Company: VEEV
Filing Date: 2025-08-29
Form Type: 10-Q
Source: 0001393052-25-000067
Chunk: 200

Company: VEEVA SYSTEMS INC
Filing Date: 2025-08-29
Form: 10-Q
Item: Part I, Item 8
Chunk 200
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 31,20252024% Change20252024% Change(dollars in thousands)General and administrative$95,804 $61,365 56%$164,630 $122,642 34%Percentage of total revenues12 %9 %11 %9 %

General and administrative expenses for the three months ended July 31, 2025 increased $34 million, primarily due to an increase of $31 million in litigation settlement-related charges.

General and administrative expenses for the six months ended July 31, 2025 increased $42 million, primarily due to  an increase of $31 million in litigation settlement-related charges and $17 million in employee compensation-related costs, offset by a $5 million litigation settlement charge that occurred in the six months ended July 31, 2024. The increase in employee compensation-related costs was primarily driven by stock-based compensation related to the equity grant to our Chief Executive Officer in the quarter ended July 31, 2024.

Other Income, Net

Three months ended July 31,Six months ended July 31,20252024% Change20252024% Change(dollars in thousands)Other income, net$69,456 $58,573 19%$134,545 $110,302 22%

Other income, net, for the three and six months ended July 31, 2025 increased $11 million and $24 million, respectively, primarily due to an increase in interest income from higher investment asset and cash balances. 

Provision for Income Taxes

Three months ended July 31,Six months ended July 31,20252024% Change20252024% Change(dollars in thousands)Income before income taxes$265,364 $225,060 18%$564,185 $431,961 31%Income tax provision$65,055 $54,019 20%$135,686 $99,256 37%Effective tax rate24.5 %24.0 %24.0 %23.0 %

The provision for income taxes differs from the tax computed at the U.S. federal statutory income tax rate primarily due to state taxes, tax credits, equity compensation, and foreign-derived intangible income deduction. Future tax rates could be affected by changes in tax laws and regulations or by rulings in tax related litigation, as may be applicable.

Veeva Systems Inc.