ServiceNow Inc. (NOW) reports earnings

The report was filed on January 30, 2025

We may earn a commission from links on this page.
In This Story

ServiceNow Inc. (NOW-11.32%) has filed its annual report on Form 10-K for the fiscal year ended December 31, 2024 filing.

The filing reports total revenues of $10.98 billion, a 22% increase from the previous year. Subscription revenues accounted for $10.65 billion, reflecting a 23% growth year-over-year.

The company's net income for the year was $1.43 billion, down from $1.73 billion in the prior year. The decrease is attributed to an increase in operating expenses, including sales and marketing, research and development, and general and administrative costs.

Advertisement

Operating expenses rose to $7.33 billion, a 17% increase from the previous year, primarily due to increased headcount and associated personnel costs.

Advertisement

ServiceNow reported a gross profit of $8.70 billion, maintaining a gross profit percentage of 79% consistent with the previous year.

Advertisement

The company ended the year with $9.9 billion in cash, cash equivalents, and investments, and a total of $1.49 billion in long-term debt.

ServiceNow's board of directors authorized an additional $3.0 billion in share repurchases, expanding the existing repurchase program.

Advertisement

The report includes a discussion of various risk factors, including competition, data privacy regulations, and reliance on third-party partners.

ServiceNow's growth strategy involves expanding its platform capabilities, increasing sales in international markets, and leveraging artificial intelligence to enhance its product offerings.

Advertisement

The company continues to invest in research and development, with expenses reaching $2.54 billion, reflecting a focus on innovation and product development.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the ServiceNow Inc. annual 10-K report dated January 30, 2025. To report an error, please email earnings@qz.com.