WILMINGTON, N.C., Aug. 26, 2025 (GLOBE NEWSWIRE) -- nCino, Inc. (NASDAQ:NCNO), the leading provider of intelligent, best-in-class banking solutions, today announced financial results for the second quarter of fiscal year 2026, ended July 31, 2025.

"We are pleased to report financial results that again exceeded quarterly guidance for total and subscription revenues, as well as non-GAAP operating income," said Sean Desmond, CEO at nCino. "We saw customer demand continue to strengthen in the second quarter, including for newer solutions and across our target markets, reinforcing our confidence in our strategy and in our improved financial outlook. Our vision of being the leader in AI-banking is rapidly coming into focus through continuous innovation and relentless pursuit of the substantial opportunity we are uniquely positioned for."

Financial Highlights

Recent Business Highlights

Financial Outlook

nCino is providing guidance for its third quarter ending October 31, 2025, as follows:

nCino is providing guidance for its fiscal year 2026 ending January 31, 2026, as follows:

Conference Call

nCino will host a conference call at 4:30 p.m. ET today to discuss its financial results and outlook. The conference call will be available via live webcast and replay at the Investor Relations section of nCino's website: https://investor.ncino.com/news-events/events-and-presentations.

About nCino

nCino (NASDAQ:NCNO) is powering a new era in financial services. The Company was founded to help financial institutions digitize and reengineer business processes to boost efficiencies and create better banking experiences. With over 2,700 customers worldwide - including community banks, credit unions, independent mortgage banks, and the largest financial entities globally - nCino offers a trusted platform of best-in-class, intelligent solutions. By integrating artificial intelligence and actionable insights into its platform, nCino is helping financial institutions consolidate legacy systems to enhance strategic decision-making, improve risk management, and elevate customer satisfaction by cohesively bringing together people, AI and data. For more information, visit www.ncino.com.

INVESTOR CONTACT

Harrison Masters

Harrison.masters@ncino.com

MEDIA CONTACT

press@ncino.com 

Forward-Looking Statements: This press release contains forward-looking statements about nCino's financial and operating results, which include statements regarding nCino's future performance, outlook, guidance, the benefits from the use of nCino's solutions, our strategies, and general business conditions. Forward-looking statements generally include actions, events, results, strategies and expectations and are often identifiable by use of the words "believes," "expects," "intends," "anticipates," "plans," "seeks," "estimates," "projects," "may," "will," "could," "might," or "continues" or similar expressions and the negatives thereof. Any forward-looking statements contained in this press release are based upon nCino's historical performance and its current plans, estimates, and expectations and are not a representation that such plans, estimates, or expectations will be achieved. These forward-looking statements represent nCino's expectations as of the date of this press release. Subsequent events may cause these expectations to change and, except as may be required by law, nCino does not undertake any obligation to update or revise these forward-looking statements. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially including, but not limited to risks associated with (i) adverse changes in the financial services industry, including as a result of customer consolidation or bank failures; (ii) adverse changes in economic, regulatory, or market conditions, including as a direct or indirect consequence of higher interest rates; (iii) risks associated with acquisitions we have completed or may undertake, (iv) breaches in our security measures or unauthorized access to our customers' or their clients' data; (v) the accuracy of management's assumptions and estimates; (vi) our ability to attract new customers and succeed in having current customers expand their use of our solution, including in connection with our migration to an asset-based pricing model; (vii) competitive factors, including pricing pressures and migration to asset-based pricing, consolidation among competitors, entry of new competitors, the launch of new products and marketing initiatives by our competitors, and difficulty securing rights to access or integrate with third party products or data used by our customers; (viii) the rate of adoption of our newer solutions and the results of our efforts to sustain or expand the use and adoption of our more established solutions; (ix) fluctuation of our results of operations, which may make period-to-period comparisons less meaningful; (x) our ability to manage our growth effectively including expanding outside of the United States; (xi) adverse changes in our relationship with Salesforce; (xii) our ability to successfully acquire new companies and/or integrate acquisitions into our existing organization; (xiii) the loss of one or more customers, particularly any of our larger customers, or a reduction in the number of users our customers purchase access and use rights for; (xiv) system unavailability, system performance problems, or loss of data due to disruptions or other problems with our computing infrastructure or the infrastructure we rely on that is operated by third parties; (xv) our ability to maintain our corporate culture and attract and retain highly skilled employees; and (xvi) the outcome and impact of legal proceedings and related fees and expenses.



 
nCino, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
 
 January 31, 2025 July 31, 2025
Assets   
Current assets   
Cash and cash equivalents$120,928  $122,935 
Accounts receivable, net 146,787   98,468 
Costs capitalized to obtain revenue contracts, current portion, net 13,462   14,299 
Prepaid expenses and other current assets 21,072   19,383 
Total current assets 302,249   255,085 
Property and equipment, net 74,953   77,430 
Operating lease right-of-use assets, net 16,026   12,936 
Costs capitalized to obtain revenue contracts, noncurrent, net 23,735   22,676 
Goodwill 1,019,375   1,070,947 
Intangible assets, net 154,571   151,920 
Investments 9,294   7,262 
Long-term prepaid expenses and other assets 10,178   17,761 
Total assets$1,610,381  $1,616,017 
Liabilities, redeemable non-controlling interest, and stockholders' equity   
Current liabilities   
Accounts payable$13,640  $14,069 
Accrued expenses and other current liabilities 39,865   33,654 
Deferred revenue, current portion 191,174   194,883 
Financing obligations, current portion 1,680   1,780 
Operating lease liabilities, current portion 5,153   4,251 
Total current liabilities 251,512   248,637 
Operating lease liabilities, noncurrent 12,819   9,706 
Deferred income taxes, noncurrent 13,851   19,421 
Deferred revenue, noncurrent 269   157 
Revolving credit facility, noncurrent 166,000   203,500 
Financing obligations, noncurrent 51,172   50,248 
Other long-term liabilities 17,160   17,185 
Total liabilities 512,783   548,854 
Commitments and contingencies   
Redeemable non-controlling interest 8,286   10,345 
Stockholders' equity   
Common stock 58   59 
Treasury stock, at cost —   (60,598)
Additional paid-in capital 1,474,413   1,510,517 
Accumulated other comprehensive income (loss) 176   (121)
Accumulated deficit (385,335)  (393,039)
Total stockholders' equity 1,089,312   1,056,818 
Total liabilities, redeemable non-controlling interest, and stockholders' equity$1,610,381  $1,616,017 
 





nCino, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share and per share data)
(Unaudited)
 
 Three Months Ended July 31, Six Months Ended July 31,
  2024   2025   2024   2025 
Revenues       
Subscription$113,911  $130,752  $224,317  $256,340 
Professional services and other 18,492   18,063   36,173   36,612 
Total revenues 132,403   148,815   260,490   292,952 
Cost of revenues       
Subscription 33,367   37,992   65,147   74,117 
Professional services and other 20,564   22,698   39,964   44,268 
Total cost of revenues 53,931   60,690   105,111   118,385 
Gross profit 78,472   88,125   155,379   174,567 
Gross margin % 59%  59%  60%  60%
Operating expenses       
Sales and marketing 31,713   37,265   59,758   70,236 
Research and development 34,271   34,667   64,252   68,008 
General and administrative 20,394   25,489   42,938   47,132 
Total operating expenses 86,378   97,421   166,948   185,376 
Loss from operations (7,906)  (9,296)  (11,569)  (10,809)
Non-operating income (expense)       
Interest income 321   513   926   930 
Interest expense (1,835)  (4,444)  (3,312)  (8,894)
Other income (expense), net 150   717   (594)  16,814 
Loss before income taxes (9,270)  (12,510)  (14,549)  (1,959)
Income tax provision (benefit) 1,753   1,209   (1,229)  5,743 
Net loss (11,023)  (13,719)  (13,320)  (7,702)
Net income (loss) attributable to redeemable non-controlling interest (58)  (74)  (223)  2 
Adjustment attributable to redeemable non-controlling interest 75   1,612   919   1,991 
Net loss attributable to nCino, Inc.$(11,040) $(15,257) $(14,016) $(9,695)
Net loss per share attributable to nCino, Inc.:       
Basic and diluted$(0.10) $(0.13) $(0.12) $(0.08)
Weighted average number of common shares outstanding:       
Basic and diluted 115,180,130   115,256,497   114,694,001   114,657,339 
 





nCino, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
 
 Six Months Ended July 31,
  2024   2025 
Cash flows from operating activities   
Net loss attributable to nCino, Inc.$(14,016) $(9,695)
Net loss and adjustment attributable to redeemable non-controlling interest 696   1,993 
Net loss (13,320)  (7,702)
Adjustments to reconcile net loss to net cash provided by operating activities:   
Depreciation and amortization 17,219   21,407 
Non-cash operating lease costs 2,715   2,273 
Amortization of costs capitalized to obtain revenue contracts 5,645   7,230 
Amortization of debt issuance costs 31   144 
Stock-based compensation 35,044   34,430 
Change in fair value of contingent consideration —   300 
Deferred income taxes (2,656)  4,003 
Provision for bad debt 25   153 
Net foreign currency losses (gains) 392   (14,018)
Gains on investments —   (1,652)
Loss on disposal of long-lived assets 30   463 
Change in operating assets and liabilities:   
Accounts receivable 37,778   51,837 
Costs capitalized to obtain revenue contracts (8,382)  (6,639)
Prepaid expenses and other assets (2,430)  1,629 
Accounts payable 768   660 
Accrued expenses and other liabilities (8,645)  (16,368)
Deferred revenue (2,572)  (3,411)
Operating lease liabilities (2,201)  (2,606)
Other long term liabilities —   (77)
Net cash provided by operating activities 59,441   72,056 
Cash flows from investing activities   
Acquisition of business, net of cash acquired (90,839)  (50,263)
Acquisition of assets (300)  — 
Purchases of property and equipment (786)  (6,866)
Sale of investment —   3,684 
Net cash used in investing activities (91,925)  (53,445)
Cash flows from financing activities   
Repurchases of common stock —   (60,598)
Proceeds from borrowings on revolving credit facility 75,000   102,500 
Payments on revolving credit facility (35,000)  (65,000)
Payments of debt issuance costs (370)  — 
Exercise of stock options 1,737   1,294 
Stock issuance under the employee stock purchase plan 2,514   2,444 
Principal payments on financing obligations (722)  (824)
Net cash provided by (used in) financing activities 43,159   (20,184)
Effect of foreign currency exchange rate changes on cash, cash equivalents, and restricted cash (1,354)  3,529 
Net increase in cash, cash equivalents, and restricted cash 9,321   1,956 
Cash, cash equivalents, and restricted cash, beginning of period 117,444   121,267 
Cash, cash equivalents, and restricted cash, end of period$126,765  $123,223 
    
Reconciliation of cash, cash equivalents, and restricted cash, end of period:   
Cash and cash equivalents$121,410  $122,935 
Restricted cash included in long-term prepaid expenses and other assets 5,355   156 
Total cash, cash equivalents, and restricted cash, end of period$126,765  $123,223 
 

Non-GAAP Financial Measures

In nCino's public disclosures, nCino has provided non-GAAP measures, which are measurements of financial performance that have not been prepared in accordance with generally accepted accounting principles in the United States, or GAAP. In addition to its GAAP measures, nCino uses these non-GAAP financial measures internally for budgeting and resource allocation purposes and in analyzing our financial results. For the reasons set forth below, nCino believes that excluding the following items provides information that is helpful in understanding our operating results, evaluating our future prospects, comparing our financial results across accounting periods, and comparing our financial results to our peers, many of which provide similar non-GAAP financial measures.

