Workday (WDAY) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates

Core Insights - Workday reported revenue of $2.09 billion for the quarter ended July 2024, reflecting a year-over-year increase of 16.7% and a surprise of +0.72% over the Zacks Consensus Estimate of $2.07 billion [1] - Earnings per share (EPS) for the quarter was $1.75, compared to $1.43 in the same quarter last year, resulting in an EPS surprise of +7.36% against the consensus estimate of $1.63 [1] Revenue Breakdown - Subscription revenue backlog reached $21.58 billion, exceeding the average estimate of $21.37 billion based on four analysts [3] - Subscription services revenue was reported at $1.90 billion, matching the average estimate from 10 analysts, with a year-over-year increase of +17.2% [4] - Professional services revenue amounted to $182 million, surpassing the estimated $173.42 million from 10 analysts, representing an increase of +11.8% compared to the previous year [5] Stock Performance - Workday shares have returned +5.9% over the past month, outperforming the Zacks S&P 500 composite's +2.2% change [5] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [5]