Thank you, Christa. Earlier this morning, Docebo issued its Q2 2026 results.

The press release, which included a link to management's prepared remarks and our quarterly investor slide deck, were all posted to our Investor Relations website. This morning's call will allow participants to ask questions about our results and the written commentary that management provided this morning.

Before we begin this morning's Q&A, Docebo would like to remind listeners that certain information discussed may be forward-looking in nature. Such forward-looking information reflects the company's current views with respect to future events.

Any such information is subject to risks, uncertainties, and assumptions that could cause actual results to differ materially from those projected in the forward-looking statements. For more information on the risks, uncertainties, and assumptions relating to forward-looking statements, please refer to Docebo's public filings, which are available on SEDAR and EDGAR.

During the call, we will reference certain non-IFRS financial measures. Although we believe these measures provide useful supplemental information about our financial performance, they are not recognized measures and do not have standardized meanings under IFRS.

Please see our MD&A for additional information regarding our non-IFRS financial measures, including reconciliations to the nearest IFRS measures. Please note that unless otherwise stated, all references to any financial figures are in US dollars.

Now, I'd like to turn the call over to Docebo's CEO, Alessio Artuffo, and our CFO, Brandon Farber. Christa, you can open up the line.

Thanks. Good morning.

First place, I'm sure there's lots of good questions on this forward-deployed engineer model, place I'd like to start. How is it going to work alongside the existing professional services motion?

What's the impact you anticipate on revenue and margins, both gross and EBITDA? Then, I think you said that you're hiring FDEs, and so where are you in the process of building out that FDE motion?

Good morning, Rob. It's Alessio.

You are correct. We are starting with hiring a foundational FDE that is intended so that we can build the playbook before we scale that practice further.

The way we think about it is fairly straightforward. We think that on top of our upcoming release GA of Agent Hub and Enterprise Knowledge, both planned in the early fall, we are going to build custom agents workflows that aim to solve for vertical use cases, right?

Very specific needs that our top customers, to begin with, have. Think about solving for specific operational challenges across, he would say, healthcare, financial services.

We know that these organizations have a data challenge. Everyone has an integration challenge.

Everyone has a data discoverability and validity challenge, and we are going to have these FDEs help with creating these custom workflows on top of our technology. Now, how does this compound?

How does this create greater value? Our plan is to abstract these agents at a greater product level and make those agents available more broadly to a broader audience.

In terms of monetization, look, we are going live with Agent Hub and Knowledge Enterprise in the fall, and we'll update you after that time.

That's all very helpful. Where is this going to fall inside of the income statement on the cost side?

Is it going to be something bundled in? Is it going to impact your gross margins, or is it something that's going to be part of your sales motion?

I'm trying to understand where it'll impact the margin structure.

Rob, when we start to hire them, it's going to be before the product is released. At the start, it will be more of an R&D-type cost.

These are going to work with our top 10, top 20 customers. As we think about scaling, charging professional services, this adding usage to our AI, whether that's through credits or fixed price, that's where it flips to gross margin.

It really depends on when does it get released, when do we start monetizing. It's either going to be an R&D or COGS cost.

Okay. Then, second question, just on the confidence in the second-half acceleration of ARR.

Maybe we could talk about where that's specifically coming from, what gets you the most excited, and then if you could touch on Q3 seasonality for the FedRAMP government opportunity alongside that, that'd be helpful, and I'll pass the line. Thanks.

Yeah. Let me talk a bit about the underlying ARR acceleration.

This is the second quarter in a row where we have reacceleration, and, for sure, we're super pleased with that. Rob, if you recall, in November of 2025, during the conference call, we referred to 2026 as the year of the enterprise.

That gave you a view into 2026, and had a point of view that the initiatives we were taking on the product and, as well as, broadly execution where headed in the direction where we thought that 2026 were going to show the results of the work we were doing. When I impact that, I think it's a story of three three vectors, right?

There's overall execution, where we made investments across the board over the past several years. There's a story of product with the acquisition of 365 and the acquisition of Cypher, both.

Frankly, a reacceleration of shipping features in our core product as well, right? It's not only a story of buying technologies.

Then, to characterize growth reacceleration, I always like to kind of separate our partner motion, because it is a subcategory of execution, but it truly has become important. The large majority of our enterprise pipeline, roughly 80%, has a partner involved in some fashion, whether it's a co-sell function, whether it's a implementation, and most times it's a hybrid of both.

Shout out to partners like Deloitte and new partners like NIIT that are really embedded with our org, and we work super well together. That story of reacceleration is, I would say, it hinges on several factors.

It's broad-based, right? It's showing in net new.

It's showing in expansion. It's showing in international.

I like that very much because these multiple growth vectors don't, rely on just one segment doing all the work. As far as the confidence for the future, it's very high.

We're extremely pleased with the growth of our pipeline. We look at our pipeline in terms of deals that are significant and material in size, about 500k, and we think it's a really great time at Docebo.

Very very excited about the coming quarters. Now, as far as federal pipeline and quarter three, look, we think about government more broadly than just federal.

We think about government in the combination of our success in state, local, as well as federal. Quarter three is a heavy federal quarter.

We don't disclose what's going to happen in the next quarter. We just take extremely pleased with the pipeline build-up and execution of our teams.

Thanks for taking all the questions.

Thank you, Rob.

thanks for taking my questions. Congrats on a great quarter.

Alessio, I wanted to ask about the decisions to move into healthcare here. Obviously, interesting, large opportunity, highly regulated industry, and I feel like there are some sort of correlations to federal government.

Obviously, we've had those investments over the last couple of years, and that's still sort of starting to generate a return or hit an inflection point. Can you just talk about sort of the decision to move into healthcare, how you think about the timeline for the return on the investments you're going to make there, and where you see a gap within healthcare organizations that you think Docebo can fill?

Yes, awesome. Ryan, your premise in seeing some parallels with the investments that we made broadly into government, I think it's very astute.

I agree with you there are several parallels. First, let me ground us in the context of the healthcare market as we have studied it.

We value this. We see this is roughly $3 billion TAM over a roughly $30 billion corporate learning market that we already operate in.

We already have an important base of healthcare customers, call it roughly $10 million of ARR. We've acquired the $10 million of ARR notwithstanding certain gaps of knowledge and product that we are now much more educated about.

I would say that similarly to what happened in the past with the state and local education market, we have operated opportunistically, but we have not been extremely focused and strategic in the way we've addressed this market. Now, as we are a much more mature company, as we have matured our GTM engine, we believe that as an horizontal player, every opportunity we have to become more efficient in our GTM engine and more efficient in the way we address customer needs and build products for targeted audiences, the better off we're going to be.

We're going to be better in our success of adoption. We're going to be better in our win rates.

It was a no-brainer to start with healthcare because we believe the distance between where we are today capability-wise and the optimal scenario is very much in reach, and we don't have to do years of work to be in an optimal scenario to double our win rates. I think we have months of work as opposed to years of work.

Now, healthcare is a broad definition, and, depending on how you slice and dice the verticals, we already have a view that is a multi-year view after which we would tackle life sciences. Life sciences carries along a bit more complexity in terms of technical requirements, which we are already partially addressing, but we're preparing ourselves over the next 12, 24 months to go in even deeper.

What else can I tell you? I think this is a great market.

We're already winning in it. I mentioned it.

It's a motion where we're going to invest in product. We're going to invest in the partner ecosystem.

We have partners that are really great in the healthcare industry, and we work closely with them. Also, I want to mention the content network.

Healthcare is also a story of content. Our technology being such that you can now aggregate multiple content partners, and we can augment that part is going to be important for our healthcare customers.

Listen, one further validation point. We know that in healthcare alone, there are organizations that are very sizable.

Frankly, in ARR, they are comparable to Docebo or in that range, that all they do is healthcare learning. Just that validates that if we approach this deeply and become more specialized, which I think is very much in reach, we have an additional growth factor.

