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ServiceNow (NOW) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates
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ServiceNow (NOW - Free Report) reported $3.41 billion in revenue for the quarter ended September 2025, representing a year-over-year increase of 21.8%. EPS of $4.82 for the same period compares to $3.72 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $3.35 billion, representing a surprise of +1.66%. The company delivered an EPS surprise of +14.49%, with the consensus EPS estimate being $4.21.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how ServiceNow performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Current Remaining Performance Obligations(cRPO) - GAAP: $11.35 billion versus the four-analyst average estimate of $11.09 billion.
Remaining Performance Obligations (RPO) - GAAP: $24.30 billion compared to the $23.48 billion average estimate based on three analysts.
Revenues- Subscription: $3.3 billion compared to the $3.26 billion average estimate based on nine analysts. The reported number represents a change of +21.5% year over year.
Revenues- Professional services and other: $108 million versus $87.25 million estimated by eight analysts on average. Compared to the year-ago quarter, this number represents a +31.7% change.
Gross Profit (Non-GAAP)- Professional services and other: $12 million versus $7.48 million estimated by seven analysts on average.
Gross Profit (Non-GAAP)- Subscription: $2.74 billion versus $2.72 billion estimated by seven analysts on average.
Shares of ServiceNow have returned +1.9% over the past month versus the Zacks S&P 500 composite's +3.8% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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ServiceNow (NOW) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates
ServiceNow (NOW - Free Report) reported $3.41 billion in revenue for the quarter ended September 2025, representing a year-over-year increase of 21.8%. EPS of $4.82 for the same period compares to $3.72 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $3.35 billion, representing a surprise of +1.66%. The company delivered an EPS surprise of +14.49%, with the consensus EPS estimate being $4.21.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how ServiceNow performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:View all Key Company Metrics for ServiceNow here>>>
Shares of ServiceNow have returned +1.9% over the past month versus the Zacks S&P 500 composite's +3.8% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.