Workiva (NYSE:WK – Get Free Report) posted its quarterly earnings data on Thursday. The software maker reported $0.72 EPS for the quarter, missing the consensus estimate of $0.80 by ($0.08), FiscalAI reports. Workiva had a negative return on equity of 140.17% and a net margin of 4.87%. The firm had revenue of $262.96 million for the quarter, compared to analysts’ expectations of $261.37 million. During the same quarter last year, the firm posted $0.55 earnings per share. Workiva’s quarterly revenue was up 17.3% on a year-over-year basis.
Here are the key takeaways from Workiva’s conference call:
- Workiva reported Q3 revenue of $263 million, up 17% year over year, beating the high end of guidance. Non-GAAP operating margin reached 18.3%, expanding 560 basis points year over year.
- Large-customer growth remained strong: contracts above $300,000 annually rose 31%, while those above $500,000 rose 20%. Gross retention was 97%, and multi-solution customers accounted for 77% of subscription revenue.
- The company launched Agent Studio, automated GRC testing, and new regulatory offerings, and highlighted customer wins involving its agentic solutions. Management sees AI as an opportunity to expand the platform’s role in complex, high-stakes reporting and compliance work.
- Management said prior sustainability and foreign-exchange tailwinds have faded, with FX now a modest headwind, contributing to a more measured Q4 outlook. Full-year revenue guidance is $1.041 billion–$1.044 billion, while subscription revenue growth is expected to be approximately 19%.
- Workiva raised its full-year non-GAAP operating margin outlook to 18.2%–18.3%, and continues to expect a free cash flow margin of about 21%. Management said the company remains on track with its 2026 plan and confident in its longer-term targets.
Workiva Stock Down 14.8%
NYSE:WK traded down $12.67 during trading hours on Friday, reaching $72.83. 2,535,831 shares of the company’s stock were exchanged, compared to its average volume of 860,844. Workiva has a 1-year low of $43.34 and a 1-year high of $95.00. The firm has a market capitalization of $4.09 billion, a price-to-earnings ratio of 65.03 and a beta of 0.46. The company has a 50-day moving average of $75.83 and a 200 day moving average of $63.07.
Key Stories Impacting Workiva
Here are the key news stories impacting Workiva this week:
- Positive Sentiment: Third-quarter revenue rose 17.3% year over year to $262.96 million, topping analysts’ $261.37 million estimate. Quarterly results
- Neutral Sentiment: Coverage highlighted Workiva’s AI expansion, while noting moderating business tailwinds; the available reports do not quantify the potential financial contribution from AI. Q3 deep dive
- Negative Sentiment: Q3 EPS was $0.72, below the roughly $0.79–$0.80 consensus, despite increasing from $0.55 a year earlier. The earnings shortfall is a likely drag on sentiment. Q3 earnings miss
- Negative Sentiment: Workiva’s Q4 EPS outlook of $0.78–$0.80 is below the $0.92 consensus, and its $275 million–$278 million revenue range is just shy of the $278.1 million estimate. Full-year EPS guidance of $2.80–$2.83 also trails the $2.95 consensus, putting the outlook at the center of investor concern. Why shares are falling
Insider Buying and Selling at Workiva
In other news, EVP Brandon Ziegler sold 6,571 shares of the business’s stock in a transaction that occurred on Thursday, August 20th. The stock was sold at an average price of $75.97, for a total value of $499,198.87. Following the transaction, the executive vice president owned 126,216 shares of the company’s stock, valued at approximately $9,588,629.52. The trade was a 4.95% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Company insiders own 4.77% of the company’s stock.
Analyst Upgrades and Downgrades
A number of brokerages have recently commented on WK. BTIG Research set a $85.00 target price on shares of Workiva in a research report on Wednesday, September 16th. Zacks Research downgraded Workiva from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 5th. Citigroup restated a “buy” rating on shares of Workiva in a research note on Thursday, August 6th. Weiss Ratings cut shares of Workiva from a “hold (c-)” rating to a “sell (d+)” rating in a report on Tuesday. Finally, Wall Street Zen upgraded Workiva from a “buy” rating to a “strong-buy” rating in a report on Sunday, October 18th. Nine investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Workiva has an average rating of “Moderate Buy” and an average target price of $87.00.
Read Our Latest Report on Workiva
Workiva Company Profile
Workiva Inc (NYSE: WK) provides cloud-based software designed to help organizations manage reporting, compliance, risk and other complex business processes. Its platform connects financial, operational and environmental, social and governance (ESG) data so teams can collaborate on information used for internal and external reporting.
The company’s products support financial reporting, regulatory filings, audit and compliance workflows, investor communications, and sustainability reporting.
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