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ServiceNow (NOW) FY2025 results: revenue $13.3 billion, up 20.9% on the year

ServiceNow, Inc. (NOW) reported revenue of $13.3 billion for fiscal 2025, the year ended 31 December 2025, up 20.9% on the year before. Net income was $1.7 billion, up 22.7%, and diluted earnings per share $1.67. The figures are the company's own, from the 10-K it filed with the SEC on 29 January 2026.

Revenue
$13.3 billion
+20.9% on the year
FY2018FY2025
Operating margin
13.7%
12.4% a year earlier
FY2018FY2025
Net income
$1.7 billion
+22.7% on the year
FY2018FY2025
Diluted EPS
$1.67
+22.1% on the year
FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

From this 10-K

ServiceNow sells software that helps public and private organisations govern, secure and manage artificial intelligence and digitalise workflows across an enterprise. The offering is a suite of products, including AI-powered applications, plus services, designed to automate workflows, integrate systems and work with whatever systems, cloud environments or collaboration tools a customer already has. Underneath sits the ServiceNow AI Platform, a cloud-based platform that runs the workflows.

ServiceNow, Inc., the 10-K for 2025

ServiceNow sells software that helps public and private organisations govern, secure and manage artificial intelligence and digitalise workflows across an enterprise. The offering is a suite of products, including AI-powered applications, plus services, designed to automate workflows, integrate systems and work with whatever systems, cloud environments or collaboration tools a customer already has. Underneath sits the ServiceNow AI Platform, a cloud-based platform that runs the workflows.

The filing sets out the problem it says the platform is for: AI can analyse data and generate information, but turning that into a business outcome needs infrastructure that can orchestrate action across systems, enforce governance policies and manage workflows, because a model cannot on its own execute a transaction, route an approval, update a system of record or support compliance with business rules. The company says its platform provides that connective layer without a customer replacing existing technology.

The platform and Now Assist

The platform connects people, processes and data on one architecture, so a customer can integrate AI, data and workflows and build processes across the enterprise. Now Assist is the integrated AI offering, a set of tools that operate autonomously with human oversight inside predefined guardrails. A customer can use ServiceNow's own language models or plug in third-party or proprietary ones, processing text, images, audio or video depending on the model chosen, and all integrated models are regularly evaluated on data representative of the platform.

On agents, an organisation can deploy out-of-the-box ServiceNow AI agents, bring in agents built into third-party applications, or create custom agents on the platform using natural language. Agents built this way follow a human-in-the-loop governance model, so a developer keeps control of application changes, and the company sells governance tools for managing them. Two major platform upgrades are released each year.

The four product areas

Products are grouped into Technology, Customer Relationship Management and Industry, Core Business, and Creator and Other.

Technology products unite technology, risk management and security operations on one platform, helping IT departments serve customers, manage IT infrastructure, find and remediate security vulnerabilities and threats, see across IT resources and asset lifecycles, and cut time spent on administrative tasks. The named products here include Asset Management, IT Operations Management, IT Service Management, Operational Technology Management, Risk Management, Security Operations and Strategic Portfolio Management.

Customer Relationship Management and Industry products join front-end customer service to operations, field service resources, sales processes and order management, and add workflows built for particular industries. The named products are Customer Service Management, Field Service Management, and Sales and Order Management, with industry versions for financial services, healthcare and life sciences, and the public sector.

Core Business products support processes across HR, legal, finance, supply chain and facilities, and the named products are HR Service Delivery, Legal and Contract Operations, Source-to-Pay Operations and Workplace Service Delivery.

Creator and Other products let an organisation build and manage cross-enterprise workflows with AI-powered, low-code development tools and manage data privacy and security. The named products are App Engine, Platform Privacy and Security, and Workflow Data Fabric.

What the company says the products do in practice

The filing gives a worked example: a global energy company put in IT Operations Management, IT Service Management and Risk Management along with Now Assist to consolidate several employee portals into a single AI-powered portal serving over 50,000 employees in more than 10 languages, and it states the result saved the customer thousands of working hours and cut service desk requests.

What sits around the software

Alongside the products the company sells customer support, professional services and ServiceNow Impact. It goes to market through its own sales and marketing and through a partner ecosystem.

From ServiceNow's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 29 January 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue13,27810,9848,971+20.9%
Cost of revenue2,9832,2871,921+30.4%
Gross profit10,2958,6977,050+18.4%
Gross margin77.5%79.2%78.6%
Research and development2,9602,5432,124+16.4%
Operating income1,8241,364762+33.7%
Operating margin13.7%12.4%8.5%
Pre-tax income2,2611,7381,008+30.1%
Income tax513313-723+63.9%
Effective tax rate22.7%18.0%-71.7%
Net income1,7481,4251,731+22.7%
Net margin13.2%13.0%19.3%
Diluted EPS$1.67$1.37$1.68+22.1%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow5,4444,2673,398+27.6%
Capital expenditure868852694+1.9%
Free cash flow4,5763,4152,704+34.0%
Free cash flow margin34.5%31.1%30.1%
Cash from investing-1,689-2,501-2,167
Cash from financing-2,340-1,343-803
Depreciation and amortisation738564562+30.9%
Share-based compensation1,9551,7461,604+12.0%
Buybacks1,840696538+164.4%
Diluted shares, weighted1,047m1,042m1,028m+0.4%
Shares outstanding at period end1,047m1,032m1,024m+1.4%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity12,9649,6097,628+34.9%
Short-term borrowings0.0n/an/a
Debt1,4911,4891,488+0.1%
Operating lease liabilities800687707+16.4%
Other liabilities10,7838,5987,564+25.4%
Total liabilities and equity26,03820,38317,387+27.7%
Fixed assets2,2891,7631,358+29.8%
Goodwill3,5781,2731,231+181.1%
Intangible assets1,121209224+436.4%
Investments6,3297,5696,183-16.4%
Cash and equivalents3,7262,3041,897+61.7%
Receivables2,6272,2402,036+17.3%
Other assets6,3685,0254,458+26.7%
Total assets26,03820,38317,387+27.7%

10-K for the year ended 31 December 2025, filed 29 January 2026: the filing.