We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ServiceNow (NOW) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates
Read MoreHide Full Article
ServiceNow (NOW - Free Report) reported $3.99 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 24%. EPS of $0.90 for the same period compares to $0.82 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $3.92 billion, representing a surprise of +1.65%. The company delivered an EPS surprise of +4.65%, with the consensus EPS estimate being $0.86.
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: $13.20 billion versus $13.03 billion estimated by four analysts on average.
Remaining Performance Obligations (RPO) - GAAP: $29.00 billion versus the four-analyst average estimate of $28.82 billion.
cRPO (Current Remaining Performance Obligations) - Non-GAAP: $13.28 billion versus the two-analyst average estimate of $13.05 billion.
Revenues- Subscription: $3.88 billion versus the nine-analyst average estimate of $3.82 billion. The reported number represents a year-over-year change of +24.5%.
Revenues- Professional services and other: $110 million versus $107.26 million estimated by eight analysts on average. Compared to the year-ago quarter, this number represents a +7.8% change.
Gross Profit (Non-GAAP)- Subscription: $3.12 billion versus the seven-analyst average estimate of $3.09 billion.
Gross Profit (Non-GAAP)- Professional services and other: $-16 million versus the six-analyst average estimate of $10.73 million.
Shares of ServiceNow have returned +6.4% over the past month versus the Zacks S&P 500 composite's +0.3% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
View the Zacks #1 Rank List
Image: Bigstock
ServiceNow (NOW) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates
ServiceNow (NOW - Free Report) reported $3.99 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 24%. EPS of $0.90 for the same period compares to $0.82 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $3.92 billion, representing a surprise of +1.65%. The company delivered an EPS surprise of +4.65%, with the consensus EPS estimate being $0.86.
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 +6.4% over the past month versus the Zacks S&P 500 composite's +0.3% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.