J.P. Morgan Healthcare Conference Investor Presentation · PDF file®2016 Veeva veeva.com...

®2016 Veeva Systems veeva.com |

J.P. Morgan Healthcare Conference

Investor Presentation Matt Wallach, President & Co-Founder

January 14, 2016


Safe Harbor Forward-looking Statements

This presentation contains forward-looking statements, including statements regarding Veeva's future financial outlook and financial performance,

market growth, the release dates for and benefits from the use of Veeva's solutions, our partnership plans, our strategies, and general business

conditions. Any forward-looking statements contained in this presentation are based upon Veeva'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 Veeva's expectations as of the date of this presentation. Subsequent events may cause these expectations to change, and

Veeva disclaims any obligation to update the forward-looking statements in the future. These forward-looking statements represent Veeva's

expectations as of the date of this press announcement. Subsequent events may cause these expectations to change, and Veeva disclaims any

obligation to update the forward-looking statements in the future. These forward-looking statements are subject to known and unknown risks and

uncertainties that may cause actual results to differ materially, including (i) our limited operating history, which makes it difficult to predict future

results;(ii) our expectation that the future growth rate of our revenues will decline, and that as our costs increase, we may not be able to generate

sufficient revenues to sustain the level of profitability we have achieved in the past or achieve profitability in the future; (iii) breaches in our security

measures, unauthorized access to our customers’ data, or system availability or performance problems associated with our data centers or

computing infrastructure; (iv) dependence on revenues from our Veeva CRM solution, and the rate of adoption of our new products; (v) acceptance

of our applications and services by customers, including renewals of existing subscriptions and purchases of subscriptions for additional users and

solutions; (vi) our ability to integrate the Zinc Ahead business, retain Zinc Ahead customers and achieve the expected results from our acquisition of

Zinc Ahead; (vii) loss of one or more key customers; (viii) adverse changes in general economic or market conditions, particularly in the life sciences

industry; (ix) delays or reductions in information technology spending, particularly in the life sciences industry, including as a result of mergers in the

life sciences industry; (x) the development of the market for enterprise cloud services, particularly in the life sciences industry; (xi) competitive

factors, including but not limited to pricing pressures, industry consolidation, difficulty securing rights to access, host or integrate with complementary

third party products or data used by our customers, entry of new competitors and new applications and marketing initiatives by our competitors; (xii)

our ability to manage our growth effectively; and (xiii) changes in sales that may not be immediately reflected in our results due to the ratable

recognition of our subscription revenue.

Additional risks and uncertainties that could affect Veeva’s financial results are included under the captions “Risk Factors” and “Management’s

Discussion and Analysis of Financial Condition and Results of Operations,” in the company’s filing on Form 10-Q for the period ended October 31,

2015, which is available on the company’s website at www.veeva.com under the Investors section and on the SEC’s website at www.sec.gov.

Further information on potential risks that could affect actual results will be included in other filings Veeva makes with the SEC from time to time.

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®2016 Veeva Systems veeva.com | ®2016 Veeva Systems veeva.com |

A Leading Provider of

Cloud Solutions to the

Global Life Sciences

Industry

Founded in 2007

$400M+ FY16 Revenue

1400+ Employees

HQ in Pleasanton, CA

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®2016 Veeva Systems veeva.com | ®2016 Veeva Systems veeva.com |

Vision Become the Leading Cloud Solutions Provider to the

Global Life Sciences Industry

Values Customer Success

Employee Success

Speed

4


Investor Highlights

Industry Cloud Business Model

Large Market Opportunity

Broad, Growing Suite of Products

Blue Chip Customer Base

Unique Combination of High

Growth and Strong Profitability

Fiscal Year Ending January 31

¹ Year to date figures represent results from first 9 months of the fiscal year

² Refer to our latest earnings release dated 11/24/2015 for GAAP to non-GAAP reconciliation

$130m

$210m

$313m

$30m

$47m

$86m

FY’13 FY’14 FY’15

Revenue Non-GAAP Operating Income²

Revenue and Profitability

$226m

$61m

$83m

$295m

YTD’15¹ YTD’16¹

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®2016 Veeva Systems veeva.com | 6

