ServiceNow Reports Strong Third Quarter 2018 Financial Results

▤ Summary

SANTA CLARA, Calif.--( BUSINESS WIRE )--ServiceNow (NYSE: NOW) today announced financial results for its fiscal third quarter ended September 30, 2018 with subscription revenues of $627 million, representing 39% year-over-year growth.“We had a strong third quarter, continuing our global momentum and accelerating our role as a strategic partner enabling digital transformation,” said John Donahoe, ServiceNow president and chief executive officer.“This was our largest federal quarter ever, with the US government representing our biggest deals, and underscoring how digital transformation is becoming both a public and private sector imperative worldwide.“Our first-half momentum continued in Q3 and we delivered another quarter of strong performance setting us up for a great finish in 2018,” said Michael Scarpelli, ServiceNow chief financial officer.Subscription revenues $626.6 39% $629.2 40% Professional services and other revenues $46.5 9% $47.0 10% Total revenues $673.1 37% $676.2 37% Subscription billings $674.2 35% $672.2 34% Professional services and other billings $46.4 1% $46.8 2% Total billings $720.5 32% $719.0 31% Amount($ millions)Margin (%)Amount($ millions)Margin (%) Subscription gross profit $519.7 83% $537.4 86% Professional services and other gross profit (loss) ($4.5) (10%) $3.9 8% Total gross profit $515.2 77% $541.3 80% Income from operations $9.6 1% $160.7 24% Net cash provided by operating activities $145.5 22% Free cash flow $111.6 17% Amount($ millions)

▦ Linked Companies

ServiceNow, Inc.

$1B+