ServiceNow, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>ServiceNow, Inc. has filed its 2023 10-K annual report detailing its financial performance and business operations for the fiscal year ending December 31, 2023.</b>

AI Summary

ServiceNow, Inc. (NOW) filed a Annual Report (10-K) with the SEC on January 25, 2024. ServiceNow, Inc. reported its 2023 fiscal year results in a 10-K filing. The company's fiscal year ended on December 31, 2023. The filing covers the period from January 1, 2023, to December 31, 2023. ServiceNow, Inc. is classified under SIC code 7372 (Services-Prepackaged Software). The filing was submitted on January 25, 2024.

Why It Matters

For investors and stakeholders tracking ServiceNow, Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of ServiceNow's financial health, operational strategies, and risk factors for investors and analysts to assess the company's performance and future outlook. As a key player in the prepackaged software and technology services industry, ServiceNow's annual report offers insights into its revenue streams, expenses, and overall market position.

Risk Assessment

Risk Level: — ServiceNow, Inc. shows moderate risk based on this filing. The company operates in the competitive software and technology services sector, which is subject to rapid technological changes and evolving customer demands, posing a medium risk to sustained growth and market share.

Analyst Insight

Investors should analyze ServiceNow's revenue growth, profitability trends, and strategic investments in R&D and sales to evaluate its competitive positioning and future growth potential.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-01-25 — Filing Date (Submission date)
• 001-35580 — SEC File Number (SEC registration)

Key Players & Entities

• ServiceNow, Inc. (company) — Filer name
• 2023-12-31 (date) — Fiscal year end
• 2024-01-25 (date) — Filing date
• 7372 (industry_code) — Standard Industrial Classification

Forward-Looking Statements

• ServiceNow will continue to focus on its core prepackaged software services in the near term. (ServiceNow, Inc.) — high confidence, target: 2024-12-31

FAQ

Industry Context

ServiceNow operates in the software and IT services industry, providing cloud-based solutions for workflow automation and digital transformation.

Regulatory Implications

The filing adheres to SEC regulations for annual reports (Form 10-K), requiring detailed financial disclosures and business information.

What Investors Should Do

1. Review the detailed financial statements and management's discussion and analysis in the 10-K for a comprehensive understanding of ServiceNow's performance.
2. Assess the company's risk factors section to identify potential challenges and their impact on future operations.
3. Compare ServiceNow's reported metrics against industry benchmarks and previous fiscal years to gauge its competitive standing and growth trajectory.

Key Dates

• 2023-12-31: Fiscal Year End — Defines the reporting period for the 10-K filing.
• 2024-01-25: Filing Date — Date the 10-K was officially submitted to the SEC.

Year-Over-Year Comparison

This filing represents the annual report for the fiscal year 2023, following previous filings which would include quarterly reports and prior annual reports.

Key Financial Figures

• $0.001 — ich registered Common stock, par value $0.001 per share NOW The New York Stock Exchan
• $561.97 — its shares (based on a closing price of $561.97 per share on June 30, 2023 as reported

Filing Documents

• now-20231231.htm (10-K) — 1867KB
• now-20231231xex211.htm (EX-21.1) — 25KB
• now-20231231xex231.htm (EX-23.1) — 4KB
• now-20231231xex311.htm (EX-31.1) — 10KB
• now-20231231xex312.htm (EX-31.2) — 10KB
• now-20231231xex321.htm (EX-32.1) — 5KB
• now-20231231xex322.htm (EX-32.2) — 5KB
• now-20231231xex97.htm (EX-97) — 28KB
• now-20231231_g1.jpg (GRAPHIC) — 63KB
• now-20231231_g10.jpg (GRAPHIC) — 12KB
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• now-20231231_g12.jpg (GRAPHIC) — 11KB
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• now-20231231_g2.jpg (GRAPHIC) — 197KB
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• now-20231231_g8.jpg (GRAPHIC) — 10KB
• now-20231231_g9.jpg (GRAPHIC) — 11KB
• 0001373715-24-000030.txt (&nbsp;) — 11380KB
• now-20231231.xsd (EX-101.SCH) — 60KB
• now-20231231_cal.xml (EX-101.CAL) — 97KB
• now-20231231_def.xml (EX-101.DEF) — 327KB
• now-20231231_lab.xml (EX-101.LAB) — 910KB
• now-20231231_pre.xml (EX-101.PRE) — 605KB
• now-20231231_htm.xml (XML) — 1318KB

