ServiceNow Q2 results surpass expectations

image of Bill McDermott / CEO of ServiceNow

ServiceNow has exceeded expectations with its latest set of financial results, reporting Q2 revenue of $1.41bn, up 27 percent from the same period last year. Wall Street had anticipated second quarter revenue of $1.36bn.

The company reported subscription revenues of $1.33bn in Q2 2021, representing 31 percent year-on-year growth, and current remaining performance obligations of $4.7bn as of Q2 2021, representing 34 percent growth. It now has 1,201 total customers with more than $1m in annual contract value, up 25 percent year-on-year.

Bill McDermott, ServiceNow president and CEO, said: “I’m so proud of our team’s performance, significantly exceeding the high end of our guidance across all metrics, which is reflected in our strong full‑year guidance raise.”

Gina Mastantuono, CFO at ServiceNow, added: “Q2 was a tremendous quarter, which showcased the power of our business model and our ability to drive a balance of growth and profitability. The team demonstrated exceptional execution and we saw strong demand across all regions and workflows. We are the platform for digital business, and we are well on our way to becoming a $15+bn revenue company.”