ServiceNow (NOW) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

ServiceNow (NOW) reported $3.22 billion in revenue for the quarter ended June 2025, representing a year-over-year increase of 22.4%. EPS of $4.09 for the same period compares to $3.13 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $3.12 billion, representing a surprise of +3.02%. The company delivered an EPS surprise of +15.54%, with the consensus EPS estimate being $3.54.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.Here is how ServiceNow performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:Current Remaining Performance Obligations(cRPO) - GAAP: $10.92 billion compared to the $10.48 billion average estimate based on four analysts.Remaining Performance Obligations (RPO) - GAAP: $23.90 billion compared to the $22.11 billion average estimate based on three analysts.Revenues- Professional services and other: $102 million versus $88.78 million estimated by 10 analysts on average. Compared to the year-ago quarter, this number represents a +20% change.Revenues- Subscription: $3.11 billion versus $3.03 billion estimated by 10 analysts on average. Compared to the year-ago quarter, this number represents a +22.5% change.Gross Profit (Non-GAAP)- Subscription: $2.59 billion versus $2.53 billion estimated by eight analysts on average.Gross Profit (Non-GAAP)- Professional services and other: $14 million compared to the $9.05 million average estimate based on eight analysts.View all Key Company Metrics for ServiceNow here>>>Shares of ServiceNow have returned -3.4% over the past month versus the Zacks S&P 500 composite's +5.9% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ServiceNow, Inc. (NOW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks