Core Insights - ServiceNow reported a significant increase in usage of its Now Assist platform, with a 55-fold growth since May, indicating strong demand and potential for monetization in upcoming quarters [1][8][10] - The company is on track to exceed $500 million in Annual Contract Value (ACV) for Now Assist by year-end, ahead of previous expectations, and is aiming for a $1 billion target next year [1][12][23] - The revenue for Q3 2025 reached $3.407 billion, a year-over-year increase of 21.81%, with net profit at $502 million, up 16.20% [2][6] Financial Performance - Q3 2025 revenue was $3.407 billion, representing a 21.81% year-over-year growth [2] - Net profit for the same quarter was $502 million, reflecting a 16.20% increase year-over-year [2] - Basic EPS for Q3 was $2.42, up 15.79% year-over-year [2] Product Development and Market Strategy - The company has integrated AI capabilities into over 100 prepackaged workflows, allowing customers to quickly adopt and implement these solutions [4][5] - ServiceNow's AI Control Tower is becoming a core offering, addressing customer needs for governance and compliance in AI deployment [16][24] - The company is focusing on industry-specific solutions, tailoring offerings to sectors like healthcare, finance, and retail, enhancing customer engagement and satisfaction [14][15] Customer Engagement and Adoption - Currently, 1,700 customers are utilizing Now Assist, with daily increases in adoption [2][10] - The company has observed a shift in customer behavior, with clients moving away from pilot projects to fully integrated solutions, indicating a growing trust in ServiceNow's platform [10][12] - Notable customer success stories include Lenovo and Bell Canada, showcasing significant improvements in operational efficiency and customer satisfaction through the use of Now Assist [11][18] Future Outlook - The company anticipates continued strong demand in the federal sector, with a net new ACV growth of over 30% year-over-year [6][13] - ServiceNow is confident in its ability to maintain a robust growth trajectory, supported by its AI capabilities and industry-specific solutions [26][27] - The company is committed to investing in its AI initiatives, which are expected to drive further operational efficiencies and profit margin expansion [26][27]

Financial Data and Key Metrics Changes - Subscription revenue for Q3 2025 was $3.299 billion, growing 20.5% year over year in constant currency, exceeding guidance by 100 basis points [20] - Remaining performance obligations (RPO) ended at approximately $24.3 billion, representing 23% year over year constant currency growth [20] - Current RPO was $11.35 billion, reflecting 20.5% year over year constant currency growth, beating guidance by 250 basis points [20] - Non-GAAP operating margin was 33.5%, 300 basis points above guidance, driven by top-line outperformance and operational efficiencies [23] - Free cash flow margin was 17.5%, up 50 basis points year over year [23] Business Line Data and Key Metrics Changes - Now Assist had 12 deals over $1 million in net new ACV, including one over $10 million, indicating strong performance [22] - IT Service Management (ITSM) and HR Plus net new ACV doubled quarter over quarter, while IT Operations Management (ITOM) Plus net new ACV surged more than 5x quarter over quarter [22] - Customer Service Management (CSM) Plus deal volume tripled year over year [22] Market Data and Key Metrics Changes - The transportation and logistics sector led growth with over 90% year over year increase in net new ACV, followed by retail, hospitality, and education sectors, both growing over 50% [21] - The U.S. Federal business grew net new ACV over 30% year over year, showcasing strong demand in the government sector [21] Company Strategy and Development Direction - The company is focusing on AI business transformation, with a target of exceeding $1 billion in AI products ACV by 2026 [7][22] - ServiceNow is positioning itself as a leader in enterprise AI, integrating various technologies to provide comprehensive solutions [10][19] - The company is raising guidance for Q4 and full-year 2025, reflecting confidence in its growth trajectory and market opportunities [7][24] Management's Comments on Operating Environment and Future Outlook - Management expressed strong confidence in the future, highlighting the significant market opportunity for the platform and the ongoing demand for AI solutions [6][7] - The company acknowledged potential impacts from the ongoing government shutdown on deal timing in the U.S. Federal business for Q4 [26] Other Important Information - The Board of Directors approved a five-for-one stock split to make shares more accessible to a broader base of investors [24] - The company ended Q3 with $9.7 billion in cash and investments, indicating a robust balance sheet [23] Q&A Session Summary Question: Integration and Implementation of Agentic Technology - Bill McDermott discussed the importance of integration expertise and the role of external partners in successfully implementing agentic technology [30][31] Question: Broader Sales Organization and AI Solutions - Amit Zavery confirmed that the sales organization is becoming more adept at selling AI solutions, with a growing number of customers live on the platform [41] Question: Federal Government Shutdown Impact - Gina Mastantuono explained that while demand remains strong, the government shutdown has led to a more prudent approach in guidance [45][46] Question: Demand Trends and AI Consumption - Bill McDermott highlighted strong demand trends and the significant growth in AI consumption, particularly in the context of customer engagement [50][51] Question: MoveWorks Acquisition Update - Gina Mastantuono provided an update on the expected closing of the MoveWorks deal, emphasizing that current successes are independent of this acquisition [75] Question: AI Control Tower Demand - Amit Zavery noted that the AI Control Tower is gaining significant interest from customers concerned about managing AI security and compliance [80]

