Summary of Docebo Inc. Q4 2025 Earnings Call

1Key Financial Results and Metrics

Q4 Revenue Growth: Docebo reported a 9% year-over-year growth in Q4 2025, with subscription growth at approximately 9.5%.

Net Dollar Retention (NDRR): Declined to 99% year-over-year, primarily impacted by the loss of AWS, but would have been 101% excluding AWS.

Gross Bookings: Achieved the strongest gross bookings since 2021, with a reported growth of 12.5% including AWS.

EBITDA Margins: Continued expansion in EBITDA margins, attributed to disciplined execution and operational efficiencies.

2Strategic Updates and Business Highlights

Acquisition of 365 Talents: The integration is underway, with early positive feedback from customers regarding the combined capabilities. The acquisition aims to enhance Docebo's data moat and offer integrated solutions for skill gap identification and training.

Sales Strategy: Cross-training of sales staff began immediately post-acquisition, with a focus on selling both 365 Talents standalone and as part of a combined suite.

AI Initiatives: Strong demand for AI capabilities, with a focus on integrating AI into learning management solutions. The company is exploring AI credit pricing but facing mixed feedback from customers.

Government Sector: Early stages of government market penetration, with expectations for significant growth in the coming years.

3Forward Guidance and Outlook

2026 Guidance: Docebo expects revenue growth of 10% to 11% in 2026, with an emphasis on improving enterprise performance as a key lever for reacceleration.

Sales Focus: Plans to enhance sales productivity and efficiency, particularly in the enterprise segment, where performance was below expectations in 2025.

Market Positioning: The company is confident in its competitive position, emphasizing its unique data capabilities and product offerings.

4Bad News, Challenges, or Points of Concern

Enterprise Performance: The enterprise segment underperformed in 2025, with management acknowledging that some challenges were macroeconomic while others were related to execution.

NDRR Decline: The drop in NDRR to 99% raises concerns about customer retention, particularly due to the impact of losing AWS.

Market Competition: The competitive landscape is perceived as lacking innovation, with concerns about competitors using "AI by marketing" without delivering real value.

Workforce Reduction: A recent workforce reduction aimed at optimizing operations may raise concerns about the company’s ability to maintain growth and innovation.

5Notable Q&A Insights

Integration of 365 Talents: Management is optimistic about the integration process and its potential to enhance product offerings and customer engagement.

Sales Cycle Efficiency: There has been a notable reduction in sales cycle times, particularly in the mid-market segment, which could lead to increased sales velocity.

Customer Sentiment on AI: Customers are divided on AI adoption, with some seeking to leverage AI capabilities while others express caution regarding data security and compliance.

System Integrators: Approximately 80% of the enterprise pipeline now involves system integrators, indicating a strong partnership strategy that could enhance sales opportunities. Overall, Docebo Inc. is navigating a transitional phase with strategic acquisitions and a focus on AI integration while facing challenges in enterprise performance and customer retention. The outlook for 2026 appears cautiously optimistic, with a strong emphasis on execution and market positioning.