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Workday (WDAY) FY2026 results: revenue $9.6 billion, up 13.1% on the year

Workday, Inc. (WDAY) reported revenue of $9.6 billion for fiscal 2026, the year ended 31 January 2026, up 13.1% on the year before. Net income was $693 million, up 31.7%, and diluted earnings per share $2.59. The figures are the company's own, from the 10-K it filed with the SEC on 6 March 2026.

Revenue
$9.6 billion
+13.1% on the year
FY2019FY2026
Operating margin
7.5%
4.9% a year earlier
FY2019FY2026
Net income
$693 million
+31.7% on the year
FY2019FY2026
Diluted EPS
$2.59
+32.8% on the year
FY2019FY2026

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

  • Quarter revenue rose 14.5%: Fiscal 2026 fourth-quarter total revenues were $2.532 billion, compared with $2.211 billion a year earlier.
  • Subscription revenue grew 15.7%: Fourth-quarter subscription revenues were $2.360 billion, while professional services revenue was $172 million against $171 million a year earlier.
  • Quarterly non-GAAP margin 30.6%: Fourth-quarter non-GAAP operating income was $774 million, or 30.6% of revenues, up from $584 million, or 26.4%, a year earlier.
  • Restructuring weighed on operating income: Fiscal 2026 restructuring expenses were $303 million, compared with $84 million in the prior year, and fiscal non-GAAP operating margin was 29.6%.
  • Operating cash flow up 19.4%: Fiscal 2026 operating cash flows were $2.939 billion, up from the prior year.
Read the Q4 FY2026 earnings call summary

From this 10-K

Workday sells cloud software that organisations use to run their human resources and their finance departments, on subscription. The filing describes it as the enterprise AI platform for managing people, money and agents. More than 11,500 organisations use it, with more than 75 million users under contract, and customers range from emerging and medium-sized businesses to more than 65 percent of the Fortune 500. The financial year ends on 31 January. Product updates ship weekly, alongside larger feature releases through the year.

Workday, Inc., the 10-K for 2026

Workday sells cloud software that organisations use to run their human resources and their finance departments, on subscription. The filing describes it as the enterprise AI platform for managing people, money and agents. More than 11,500 organisations use it, with more than 75 million users under contract, and customers range from emerging and medium-sized businesses to more than 65 percent of the Fortune 500. The financial year ends on 31 January. Product updates ship weekly, alongside larger feature releases through the year.

For human resources

The human capital management suite covers the whole employee lifecycle, from recruiting and onboarding through pay, development, retention and reskilling. The named products are Workday HCM, Workday Adaptive Planning, Workday Wellness, Workday Peakon Employee Voice and Workday VNDLY. Hiring is handled by HiredScore AI for Recruiting, the Candidate Experience Agent and the Paradox Conversational Applicant Tracking System.

For the finance department

Financial management covers payables and receivables, financial consolidation, closing the books faster, internal controls and auditability, and consistency across finance operations in several countries. Spend management sits next to it, handling supplier selection, contract management, sourcing events such as requests for proposals, indirect spend and expenses. Planning models across finance, workforce, sales and operational data, with the AI drawing on historical and outside data such as economic figures and labour statistics to build forecasts, and on live transaction data from the HR and finance products to recalibrate a plan.

By industry, and for mid-sized companies

The industries served are financial services, government, healthcare, higher education, hospitality, manufacturing, professional and business services, retail, technology and media, and transportation. Healthcare customers get supply chain and inventory tools for purchasing, stocking, tracking and replenishing; higher education institutions can run the student and faculty lifecycle. Workday Government, launched in fiscal 2026, is built for the United States government. For medium-sized organisations there is Workday GO, an HCM and finance product designed and priced for them, which gained a partner network of payroll, benefits and deployment firms, a deployment agent, and global payroll during fiscal 2026. Workday Extend lets a customer build its own applications on the same experience, security model and reliability as the native ones.

Agents and the open platform

In fiscal 2026 the company introduced AI agents for hiring, frontline worker experience, financial processes and employee information access, and announced further agents for performance reviews, workforce planning and financial close. Workday Sana is the AI experience platform for enterprise knowledge, search, productivity tools and automation across the systems a company already runs. Workday Build was announced as an open developer platform for customers and partners to create and share AI-powered solutions on Workday, with Flowise Agent Builder as the low-code tool for custom agents. Workday Data Cloud was announced as a data service on an open architecture using industry standards such as Apache Iceberg, connecting HR and finance data to a customer's existing analytics platforms with two-way, zero-copy access. Four companies were bought in fiscal 2026 to fill this out: FlowiseAI, Paradox, Sana Labs and Pipedream.

Selling it, and who else is involved

Sales go through a direct field sales force aligned by geography, industry and customer size, through sales partners and resellers, and over Workday Marketplace, with the sales teams split between those landing new customers and those expanding existing ones. Marketing aims at chief financial officers, chief human resources officers and chief information officers. Flex Credits, introduced in fiscal 2026, is a subscription-based flexible pricing model for certain AI solutions. Public cloud partnerships run with Amazon Web Services and Google Cloud, payroll partnerships with ADP, Remote Technology and Strada, and a partnership with Microsoft covers registering agents built on Microsoft systems inside the Workday Agent System of Record. Professional services are offered by Workday and by its services partners to get customers deployed. Workday Ventures invests in early-stage enterprise software companies.

People

The workforce was over 21,000 employees in 36 countries at 31 January 2026, about 58 percent of them in the United States.

From Workday's annual report on Form 10-K for the year ended 31 January 2026. The filing

Written from the 10-K filed 6 March 2026: read the full 10-K.

The four quarters: Q1 FY2026 · Q2 FY2026 · Q3 FY2026 · Q4 FY2026

Income statement (profit and loss)

$ millionFY2026FY2025FY2024On the yearLast 8 years
Revenue9,5528,4467,259+13.1%
Research and development2,6792,6262,464+2.0%
Operating income721415183+73.7%
Operating margin7.5%4.9%2.5%
Interest expense1141141140.0%
Pre-tax income1,009638356+58.2%
Income tax316112-1,025+182.1%
Effective tax rate31.3%17.6%-287.9%
Net income6935261,381+31.7%
Net margin7.3%6.2%19.0%
Diluted EPS$2.59$1.95$5.21+32.8%
$ 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

$ millionFY2026FY2025FY2024On the yearLast 8 years
Operating cash flow2,9392,4612,149+19.4%
Capital expenditure162269232-39.8%
Free cash flow2,7772,1921,917+26.7%
Free cash flow margin29.1%26.0%26.4%
Cash from investing333-1,781-1,751
Cash from financing-3,319-1,150-268
Share-based compensation1,6261,5191,416+7.0%
Buybacks2,895700423+313.6%
Diluted shares, weighted268m269m265m-0.4%

Balance sheet

$ millionFY2026FY2025FY2024On the yearLast 8 years
Shareholders' equity7,8059,0348,082-13.6%
Debt2,9872,9842,980+0.1%
Operating lease liabilities704279227+152.3%
Other liabilities6,5785,6805,163+15.8%
Total liabilities and equity18,07417,97716,452+0.5%
Fixed assets1,0931,2391,234-11.8%
Goodwill5,2293,4782,846+50.3%
Intangible assetsn/an/a233
Investments3,9426,4745,801-39.1%
Cash and equivalents1,5011,5432,012-2.7%
Receivables2,3321,9501,639+19.6%
Other assets3,9773,2932,687+20.8%
Total assets18,07417,97716,452+0.5%

10-K for the year ended 31 January 2026, filed 6 March 2026: the filing.