Q3 25 EPS
$4.82
BEAT +13.00%
Est. $4.27
Q3 25 Revenue
$3.41B
BEAT +1.49%
Est. $3.36B
vs S&P Since Q3 25
-57.8%
TRAILING MARKET
NOW -51.8% vs S&P +6.0%
Market Reaction
Did NOW Beat Earnings? Q3 2025 Results
ServiceNow delivered a standout third quarter, posting non-GAAP diluted EPS of $4.82 against a consensus estimate of $4.27, a 13.00% beat, while revenue climbed 21.8% year-over-year to $3.41 billion, edging past the $3.36 billion Wall Street had expe… Read more ServiceNow delivered a standout third quarter, posting non-GAAP diluted EPS of $4.82 against a consensus estimate of $4.27, a 13.00% beat, while revenue climbed 21.8% year-over-year to $3.41 billion, edging past the $3.36 billion Wall Street had expected. The primary engine behind the quarter's strength was accelerating AI-driven platform adoption: Now Assist and related AI workflows helped lift subscription revenues 21.5% year-over-year and expand non-GAAP operating margin to 33.5%, up sharply from 31% a year ago. Current remaining performance obligations reached $11.35 billion, up 21% year-over-year, underscoring durable demand that investors had closely watched heading into the print. The company also announced a five-for-one stock split pending shareholder approval. Looking ahead, ServiceNow raised its full-year 2025 subscription revenue guidance to approximately $12.84 billion, representing 20.5% growth, though it cautioned that tightening federal budgets and a recent government shutdown could weigh on near-term deal timing in its Q4 outlook.
Key Takeaways
- • Now Assist, U.S. Federal, Workflow Data Fabric, and RaptorDB all ahead of plan
- • 103 transactions over $1 million in net new ACV in Q3
- • 553 customers with more than $5 million in ACV, representing 18% YoY growth
- • AI-driven efficiencies fueling accelerating margin expansion
- • Non-GAAP operating margin expanded to 33.5% from 31% YoY
NOW YoY Financials
Q3 2025 vs Q3 2024, source: SEC Filings
NOW Revenue by Segment
With YoY comparisons, source: SEC Filings
“This outstanding Q3 performance is the clearest demonstration yet that ServiceNow is the AI platform for business transformation. Every enterprise in every industry is focused on AI as the innovation opportunity of our generation. Leaders work with ServiceNow because they trust this proven platform as the core of their technology estate for decades to come. From autonomous workflows to AI-driven CRM, ServiceNow is putting AI to work for people, driving massive value creation for customers and shareholders.”
— Bill McDermott, Q3 2025 Earnings Press Release
NOW Earnings Trends
NOW vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
NOW EPS Trend
Earnings per share: estimate vs actual
NOW Revenue Trend
Quarterly revenue: estimate vs actual
NOW Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | — | — | — | — |
| Q4 25 BEAT FY | $0.89 | $0.92 | +3.37% | $3.57B | — |
| FY Full Year | $3.41 | $3.51 | +2.87% | $13.28B | +0.27% |
| Q3 25 BEAT | $4.27 | $4.82 | +13.00% | $3.41B | +1.49% |
| Q2 25 BEAT | $3.57 | $4.09 | +14.63% | $3.22B | +2.92% |
| Q1 25 BEAT | $3.83 | $4.04 | +5.36% | $3.09B | +0.06% |