By Davit Kirakosyan
ServiceNow (NYSE:NOW) shares soared more than 10% after-hours following the company’s reported Q3 results, with EPS of $1.96 coming in better than the consensus estimate of $1.85. Revenue was $1.93 billion, beating the consensus estimate of $1.85 billion.
Subscription revenues grew 22% year-over-year (up 28.5% adjusted for constant currency) to $1.742 billion. Current remaining performance obligations were $5.87, representing 18% year-over-year growth (up 25% adjusted for constant currency).
“Once again, ServiceNow beat both our top and bottom-line goals. Businesses are leaning into the generational shift from architectures built in the last century to platforms engineered for this one. Through dramatically improved experiences for customers, employees, and creators, ServiceNow is becoming the strategic center of gravity for digital transformation. Our focus on value creation is unmatched,” said ServiceNow Chairman and CEO Bill McDermott.
For the full 2022-year, the company expects subscription revenues to be in the range of $6.865 - $6.870 billion.