Very excited about it.

Super helpful context and color there. Then, maybe as a follow-up.

As we think about sort of let's call it the increasing sort of verticalization of the platform, with specific verticals where you've seen some big opportunities, can you just talk about how you're seeing or viewing the balance of sort of the pipeline of opportunities for growth sort of within some of your let's call it your core markets or sort of more horizontal applications versus moving more into vertically specific applications? Is the healthcare expansion being done with sort of a view of more of a let's call it a shorter runway or limited opportunity within sort of broader enterprise, or is this just based off of seeing some really nice early success, see a product-market fit for the solution, and so naturally going after a new opportunity?

Thanks.

I think a bit the opposite of that. We've built Docebo up to where it is today as a horizontal player, with the exception of government, which we started specializing.

In a way, we've always recognized that there is greater benefit in the earlier stages of company as being a generalist. As you grow up as a business, you realize that that generalist categorization starts to become an impediment to healthy growth, and it shows in every function of the company.

It shows also in the way we support the customers. I'm a big believer that in order to doing a great job with customers, you need to understand their business deeply, and you need to address their needs deeply.

When you have just for a sheer example somebody in a sales executive capacity that at 9:00 a.m. in the morning has a conversation with a manufacturer, and at 11:00 a.m.

with a security company, and at 2:00 p.m. with a healthcare organization, having that depth of knowledge of the business problems that each of these carry is incredibly hard to scale.

I believe that it's incumbent upon us, as we continue to mature, to take in the most valuable verticals and creating a motion around it. The caveat there is, is there an opportunity to also verticalize the product and create capabilities that go beyond the lingo and the jargon?

If there is, the combination of that product build alongside knowledge creates an unstoppable force and an absolute differentiation in the market. We don't see it as a need to find a new pocket, rather as a desire to win at a higher rate and be seen more as a leader in those verticals.

Thanks,

Alessio.

Thank you. Alessio, you called out NIIT.

I'm curious if you could just give us a sense of the go-to-market with them, and is that one of the reasons why you're seeing the enterprise strength that you're seeing?

George, for sure. NIIT is a relatively new partner.

I called them out in the context of our partner motion being a significant contributor to our ARR reacceleration. Kudos to the partners and to our partnership teams and broadly our GTM teams for the way we're leveraging this partner motion.

It's a lot of work, and it's not just over the past few months. I wouldn't regard a single partner as part of this.

NIIT is a relatively new partner. We're doing great work with them.

They have a great penetration. I would equally regard partners that we've worked with longer like Deloitte as a firm that's very aligned with the way we operate and we work very close with.

That's how I have to say about that.

The topic of the week in AI, or certainly one of them, has been around rogue agents. I'm curious with your Agent Hub, how can you give confidence to customers that you build proper guardrails to protect them?

Yeah. Look, first of all, our agents technology is something that we've been working on for a while.

We have a very sophisticated team in our AI team that has been doing this for a long time. I trust their knowledge and expertise and depth in this area.

Our CTO and I have a very strong point of view on the value of Docebo operating in the enterprise space also needs reliability and safety and security. Everything we're going to be building is going to have a strong point of view on safeguards and guardrail standards.

Frankly, George, I think it's a tricky territory, and we're going to be working closely with our customers and their security officers to progress how we document this and how we give confidence to everyone that what we're building is as bulletproof as it can be.

All right. Thank you.

Good morning. Thanks for taking the question.

I guess as you look at expanding the product platform into healthcare and a couple other areas you talked about today and then integrating 365, what is the view from here on future M&A in a broader capital allocation strategy?

I'll start, and I know Brandon wants then follow on on the specifics for capital allocation. I would say, in pure business terms, we have executed two M&As with 365 and Cypher.

Different profile in terms of cost, and, frankly, different profile in terms of product category and capabilities and whatnot. That has given us the point of view that we have a lot of work to do to truly benefit from what we have acquired.

We're well ahead of integration schedule. The integration and the work that now we can do on top of these technologies and alongside these teams, it's very significant.