There are limitations to using non-GAAP financial measures because non-GAAP financial measures are not prepared in accordance with GAAP and may be different from non-GAAP financial measures provided by other companies. The non-GAAP financial measures are limited in value because they exclude certain items that may have a material impact upon our reported financial results. In addition, they are subject to inherent limitations as they reflect the exercise of judgments by nCino's management about which items are adjusted to calculate its non-GAAP financial measures. nCino compensates for these limitations by analyzing current and future results on a GAAP basis as well as a non-GAAP basis and also by providing GAAP measures in its public disclosures. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. nCino encourages investors and others to review our financial information in its entirety, not to rely on any single financial measure to evaluate our business, and to view our non-GAAP financial measures in conjunction with the most directly comparable GAAP financial measures. A reconciliation of GAAP to the non-GAAP financial measures has been provided in the tables below.



nCino, Inc.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
(In thousands, except share and per share data)
(Unaudited)
 
 Three Months Ended July 31, Six Months Ended July 31,
  2024   2025   2024   2025 
GAAP total revenues$132,403  $148,815  $260,490  $292,952 
        
GAAP cost of subscription revenues$33,367  $37,992  $65,147  $74,117 
Amortization expense - developed technology (4,404)  (5,115)  (8,522)  (10,190)
Stock-based compensation (793)  (830)  (1,355)  (1,494)
Restructuring charges —   (496)  —   (496)
Non-GAAP cost of subscription revenues$28,170  $31,551  $55,270  $61,937 
        
GAAP cost of professional services and other revenues$20,564  $22,698  $39,964  $44,268 
Amortization expense - other (83)  (83)  (165)  (165)
Stock-based compensation (2,980)  (3,315)  (5,759)  (6,069)
Restructuring charges —   (722)  —   (722)
Non-GAAP cost of professional services and other$17,501  $18,578  $34,040  $37,312 
        
GAAP gross profit$78,472  $88,125  $155,379  $174,567 
Amortization expense - developed technology 4,404   5,115   8,522   10,190 
Amortization expense - other 83   83   165   165 
Stock-based compensation 3,773   4,145   7,114   7,563 
Restructuring charges —   1,218   —   1,218 
Non-GAAP gross profit$86,732  $98,686  $171,180  $193,703 
        
The following table sets forth reconciling items as a percentage of total revenue for the periods presented.1
GAAP gross margin % 59%  59%  60%  60%
Amortization expense - developed technology 3   3   3   3 
Amortization expense - other —   —   —   — 
Stock-based compensation 3   3   3   3 
Restructuring charges —   1   —   — 
Non-GAAP gross margin % 66%  66%  66%  66%
        
GAAP sales & marketing expense$31,713  $37,265  $59,758  $70,236 
Amortization expense - customer relationships (2,730)  (3,631)  (5,153)  (7,211)
Amortization expense - trade name (104)  (384)  (147)  (808)
Amortization expense - other (28)  (28)  (44)  (56)
Stock-based compensation (4,184)  (3,746)  (8,140)  (6,674)
Restructuring charges —   (1,383)  —   (1,383)
Acquisition-related expenses —   —   —   (335)
Non-GAAP sales & marketing expense$24,667  $28,093  $46,274  $53,769 
        
GAAP research & development expense$34,271  $34,667  $64,252  $68,008 
Stock-based compensation (5,286)  (3,685)  (9,512)  (7,800)
Restructuring charges —   (4,026)  —   (4,026)
Acquisition-related expenses —   (366)  —   (456)
Non-GAAP research & development expense$28,985  $26,590  $54,740  $55,726 
        
GAAP general & administrative expense$20,394  $25,489  $42,938  $47,132 
Stock-based compensation (5,596)  (7,040)  (10,278)  (12,393)
Acquisition-related expenses (947)  (1,018)  (5,987)  (1,933)
Litigation expenses (69)  —   (250)  — 
Restructuring charges —   (3,438)  —   (3,438)
Non-GAAP general & administrative expense$13,782  $13,993  $26,423  $29,368 
        
