Workday Stock Slides After Announcing Strong Q2 Earnings, Acquisition Of Paradox

Core Insights - Workday, Inc. reported adjusted earnings of $2.21 per share, exceeding the Street estimate of $2.12 [1] - Quarterly revenue reached $2.34 billion, matching analyst expectations [1] - The company announced the acquisition of Paradox, with financial terms undisclosed [2] Financial Performance - The 12-month subscription revenue backlog was $7.91 billion, reflecting a 16.4% increase year-over-year [6] - Total subscription revenue backlog increased to $25.37 billion, up 17.6% from the previous year [6] - Operating cash flows were reported at $616 million, compared to $571 million in the same period last year [6] - Free cash flows increased to $588 million from $516 million year-over-year [6] - Non-GAAP operating income for the second quarter was $680 million, representing 29% of revenues, compared to $518 million or 24.9% of revenues in the same period last year [6] Strategic Commentary - The CEO of Workday highlighted the company's solid quarter driven by AI and platform innovation, as well as international momentum [4] - Workday's value proposition includes helping customers navigate AI transformation and streamline operations [4] Stock Performance - Workday's stock price decreased by 6.35% to $213.13 in extended trading following the earnings report [5]