nCino continues to invest in technology and expand its customer base following the collapse of two of its clients earlier this month, Silicon Valley Bank and Signature Bank.

THE BIG PICTURE: Following the failures of SVB and Signature, and the announcement that First Citizens and New York Community Bank would acquire those assets, nCino continues to “monitor the situation and see how this plays out, just as we would with other bank M&A situations,” nCino Chairman and Chief Executive Pierre Naude said Tuesday during the company’s fiscal fourth-quarter earnings call.

“These financial institutions collectively represented less than 2% of the company’s total revenues in the third quarter of fiscal year 2023,” Naude said. “nCino has a large and diversified customer base. … We remain well positioned, well capitalized and confident in our ability to support our customers as they navigate through current conditions.”

BY THE NUMBERS: In Q4, nCino posted:

• Total revenue for fiscal year 2023 grew 49% to $408.3 million;
• Q4 total revenue increased 46% year over year to $109.2 million;
• Subscription revenues in Q4 totaled $92.8 million, up 48% YoY; and
• Expense of developed technology increased 207% YoY to $4.3 million.

MARKET REACTION: nCino’s stock was up 1.3% to $22.65 at 3 p.m. ET today, compared to $22.36 at market close Tuesday.

FLASHBACK: In April 2022, Wells Fargo expanded its use of nCino’s digital banking platform in its consumer and small business banking division following the use of the tech provider in its commercial lending business.

NOTEWORTHY: SimpleNexus, a mortgage lending platform which nCino acquired in 2021, had its largest sales quarter in Q4, Naude said.

The acquisition, at the time, was “further cementing our focus and growth into the retail market,” Naude said in 2021 when the acquisition was first announced.

The platform expanded its footprint into banks and credit unions, signed three of its largest deals and saw seven cross-sells into the nCino installed base, he said. “We are now on nCino with all of the SimpleNexus and nCino teams integrated, including engineering, sales and marketing.”

FUTURE LOOK: nCino plans to continue to invest in product development, specifically in the integration of SimpleNexus, Naude said.

“Our cost efficiencies, including with the integration of SimpleNexus, are at the center of our ability to increase profitability, our overriding focus remains on driving growth.”

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