ServiceNow Software Surpasses Q2 Revenues and EPS Targets
One of the leading digital workflow companies in the US, ServiceNow, held its earnings report this week. The firm reported non-GAAP earnings of $1.23 a share on revenue of $1.07 billion, a 30% surge year-on-year.
The figures topped Wall Street estimates of $1.01 in earnings per share and a revenue of $1.05 billion.
Subscription billings also increased in a yearly comparison, accounting for $1.02 billion or a 25% growth since last year. The segment’s revenue lifted about 30% to $1.01 billion.
In total, the software company has 964 customers, with more than $1 million in annual contract value. This, on the other hand, achieved a 26% increase on a yearly basis.
ServiceNow CFO Gina Mastantuono was proud to say these figures were far from their guidance by a mile. The company continues to drive margin and strong free cash flow in the platform. Plus, renewal rates remained at 97%.
As a result of the optimistic record, the firm sought to raise its profitability guidance once again. This comes as the high engagement for its Now Platform expected to heighten in the second half of 2020.
NOW stocks surged by more than 16 points or 3.77% by the end of stock trading.
ServiceNow released its Safe Workplace apps and dashboard during the second quarter. The platform, now downloaded by more than 550 institutions worldwide, helped the firm and proved its resiliency in the coronavirus economy.
It then also hosted its largest digital broadcast environment, the Knowledge 2020 Digital Experience. The platform doubled the number of customers and partners from last year.
The firm is most famous for its Now platform in the stock market. The “platform of platforms” accelerates digital transformation by ensuring a smooth workflow for employees forced to work at home.
ServiceNow Welcomes Its New Executives
The firm wrapped up its earnings report by appointing several contributors to its executive team. The firm names Kevin Haverty and Lara Caimi for new go-to-market leadership roles.
Haverty is now the company’s Chief Revenue Officer, expected to lead global sales activities. His place as Chief Customer and Partner Officer is now taken by Caimi, who will lead the development for partner ecosystems.
Caimi previously served as the company’s Chief Strategy Officer for three years. Her partnership with Haverty lifted the company’s revenue to $10 billion thanks to their go-to-market strategy.
Meanwhile, President of Global Customer Operations David Schneider is retiring. They expect him to fulfill his role until the end of this year alongside ServiceNow CEO Bill McDermott.
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