Doximity’s second quarter results were met with strong market approval, reflecting the company’s ability to surpass Wall Street revenue and profit expectations. Management attributed this outperformance to robust adoption across its physician network, with unique active users and prescribers reaching new highs. CEO Jeffrey Tangney highlighted that both workflow and newsfeed tools saw double-digit growth, while new AI-powered offerings—especially the Scribe ambient notetaking tool—drove engagement. The company’s successful upsell season, supported by an expanding product suite and a widely adopted client portal for healthcare customers, was central to its quarterly momentum.
Is now the time to buy DOCS? Find out in our full research report (it’s free).
Doximity (DOCS) Q2 CY2025 Highlights:
- Revenue: $145.9 million vs analyst estimates of $139.6 million (15.2% year-on-year growth, 4.5% beat)
- Adjusted EPS: $0.36 vs analyst estimates of $0.31 (17.2% beat)
- Adjusted Operating Income: $77.98 million vs analyst estimates of $69.88 million (53.4% margin, 11.6% beat)
- The company lifted its revenue guidance for the full year to $632 million at the midpoint from $625 million, a 1.1% increase
- EBITDA guidance for the full year is $345 million at the midpoint, above analyst estimates of $340.9 million
- Operating Margin: 37.4%, up from 36.4% in the same quarter last year
- Billings: $148.9 million at quarter end, up 14.2% year on year
- Market Capitalization: $11.99 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Doximity’s Q2 Earnings Call
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Brian Peterson (Raymond James) asked how the Scribe, Pathway, and DocsGPT products could shape future engagement. CEO Jeffrey Tangney compared the opportunity to prior growth acts, emphasizing AI’s potential as a core physician workflow solution.
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Michael Cherny (Leerink Partners) inquired about the drivers behind strong upsell activity and portal adoption. CFO Anna Bryson cited broad-based customer strength and noted the portal’s role in doubling SMB bookings.
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Allen Lutz (Bank of America) asked about user engagement with workflow and AI tools versus newsfeed features. Tangney highlighted that workflow products see daily usage, making Doximity integral to physicians’ routines.
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Ryan Daniels (William Blair) questioned if AI offerings would be standalone revenue drivers. Tangney said the approach will mirror the Dialer’s evolution from free to enterprise product, with early enterprise interest in Scribe and Pathway.
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Stan Berenshteyn (Wells Fargo Securities) raised concerns about AI Scribe’s impact on gross margins if usage scales rapidly. Tangney responded that declining AI infrastructure costs limit margin risk, keeping per-visit costs low.
Catalysts in Upcoming Quarters
In the coming quarters, our analysts are watching (1) the adoption rate and monetization of new AI-driven workflow and clinical reference tools, (2) continued expansion among SMB and enterprise customers through the client portal, and (3) margin trends as AI investments scale. Progress integrating Pathway’s technology and evidence that new digital-first drug launches translate into sustained bookings will also be key signposts for Doximity’s execution.
Doximity currently trades at $64.11, up from $58.71 just before the earnings. At this price, is it a buy or sell? Find out in our full research report (it’s free).
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