AI Analysis | Feedback

• Salesforce for banks
• ServiceNow for banks

AI Analysis | Feedback

• nCino Bank Operating System: A cloud-based platform that unifies customer relationship management, digital account opening, loan origination, and other critical banking functions for financial institutions.
• Commercial & Small Business Origination: A service enabling banks to streamline and automate the entire commercial and small business lending process from application to closing.
• Retail & Mortgage Origination: Services designed to digitize and accelerate the application, underwriting, and closing processes for consumer loans and residential mortgages.
• Deposit Account Opening: A service allowing financial institutions to offer a seamless, digital experience for customers to open new deposit accounts across various channels.
• Customer Relationship Management (CRM) & Portfolio Management: Integrated tools that help banks manage customer interactions, relationships, and the overall performance of their loan and deposit portfolios.

AI Analysis | Feedback

Ncino (NCNO) sells primarily to other companies, specifically financial institutions. Its business model is a B2B (business-to-business) SaaS (Software-as-a-Service) provider.

Ncino serves a diverse range of financial institutions globally, spanning various sizes and segments. Rather than relying on a few singular "major customers" in terms of revenue concentration, Ncino's customer base is broadly distributed across the financial services industry, serving over 1,850 financial institutions worldwide. Its customers are primarily:

• Global and National Banks: Large, often multinational banking corporations that leverage Ncino's platform for various lending and onboarding processes.
  • Examples of public companies that are known Ncino clients include: Truist (TFC), Fifth Third Bank (FITB), KeyBank (KEY), and U.S. Bank (USB). International examples include Barclays (BARC.L).
• Regional and Community Banks: Mid-sized and smaller banks that serve specific regions or communities, utilizing Ncino to modernize their operations and compete with larger institutions.
• Credit Unions: Member-owned financial cooperatives that use Ncino's technology to enhance member experience and operational efficiency.
• Mortgage Lenders: With the acquisition of SimpleNexus, Ncino also serves dedicated mortgage lenders and brokers, enabling digital mortgage workflows.

The examples provided illustrate the types of major institutions Ncino serves across the financial sector rather than representing a definitive list of its top revenue contributors.

AI Analysis | Feedback

Amazon Web Services (part of Amazon.com, Inc. (AMZN))

Microsoft Azure (part of Microsoft Corporation (MSFT))

AI Analysis | Feedback

Sean Desmond, President and Chief Executive Officer

Sean Desmond was appointed President and Chief Executive Officer of nCino, effective February 3, 2025. He joined nCino in 2013, initially serving as Chief Customer Success Officer, ensuring the successful delivery and implementation of the nCino Platform globally. Prior to his appointment as CEO, he held the position of Chief Product Officer, overseeing the company's Product Development & Engineering organization.

Greg Orenstein, Chief Financial Officer

Greg Orenstein serves as nCino's Chief Financial Officer, a role he assumed on January 1, 2023. He oversees the company's global financial and administrative functions. Orenstein joined nCino in 2015 and has held several executive positions, including Chief Corporate Development & Strategy Officer and Chief Corporate Development & Legal Officer and Secretary. He played a critical role in driving nCino's growth, corporate strategy, acquisition, investment, and corporate finance activities, including leading the company's initial public offering and secondary offering in 2020. Prior to nCino, he was Of Counsel at the global law firm of DLA Piper and held various executive positions at S1 Corporation.

Pierre Naudé, Executive Chairman of the Board

Pierre Naudé is a co-founder of nCino and served as its Chief Executive Officer since the company's inception in 2012 until February 2025. He led nCino's IPO in 2020. Naudé continues to be actively involved with the company as Executive Chairman of the Board. Before founding nCino, he was a colleague of Live Oak founder Chip Mahan at S1, a financial technology company that was acquired in 2011.

April Rieger, Chief Legal and Administrative Officer, Corporate Secretary

April Rieger is nCino's Chief Legal & Administrative Officer, overseeing all aspects of the company's Legal & Compliance and People Operations teams, and serves as Corporate Secretary, responsible for corporate governance. She joined nCino in 2018. Prior to nCino, April practiced law for 10 years at Williams & Connolly LLP in Washington, DC, and served as a law clerk in the U.S. District Court for the Southern District of New York.

Chris Gufford, Chief Product Officer

Chris Gufford serves as nCino's Chief Product Officer, where he oversees the company's Product Development & Engineering organization globally. Before his current role, Chris was the Executive Director, General Manager - Commercial Banking Solution. Prior to joining nCino, he held multiple roles at FIS and First National Bank of Omaha, bringing over 15 years of experience in credit, banking operations, and software to help financial institutions achieve business outcomes.