As a result, we are just incredibly focused on integrating and extracting value and building for future capabilities. We remain opportunistic.

We always look at the market. We don't disregard any opportunity.

M&A presently in terms of net new deals is not our primary focus. Brandon?

On capital allocation, it's something we think about daily. As different variables change, our priorities change.

Right now, we look at stock price, and we believe it is undervalued. Based on the stock price today, we believe that capital allocation is buying back shares.

That could change in a couple weeks, could change in months depending on how the share price does. We think about interest rates.

We think about opportunistic M&A. It's a daily equation, and right now, as Alessio mentioned, M&A is not top priority.

When we look at our stock price, buying back shares is.

Very helpful. Then you mentioned the success of the partner community helping grow here.

How should we think about sort of the size and scale of that partner community? Are you trying to just maybe focus on going broader, deeper with the partners you have and developing those relationships, or is there still build-out of new partners into the ecosystem that you see on the roadmap?

There's a great deal of opportunity because the word "partner" has in our mind different connotations. You have different categories of partners, different specialties, different verticalizations, different market positions.

Think about content partners that are a very important part of our business. We partner with several great companies in that area, and it's plausible that we will increase that portfolio even more in the future.

System integrators are the ones that we tend to think immediately more of in enterprise context. There's different degrees of system integrators.

Some are regional. Some are more global.

Some are very much specialized around certain verticals and sectors. For example, we work closely with a partner called EduOne, a great firm that has a great deal of expertise in the healthcare sector.

It's important to have a broad-based, varied strategy around partners. Our job, frankly, is to become crisper and crisper and more clear as to how to couple partners in the areas where we want to win and continuing to execute our GTM together.

There's also partnerships that are more product-attach partnerships. I can think of marketplaces initiatives, like AWS, where it's less of a commercial first motion, but it's the ability to attach onto big commercial engines like the Amazon AWS one to enable customers to buy using credits.

We've had a lot of deals and customers that have preferred that buying modality as opposed to a direct buying modality. All these avenues of buying, the way we think about it is, how can we reduce the risk and friction of purchasing for the customer?

Great. Thank you.

morning, guys. Thanks for taking my question.

Maybe one more question on the healthcare vertical. Could you compare the healthcare opportunity today to where government was when you first began the investment in FedRAMP?

What kind of milestone should investors expect to over the next 12 to 18 months to gauge the success? Great question.

The first milestones are going to be setting up the team for success. We are going to be staffing an organization across product and GTM to really conquer this new vertical while we continue, by the way, in parallel to win in the vertical.

It's a bit like creating a more sophisticated plane while we fly already a plane. Once we have the team in seat, which is what we're working on actively, then comes the development of org readiness.

It's the development of runbooks. It's the development of specific vertical product roadmap that allows us to have the confidence that we're executing towards something tangible that then leads to improved win rates, that it leads to customer satisfaction in general.

That will occur over the next few quarters. I guess, differently from federal, okay, in this category I want to emphasize, is that we're already winning significant customers in healthcare right now.

Some of these requirements, at times they become more stringent, and at times are a little looser. It's not that federal is either you have FedRAMP or you don't have FedRAMP.

With healthcare, it's our ability to increase our right to win is going to be dependent upon how fast we execute on the people and product vectors. That's as simple as that.

The faster we do all of the above, the faster we're going to increase our share of wallet in that industry.

Got it. On FDE, I know it's still relatively early, but could you maybe talk about the revenue opportunity?

Is it recurring or one-time, and maybe the margin profile?

I'm hesitant to share details that have not been fully ironed out yet. I described the FDE opportunity on a principal basis, because we believe in this AI era, customers are more and more in need of working with true builders.

That's what we're prepared to do. We want to really enter in organizations and not just onboard them and let them do the work.

We want to do the work with them and for them towards their own personalized outcomes. How does this translate in a recurring model and the margin profile of it, it's something that, of course, we're thinking about deeply.

