ServiceNow, Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>ServiceNow, Inc. reported a significant revenue increase in its Q1 2024 10-Q filing, driven by strong subscription growth.</b>

AI Summary

ServiceNow, Inc. (NOW) filed a Quarterly Report (10-Q) with the SEC on May 6, 2024. ServiceNow, Inc. reported revenue of $2,155,000,000 for the quarter ended March 31, 2024. Total revenue for the three months ended March 31, 2024, was $2,155 million, an increase from $1,814 million in the same period of 2023. Subscription revenue for the first quarter of 2024 was $2,030 million, up from $1,707 million in Q1 2023. Professional services revenue for Q1 2024 was $125 million, compared to $107 million in Q1 2023. The company's filing covers the period from January 1, 2024, to March 31, 2024.

Why It Matters

For investors and stakeholders tracking ServiceNow, Inc., this filing contains several important signals. The filing details ServiceNow's financial performance for the first quarter of 2024, providing investors with key metrics on revenue and operational expenses. This 10-Q filing is crucial for understanding the company's current financial health and growth trajectory in the competitive enterprise software market.

Risk Assessment

Risk Level: — ServiceNow, Inc. shows moderate risk based on this filing. The filing provides detailed financial statements and operational data, indicating a stable and growing business with no immediate red flags.

Analyst Insight

Monitor ServiceNow's continued subscription revenue growth and its ability to maintain operating margins in upcoming quarters.

Financial Highlights

revenue

2,155,000,000

revenue Growth

18.8%

Revenue Breakdown

Key Numbers

• 2,155,000,000 — Total Revenue (For the three months ended March 31, 2024)
• 1,814,000,000 — Total Revenue (For the three months ended March 31, 2023)
• 2,030,000,000 — Subscription Revenue (For the three months ended March 31, 2024)
• 1,707,000,000 — Subscription Revenue (For the three months ended March 31, 2023)
• 125,000,000 — Professional Services Revenue (For the three months ended March 31, 2024)
• 107,000,000 — Professional Services Revenue (For the three months ended March 31, 2023)

Key Players & Entities

• ServiceNow, Inc. (company) — Filer name
• 2024-03-31 (date) — Conformed period of report
• 2024-05-06 (date) — Filed as of date
• 2024-01-01 (date) — Quarter start date
• 2023-01-01 (date) — Prior year quarter start date

FAQ

Key Dates

• 2024-03-31: Quarter End Date — Reporting period for the 10-Q filing.
• 2024-05-06: Filing Date — Date the 10-Q was officially submitted to the SEC.

Key Financial Figures

• $0.001 — ich registered Common stock, par value $0.001 per share NOW The New York Stock Exchan

Filing Documents

• now-20240331.htm (10-Q) — 1076KB
• now-20240331xex311.htm (EX-31.1) — 10KB
• now-20240331xex312.htm (EX-31.2) — 10KB
• now-20240331xex321.htm (EX-32.1) — 5KB
• now-20240331xex322.htm (EX-32.2) — 5KB
• now-20240331_g1.jpg (GRAPHIC) — 63KB
• 0001373715-24-000169.txt (&nbsp;) — 6863KB
• now-20240331.xsd (EX-101.SCH) — 45KB
• now-20240331_cal.xml (EX-101.CAL) — 74KB
• now-20240331_def.xml (EX-101.DEF) — 245KB
• now-20240331_lab.xml (EX-101.LAB) — 653KB
• now-20240331_pre.xml (EX-101.PRE) — 453KB
• now-20240331_htm.xml (XML) — 864KB

Financial Statements

Item 1. Financial Statements 1 Condensed Consolidated Balance Sheets as of March 31, 2024 and December 31, 2023 1 Condensed Consolidated Statements of Comprehensive Income for the Three Months Ended March 31, 2024 and 2023 2 Condensed Consolidated Statements of Stockholders' Equity for the Three Months Ended March 31, 2024 and 2023 3 Condensed Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2024 and 2023 4 Notes to Condensed Consolidated Financial Statements 5

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

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 19

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 30

Controls and Procedures

Item 4. Controls and Procedures 31 PART II

Legal Proceedings

Item 1. Legal Proceedings 32

Risk Factors

Item 1A. Risk Factors 32

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 32

Other Information

Item 5. Other Information 33

Exhibits

Item 6. Exhibits 34

Signatures

Signatures i Table of Contents PART I

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS SERVICENOW, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in millions) March 31, 2024 December 31, 2023 Assets (unaudited) Current assets: Cash and cash equivalents $ 2,056 $ 1,897 Short-term investments 3,054 2,980 Accounts receivable, net 1,306 2,036 Current portion of deferred commissions 474 461 Prepaid expenses and other current assets 482 403 Total current assets 7,372 7,777 Deferred commissions, less current portion 930 919 Long-term investments 3,666 3,203 Property and equipment, net 1,450 1,358 Operating lease right-of-use assets 698 715 Intangible assets, net 224 224 Goodwill 1,224 1,231 Deferred tax assets 1,478 1,508 Other assets 502 452 Total assets $ 17,544 $ 17,387 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 223 $ 126 Accrued expenses and other current liabilities 1,018 1,365 Current portion of deferred revenue 5,700 5,785 Current portion of operating lease liabilities 92 89 Total current liabilities 7,033 7,365 Deferred revenue, less current portion 100 81 Operating lease liabilities, less current portion 693 707 Long-term debt, net 1,488 1,488 Other long-term liabilities 123 118 Total liabilities 9,437 9,759 Commitments and contingencies Stockholders' equity: Preferred stock, $ 0.001 par value; shares authorized: 10,000 ; no shares issued or outstanding — — Common stock, $ 0.001 par value; shares authorized: 600,000 ; shares issued: 206,497 and 205,619 ; shares outstanding: 205,382 and 204,724 — — Treasury stock, at cost (shares held: 1,115 and 895 ) ( 707 ) ( 535 ) Additional paid-in capital 6,466 6,131 Accumulated other comprehensive loss ( 68 ) ( 37 ) Retained earnings 2,416 2,069 Total stockholders' equity 8,107 7,628 Total liabilities and stockholders' equity $ 17,544 $ 17,387 See accompanying notes to condensed consolidated financial statements 1 Table of Contents SERVICENOW, INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSI