Workiva Announces Fourth Quarter and Full Year 2025 Financial Results
NEW YORK--( BUSINESS WIRE)--Workiva Inc. (NYSE: WK), a leading, AI-powered platform for trust, transparency, and accountability, today announced financial results for its fourth quarter and full year ended December 31, 2025.
“We had a strong finish to the year, with accelerated growth and profitability compared to last year. Our fit-for-purpose solutions for Financial Reporting, GRC, and Sustainability continue to resonate with the office of the CFO, delivering trusted data and insights in the AI era,” said Julie Iskow, President & Chief Executive Officer. “Our Q4 performance underscores the critical relevance of our AI-powered platform in delivering trust and transparency. FY 2025 was also a year of strategic evolution that sets us up well for the long-term durable growth opportunity we see ahead of us, built on a foundation of innovation and reliability.”
“We outperformed both the top and bottom line driven by strong execution across the business. FY 2025 subscription revenue grew by 22% year-over-year, and non-GAAP operating margin was 9.9%, up from 4.3% the year prior,” said Barbara Larson, Chief Financial Officer. “I'm thrilled to have joined Workiva on the heels of an outstanding year. I look forward to partnering with Julie to drive operational excellence, focus on continued margin expansion, and execute a growth strategy that positions us to surpass one billion dollars in total revenue in 2026.”
Fourth Quarter 2025 Financial Results
Key Metrics and Recent Business Highlights
Full Year 2025 Financial Results
Financial Outlook
As of February 19, 2026, Workiva is providing guidance as follows:
First Quarter 2026 Guidance:
Full Year 2026 Guidance:
Quarterly Conference Call
Workiva will host a webcast today at 5:00 p.m. Eastern Time to review the Company’s financial results for the fourth quarter and full fiscal year 2025, in addition to discussing the Company’s outlook for the first quarter and full year 2026. The call can be accessed by dialing 1-833-630-1956 (U.S. domestic) or 1-412-317-1837 (international). Additionally, a live webcast and replay will be available at https://investor.workiva.com/news-events/events.
About Workiva
Workiva Inc. (NYSE: WK) powers trust, transparency, and accountability. Accounting, finance, sustainability, risk and audit teams from more than 6,600 organizations, including over 85% of Fortune 1,000 companies rely on Workiva for their mission-critical work. We transform how customers connect data, unify processes, and empower teams in a secure, audit-ready, AI-powered collaborative platform. Learn more at workiva.com.
Non-GAAP Financial Measures
The non-GAAP adjustments referenced herein relate to the exclusion of stock-based compensation and amortization of acquisition-related intangible assets. A reconciliation of GAAP to non-GAAP historical financial measures has been provided in Table I at the end of this press release. A reconciliation of GAAP to non-GAAP guidance has been provided in Table II at the end of this press release.
Workiva believes that the use of non-GAAP gross profit, non-GAAP income from operations and non-GAAP operating margin, non-GAAP net income, non-GAAP net income per share, free cash flow and free cash flow margin is helpful to its investors. These measures, which are referred to as non-GAAP financial measures, are not prepared in accordance with generally accepted accounting principles in the United States, or GAAP. Workiva’s management uses these non-GAAP financial measures as tools for financial and operational decision making and for evaluating Workiva’s own operating results over different periods of time.
Non-GAAP gross profit is calculated by excluding stock-based compensation expense and amortization expense for acquisition-related intangible assets attributable to cost of revenues from gross profit. Non-GAAP income from operations is calculated by excluding stock-based compensation expense and amortization expense for acquisition-related intangible assets from loss from operations. Non-GAAP operating margin is the ratio calculated by dividing non-GAAP income from operations by revenues. Non-GAAP net income is calculated by excluding stock-based compensation expense, net of tax and amortization expense for acquisition-related intangible assets from net income (loss). Non-GAAP net income per share is calculated by dividing non-GAAP net income by the weighted- average shares outstanding as presented in the calculation of GAAP net income (loss) per share. Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact a company’s non-cash expenses, Workiva believes that providing non-GAAP financial measures that exclude stock-based compensation expense allows for more meaningful comparisons between its operating results from period to period. For business combinations, we generally allocate a portion of the purchase price to intangible assets. The amount of the allocation is based on estimates and assumptions made by management and is subject to amortization. The amount of purchase price allocated to intangible assets and the term of its related amortization can vary significantly and are unique to each acquisition and thus we do not believe they are reflective of ongoing operations.
