Workiva Inc
NYSE:WK
Workiva Inc
In the heart of Ames, Iowa, a spark of innovation ignited the founding of Workiva Inc., a company that has redefined the landscape of financial reporting and compliance. Born out of a need to streamline the cumbersome and often error-prone processes of data management and regulatory filing, Workiva carved a niche within the corporate compliance ecosystem. It leverages its cloud-based platform, Wdesk, to offer a comprehensive suite of solutions that allow organizations to synthesize vast amounts of data, improve accuracy, and ensure timely reporting. The company taps into modern cloud technology to offer seamless integration with various data sources, facilitating real-time collaboration and insights. This empowers organizations to connect disparate data points, comply with ever-evolving regulatory requirements, and present clear, transparent reports to stakeholders and regulatory bodies with confidence.
Workiva's revenue model revolves around a subscription-based system, where clients pay for access to its versatile platform and dedicated customer support. By prioritizing customer success and innovation, the company ensures that its platform remains indispensable for its client base, which spans industries from finance to government to healthcare. As businesses grapple with increasing numbers of regulatory mandates and the demands for transparency from stakeholders, Workiva continues to expand its offerings, further embedding itself within the operational fabric of its clients. Its financial strategy focuses not only on enhancing its technology but also on scaling its customer base, both of which are pivotal in driving the company's growth and sustaining its leadership position in the regulatory compliance and data management sector.
In the heart of Ames, Iowa, a spark of innovation ignited the founding of Workiva Inc., a company that has redefined the landscape of financial reporting and compliance. Born out of a need to streamline the cumbersome and often error-prone processes of data management and regulatory filing, Workiva carved a niche within the corporate compliance ecosystem. It leverages its cloud-based platform, Wdesk, to offer a comprehensive suite of solutions that allow organizations to synthesize vast amounts of data, improve accuracy, and ensure timely reporting. The company taps into modern cloud technology to offer seamless integration with various data sources, facilitating real-time collaboration and insights. This empowers organizations to connect disparate data points, comply with ever-evolving regulatory requirements, and present clear, transparent reports to stakeholders and regulatory bodies with confidence.
Workiva's revenue model revolves around a subscription-based system, where clients pay for access to its versatile platform and dedicated customer support. By prioritizing customer success and innovation, the company ensures that its platform remains indispensable for its client base, which spans industries from finance to government to healthcare. As businesses grapple with increasing numbers of regulatory mandates and the demands for transparency from stakeholders, Workiva continues to expand its offerings, further embedding itself within the operational fabric of its clients. Its financial strategy focuses not only on enhancing its technology but also on scaling its customer base, both of which are pivotal in driving the company's growth and sustaining its leadership position in the regulatory compliance and data management sector.
Strong Revenue Growth: Q4 total revenue grew 20% year-over-year to $239 million, and full year 2025 revenue was up 20% to $885 million, both beating guidance.
Subscription Momentum: Q4 subscription revenue increased 21% year-over-year to $219 million; 22% growth for the full year.
Profitability Ahead of Plan: Q4 non-GAAP operating margin was 19.1%, a 1,170 basis point improvement from last year and 160 basis points above guidance. Full year margin was 9.9%, also beating guidance.
AI Adoption Growing: Almost 30% of customers have enabled AI features, with increasing use and positive feedback. AI is a key part of new customer wins and included in premium pricing tiers.
Guidance Raised: 2026 revenue guidance set at $1.036–$1.04 billion, with subscription revenue expected to grow 19% and operating margin to improve to 15%–15.5%. Free cash flow margin expected at 19%.
Customer Retention: Q4 gross retention rate was 97% and net retention rate was 113%, both above targets.
Capital Return: Share repurchase program increased by $250 million, reflecting confidence in the business.
Stable Guidance Approach: Guidance philosophy and long-term financial targets for 2027 and 2030 remain unchanged.
