ServiceNow, Inc. (NOW) Earnings

ServiceNow, Inc. is expected to report next earnings on July 22, 2026 (in NaN days), with a consensus EPS estimate of $0.86. NOW has beaten EPS estimates in 6 of its last 12 reported quarters (average surprise +8.0% over the last four).

Next earnings
Jul 22, 2026in NaN days
EPS est $0.86 · Revenue est $3.9B
Track record
Beat EPS in 6 of 12 quarters
Avg surprise +8.0% (last 4 quarters)
Earnings history
Report dateEPS estEPS actualSurpriseRevenueRev. surprise
May 27, 2026$0.97$0.97+0.0%$3.8B+0.8%
Jan 28, 2026$0.89$0.92+4.0%$3.6B+1.1%
Oct 29, 2025$0.85$0.96+13.3%$3.4B+1.5%
Jul 23, 2025$0.71$0.82+14.7%$3.2B+3.0%
Apr 23, 2025$0.77$0.81+5.5%$3.1B+0.2%
Jan 29, 2025$0.73$0.73+0.5%$3.0B-0.2%
Oct 23, 2024$0.69$0.41-40.0%$2.8B+1.9%
Jul 24, 2024$0.56$0.63+10.8%$2.6B+0.8%
Jan 25, 2024$0.56$0.62+11.7%$2.4B+1.5%
Oct 25, 2023$0.51$0.23-54.2%$2.3B+0.6%
Jul 26, 2023$0.41$0.20-50.2%$2.1B+1.0%
Jan 25, 2023$0.40$0.15-63.4%$1.9B+0.1%

Source: company filings + earnings calendar. For informational purposes only — not investment advice.

Earnings call summary

Q1 FY2026 · April 22, 2026

AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.

Management highlights

Q1 was a quarter of outstanding execution with results beating the high end of guidance across top-line and profitability metrics. NOW ASSIST continues to see strong demand driving outperformance in emerging products. Moveworks was integrated into Employee Works, launching as a unified AI front door with quick success. The company has a strong partner ecosystem with deep technical collaborations. The platform is AI native with context engine providing differentiation. Hybrid pricing model is gaining traction with 50% of net new business from non-seat-based models.

Guidance

For Q2, subscription revenues are expected between $3.815 billion and $3.820 billion, representing 21 to 21.5% year-over-year growth on a constant currency basis. CRPO growth is expected at 19.5% on a constant currency basis. For 2026, subscription revenues are raised to $15.735 billion to $15.775 billion, representing 20.5% to 21% year-over-year growth on a constant currency basis. Operating margin is expected at 31.5% and free cash flow margin at 35%.

Segment performance

Subscription revenue in Q1 was $3.671 billion, growing 19% year-over-year in constant currency and above the high end of guidance. RPO ended the quarter at approximately $27.7 billion, representing 23.5% year-over-year constant currency growth. Current RPO was $12.64 billion, representing 21% year-over-year constant currency growth, a 100 basis point beat versus guidance. Across workflows, there was broad-based demand with various deals in different segments. For example, technology workflows had 33 deals over a million, including five over five million.

Risks & headwinds

Geopolitical risks such as the conflict in the Middle East impacting on-prem deal timings and revenues. Integration risks with acquisitions like Armis, which may have near-term headwinds on margins.

Analyst Q&A

  • Q: Mark Murphy from JP Morgan asked about the impact of the Iran war on Q1 results and if deferrals would snap back.

    A: Bill said there was a slight impact to Q2 guide due to on-prem deals in Middle East, but conversations are ongoing and full year guide was maintained.

  • Q: Brad Selnick from Deutsche Bank asked about ServiceNow's differentiation in agentic orchestration.

    A: Bill and Amit said context from 22 years of data, 95 billion workflows, and context engine gives differentiation.

  • Q: Gabriela Borges from Goldman Sachs asked about customers negotiating down classic parts.

    A: Bill said core is reinvigorated by AI, and Amit said platform is AI native so no pressure.

  • Q: Peter Weed from Alliance Bernstein asked about autonomous workforce strategy.

    A: Peter was told about end-to-end resolution by AI specialists, reducing resolution time and expanding TAM.

  • Q: Keith Wise from Morgan Stanley asked about inorganic contribution and acceleration.

    A: Bill said VESA and Paramin had tiny contribution, guide was held with Armis impact spelled out.

  • Q: Alex Zukin from Wolf Research asked about enterprise spending environment.

    A: Bill said customers are excited about AI but confused, but ServiceNow's story is resonating.

  • Q: Samad Samana from Jefferies asked about changes in organization and priorities.

    A: Bill said company is fired up, focused on revenue acceleration, and Krishna Gidwani is new CSO for M&A integration.

  • Q: Michael Turin from Wells Fargo asked about M&A feedback and guiding customers.

    A: Bill said customers love acquisitions, Moveworks integration is successful, and Gina said guidance is prudent with upside from acquisitions.