Exhibit 99.1

Demandware Announces Third Quarter 2015 Financial Results

39% GAAP Subscription Revenue Growth, 47% Growth on a Constant Currency Basis

Burlington, Mass. – November 2, 2015 – Demandware®, Inc. (NYSE:  DWRE), the industry-leading provider of enterprise cloud commerce solutions, today announced financial results for its third quarter ended September 30, 2015.

Third Quarter Highlights

“We had a strong third quarter,” stated Tom Ebling, Chief Executive Officer, Demandware. “Our global portfolio continues to expand with our first new customer acquisitions in Japan and Italy. Existing customers continue to leverage the scale of our platform to grow their businesses through global expansion, launching additional brands and engaging consumers across channels. In addition, we’re seeing increased adoption of our predictive email and order management solutions.”  

“We achieved 47% constant currency growth in subscription revenue, exceeding our guidance,” said Tim Adams, Chief Financial Officer, Demandware. “Our strategic investments in growth and innovation are enabling our customers to meet evolving consumer expectations and drive our industry-leading growth. Furthermore, we achieved positive non-GAAP net income in the quarter, and we expect to be profitable this year on a non-GAAP basis.”

Total revenue for the third quarter was $57.6 million, a 49% increase from $38.7 million in the third quarter of 2014.  Our GAAP net loss for the third quarter of 2015 was $11.9 million, or $(0.33) per share, as compared to a GAAP net loss of $6.3 million, or $(0.18) per share, for the third quarter of 2014. Non-GAAP net income for the third quarter of 2015 was $2.6 million, or $0.07 per basic and diluted share, as compared to non-GAAP net income of $1.1 million, or $0.03 per basic and diluted share, for the third quarter of 2014.⁽¹⁾

At September 30, 2015, we had $183.4 million in cash, cash equivalents and short term investments on the balance sheet, as compared to $243.7 million at December 31, 2014.

⁽¹⁾ Indicates a non-GAAP measure. Refer to “Non-GAAP Financial Measures” below and the accompanying reconciliations for more detailed information about these non-GAAP measures.

Outlook

“I am enthusiastic about Demandware’s growth opportunities,” said Tom Ebling. “We are expanding into new geographies, further penetrating large enterprise retail brands, and enabling unified commerce experiences. Our new deal pipeline looks very strong with a sizeable number of large enterprise prospects, positioning us well for the future.”

Tim Adams remarked, “For 2015, we are updating our subscription revenue guidance, with the midpoint at the low end of our prior range, which we believe balances the many strengths of our business with lower than expected volumes among a small group of specialty apparel customers. We are narrowing our total revenue guidance to the high end of our prior range, driven by services, and are raising our 2015 non-GAAP net income guidance. Demandware’s strong business model continues to deliver over 40% year over year growth in subscription revenue on a constant currency basis.”

For the 2015 year, the company expects:

Quarterly Conference Call

To access the call which will take place today at 5:00 p.m. ET, please dial (877) 474-9503 in the U.S. or +1 (857) 244-7556 internationally. The passcode for the call is: 64838118.  A live webcast of the call will also be available on the investor relations section of the company’s website.  An audio replay will be available following the conclusion of the call through November 9, 2015. The replay number is (888) 286-8010 in the U.S. or +1 (617) 801-6888 internationally. The passcode for the replay is: 15376497. The replay will also be available as a webcast on Demandware’s Investor Relations website.

About Demandware

Demandware, the category defining leader of enterprise cloud commerce solutions, empowers the world’s leading retailers to continuously innovate in our complex, consumer-driven world. Demandware’s open cloud platform provides unique benefits including seamless innovation, the LINK ecosystem of integrated best-of-breed partners, and community insight to optimize customer experiences. These advantages enable Demandware customers to lead their markets and grow faster. For more information, visit www.demandware.com, call +1-888-553-9216 or email info@demandware.com.

