ServiceNow (NOW) Q1 2025 10-Q Quarterly Report

Filed: Apr 23, 2025Period ending Mar 31, 2025
Information Technology
Services-Prepackaged SoftwareSEC EDGAR

ServiceNow (NOW) 10-Q quarterly report for Q1 2025, filed with SEC EDGAR on Apr 23, 2025 for the fiscal period ending Mar 31, 2025. This page provides AI-powered analysis including management discussion & analysis (MD&A), risk factor updates, and key quarterly financial data such as revenue and net income extracted from XBRL.

ServiceNow Q1 2025 10-Q Analysis

Risk Factors

  • New risk from increased contracts in foreign currencies, especially Euro and British Pound Sterling, causing greater revenue variability due to exchange rate fluctuations
  • Increased subscription cost of revenues by $120M driven by higher headcount and costs to support customers in regulated markets due to evolving data residency requirements
  • Legal risk: ongoing valuation allowance against California deferred tax assets due to uncertainty in realizing tax credits from research and development
  • Operational risk from seasonality: majority of contracts and renewals concentrate in Q4 and Q3, especially with U.S. federal government's increase in 12-month agreements, impacting revenue timing
  • Financial risk: $1.5B fixed-rate debt maturing in 2030 with $10.9B cash, equivalents, and investments supporting liquidity; $3.0B remaining authorized stock repurchase capacity as of March 31, 2025

ServiceNow Q1 2025 Quarterly Financials
XBRL

Revenue

$3.1B

+18.6% YoY

Net Income

$460M

+32.6% YoY

Net Margin

14.9%

+157bp YoY

Source: XBRL data from ServiceNow Q1 2025 10-Q filing on SEC EDGAR. All figures in USD.

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