern alternative to legacy data, all on a common data architecture. This fueled strong progress in the quarter with a record 13 new brands for Compass, two top 20 biopharma wins for Link, and the recent announcement of a second top 20 biopharma that will roll out OpenData globally.