Overview

• ServiceNow reported Q4 subscription revenue growth of 21% to $2.87 billion, missing its earlier forecast of 21.5%-22% growth and analyst expectations of $2.88 billion.
• The company projected Q1 2025 subscription revenue of $2.995 billion to $3 billion, reflecting 18.5%-19% year-over-year growth, lower than prior quarters.
• Despite a 22% increase in total annual revenue to $10.98 billion, net income for 2024 declined to $1.43 billion due to rising operating expenses, including higher personnel costs.
• CEO Bill McDermott emphasized the transformative potential of AI, describing it as a 'massive opportunity' driving enterprise technology innovation and customer adoption of ServiceNow's platform.
• The board approved an additional $3 billion in share buybacks, expanding the company's repurchase program as it seeks to strengthen shareholder value.