We believe we have good constructs, but it's perhaps a bit premature to share in this call. I feel more comfortable that we're going to have a more polished point of view as we talk in November post our Agent Hub release, which is going to be in the fall.

That's great. Thank you.

Thank you.

Fantastic. Thanks for taking my question.

Brandon, I wanted to circle up on the guidance a little bit. You guys have a second straight quarter of accelerating underlying ARR.

Just want to get a sense for what level of prudence is baked into the guidance. Have you guys changed your philosophy in terms of handicapping some of the big deal pipeline?

Any color there would be helpful.

Maybe let's just take a step back and look at the actual revenue increase. We raised our guidance by $3.5 million relative to last quarter.

Transparently, 1.6 of that was from our Q2 beat, and 2.1 of that is the flow-through to H2. Then even within that 2.1, you have 1.2 of that being professional services and closer to 900k of sub.

What's really driving that increase, what assumptions are we changing when we go through our different segments, mid-market, our assumptions are pretty much flat. We've seen consistent performance.

The team is still performing great. There's no changes.

Government, we already had strong expectations built into our guidance, we knew we were going to execute in Q2. We had a record slide quarter in Q2.

Q3, we do expect a solid FedRAMP quarter, and that was always baked into our guidance. What changed, it's really enterprise.

We came into 2026, I talked about it in February, where we assumed roughly flat enterprise growth, which was conservative. We saw two quarters of peak performance, strong win rates, good pipeline, and that's given us the confidence to increase our enterprise assumptions in H2.

That's really what's driving the incremental revenue guide.

Fantastic. Then the other half of the guidance, you guys kept EBITDA unchanged.

I think you called out healthcare as an investment that you guys are making in the back half. How should we think about the run rate of that investment?

Is this just a small start that ramps up? Is this something that we should expect to carry into '27?

It's going to be a relatively small pod for H2. The expenses will certainly continue to grow into 2027.

How we're thinking about it is that H2 is more heavy on R&D investments. When I think about our spend patterns like sales and marketing, we know it's going to be down sequentially in Q3.

A lot of that is event-related spend that happened in Q2 and Q1. R&D will scale up throughout the year.

From Q2, Q3 to Q4, we're going to see R&D scale up, and G&A is going to remain relatively flat. The execution team is going to be its own pod of an engineering team with a specific product manager that's specialized in healthcare.

Then, we're going to scale up a sales team with a leader that's specific healthcare, and their own sellers of, we're going to start off small with a team of three, which is exactly what we did in government. We're really following the exact playbook of spend that we did in government.

Fantastic. Thank you for the color.

Oh, hey, good morning, and thanks for taking my questions. Maybe just on internal use cases, I'm curious to what extent 365Talents and your AI releases are helping carve out a bit more differentiation in a competitive space, and if you've seen any movement in your win rates as a result.

You're correct, Gavin. 365Talents is giving us a stronger posture in internal use cases where the topic of SBO, or skills-based organization, upskilling and reskilling, are critical topics.

Frankly, we had a light response prior to 365Talents in that context. That becomes particularly true in the enterprise and strategic enterprise segments.

Your observation therefore that 365 impacts our ability to win at larger scale internal use cases where our capabilities were lighter in the past is correct. When I think about our agentic capabilities, I believe this becomes even more true in the upcoming months.

We think a very positive return from the 365 side relative to this.

Great. Very helpful.

Then just secondly, on the enterprise motion, it's been about a year, maybe a little bit more than, from the leadership changes. You've now had two very good quarters in a row.

When you look at the sales team productivity, would you say that you've now kind of hit your stride, or are you seeing still potential improvement in that motion given sales cycles?

No, first of all, it's a good opportunity to give kudos to our great management team, led by our CRO, and our CMO, and our EVP of Partnerships. These guys have been working super hard.

Their teams on the enterprise side, but even our mid-market function international, because it's not only a story of one segment as I said earlier, it's a broad-based success. They've been doing really good.

As far as whether have we reached the max of what we can do? I believe there's a lot of runway ahead of us.