Free cash flow, a non-GAAP measure, represents cash flow from operating activities less purchase of property and equipment. Free cash flow margin is calculated by dividing free cash flow by total revenue. We consider free cash flow and free cash flow margin to be liquidity measures that provide useful information to investors about the amount of cash generated or used by the business.
Non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in Workiva’s industry, as other companies in the industry may calculate non-GAAP financial results differently. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies and exclude expenses that may have a material impact on Workiva’s reported financial results. Further, stock-based compensation expense has been and will continue to be for the foreseeable future a significant recurring expense in Workiva’s business and an important part of the compensation provided to its employees. The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Investors should review the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures included below, and not rely on any single financial measure to evaluate Workiva’s business.
Forward-Looking Statements
Certain statements in this press release are "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbor created thereby. These statements relate to future events or the Company’s future financial performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results, levels of activity, performance or achievements of the Company or its industry to be materially different from those expressed or implied by any forward-looking statements. In particular, statements about the Company’s expectations, beliefs, plans, objectives, assumptions, future events or future performance contained in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by terminology such as "may," "will," "could," "would," "should," "expect," "plan," "anticipate," "intend," "believe," "estimate," "predict," "potential," "outlook," "guidance," "target," "goal," "project," "continue to," "confident," or the negative of those terms or other comparable terminology.
Please see the Company’s documents filed or to be filed with the Securities and Exchange Commission, including the Company’s annual reports filed on Form 10-K and quarterly reports on Form 10-Q, and any amendments thereto for a discussion of certain important risk factors that relate to forward-looking statements contained in this report. The Company has based these forward-looking statements on its current expectations, assumptions, estimates and projections. While the Company believes these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond the Company’s control. These and other important factors may cause actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements. Any forward-looking statements are made only as of the date hereof, and unless otherwise required by applicable securities laws, the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
WORKIVA INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except share and per share amounts)
Three months ended December 31,
Year ended December 31,
2025
2024
2025
2024
(unaudited)
Revenue
Subscription and support
$
219,332
$
180,897
$
812,627
$
667,646
Professional services
19,603
18,992
71,941
71,034
Total revenue
238,935
199,889
884,568
738,680
Cost of revenue
Subscription and support (1)
33,482
32,204
136,645
118,697
Professional services (1)
12,685
13,485
53,785
53,358
Total cost of revenue
46,167
45,689
190,430
172,055
Gross profit
192,768
154,200
694,138
566,625
Operating expenses
Research and development (1)
54,818
50,607
214,844
192,935
Sales and marketing (1)
102,049
90,157
408,872
347,243
General and administrative (1)
28,041
26,756
112,863
102,981
Total operating expenses
184,908
167,520
736,579
643,159
Income (loss) from operations
7,860
(13,320
)
(42,441
)
(76,534
)
Interest income
8,620
9,306
34,153
39,395
Interest expense
(3,193
)
(3,197
)
(12,777
)
(12,865
)
Other (expense) income, net
(699
)
872
(1,350
)
563
Income (loss) before provision for income taxes
12,588
(6,339
)
(22,415
)
(49,441
)
Provision for income taxes
772
2,476
3,754
5,601
Net income (loss)
$
11,816
$
(8,815
)
$
(26,169
)
$
(55,042
)
Net income (loss) per common share:
Basic
$
0.21
$
(0.16
)
$
(0.47
)
$
(0.99
)
Diluted
$
0.20
$
(0.16
)
$
(0.47
)
$
(0.99
)
Weighted-average common shares outstanding
Basic
56,503,191
55,739,950
56,272,517
55,355,381
Diluted
57,903,207
55,739,950
56,272,517
55,355,381
(1) Includes stock-based compensation expense as follows:
Three months ended December 31,
Year ended December 31,
2025
2024
2025
2024
(unaudited)
Cost of revenue
Subscription and support
$
2,692
$
2,271
$
10,271
$
7,979
Professional services
1,057
873
4,261
3,221
Operating expenses
Research and development
9,669
5,562
28,867
21,036
Sales and marketing
12,612
8,869
42,108
35,339
General and administrative
10,314
8,696
37,438
34,575
WORKIVA INC.
CONSOLIDATED BALANCE SHEETS
(in thousands)
As of December 31,
2025
2024
Assets
Current assets
Cash and cash equivalents
$
338,769
$
301,835
Marketable securities
552,852
514,585
Accounts receivable, net
168,984
148,433
Deferred costs
62,619
50,914
Other receivables
10,383
10,276
Prepaid expenses and other
28,778
22,199
Total current assets
1,162,385
1,048,242
Property and equipment, net
20,546
21,825
Operating lease right-of-use assets
13,986
11,786
Deferred costs, non-current
59,767
54,858
Goodwill
206,164
196,844
Intangible assets, net
22,270
27,389
Other assets
8,453
7,525
Total assets
$
1,493,571
$
1,368,469
Liabilities and Stockholders’ Deficit
Current liabilities
Accounts payable
$
8,932
$
7,747
Accrued expenses and other current liabilities
113,115
126,508
Deferred revenue
547,919
457,608
Convertible senior notes, current
71,072
—
Finance lease obligations
614
562
Total current liabilities
741,652
592,425
Convertible senior notes, non-current
696,263
764,891
Deferred revenue, non-current
37,305
29,681
Other long-term liabilities
92
227
Operating lease liabilities, non-current
10,472
9,441
Finance lease obligations, non-current
13,223
13,488
Total liabilities
1,499,007
1,410,153
Stockholders’ deficit
Common stock
57
56
Additional paid-in-capital
720,923
672,363
Accumulated deficit
(733,852
)
(707,683
)
Accumulated other comprehensive income (loss)
7,436
(6,420
)
Total stockholders’ deficit
(5,436
)
(41,684
)
Total liabilities and stockholders’ deficit
$
1,493,571
$
1,368,469
WORKIVA INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Three months ended December 31,
Year ended December 31,
2025
2024
2025
2024
(unaudited)
Cash flows from operating activities
Net income (loss)
$
11,816
$
(8,815
)
$
(26,169
)
$
(55,042
)
Adjustments to reconcile net income (loss) to net cash provided by operating activities
Depreciation and amortization
2,461
2,911
10,990
11,003
Stock-based compensation expense
36,344
26,271
122,945
102,150
Provision for (recovery of) doubtful accounts
72
85
(214
)
39
Accretion of premiums and discounts on marketable securities, net
(940
)
(2,286
)
(5,144
)
(11,829
)
Amortization of debt discount and issuance costs
612
610
2,444
2,436
Deferred income tax
(321
)
(337
)
(396
)
(629
)
Changes in assets and liabilities:
Accounts receivable
(24,357
)
(12,845
)
(17,475
)
(24,352
)
Deferred costs
(15,096
)
(19,337
)
(13,732
)
(34,477
)
Operating lease right-of-use assets
1,500
1,328
5,636
5,136
Other receivables
(229
)
(1,680
)
(8
)
1,116
Prepaid expenses and other
(3,162
)
(1,311
)
(6,083
)
1,453
Other assets
(1,047
)
(1,094
)
(356
)
(2,285
)
Accounts payable
(2,314
)
(5,231
)
651
2,399
Deferred revenue
55,862
51,681
88,703
73,840
Operating lease liabilities
(1,230
)
(907
)
(4,121
)
(3,738
)
Accrued expenses and other liabilities
(9,009
)
14,927
(17,601
)
20,486
Net cash provided by operating activities
50,962
43,970
140,070
87,706
Cash flows from investing activities
Purchase of property and equipment
(226
)
(809
)
(2,075
)
(1,363
)
Purchase of marketable securities
(112,221
)
(92,160
)
(425,492
)
(402,235
)
Maturities of marketable securities
98,771
106,290
390,473
452,023
Sale of marketable securities
