ServiceNow (NOW) Q2 earnings 2025

Servicenow He published the strong second quarter results and lifted his guidance on Wednesday. After the report, the share climbed 7%.

The company performed this way compared to LSEG estimates:

• Earning per share: $ 4.09 corrected and expected $ 3.57
• Revenues: 3.22 billion dollars and expected 3.12 billion

Subscription revenues, which constitute the majority of the income of the Corporate Technology Company, reached $ 3.11 billion and an estimation of $ 3.03 billion. Street.

Since the company benefited from the adoption of artificial intelligence, it has increased its subscription income guidance between 12,775 billion and 12,795 billion dollars.

“Every business process in every sector in every sector is being reorganized for agent artificial intelligence,” Servicenow President and CEO Bill McDermott said.

The net revenue increased by 47% a year ago from $ 262 million or $ 1.26 per share to $ 385 million or $ 1.84 per share. Revenues increased by 23% to approximately $ 3.22 billion.

Servicenow, seasonality and more customers renewing contracts in the last quarter of the year due to the third quarter of the obligations remaining 2 percent of the score of the foreseeing, he said. The company also said that budget changes in US state institutions may affect the results.

“Although the federal work is a little uncertain today, we wander well today and we are sure that our guidance reflects the potential changes we have seen.” He said.

In a 2024 -year -old earning report, Servicenow said that a US federal government constitutes 11% of the customer’s revenues.

McDermott, in the first quarter of the public sector business has grown by 30%.

Subscription revenues are expected to vary between 3.26 billion dollars and $ 3.27 billion in front of a estimation of $ 3.21 billion from Streetaccount. The remaining existing performance obligations increased by 25% in the quarter to 10.92 billion dollars.