DocuSign (NASDAQ: DOCU) shares surged 6.25% in after-hours trading on Thursday following the release of its better-than-expected second-quarter fiscal 2026 results and an optimistic outlook. The electronic signature and agreement cloud services provider demonstrated solid growth and profitability, driven by AI innovations and strategic go-to-market changes.

The company reported Q2 revenue of $800.6 million, up 9% year-over-year and surpassing analyst estimates of $780.2 million. Adjusted earnings per share came in at $0.92, comfortably beating the consensus forecast of $0.84. DocuSign's billings, a key metric indicating future revenue, grew 13% to $818.0 million, reflecting strong business momentum.

Looking ahead, DocuSign raised its full-year revenue guidance to between $3.189 billion and $3.201 billion, up from its previous projection of $3.15 billion to $3.16 billion. The company also provided an upbeat Q3 revenue forecast of $804 million to $808 million, ahead of analyst expectations. This positive outlook, coupled with the strong Q2 performance, suggests that DocuSign's recent AI-driven innovations and go-to-market strategy adjustments are paying off, contributing to one of its highest growth and profitability quarters in recent years.