Now, earnings are out and the stock is up more than three and a half% here in overtime after a beat on the top and bottom lines, a raised guide, and the announcement of a 5for one stock split. Service Now revenue came in at $3.41% billion versus 3.35% billion consensus, earnings per share, $482 adjusted versus $427 expected. I spoke with CEO Bill Mcder about the results this afternoon on higher margins.He said, "You're seeing margin expansion on the OP margin level and the free cash flow margin level, not o ...

Now, earnings are out and the stock is up more than three and a half% here in overtime after a beat on the top and bottom lines, a raised guide, and the announcement of a 5for one stock split. Service Now revenue came in at $3.41% billion versus 3.35% billion consensus, earnings per share, $482 adjusted versus $427 expected. I spoke with CEO Bill Mcder about the results this afternoon on higher margins.He said, "You're seeing margin expansion on the OP margin level and the free cash flow margin level, not o ...

ServiceNow Inc. (NYSE:NOW) released its third-quarter earnings report and announced a 5-for-1 stock split after Wednesday's closing bell. Here's a look at the details in the report. NOW stock is moving. See the real-time price action here.The Details: ServiceNow reported quarterly earnings of $4.82 per share, which beat the analyst estimate of $4.27. Quarterly revenue came in at $3.4 billion, which beat the analyst consensus estimate of $3.35 billion.Read Next: Elon Musk’s Tesla Fleet Dream—AWS On WheelsSer ...

Q3 2025 Financial Performance - Subscription revenues reached $3,299 million, representing a year-over-year increase of 21.5%, or 20.5% on a non-GAAP constant currency basis[19] - Current Remaining Performance Obligations (cRPO) totaled $11.35 billion, a 21% year-over-year increase, or 20.5% on a non-GAAP constant currency basis[19] - Remaining Performance Obligations (RPO) amounted to $24.3 billion, reflecting a 24% year-over-year increase, or 23% on a non-GAAP constant currency basis[19] - Non-GAAP operating margin was 33.5%, an increase of approximately 250 basis points year-over-year[19] - Non-GAAP free cash flow margin was 17.5%, an increase of approximately 50 basis points year-over-year[19] Q4 2025 Guidance - Subscription revenues are projected to be between $3,420 million and $3,430 million, representing a 19.5% year-over-year increase, or 17.5% to 18% on a non-GAAP constant currency basis[23] - Non-GAAP operating margin is expected to be 30%, an increase of approximately 50 basis points year-over-year[23] - Current RPO (cRPO) growth is projected at 23%, or 19% on a non-GAAP constant currency basis[23] FY 2025 Guidance - Subscription revenues are projected to be between $12,835 million and $12,845 million, representing a 20.5% year-over-year increase, or 20% on a non-GAAP constant currency basis[23] - Non-GAAP subscription gross margin is expected to be 83.5%, a decrease of approximately 150 basis points year-over-year[23] - Non-GAAP operating margin is expected to be 31%, an increase of approximately 150 basis points year-over-year[23] - Non-GAAP free cash flow margin is expected to be 34%, an increase of approximately 250 basis points year-over-year[23]

ServiceNow gave an outlook for strong revenue growth and said AI is helping the company reduce costs https://t.co/mhoiFEpPmH ...

Core Viewpoint - ServiceNow's stock price has been around $1,000, and the CEO believes a lower price would enhance accessibility for employees and investors interested in AI opportunities [1] Group 1 - The current stock price of ServiceNow is approximately $1,000 [1] - CEO Bill McDermott suggests that a reduction in stock price could make it more accessible for employees [1] - The potential for a lower stock price is aimed at attracting investors focused on AI investments [1]

Core Insights - Companies are recognizing that their business processes are disconnected and are seeking to unify their cloud, language models, and data sources under a single AI-driven platform [1]

Core Insights - ServiceNow reported third-quarter results that exceeded Wall Street estimates, leading to a 4% increase in shares [1] - The company approved a five-for-one stock split [1] Financial Performance - Third-quarter subscription revenues reached $3.3 billion, surpassing the $3.26 billion estimate [2] - Overall revenues grew by 22% compared to the same period last year [2] - Earnings per share were $4.82 adjusted, exceeding the expected $4.27 [4] - Total revenue for the quarter was $3.41 billion, above the expected $3.35 billion [4] Guidance and Future Outlook - ServiceNow raised its full-year guidance for subscription revenue to a range of $12.84 billion to $12.85 billion, up from the previous range of $12.78 billion to $12.80 billion [2] Industry Trends - The company is benefiting from the ongoing artificial intelligence transformation, which is driving businesses to adopt new tools [3] - CEO Bill McDermott emphasized that every enterprise is focused on AI as a key innovation opportunity [3]

Core Insights - ServiceNow raised its annual subscription revenue forecast due to increasing demand for its artificial intelligence powered software solutions [1] Company Summary - The company is experiencing a surge in demand for its AI-driven software offerings, which has positively impacted its revenue outlook [1]

Core Insights - AI is fundamentally reshaping the global economy, impacting both consumers and companies, as stated by Bill McDermott, CEO of ServiceNow [1][2] - The current AI spending boom is significant, with trillions being invested in AI infrastructure, although many digital transformation projects are failing to deliver returns [10] Company Developments - ServiceNow is experiencing a surge in demand for its AI-powered offerings, leading to a strong third-quarter performance with subscription revenue of $3.3 billion, a 22% year-over-year increase [15] - The company has raised its full-year guidance for subscription revenue, operating margin, and free cash flow, reflecting confidence in its AI capabilities [15][16] - ServiceNow is actively hiring in areas such as sales, technology architecture, and engineering to support its AI initiatives and is also focusing on re-skilling existing employees [4][5] Market Trends - The rise of generative AI poses a potential threat to the software industry, with concerns that companies may develop their own software instead of purchasing from vendors like ServiceNow [11] - Despite these concerns, McDermott asserts that ServiceNow's long-established platform cannot be easily replicated by customers [12][14] Product Innovations - ServiceNow's AI products, including Now Assist and Workflow Data Fabric, have shown strong uptake among both new and existing customers, with 103 deals exceeding $1 million in net new annual contract value [16] - The company is also investing in AI innovations and partnerships, enhancing its integration of AI into enterprise workflows [17]