GAAP loss from operations$(7,906) $(9,296) $(11,569) $(10,809)
Amortization of intangible assets 7,349   9,241   14,031   18,430 
Stock-based compensation 18,839   18,616   35,044   34,430 
Acquisition-related expenses 947   1,384   5,987   2,724 
Litigation expenses 69   —   250   — 
Restructuring charges —   10,065   —   10,065 
Non-GAAP operating income$19,298  $30,010  $43,743  $54,840 
        
The following table sets forth reconciling items as a percentage of total revenue for the periods presented.1
GAAP operating margin %(6) % (6) % (4) % (4) %
Amortization of intangible assets 6   6   5   6 
Stock-based compensation 14   13   13   12 
Acquisition-related expenses 1   1   2   1 
Litigation expenses —   —   —   — 
Restructuring charges —   7   —   3 
Non-GAAP operating margin % 15%  20%  17%  19%
        
GAAP net loss attributable to nCino, Inc.$(11,040) $(15,257) $(14,016) $(9,695)
Amortization of intangible assets 7,349   9,241   14,031   18,430 
Stock-based compensation 18,839   18,616   35,044   34,430 
Acquisition-related expenses 947   1,384   5,987   2,724 
Litigation expenses 69   —   250   — 
Restructuring charges —   10,065   —   10,065 
Intercompany foreign currency Exchange (gain)/loss2 (278)  (650)  566   (14,950)
Tax provision (benefit) related to acquisition —   2,508   (3,609)  553 
Income tax effect on non-GAAP adjustments3 (313)  (1,845)  (763)  533 
Adjustment attributable to redeemable non-controlling interest 75   1,612   919   1,991 
Non-GAAP net income attributable to nCino, Inc.$15,648  $25,674  $38,409  $44,081 
        
Basic and diluted GAAP net loss attributable to nCino, Inc. per share$(0.10) $(0.13) $(0.12) $(0.08)
Weighted-average shares used to compute basic and diluted GAAP net loss attributable to nCino, Inc. per share 115,180,130   115,256,497   114,694,001   114,657,339 
        
Basic non-GAAP net income attributable to nCino, Inc. per share$0.14  $0.22  $0.33  $0.38 
Weighted-average shares used to compute basic non-GAAP net income attributable to nCino, Inc. per share 115,180,130   115,256,497   114,694,001   114,657,339 
        
Diluted non-GAAP net income attributable to nCino, Inc. per share$0.13  $0.22  $0.33  $0.38 
Weighted-average shares used to compute diluted non-GAAP net income attributable to nCino, Inc. per share 116,849,057   116,561,782   116,706,457   116,208,579 
        
Free cash flow       
Net cash provided by operating activities$4,999  $17,736  $59,441  $72,056 
Purchases of property and equipment (444)  (5,148)  (786)  (6,866)
Free cash flow$4,555  $12,588  $58,655  $65,190 
Principal payments on financing obligations4 (363)  (414)  (722)  (824)
Free cash flow less principal payments on financing obligations$4,192  $12,174  $57,933  $64,366 

1 Columns may not foot due to rounding.

2 Effective the beginning of our first quarter for fiscal year 2026, we are excluding intercompany foreign currency exchange gains and losses from the remeasurement of intercompany loans and transactions that are denominated in currencies other than the underlying functional currency of the applicable entity. Prior period amounts have been recast to reflect this change.

3 Income tax adjustments for prior periods have been recast related to excluding intercompany foreign currency exchange gains and losses related to intercompany loans and transactions from the remeasurement of intercompany loans and transactions that are denominated in currencies other than the underlying functional currency of the applicable entity as stated in the note above.

4 These amounts represent the non-interest component of payments towards financing obligations for facilities.



Primary Logo