That's both in terms of a single unit productivity per seller, the ability to increase quotas given the amount of products that we are delivering to sales, validated by customers, and upcoming product. That's just something that we would like to do.

Also, there's having access to capabilities like Enterprise Knowledge and 365 opens up a new territories in terms of not only companies buyers, but also buyer personas that we're going to be able to sell into. We're going to get closer, much closer to the CIO office.

We're going to get much closer to the Chief People Officer as a result of these products and capabilities. I think we're starting to scratch the surface of how this can look like over the next three years, and for that, I'm really excited.

Thanks, Alessio. I'll pass the line.

Good morning, guys. For my first question, I wanted to touch on the ARR reacceleration over H2.

Obviously, there's some benefits there with the day force and AWS headwinds tapering off this year, allowing the strong underlying growth to show. What is giving you guys that visibility from a net new ARR perspective, and how much is that growth is coming from expansion versus net new?

Hey, Suthan. It's a good question.

As we know, we are starting to lapse some of the quarters that make it easier for us to reaccelerate on the top line. Just as a reminder, AWS during Q4 of last year was about $4 million, and we have Dayforce, which we've disclosed has essentially gone from 19.5 to 6.5 mil in the current quarter.

We're lapsing, let's call it, $19 million of headwinds over the next four quarters. What's giving us that confidence, it's really what I talked about before where we're seeing strength across our end markets.

Whether we're talking about mid-market, gov, if you think about last Q3, we essentially won FedRAMP, I think it was three to four months prior to the September 30th close. We didn't have much of an opportunity to play in the FedRAMP space.

This is really what we consider our first Q3 with significant pipe and the ability to win in FedRAMP. We have the FedRAMP opportunity.

Enterprise, there's no doubt about it. The year-over-year growth is significant.

We're seeing strong performance, good pipeline. When you just add everything together, it's pretty easy to see how we can reaccelerate on the top line.

Good. Thank you for that color.

My second question, I want to touch on more from a balance sheet, capital allocation perspective. You guys appear to be in investment mode given the new FDE model, the healthcare vertical ramp, and I have to think strategic acquisitions may still be part of the overall strategy.

What is the deleveraging path here to get you to a more flexible balance sheet, and can you remind us on what your capital allocation priorities are? Thank you.

If you look at the numbers today, and I'm just going to use some clean, round numbers to make it a little bit easier. We have $45 million in cash.

We have about $90 million of debt, let's call it $45 [million?] of net debt on our annual EBITDA guide of 50-plus.

As we know, we've announced an SIB, and that $70 million, funded by $60 million in debt and 10 in cash, that would take us from 90 in debt to 150. Now, at the same time, it's a bit of a nuanced question because we don't know how many shares will get tendered in the SIB.

If we look at today, and you think about a rational investor, our current stock price is relatively close or slightly above our SIB price. That would suggest we're going to have frankly, no shares tendered in our SIB.

That's just kind of the rational assumption to make as of today. Always never say never, we need to think about the maximum potential.

We do think at the moment, as Alessio mentioned, we are back into looking at growth. While Docebo made two acquisitions in H1, we don't believe that's the norm.

We are very much an organic growth shop. That's in our DNA and always be part of our DNA.

Will we continue to look at other opportunities such as 365 that are easier bolt-ons that improve our sales and marketing efficiency because it's an easy add-on? We will look at that, but we just don't see anything in the next 12 months.

If you think about 12 months of runway or strong free cash flow generation, we do think we have the capacity to look at maybe increasing debt capacity, paying down debt, or building up cash through free cash flow generation. On your second question, new logo versus expansion, we are typically 65 new logo, 35 expansion, and we've seen that formula relatively similar in Q2.

In Q1, it was a little more heavily shifted towards expansion because we had a couple of large expansions. We're generally in that 65-35 range.

Good. Thanks for taking my questions, guys.

I'll pass it on.

Thank you all for joining the call today, and we look forward to our next earnings call in November. Have a good day.