NOW Earnings Prediction
The chart below shows how NOW performed 10 days before and after its earnings report, based on data from the past quarters. Typically, NOW sees a -0.92% change in stock price 10 days leading up to the earnings, and a +3.47% change 10 days following the report. On the earnings day itself, the stock moves by -0.86%. This data can give you a slight idea of what to expect for the next quarter's release.
NOW Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
2.80B
22.25%
6.47%
Gross Margin
79.12%
1.02%
0.16%
Operating Margin
14.94%
47.92%
63.46%
Net Margin
15.45%
46.03%
54.96%
EPS
2.07
76.92%
64.29%
No Data Available
NOW Earnings Analysis
SERVICENOW, INC. Corporation (NOW.N) Earnings Conference Call
Positive
Subscription Revenue Surge: Subscription revenue growth was 22.5% at constant currency, exceeding the high-end of guidance by 200 basis points.
RPO Growth Acceleration: RPO ended the quarter at approximately $19.5 billion, representing 33% year-over-year constant currency growth, accelerating both quarter-over-quarter and year-over-year.
RPO Growth Performance: Current RPO was $9.36 billion, representing 23.5% year-over-year constant currency growth, a 150 basis point beat versus guidance and a 100 basis point acceleration from Q2.
ACV Growth Surge: Net new ACV growth was over 100% year-over-year, with retail and hospitality growing over 80% year-over-year.
High-Value Deal Closures: We closed 96 deals greater than $1 million in net new ACV, including six with new logos.
Negative
Subscription Revenue Growth: Q3 subscription revenues were $2.715 billion, growing 22.5% year-over-year in constant currency, exceeding the high-end of our guidance range by 200 basis points.
RPO Growth Acceleration: RPO ended the quarter at approximately $19.5 billion, representing 33% year-over-year constant currency growth, accelerating both quarter-over-quarter and year-over-year.
RPO Growth Performance: Current RPO was $9.36 billion, representing 23.5% year-over-year constant currency growth, a 150 basis point beat versus our guidance and a 100 basis point acceleration from Q2.
Operating Margin Performance: Non-GAAP operating margin was over 31%, more than 150 basis points above our guidance, driven by the timing of spend, our top-line outperformance and OpEx efficiencies.
Free Cash Flow Improvement: Our free cash flow margin was 17%, up over 800 basis points year-over-year.
NOW FAQs
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NOW Earning Call Sentiment
ServiceNow, Inc. (NOW) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
NOW.N
1.39%Positive
ServiceNow's earnings call highlights strong financial performance, with subscription revenue and RPO exceeding guidance. The raised guidance for 2024 and share repurchase program are positive indicators. However, potential risks from supply chain challenges and macroeconomic factors were noted. The Q&A section revealed strong demand for AI and data platform products, with management expressing confidence in future opportunities. Overall, the positive financial results and optimistic outlook on AI adoption outweigh the noted risks, suggesting a positive stock price movement in the short term.