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Compared to Estimates, ServiceNow (NOW) Q4 Earnings: A Look at Key Metrics
NOWServiceNow(NOW) ZACKS·2025-01-30 00:31

Financial Performance - ServiceNow reported 296billioninrevenueforQ42024,a2132 96 billion in revenue for Q4 2024, a 21 3% YoY increase [1] - EPS for the quarter was 3 67, up from 311ayearago[1]RevenueslightlyexceededtheZacksConsensusEstimateof3 11 a year ago [1] - Revenue slightly exceeded the Zacks Consensus Estimate of 2 95 billion by 0 13% [1] - EPS surpassed the consensus estimate of 358by2513 58 by 2 51% [1] Key Metrics Analysis - Current Remaining Performance Obligations (cRPO) - GAAP: 10 27 billion, slightly below the four-analyst average estimate of 1045billion[4]RemainingPerformanceObligations(RPO)GAAP:10 45 billion [4] - Remaining Performance Obligations (RPO) - GAAP: 22 3 billion, slightly above the three-analyst average estimate of 2217billion[4]RevenuesfromProfessionalservicesandother:22 17 billion [4] - Revenues from Professional services and other: 91 million, a 26 4% YoY increase, surpassing the nine-analyst average estimate of 7775million[4]RevenuesfromSubscription:77 75 million [4] - Revenues from Subscription: 2 87 billion, a 21 2% YoY increase, slightly below the nine-analyst average estimate of 288billion[4]GrossProfit(NonGAAP)Subscription:2 88 billion [4] - Gross Profit (Non-GAAP) - Subscription: 2 42 billion, slightly above the eight-analyst average estimate of 240billion[4]GrossProfit(NonGAAP)Professionalservicesandother:2 40 billion [4] - Gross Profit (Non-GAAP) - Professional services and other: 7 million, below the eight-analyst average estimate of $8 32 million [4] Stock Performance - ServiceNow shares returned +10 4% over the past month, outperforming the Zacks S&P 500 composite's +1 7% change [3] - The stock currently has a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]