Business

Item 1 Business 1

Risk Factors

Item 1A Risk Factors 13

Unresolved Staff Comments

Item 1B Unresolved Staff Comments 27 Item 1C Cyber security 28

Properties

Item 2 Properties 30

Legal Proceedings

Item 3 Legal Proceedings 30

Mine Safety Disclosures

Item 4 Mine Safety Disclosures 30 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5 Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 31

[Reserved]

Item 6 [Reserved] 34

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7 Management's Discussion and Analysis of Financial Condition and Results of Operations 34

Quantitative and Qualitative Disclosures About Market Risk

Item 7A Quantitative and Qualitative Disclosures About Market Risk 48

Consolidated Financial Statements and Supplementary Data

Item 8 Consolidated Financial Statements and Supplementary Data 50

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9 Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 83

Controls and Procedures

Item 9A Controls and Procedures 83

Other Information

Item 9B Other Information 84

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 84 PART III

Directors, Executive Officers and Corporate Governance

Item 10 Directors, Executive Officers and Corporate Governance 84

Executive Compensation

Item 11 Executive Compensation 84

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12 Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 84

Certain Relationships and Related Transactions and Director Independence

Item 13 Certain Relationships and Related Transactions and Director Independence 84

Principal Accountant Fees and Services

Item 14 Principal Accountant Fees and Services 84 PART IV

Exhibits and Financial Statement Schedules

Item 15 Exhibits and Financial Statement Schedules 85

Form 10-K Summary

Item 16 Form 10-K Summary 86 Exhibit Index 86

Signatures

Signatures 89 Table of Contents PART I

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K, including the "Management's Discussion and Analysis of Financial Condition and Results of Operations," contains forward-looking statements regarding future events and our future results that are based on our current expectations, estimates, forecasts and projections about our business, our results of operations, the industry in which we operate and the beliefs and assumptions of our management. Words such as "believe," "may," "will," "estimate," "continue," "anticipate," "would," "could," "should," "intend" and "expect," as well as variations of these words and similar expressions, are intended to identify those forward-looking statements. Forward-looking statements are only predictions and are subject to risks, uncertainties, assumptions and other factors that are difficult to predict. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those discussed in this Report under "Risk Factors" in Item 1A of Part I and elsewhere herein and in other reports we file with the Securities and Exchange Commission ("SEC"). While forward-looking statements are based on our management's reasonable expectations at the time that they are made, you should not rely on those statements. We undertake no obligation to revise or update publicly any forward-looking statements for any reason, whether as a result of new information, future events or otherwise, except as may be required by law.

BUSINESS

ITEM 1. BUSINESS ServiceNow was founded on a simple premise: to make work flow better. Our purpose is to make the world work better for everyone. We are the end-to-end intelligent workflow automation platform for digital businesses. Our intelligent platform, the Now Platform, is a cloud-based solution with embedded artificial intelligence ("AI") and machine learning ("ML") capabilities that helps global enterprises across industries, universities and governments unify and digitize their workflows. By connecting workflows across siloed organizational functions and systems, the Now Platform delivers business outcomes, including unlocking productivity, streamlining processes, and improving experiences for both employees and customers. Our workflow applications built on the Now Platform are organized in four primary areas: Technology, Customer and Industry, Employee, and Creator. Our Technology Workflows empower Information Technology ("IT") departments to plan, build, operate and service the IT needs of the business enterprise. Our Customer and Industry Workflows help organizations reimagine the customer experience and increase customer loyalty. Our Employee Workflows help customers simplify how their employees access services they need, creating a consumer-like experience. Our Creator Workflows enable customers to quickly create, test, and deploy their own low-code applications on the Now Platform. We continue to evolve these workflows to meet the needs of our customers' expanding digital requirements by modernizing technology operations, employee experiences, customer experiences, industry-specific challenges, and application development and integration. For example, we embedded into each of these workflows AI and ML capabilities, such as text-to-code, intent understanding, knowledge synthesis, issue summarization, and virtual agent to drive employee, customer, agent and developer productivity for our customers. Traditionally, business processes have been emb