Workiva Q1 2025 slides: 20% subscription growth as multi-solution strategy gains traction

Introduction & Market Context

Workiva Inc . (NYSE:WK) presented its Q1 2025 investor presentation on May 1, 2025, highlighting strong subscription revenue growth and continued execution of its multi-solution platform strategy. The company, which provides integrated reporting solutions across financial, sustainability, and governance sectors, is targeting a total addressable market (TAM) of $35 billion.

The presentation emphasized Workiva’s position as "the only platform for assured integrated reporting" in a market increasingly focused on data connectivity and regulatory compliance. Following the earnings release, Workiva’s stock traded at $74.39, down slightly from its previous close of $75.27.

As shown in the following chart breaking down Workiva’s total addressable market by region:

The company’s TAM is distributed across the Americas ($16.4B), Europe ($10.9B), and Asia-Pacific ($7.7B). By segment, the market opportunity is divided into:

Quarterly Performance Highlights

Workiva reported impressive Q1 2025 financial results, with subscription revenue reaching $186 million, representing 20% year-over-year growth compared to Q1 2024. The company maintained strong customer retention metrics with a 97% gross retention rate and 110% net retention rate.

The following chart illustrates Workiva’s consistent subscription revenue growth trajectory:

Total (EPA:TTEF) Remaining Performance Obligation (RPO), a key indicator of future revenue, grew to $1.17 billion in Q1 2025, marking a 26% increase from Q1 2024:

Workiva’s customer base continued to expand, reaching 6,385 customers in Q1 2025, up from 6,074 in Q1 2024 and 5,754 in Q1 2023:

Particularly notable was the company’s success in growing its base of high-value customers. The number of customers with Annual Contract Value (ACV) exceeding $100,000 grew 23% year-over-year to 2,079, while customers with ACV over $300,000 and $500,000 both increased by 32%:

Strategic Initiatives

Workiva’s growth strategy centers on its integrated platform approach, offering solutions across financial reporting, sustainability management, and governance, risk and compliance (GRC). The company highlighted how its platform enables organizations to connect data, unify processes, and empower teams.

The breadth of Workiva’s platform solutions is illustrated in the following comprehensive overview:

A key strategic focus is driving multi-solution adoption among customers. The percentage of subscription revenue from multi-solution customers has steadily increased from 63% in Q1 2023 to 69% in Q1 2025, demonstrating the success of this approach:

The company showcased several Q1 2025 deal highlights, including a six-figure deal with a European travel company that purchased multiple solutions spanning financial reporting, global statutory reporting, management reporting, policies & procedures, and sustainability reporting. Another notable win was a mid-six-figure deal with a telecom company in APAC that adopted seven different Workiva solutions.

Forward-Looking Statements

For Q2 2025, Workiva provided guidance for total revenue between $208 million and $210 million, representing 17.2% to 18.3% year-over-year growth. The company expects to reach approximately break-even on a non-GAAP operating margin basis with non-GAAP EPS of approximately $0.05.

For the full year 2025, Workiva projects:

• Total revenue of $864 million to $868 million (17.0% to 17.5% year-over-year growth)
• Non-GAAP operating margin of 5.0% to 5.5%
• Non-GAAP EPS of $1.02 to $1.09
• Non-GAAP free cash flow margin of approximately 10%

The company’s detailed guidance is presented in the following slide:

Looking beyond 2025, Workiva outlined ambitious medium and long-term targets for its non-GAAP operating model:

The company aims to expand its gross margin from 78% in 2024 to approximately 85% by 2030, while significantly improving operating efficiency across research & development, sales & marketing, and general & administrative expenses. This is expected to drive non-GAAP operating margin from the current 5.0%-5.5% guidance for 2025 to approximately 16% by 2027 and 24% by 2030.

Competitive Industry Position

Workiva emphasized its unique position in addressing the growing complexity of reporting requirements across financial, regulatory, and sustainability domains. The company highlighted how its platform helps organizations manage this complexity through unified reporting, connectivity, data management, cross-team workflow, controlled collaboration, and intelligent productivity.

Customer testimonials featured in the presentation reinforced Workiva’s competitive advantages. Annalise Di Santo, Senior Analyst at Energy Recovery (NASDAQ:ERII), noted: "The connectivity we’re able to achieve with Workiva Carbon, Workiva Sustainability, and Workiva SEC is unlike any other software that’s out there." Similarly, Jason Darby, Chief Financial Officer at Amalgamated Bank (NASDAQ:AMAL), highlighted the platform’s security and data control capabilities.

Workiva’s sustainability management solutions were prominently featured, reflecting the growing importance of ESG reporting and carbon accounting. The company’s approach combines strategy setting, data unification, and team efficiency tools to help organizations meet evolving sustainability reporting requirements like the Corporate Sustainability Reporting Directive (CSRD) and International Sustainability Standards Board (ISSB) frameworks.

With its comprehensive platform approach and strong execution across key financial and customer metrics, Workiva appears well-positioned to capitalize on the growing demand for integrated reporting solutions while progressing toward its ambitious long-term profitability targets.

Full presentation:

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