Financial Data and Key Metrics Changes - Subscription revenue for Q3 2025 was $3.299 billion, growing 20.5% year over year in constant currency, exceeding guidance by 100 basis points [19] - Remaining performance obligations (RPO) ended at approximately $24.3 billion, representing 23% year over year constant currency growth [19] - Current RPO was $11.35 billion, reflecting 20.5% year over year constant currency growth, beating guidance by 250 basis points [19] - Non-GAAP operating margin was 33.5%, 300 basis points above guidance, driven by top-line outperformance and operational efficiencies [22] - Free cash flow margin was 17.5%, up 50 basis points year over year [22] Business Line Data and Key Metrics Changes - Now Assist had 12 deals over $1 million in net new ACV, including one over $10 million, indicating strong performance in AI products [21] - IT Service Management and HR Plus net new ACV doubled quarter over quarter, while IT Operations Management Plus surged more than 5x quarter over quarter [21] - Customer Service Management Plus deal volume tripled year over year, showcasing significant growth in CRM solutions [21] Market Data and Key Metrics Changes - Transportation and logistics led the way with over 90% year over year growth in net new ACV, followed by retail, hospitality, and education, both growing over 50% [20] - U.S. Federal business grew net new ACV over 30% year over year, demonstrating strong demand in the government sector [20] Company Strategy and Development Direction - The company is focusing on AI business transformation, with a target of exceeding $1 billion in AI products ACV by 2026 [6][21] - The introduction of the AI Control Tower aims to provide governance and management for AI initiatives, addressing customer concerns about security and compliance [76][79] - The company is enhancing its platform with industry-specific solutions, leveraging partnerships to build tailored offerings for sectors like financial services and retail [67][68] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the future, raising guidance for Q4 and full-year 2025 based on strong Q3 performance [4][24] - The ongoing government shutdown may impact deal timing in the U.S. federal business, but demand remains strong [24][42] - The company is experiencing a cultural shift towards AI adoption internally, enhancing operational efficiencies and employee satisfaction [39] Other Important Information - The Board of Directors approved a five-for-one stock split to make shares more accessible to a broader base of investors [23] - The company ended Q3 with $9.7 billion in cash and investments, indicating a robust financial position [22] Q&A Session Summary Question: Integration and implementation of agentic technology - Management acknowledged the need for integration expertise and mentioned plans to invest in forward-deployed engineers to assist customers [28][33] Question: Broader sales organization and partner base for AI solutions - Management confirmed that the sales organization is becoming more adept at selling AI solutions, with a significant increase in customer assists [37][38] Question: Impact of government shutdown on guidance - Management noted that while demand remains strong, they have factored in prudence regarding the timing of federal deals due to the shutdown [41][42] Question: Consumption trends and AI credits - Management highlighted a 55x growth in assists since May, indicating strong customer engagement and usage of AI solutions [52][58] Question: Demand for AI Control Tower - Management reported a 4x growth in customer interest for the AI Control Tower, emphasizing its importance for managing AI initiatives [76][79]

That's a wrap!If you found it insightful, reshare it with your network.Find me → @_avichawlaEvery day, I share tutorials and insights on DS, ML, LLMs, and RAGs. https://t.co/XSbmekHfM6Avi Chawla (@_avichawla):Let's build a context engineering workflow, step by step: ...

但 LangChain 创始人 Harrison Chase 对于 OpenAI 在文中的一些观点持有异议，尤其是「通过 LLMs 来主导 Agent」的路线，迅速发表了一篇长文回 应。 Harrison Chase 认为，并非要通过严格的「二元论」来区分 Agent，目前我们看到大多数的「Agentic 系统」都是 Workflows 和 Agents 的结合。理想 的 Agent 框架应该允许从「结构化工作流」逐步过渡到「由模型驱动」，并在两者之间灵活切换。 相比 OpenAI 的文章，Harrison Chase 更认同 Anthropic 此前发布的如何构建高效 Agents 的文章，对于 Agent 的定义，Anthropic 提出了「Agentic 系 统」的概念，并且把 Workflows 和 Agents 都看作是其不同表现形式。 总的来说， 这是大模型派（Big Model）和工作流派（Big Workflow）的又一次争锋， 前者认为每次模型升级都可能让精心设计的工作流瞬间过 时，这种「苦涩的教训」让他们更倾向于构建通用型、结构最少的智能体系统。而以 LangGraph 为代表的后者，强调 ...