Emergence of Industry Cloud

Horizontal Client/Server

Industry Client/Server

Horizontal Cloud

Industry Cloud

1990s

2000s

2010+


Largest Segment of the Software Market Total Worldwide Software Market Share, 2014

27%

8%

8%

7% 6%

6%

5%

5%

4%

4%

4%

4%

3%

9% Vertical Specific Software

Operating Systems

Database Management Systems

Other Application Software

ERP

App Infrastructure / Middleware

CRM

IT Operations

Security

Office Suites

Storage Management

Business Intelligence

Other Infrastructure Software

Other

Source: Gartner, Market Share: All Software Markets Worldwide 2014, March 2015

$115B

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-1

0

1

2

3

4

5

6

7

8V

ert

ical S

pecific

Oth

er

app

lica

tion

s

CR

M

Mid

dle

ware

DM

S

ER

P

IT O

ps

Secu

rity

Sup

ply

Cha

in M

gm

t

Sto

rag

e M

gm

t

BI &

Ana

lytics

Socia

l

Oth

er

Infr

astr

uctu

re

Virtu

aliz

atio

n In

frastr

uctu

re

EC

M

App

De

v

Data

Inte

gra

tio

n

Pro

ject

Mg

mt

Offic

e S

uite

s

Conte

nt C

rea

tion

Th

ou

sa

nd

s

OS

Source: Gartner, Market Share: All Software Markets Worldwide 2014, March 2015

Ch

an

ge

in

sp

en

din

g f

rom

20

13

($B

)

8

…and with the Most Growth Dollar Growth by Software Category, Worldwide Software Market 2014


The Old Software Adage

The best software doesn’t

always win.


The New Reality

The best cloud software will

always win.


Significant IT Spend and Large Market

Opportunity

Sources: IDC, Worldwide IT Spending Guide – Life Science, March 2015; Veeva Systems estimates

$19B Infrastructure

$33B Software & Services

Annual Life Sciences IT Spending

$52B $5B+ Current Addressable Market

$2B+ Content Management (Vault)

$1B Master Data Management & Data (Network & OpenData)

$2B Sales Productivity &

Compliance Tools (CRM)

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2015 New Drug Approvals Hit 66-year High

Product approvals

2014 Product approvals

2015

44 51 Sources: Forbes: 2014 New Drug Approvals Hit 18-Year High. Jan 2, 2015

Forbes: 2015 New Drug Approvals Hit 66-Year High. Jan 4, 2016

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Veeva Spans an Entire Life Sciences

Company

Regulatory Information

Management

Investigator

Portal eTMF QualityDocs MedComms PromoMats

Customer Master

Regulatory Clinical

Trials

Quality and

Manufacturing Marketing Sales

Research & Development Commercial

Medical

Affairs

Field

Medical

KOL Data

& Services

Medical

Data Services Email Services Customer &

Compliance Data

Approved

Email CLM CRM Engage CoBrowse Align Events

Management

13

Product Master


INTEGRATED + BEST-OF-BREED


Veeva Commercial Cloud D

ATA

C

ON

TE

NT

IN

TE

RA

CT

ION

S

15


R&D Cloud

CLINICAL QUALITY REGULATORY

PLATFORM

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Select Veeva Customers 375+ customers with users in over 80 countries

Enterprise Emerging Growth

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Targeting a $1B Revenue Run-rate in CY2020

2015 2020

$1B

~$400M+

75%

20%

~50%

~35-40%

~10-15%

CRM Vault Network / OpenData / Other

(FY16 Guidance) (CY Revenue Run Rate)

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Vault Tracking Ahead vs. Early Days of CRM

Vault

CRM

Note: First quarter of sales was Q2’08 for CRM and Q2’12 for Vault

Quarters after product line launch

Total revenue through first ~4 years of sales by product line

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Vault Customers Expand Over Time

First year Q2'16

2013 2014 2015

1.2x

3.0x

9.6x

1.3

Avg. Vaults per

customer

2.0

2.2

Annualized Vault subscription revenue by annual cohort

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Competitive Advantage

Industry

Expertise

Amazing

Cloud

Software

Regulatory

Compliance in

the Cloud

Deep Industry-

Specific

Functionality

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Most Important Competitive Advantage

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Thank You

J.P. Morgan Healthcare Conference Investor Presentation · PDF file®2016 Veeva veeva.com...

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