Demandware is a registered trademark of Demandware, Inc.

Forward-looking Statements

This release contains forward-looking statements, including statements regarding Demandware's future financial performance, market growth, the demand for Demandware's solutions, and general business conditions. Any forward-looking statements contained in this press release are based upon Demandware's historical performance and its current plans, estimates and expectations and are not a representation that such plans, estimates, or expectations will be achieved. These forward-looking statements represent Demandware's expectations as of the date of this press release. Subsequent events may cause these expectations to change, and Demandware disclaims any obligation to update the forward-looking statements in the future. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, our ability to attract new customers; the extent to which customers renew their contracts for our solution; the seasonality of our business; our ability to manage our growth; the variance of our business from quarter to quarter; the continued growth of the market for digital commerce software; the timing and success of solutions offered by our competitors; unpredictable macro-economic conditions; the loss of any of our key employees; the length of the sales and implementation cycles for our solutions; increased demands on our infrastructure and costs associated with operating as a public company; failure to protect our intellectual property; changes in current tax or accounting rules; and other risks and uncertainties. Further information on potential factors that could affect actual results is included in Demandware’s latest Quarterly Report on Form 10-Q filed with the SEC.

Non-GAAP Financial Measures

Demandware has provided in this release financial information that has not been prepared in accordance with GAAP. This information includes non-GAAP gross margin, non-GAAP subscription gross margin, non-GAAP operating income (loss), non-GAAP operating expenses, non-GAAP net income (loss) and non-GAAP net income (loss) per share. This press release also presents subscription revenue and percent change in subscription revenue on a GAAP and a “constant currency” basis so that revenue can be viewed without the impact of fluctuations in foreign currency exchange rates, allowing for a period-to-period comparison of underlying business performance. Demandware uses these non-GAAP financial measures internally in analyzing its financial results and believes they are useful to investors, as a supplement to GAAP measures, in evaluating Demandware’s ongoing operational performance. Demandware believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing its financial measures with other companies in Demandware's industry, many of which present similar non-GAAP financial measures to investors to help investors better understand the ongoing operating performance of the business.  Non-GAAP gross margin, non-GAAP subscription gross margin, non-GAAP operating income (loss), non-GAAP operating expenses, non-GAAP net income (loss) and non-GAAP net income (loss) per share exclude amortization expenses related to stock-based compensation, contingent compensation expense related to acquisitions, amortization of intangible assets and the non-cash tax benefit related to our acquisitions.  Our non-GAAP gross margin and non-GAAP net income guidance for 2015 also exclude amortization expenses related to stock-based compensation, contingent compensation expense related to acquisitions, amortization of intangible assets and the non-cash tax benefit related to our acquisitions. Stock-based compensation is often difficult to predict and often excluded by other companies to help investors understand the operational performance of their business.  Subscription revenue on a constant currency basis excludes the impact of foreign currency exchange rates, which is calculated by applying the prior period’s foreign currency exchange rates to the current period foreign currency revenue, because foreign currency exchange rates are subject to volatility and can obscure underlying performance. Non-GAAP financial measures that the Company uses may differ from measures that other companies may use. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measure. A reconciliation of GAAP to the non-GAAP financial measures has been provided in the tables included as part of this press release.

Investor Relations Contact:

James Hillier
Vice President, Investor Relations, Demandware
Office: 781-425-7675
Email: jhillier@demandware.com

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Condensed Consolidated Balance Sheets

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Condensed Consolidated Statements of Operations

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Condensed Consolidated Statements of Cash Flows

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Stock Based Compensation Expense

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Contingent Compensation Expense Related to Acquisitions

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Amortization Expense Related to Acquired Intangible Assets

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Non-Cash Taxes

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Reconciliation of Non-GAAP Financial Measures to Comparable GAAP Measures

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Reconciliation of Non-GAAP Financial Measures to Comparable GAAP Measures (Continued)

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