Veeva Systems Inc (NYSE:VEEV) stock plunges 15.46% (As on September 1, 11:16:29 AM UTC-4, Source: Google Finance) though the company posted better than expected results for the second quarter of FY 23. Subscription services revenues for the second quarter were $428.6 million, up from $366.4 million one year ago, an increase of 17% year over year. Non-GAAP operating income for the second quarter was $202.0 million, compared to $191.6 million one year ago, an increase of 5% year over year. Non-GAAP net income for the second quarter was $166.2 million, compared to $152.7 million one year ago, an increase of 9% year over year. In this quarter, the company saw a significant Veeva CRM release with major innovations to optimize content use across channels to enable efficient and compliant hybrid engagement models. This quarter saw a major milestone with Veeva Vault Quality, as more than 500 customers are now using at least one Vault Quality Suite product, including more than 200 Vault Training customers. Strong momentum in the second quarter included a record 52 Vault Quality customer wins and significant progress on Vault QMS projects with enterprise customers. New product innovations in Vault LIMS and Vault Validation Management are progressing well and will start working with early-adopter customers later this year. Further, with a unique foundation of data-driven insights and a deep knowledge of Veeva products, Veeva Business Consulting had a record revenue quarter and is quickly becoming a strategic resource to help customers realize their digital transformation.

VEEV in the second quarter of FY 23 has reported the adjusted earnings per share of $1.03, beating the analysts’ estimates for the adjusted earnings per share of $1.01, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 17 percent to $534.2 billion in the second quarter of FY 23, beating the analysts’ estimates for revenue of $530.7 million.

For the fiscal third quarter ending October 31, 2022, the company expects the total revenues to be between $545 and $547 million, Non-GAAP operating income to be between $209 and $211 million and Non-GAAP fully diluted net income per share to be between $1.07 and $1.08.

For the fiscal year ending January 31, 2023, the company expects total revenues to be between $2,140 and $2,145 million, Non-GAAP operating income of about $820 million and Non-GAAP fully diluted net income per share to be of approximately $4.17.