AI Analysis | Feedback

Here are the key risks to nCino's business:

1. U.S. Mortgage Market and Macroeconomic Headwinds: nCino faces significant challenges due to the current high-interest-rate environment, which has created a substantial headwind for the U.S. mortgage market. This directly impacts nCino's mortgage point-of-sale product, a considerable revenue stream, and contributed to an expected churn of approximately $20.5 million for the full fiscal year 2025. Broader macroeconomic slowdowns and potential recessions also lead to longer sales cycles and reduced IT spending by financial institutions, further impacting nCino's revenue growth trajectory. Management has even modeled zero growth in U.S. mortgage-related subscription revenue for fiscal year 2026.
2. Intense Competition in the Fintech Sector: The cloud banking sector is highly competitive, with nCino encountering increasing competition from both established technology giants like Salesforce, Microsoft, and Oracle, and emerging fintech companies such as Blend Labs. This intense competition could lead to market share erosion, pressure on pricing, and difficulties in differentiating its offerings across various banking segments, particularly as competitors develop more specialized solutions.
3. Reliance on Third-Party Platforms and Ongoing Profitability Challenges: A notable portion of nCino's platform is built on Salesforce's technology, creating a dependency on this external relationship. Any disruption or changes in the agreement with Salesforce could materially impact service delivery and customer satisfaction. Furthermore, despite robust revenue growth, nCino has consistently reported GAAP net losses, with a substantial $(37.9) million GAAP net loss for fiscal year 2025. This indicates ongoing challenges in achieving overall profitability, potentially due to high operating expenses, and suggests the business is not yet fully self-funding under strict accounting rules.

AI Analysis | Feedback

The increasing trend among larger financial institutions to leverage hyperscale cloud providers (e.g., AWS, Azure, Google Cloud) and modern low-code/no-code development platforms to build customized, modular, and API-driven banking solutions in-house. This strategic shift can reduce reliance on third-party packaged software vendors for core functionalities, challenging Ncino's market position by offering an alternative 'build-it-yourself' approach to a bank operating system.

AI Analysis | Feedback

nCino's main product is the nCino Bank Operating System, also referred to as the nCino Platform. This cloud-based software provides solutions for financial institutions, encompassing commercial, consumer, and mortgage lending, client onboarding, account opening, loan origination, document management, lifecycle management, and business intelligence.

The company estimates its total serviceable addressable market (SAM) to be approximately $19.5 billion globally. Other analyses also indicate the serviceable addressable market to be around $18.7 billion globally. In earlier estimates, nCino stated that the serviceable market for its Bank Operating System was greater than $10 billion globally.

AI Analysis | Feedback

Here are 3-5 expected drivers of future revenue growth for nCino (NCNO) over the next 2-3 years:

1. Product Innovation and AI Integration: nCino is accelerating its AI strategy by embedding intelligence across its platform and launching new AI-powered tools such as Banking Advisor. This focus on AI is expected to reimagine banking workflows, enhance strategic decision-making and risk management, and drive a transition to a new, higher-margin pricing model, which has already gained traction with over 80 customers.
2. Expansion of Existing Customer Relationships: The company continues to prioritize increasing its Annual Contract Value (ACV) by signing multi-solution expansion agreements with current clients. This involves cross-selling additional products and services and upgrading existing customer deployments, which has historically been a significant growth avenue for nCino.
3. International Market Expansion: International subscription revenue is a key growth engine, demonstrating strong year-over-year increases. nCino is actively expanding its global footprint into new regions, including recent entries into the Spanish market and a first win in the Czech Republic, alongside continued strong performance in established international markets like Australia and New Zealand.
4. U.S. Mortgage Business Recovery and Market Share Gains: The U.S. mortgage segment has transitioned from a challenging area to a growth driver. Strong execution and strategic wins with large independent mortgage bankers and homebuilders are contributing to market share gains and positive segment growth, even amidst a fluctuating macroeconomic environment.
5. Strategic Acquisitions: Recent acquisitions, such as FullCircl, are expanding nCino's platform capabilities, particularly in areas like onboarding and data aggregation. These acquisitions are expected to increase nCino's total addressable market and contribute to subscription revenue growth.

AI Analysis | Feedback

Share Repurchases

• nCino's Board of Directors authorized a stock repurchase program of up to $100 million of its outstanding common stock on April 1, 2025.
• In the first quarter of fiscal year 2026 (ended April 30, 2025), nCino repurchased approximately 1.8 million shares for a total consideration of $40.6 million.

Share Issuance

• nCino has historically funded its capital needs through issuances of common stock.
• The number of shares outstanding has generally increased, from 94,367,482 as of March 26, 2021, to 116,449,936 as of March 27, 2025.

Inbound Investments

• No large investments made in the company by third-parties were identified within the last 3-5 years (fiscal years 2021-2025/2026).

Outbound Investments

• nCino acquired SimpleNexus for approximately $1.2 billion in January 2022, consisting of $240 million in cash and 13.2 million shares of nCino common stock.
• The company acquired DocFox for $75 million in March 2024.
• nCino purchased London-based FullCircl for $135 million in cash in October 2024.
• In February 2025, nCino acquired Sandbox Banking for $52.5 million in cash, with a potential additional earn-out of up to $10 million.

Capital Expenditures

• nCino completed the construction of a parking deck in September 2021 for approximately $17.7 million.
• The company expects capital expenditures for planned office build-outs, mainly for an international office, to be approximately $8.5 million in fiscal year 2025.
• Expected capital expenditures for planned office build-outs, primarily for an international office, are estimated to be approximately $8.4 million in fiscal year 2026.