Docebo Inc. reported third‑quarter 2025 revenue of $61.6 million, up 11% from $58.5 million in the same period a year earlier. Subscription revenue, the company’s core recurring stream, rose 10% to $58.0 million, driven by stronger demand in its mid‑market and federal government segments and a higher mix of high‑margin AI‑enabled contracts.
Net income climbed to $6.1 million, a 22% increase from $5.0 million a year ago, and basic and diluted earnings per share reached $0.21. The $0.01 beat over the consensus estimate of $0.33 was largely a result of disciplined cost management and the higher contribution margin from AI‑first product sales, which offset modest increases in support and professional services costs.
Adjusted EBITDA surged to $12.4 million, up 42.5% from $8.7 million a year earlier, lifting the margin to 20.1% from 15.7%. The margin expansion reflects a favorable revenue mix shift toward higher‑margin AI‑enabled subscriptions and improved operational leverage as the platform scales.
Annual recurring revenue reached $235.6 million, up 10.1% year‑over‑year, while average contract value grew 15.7% to $62.8 k. Customer count increased to 3,978, slightly below the analyst average of 4,012, but the company noted a higher proportion of customers spending over $100,000, indicating deeper penetration in larger enterprise accounts.
Management reiterated full‑year guidance, raising total revenue outlook to $62.0 million–$62.2 million for Q4 and projecting 11.40% growth for the full year, up from the prior guidance of 11.10%. Subscription revenue growth was revised to 11.75% for the year, and adjusted EBITDA margin guidance was set at 18.0% for 2025, reflecting confidence in continued margin expansion.
CEO Alessio Artuffo said the results “exceed expectations, driven by the pace of innovation in our AI‑first platform and stronger systems‑integrator partnerships.” He added that the company’s focus on federal and state/local education markets is delivering “steady progress” and that disciplined execution will continue to support long‑term value creation.
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