Company: VEEV
Filing Date: 2025-06-02
Form Type: 10-Q
Source: 0001393052-25-000042
Chunk: 172

Company: VEEVA SYSTEMS INC
Filing Date: 2025-06-02
Form: 10-Q
Item: Part I, Item 1
Chunk 172
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 we expect cash flows from operating activities to be substantially less in each of the subsequent quarters of the fiscal year. Our primary uses of cash from operating activities are for employee-related expenditures, expenses related to our computing infrastructure (including Amazon Web Services and Salesforce, Inc.), building infrastructure costs (including leases for office space), and fees for third-party legal counsel and accounting services.

Net cash provided by operating activities was $877 million for the three months ended April 30, 2025 compared to $764 million provided by operating activities for the three months ended April 30, 2024. The increase in cash provided by operating activities was primarily due to increased sales and the related cash collections, partially offset by increased expenses.

The Tax Cuts and Jobs Act of 2017 (TCJA) eliminated the option to deduct research and development expenditures and required taxpayers to capitalize and amortize them over five or fifteen years. As a result, in the fiscal year ended January 31, 2026, cash payments for income taxes in relation to the TCJA are expected to reduce our cash 

Veeva Systems Inc. | Form 10-Q27

Table of Contents

flows from operating activities. The requirement may also impact our cash flows from operating activities in future periods, the amounts and specific periods of which we are unable to estimate at this time.

Cash Flows from Investing Activities

Investing activities primarily relate to cash used for the purchase of marketable securities, net of maturities, as well as capital expenditures.

Net cash used in investing activities was $52 million for the three months ended April 30, 2025 compared to $272 million used in investing activities for the three months ended April 30, 2024. The decrease in cash used in investing activities was mainly due to the decrease in purchases of short-term investments.

Cash Flows from Financing Activities

The cash flows from financing activities relate primarily to stock option exercises offset by taxes paid on behalf of employees related to the net share settlement of restricted stock units (RSUs).

Net cash provided by financing activities was $20 million for the three months ended April 30, 2025 compared to $4 million provided by financing activities for the three months ended April 30, 2024. The increase in cash provided by financing activities was related to an increase in proceeds from employee stock option exercises, and the decrease of cash used to pay employee taxes related to the net share settlement of RSUs.

Critical Accounting Policies and Estimates

Our condensed consolidated