2,533
—
2,533
4,609
Acquisitions, net of cash acquired
—
—
—
(98,092
)
Purchase of intangible assets
(286
)
(74
)
(391
)
(191
)
Net cash (used in) provided by investing activities
(11,429
)
13,247
(34,952
)
(45,249
)
Cash flows from financing activities
Proceeds from option exercises
3,346
1,044
6,220
4,909
Taxes paid related to net share settlements of stock-based compensation awards
(9,154
)
(34
)
(22,674
)
(11,458
)
Proceeds from shares issued in connection with employee stock purchase plan
—
—
13,698
13,822
Repurchases of Class A common stock
(11,507
)
—
(71,628
)
—
Principal payments on finance lease obligations
(142
)
(137
)
(560
)
(532
)
Net cash (used in) provided by financing activities
(17,457
)
873
(74,944
)
6,741
Effect of foreign exchange rates on cash
779
(4,494
)
6,957
(3,569
)
Net increase in cash, cash equivalents, and restricted cash
22,855
53,596
37,131
45,629
Cash, cash equivalents, and restricted cash at beginning of period
316,626
248,754
302,350
256,721
Cash, cash equivalents, and restricted cash at end of period
$
339,481
$
302,350
$
339,481
$
302,350
Three months ended December 31,
Year ended December 31,
2025
2024
2025
2024
(unaudited)
Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets
Cash and cash equivalents at end of period
$
338,769
$
301,835
$
338,769
$
301,835
Restricted cash included within prepaid expenses and other at end of period
712
515
712
515
Total cash, cash equivalents, and restricted cash at end of period shown in the consolidated statements of cash flows
$
339,481
$
302,350
$
339,481
$
302,350
TABLE I
WORKIVA INC.
RECONCILIATION OF NON-GAAP INFORMATION
(in thousands, except share and per share)
Three months ended December 31,
Year ended December 31,
2025
2024
2025
2024
Gross profit, subscription and support
$
185,850
$
148,693
$
675,982
$
548,949
Add back: Stock-based compensation
2,692
2,271
10,271
7,979
Add back: Amortization of acquisition-related intangibles
970
916
3,771
1,923
Gross profit, subscription and support, non-GAAP
$
189,512
$
151,880
$
690,024
$
558,851
Gross profit, professional services
$
6,918
$
5,507
$
18,156
$
17,676
Add back: Stock-based compensation
1,057
873
4,261
3,221
Gross profit, professional services, non-GAAP
$
7,975
$
6,380
$
22,417
$
20,897
Gross profit
$
192,768
$
154,200
$
694,138
$
566,625
Add back: Stock-based compensation
3,749
3,144
14,532
11,200
Add back: Amortization of acquisition-related intangibles
970
916
3,771
1,923
Gross profit, non-GAAP
$
197,487
$
158,260
$
712,441
$
579,748
Cost of revenue, subscription and support
$
33,482
$
32,204
$
136,645
$
118,697
Less: Stock-based compensation
2,692
2,271
10,271
7,979
Less: Amortization of acquisition-related intangibles
970
916
3,771
1,923
Cost of revenue, subscription and support, non-GAAP
$
29,820
$
29,017
$
122,603
$
108,795
Cost of revenue, professional services
$
12,685
$
13,485
$
53,785
$
53,358
Less: Stock-based compensation
1,057
873
4,261
3,221
Cost of revenue, professional services, non-GAAP
$
11,628
$
12,612
$
49,524
$
50,137
Research and development
$
54,818
$
50,607
$
214,844
$
192,935
Less: Stock-based compensation
9,669
5,562
28,867
21,036
