The company said its RPO was $18.6 billion as of June 30, 2024, of which 47% was cRPO, and that RPO and cRPO rose 31% and 22%, respectively, from June 30, 2023. It had 1,988 customers with ACV greater than $1 million (1,724 as of June 30, 2023).

10-QQuarterly reportFiled Jul 25, 2024Period of report Jun 30, 2024Summary published (UTC) Oct 24, 2026

Key points

AI summary

The company said its RPO was $18.6 billion as of June 30, 2024, of which 47% was cRPO, and that RPO and cRPO rose 31% and 22%, respectively, from June 30, 2023. It had 1,988 customers with ACV greater than $1 million (1,724 as of June 30, 2023).
ServiceNow said subscription revenues for the three and six months ended June 30, 2024 rose $467 million and $966 million, respectively, from a year earlier, primarily driven by increased purchases by new and existing customers. Subscription revenues include $68 million of revenue recognized upfront upon delivery of software for self-hosted offerings in the 3-month period.
The company said sales and marketing expenses for the 3 months ended June 30, 2024 rose $128 million and R&D expenses rose $122 million, primarily due to higher personnel-related costs from increased headcount. It said the subscription gross profit percentage was 82% in both the 3-month and 6-month periods.
The company said net cash provided by operating activities for the 6 months ended June 30, 2024 was $1,961 million (compared with $1,482 million a year earlier), and it cited higher collections from revenue growth as the main factor. It repurchased 0.2 million shares for $175 million over the same 6 months.

Key figures

Quarter ended June 30, 2024

Revenue: $2.6B
Operating income: $240M
Net income: $262M
EPS: $1.26
Gross profit: $2.1B

From the XBRL financial data filed with the SEC · not processed by AI.

Summary

AI-written

Analysis scope · Management's discussion (MD&A)We analyzed excerpts of the Management's Discussion and Analysis (MD&A) section (with omissions). Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

RPO and Customers with ACV Over $1 million

The company said its RPO was $18.6 billion as of June 30, 2024, of which 47% was cRPO, and that RPO and cRPO rose 31% and 22%, respectively, from June 30, 2023. It had 1,988 customers with ACV greater than $1 million (1,724 as of June 30, 2023).

Source · Based on the MD&A text of the filing

Subscription Revenue Growth and Self-Hosted Revenue

ServiceNow said subscription revenues for the three and six months ended June 30, 2024 rose $467 million and $966 million, respectively, from a year earlier, primarily driven by increased purchases by new and existing customers. Subscription revenues include $68 million of revenue recognized upfront upon delivery of software for self-hosted offerings in the 3-month period.

Source · Based on the MD&A text of the filing

Sales and Marketing and R&D Expense Growth and Subscription Gross Margin

The company said sales and marketing expenses for the 3 months ended June 30, 2024 rose $128 million and R&D expenses rose $122 million, primarily due to higher personnel-related costs from increased headcount. It said the subscription gross profit percentage was 82% in both the 3-month and 6-month periods.

Source · Based on the MD&A text of the filing

6-Month Operating Cash Flow and Share Repurchases

The company said net cash provided by operating activities for the 6 months ended June 30, 2024 was $1,961 million (compared with $1,482 million a year earlier), and it cited higher collections from revenue growth as the main factor. It repurchased 0.2 million shares for $175 million over the same 6 months.

Source · Based on the MD&A text of the filing

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.

View the original filing on SEC EDGAR ↗

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