ServiceNow dodges the dreaded DOGE hit

Core Insights - ServiceNow has successfully navigated concerns regarding potential federal spending cuts, reporting strong growth in its public sector business [3][4][10] - The company achieved over 30% year-over-year growth in its US public sector business and added six new government customers in Q1 [3][2] - ServiceNow's stock rose by 11% in after-hours trading following the positive earnings report [3] Company Performance - ServiceNow's Q1 results exceeded Wall Street expectations, leading to an increase in subscription revenue guidance [3] - Approximately 10% of ServiceNow's revenue is derived from the US federal government, making it particularly sensitive to federal spending changes [2] Cost-Saving Solutions - The company provides cloud software that automates tasks and consolidates IT tools, helping organizations save costs and improve efficiency [4][5] - ServiceNow's software has been instrumental in helping government agencies replace outdated legacy systems, which can lead to significant cost savings [6][8] Case Study: Raleigh, North Carolina - The city of Raleigh utilized ServiceNow to streamline personnel processes, saving over 1,302 hours annually [8] - By replacing six legacy service-management solutions, Raleigh reduced its IT call center staff from eight to two, resulting in an estimated annual savings of $315,000 [9]