VEEVVeeva Systems
Is the business good?
A genuinely good business: earnings fully cash-backed (2.1×) and margins widening.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
Margin-driven, fat margins on slower asset turns. ROE 13% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is VEEV?
Veeva Systems keeps 30% of every revenue dollar as operating profit, against 2.8% for the median Health Information Services name.
Operating margin · Health Information Services median 2.8% · 12 months to Q2 2027
- Cash conversion
- 2.10×
Cash conversion · 2.19× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −1.6%
Share count, year on year · bought back, each share owns more of the company
- R&D as % of revenue
- 24%
R&D as % of revenue
| Year | Operating margin |
|---|---|
| FY2021 | 26% |
| FY2022 | 27% |
| FY2023 | 21% |
| FY2024 | 18% |
| FY2025 | 25% |
| FY2026 | 29% |
Details›
- Gross margin12 months to Q2 2027
- 75%
- Operating margin12 months to Q2 2027
- 30%
- Net margin12 months to Q2 2027
- 29%
- R&D as % of revenue
- 24%
- Revenue, trailing twelve months
- $3.46B
- Net income, trailing twelve months
- $1.01B
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Health Information Services
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