Less: Amortization of acquisition-related intangibles
69
495
1,279
2,762
Research and development, non-GAAP
$
45,080
$
44,550
$
184,698
$
169,137
Sales and marketing
$
102,049
$
90,157
$
408,872
$
347,243
Less: Stock-based compensation
12,612
8,869
42,108
35,339
Less: Amortization of acquisition-related intangibles
489
453
1,905
1,745
Sales and marketing, non-GAAP
$
88,948
$
80,835
$
364,859
$
310,159
General and administrative
$
28,041
$
26,756
$
112,863
$
102,981
Less: Stock-based compensation
10,314
8,696
37,438
34,575
General and administrative, non-GAAP
$
17,727
$
18,060
$
75,425
$
68,406
Income (loss) from operations
$
7,860
$
(13,320
)
$
(42,441
)
$
(76,534
)
Add back: Stock-based compensation
36,344
26,271
122,945
102,150
Add back: Amortization of acquisition-related intangibles
1,528
1,864
6,955
6,429
Income from operations, non-GAAP
$
45,732
$
14,815
$
87,459
$
32,045
GAAP operating margin
3.4
%
(6.6
)%
(4.8
)%
(10.3
)%
Non-GAAP operating margin
19.1
%
7.4
%
9.9
%
4.3
%
Net income (loss)
$
11,816
$
(8,815
)
$
(26,169
)
$
(55,042
)
Add back: Stock-based compensation
36,344
26,271
122,945
102,150
Add back: Amortization of acquisition-related intangibles
1,528
1,864
6,955
6,429
Net income, non-GAAP
$
49,688
$
19,320
$
103,731
$
53,537
Net income (loss) per basic share
$
0.21
$
(0.16
)
$
(0.47
)
$
(0.99
)
Add back: Stock-based compensation
0.64
0.48
2.19
1.84
Add back: Amortization of acquisition-related intangibles
0.03
0.03
0.12
0.12
Net income per basic share, non-GAAP
$
0.88
$
0.35
$
1.84
$
0.97
Net income (loss) per diluted share
$
0.20
$
(0.16
)
$
(0.47
)
$
(0.99
)
Net income per diluted share, non-GAAP
$
0.78
$
0.33
$
1.78
$
0.94
Weighted-average common shares outstanding - diluted
57,903,207
55,739,950
56,272,517
55,355,381
Weighted-average common shares outstanding - diluted, non-GAAP
64,035,232
58,305,243
58,295,120
56,687,199
Net cash provided by operating activities
$
50,962
43,970
140,070
87,706
Purchase of property and equipment
(226
)
(809
)
(2,075
)
(1,363
)
Free cash flow
$
50,736
$
43,161
$
137,995
$
86,343
Operating cash flow margin
21.3
%
22.0
%
15.8
%
11.9
%
Free cash flow margin
21.2
%
21.6
%
15.6
%
11.7
%
TABLE II
WORKIVA INC.
RECONCILIATION OF NON-GAAP GUIDANCE
Three months ending March 31, 2026
Year ending December 31, 2026
GAAP operating margin
2.7
%
-
3.3
%
2.6
%
-
3.2
%
Add back: Stock-based compensation
12.2
%
-
12.1
%
11.8
%
-
11.7
%
Add back: Amortization of acquisition-related intangibles
0.6
%
-
0.6
%
0.6
%
-
0.6
%
Non-GAAP operating margin
15.5
%
-
16.0
%
15.0
%
-
15.5
%
Net income per diluted share, GAAP
$
0.17
-
$
0.20
$
0.70
-
$
0.80
Add back: Stock-based compensation
0.51
-
0.51
2.11
-
2.11
Add back: Amortization of acquisition-related intangibles
0.03
-
0.03
0.10
-
0.10
Effect of potentially dilutive securities
(0.07
)
-
(0.07
)
(0.25
)
-
(0.25
)
Net income per diluted share, non-GAAP
$
0.64
-
$
0.67
$
2.66
-
$
2.76
Weighted-average common shares used in calculating GAAP earnings per share, diluted
57,700,000
57,700,000
57,800,000
57,800,000
Weighted-average common shares used in calculating non-GAAP earnings per share, diluted
63,800,000
63,800,000
63,000,000
63,000,000