ServiceNow’s third quarter results exceed expectations-strong subscription sales-ZDNet Japan

ServiceNow announced better-than-expected third-quarter financial results on October 28, US time (as of September 30). The continued growth of subscription sales has contributed to this. Revenue was US$1.152 billion, an increase of 30% year-on-year, and profit per share calculated on a non-GAAP basis was US$1.21.

Analysts expect sales of $1.11 billion and non-GAAP earnings per share of $1.03.

Subscription billing in the third quarter was US$1.08 billion, a year-on-year increase of 25%, and adjusted subscription sales were US$1.07 billion, a year-on-year increase of 29%. The total number of customers is 1012, and the annual contract value exceeds 1 million US dollars, a year-on-year increase of 25%.

Chief Executive Bill McDermott (Bill McDermott) said: “The overall good results in the third quarter were better than expected and we are improving our full-year outlook.”

ServiceNow estimates that the adjusted subscription sales in the fourth quarter will be between $1.141 billion and $1.146 billion, and the subscription bill will be between $1.612 billion and $1.632 billion.

CFO Gina Mastantuono said: “This is a difficult environment full of pandemics, but the third quarter is an important quarter for ServiceNow. Subscription sales and subscription bills exceeded the maximum expectations and can meet the strength and constant change of our product portfolio. Customer demand. We have clearly demonstrated our capabilities. Overall, we have a strong momentum of development before the fourth quarter of 2020. We believe that strong channels will keep us in good shape in 2021.”