[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  Eugene Ng [@EugeneNg_VCap](/creator/twitter/EugeneNg_VCap) on x 24.5K followers Created: 2025-07-24 01:13:07 UTC ServiceNow $NOW 2Q25 Earnings - Rev $3.2b +22% ↗️🟢 - GP $2.5b +20% ↗️🟢 margin XX% -XXX bps ↘️🔴 - NG EBIT $955m +33% ↗️🟢 margin XX% +230 bps ✅ - EBIT $358m +49% ↗️🟢 margin XX% +200 bps ✅ - NG Net Inc $854m +31% ↗️🟢 margin XX% +178 bps ✅ - Net Inc $385m +47% ↗️🟢 margin XX% +200 bps ✅ - OCF $716m +15% ↗️🟢 margin XX% -XXX bps ↘️🔴 - FCF $526m +47% ↗️🟢 margin XX% +273 bps ✅ Segment - Subscription Rev $3.1b +22% ↗️🟢 - Subscription GP $2.5b +20% ↗️🟢 margin XX% -XXX bps ↘️🔴 - Pro Svcs Rev $102m +20% ↗️🟢 - Pro Svcs GP $3m +50% ↗️🟢 margin X% +59 bps ✅ Biz Metrics - cRPO $10.9b +25% ↗️🟢 - RPO $23.9b +29% ↗️🟢 - Cust >$20m ACV +30% ↗️🟢 - No. of cust >$5m ACV $528m +19% ↗️🟢 - Avg ACV of cust >$5m ACV $15m +7% ↗️🟢 - Net new ACV across workflows: XX% tech, XX% CRM, XX% creator - XX% renewal rates ➡️✅ - Rev by geography: NA 62%, EMEA 26%, APAC XX% Mgmt Guide 3Q25 - Sub Rev $3.265b +20.5% ↗️🟢 - cRPO +18.5% ↗️🟢 - NG EBIT Margin XX% Mgmt Guide FY25 - Sub Rev $12.795b +20% ↗️🟢 (raise) - Sub Gross Profit Margin XXXX% (same) - NG EBIT Margin XXXX% (same) - FCF Margin XX% (same) X | Spectacular quarter with 200bps beat, well positioned going into 2H25 Q2 was a spectacular quarter across the board. We significantly beat the high end of our guidance across all top line and profitability metrics. Among many highlights, strong adoption of our analysis products continued outperforming expectations in the quarter once again. AI efficiencies internally were also a meaningful tailwind to margin expansion. Q2 subscription revenues of $XXXX billion, growing XXXX% YoY in constant currency, 200bps above the high end of our guidance range. driven by strong execution and some early on-prem renewals. In conclusion, Q2 was another fantastic quarter fueled by solid execution and resilient demand, with a robust pipeline and expanding market opportunities, we are well positioned as we enter the second half of the year. X | Particularly strong across transportation and logistics, TMT, retail, hospitality, energy and utilities From an industry perspective, transportation and logistics delivered a standout performance, net new ACV over XXX% YoY. Technology, Media and Telecom had a fantastic quarter, growing over XX% YoY. Retail and Hospitality and Energy & Utilities also saw strength, each growing over XX% YoY. X | Larger than average customer cohort to renew in Q4, 3Q25 to 200bps of cRPO headwinds which will then subside in Q4 ServiceNow has a larger-than-average customer cohort scheduled to renew in Q4 2025. As a result, Q3 2025 will experience approximately X points of headwinds to cRPO growth as the contractual obligations wind down. We expect that cohort to renew in Q4 2025, at which time those headwinds will subside. As noted last quarter, U.S. Federal agencies are navigating changes, from tightening budgets to evolving mission demands. We expect those dynamics to continue into Q3 2025. We remain confident that our revised guidance appropriately reflects these trends and continues to set us up for success for the remainder of the year. X | DOGE, US government driving more conservatism and prudence, but still fell good Our federal team is the best in the business, and I couldn't be prouder of them. And despite the noise actually in the court of U.S. public sector closed X new logos in Q2 alone. And so again, just continuing to execute despite the uncertainty. That being said, for the remainder of 2025, we're absolutely building prudence in around our assumptions for U.S. Fed, right? And so they continue to navigate tightening budgets and shifting mission demands with increasing urgency. So we feel good that our guidance contemplates appropriately those trends into Q3, and I feel good about where that stands. X | AI, data and workflows driving growth Let's talk about what's driving the growth. It's AI, data and workflows. On AI, now assist net new ACV to date beat expectations once again in Q2. Our key AI Pro+ deal count, including ITSM, CSM and HR was up over XX% QoQ. We also closed our largest now as this deal to date, at over $XX million. X | AI hype cycle has not slowed, AI transformation remains priority #1 and The AI hype cycle has not slowed for good reason. Enterprises in every industry and every region of the world have AI transformation as priority number one. IT budgets are highly resilient and increasingly focused on strategic mission-critical AI platforms. X | AI work is cross-functional, ServiceNow alone has 450K agents, over XX% done by agents, extraordinary business case AI work is cross-functional work. It is not one dimensional into a silo. Teams work on processes across functions organization charts are going to change. Work is going to be AI work, and it will be cross-functional. And our own company we have XXXXXXX agents in the workflow right now. And all of the supporting functions from customer support to IT support to risk, compliance, security, most of this is now over XX% being done by agents. So Agentic is real. The business cases are extraordinary. Gina has told the Street -- it will be $XXX million value to us this year X | ServiceNow is delivering AI to empower people everywhere, as Agentic AI become more ubiquitous, and AI becomes the new UI People and AI together will create new businesses, new discoveries and catalyze economic growth in every corner of the world. The world works with ServiceNow because we are delivering AI to empower people everywhere. So they can be the ones who lead their organizations forward to new horizons. I'll leave you with this point. Analysts predict agentic AI will be ubiquitous, embedded in software platforms and applications, transforming user experiences and workflows. AI is the new UI, and that's why the software industrial complex of the 21st century is converging into ServiceNow as the extensible AI operating system for the Agentic enterprise. X | ServiceNow stands out because it can work across functions, as it integrates the entire tech stack and data source into a single model, and then elevated to the workflow area for AI agents to act upon Our position is highly differentiated because AI work is cross-functional work. ServiceNow integrates the entire tech stack, on-prem or in the cloud, any system, any LLM, any data source and we bring all of that data into a single model. From there, we elevated to the workflow layer where you take action on that data wherever it lives. Then we move into the AI layer, not just automation but true AI agents executing real tasks to drive outcomes across business processes, hire to retire, procure to pay, design to product quote to cash and sales to service. XX | ServiceNow is about fixing the pain of enterprise tech where they don’t work well together The long history of enterprise tech can be described in a single word, pain, that's because people and devices and apps and data and clouds, they don't work well together. Without ServiceNow, we run the real risk of a new generation of pain this time with AI agents scattered around like spare parts. We have no intention, ladies and gentlemen, of allowing that to happen. XX | ServiceNow sees a huge CRM opportunity (watch out Salesforce), and Agentic AI could render traditional CRM obsolete First of all, the CRM opportunity for ServiceNow really is huge. And we've moved away from a CRM screen and AI agents are going to be embedded in an omnipresent way in everyday tools and no more swivel sharing the workflows will be organized, They'll be agentic and legacy systems will be a customer's choice but they'll see the difference between end-to-end order, fulfill and service on one common platform. As I summarized earlier, all our workflows are growing, especially CRM, front office workflows. The CRM opportunity for ServiceNow is massive. According to industry experts, Agentic AI represents a seismic shift that could render traditional CRM obsolete. By the end of this decade, enterprises will adopt systems of action driven by autonomous front-end agents. The future isn't a CRM screen, it's omnipresent AI agent embedded in everyday tools. With our sales and order management solution and our acquisition of We're not just entering CRM. We're reimagining it now. We're delivering a fully integrated AI-powered front office, sales and service, streamlined operations and dramatically improved time to revenue. And customers are responding to our innovation. XX | Saw strong momentum with CRM securing several notable wins CRM and industry workflows continued its strong momentum and XX of our top XX deals with XX of those deals over $X million. We secured several notable wins with strong momentum in CRM and widespread adoption of our end-to-end capabilities, one of the largest building supply companies in the U.S. selected ServiceNow CPQ to support configuration and quoting at scale for their largest distribution network. XX | Delivered AI control tower AI agent fabric and a nocode AI agent studio in XX days Under Amit Zavery's leadership, our product, engineering and design teams are the best in the enterprise. They're building too much net new innovation to cover in these remarks. That's a good thing. ServiceNow has delivered a complete integrated enterprise-ready agentic platform for every agentic requirement. This includes AI control tower AI agent fabric and a nocode AI agent studio in just XX days. We've already surpassed our initial net new ACV expectations per AI control tower for the full year. XX | ServiceNow is the only one that can cooperate with all three hyperscalers, allowing AI controller to control not just ServiceNow’s agents but also others, allowing for increased collaboration Think about any cloud, okay, any cloud. We're the only ones that cooperate with all X of the hyperscalers. Oracle 2, I think any data source I think any -- when I say any data source, think about those systems of record, think about those data warehouses and data lakes. Think about any model, so any LLM model, all of the -- they're all good. They all do different things and they're all good and think about any agent. So these agents need to be managed just like people need to be managed. So our AI controller will manage our agents and all the other ones, too. And yes, Mark, the big picture is a CEO should want ServiceNow's AI platform for business transformation. They should want our AI controller to manage not just our agents, but all the other agents, too. These agents will team up, they will work together and they will collaborate together a chorus business processes XX | Acquired for data governance, data catalog platform built on a knowledge graph with the highest user adoption We also acquired to deliver innovative data governance, and these solutions are built for this agentic AI era, which is why it's so precious to us. This is the only data catalog platform built on a knowledge graph with the highest user adoption in the data, catalog and governance category period. XX | Continue to expect EBIT margins to grow And remember, we continue to accrete our operating margins each and every year. And so we feel really strongly that it makes sense to deploy some of these e ciencies, especially early on in this transition to really help our customers get to value fast because as you know, as we talked about at knowledge, once those assist start ramping up, that ramp for revenue is going to be large. And so the quicker we can get our customers to value, the better o they are, the better o we are. And so it's a great place for us to be investing some of these productivity gains. XX | Despite several sales leadership changes, feeling good about his GTM bench I feel fantastic about the go-to-market. These are really proven executives, Adrian in APJ is one of the premier athletes in the enterprise software industry and had a stellar career at Oracle. So he understands the enterprise extremely well, and he understand scale. So we're at that scale stage now. In America, we have Tom Hannigan, who has now got a global job because he did such a good job. And we have Steve Walters, who ran our public sector business like a finely tuned Swiss watch, so he deserved a promotion too. And these are X great guys. And we have a really deep bench. in South America. So actually, I've never felt better and Paul Fipps who is now running all global customer operations is somebody that I've known many years. He's been a superstar outside of the company. When we brought them in the company, every big challenge he's taken on, he's knocked it out of the park, and he is absolutely the right guy to run the corporation at the field general and teaming up with Amit and obviously, the rest of our colleagues, I just think he is just the best of the best. XX | ServiceNow is executing well because of its people and culture riding the Agentic AI tailwind, leading the transformation with the best product The one thing that can't easily get measured in an earnings script or in the numbers is the heart and the courage of a culture and part of this is gigantic. And this hungry and humble culture that started with red looting and has continued to this day has never given up on anything. But to answer your question speci cally, AI is what changed. And agentic AI is transforming the business model every company in the world. They see the difference tweens, ServiceNow and the other ones. And I would just sum this way. We got the best product on it. XX | ServiceNow, the best positioned enterprise software company in the world, inventing their own paradigm of the agentic AI, and more customers will lean in …that's why I believe we're the best positioned enterprise software company in the world, which is why I repeatedly say, we don't live in a neighborhood we're actually inventing our own paradigm of the agentic AI enterprise and what it's going to look like. And so I think they're going to lean more into ServiceNow, not less into ServiceNow, but there will be others that won't become obsolete, and the market will determine the rules of the game. Any agent, we cooperate with the whole ecosystem, so all of your investments to secure on our clean pain of glass across the enterprise. That's when they realize it's a different company I'm dealing with here. And I like everybody else. ➡️ Final Thoughts on ServiceNow $NOW Solid, stable business, highly recurring revenues with a very long organic growth trajectory (~20%+ FXN) and very profitable (~FCF 30%+ margins) run by very solid management and execution. Looks well poised to benefit with secular and continued enterprise transformation and productivity gains with agentic AI workflows with their infrastructure/architecture moat of data connectors. See CRM as an exciting opportunity. Seeing good signs of early success, and if it continues to deliver customer success, there could be a reacceleration of revenue growth/strong beat in the coming quarters ahead with consumption-based AI agentic revenues.  XXXXX engagements  **Related Topics** [$526m](/topic/$526m) [$716m](/topic/$716m) [$385m](/topic/$385m) [$854m](/topic/$854m) [$358m](/topic/$358m) [$955m](/topic/$955m) [$25b](/topic/$25b) [$32b](/topic/$32b) [Post Link](https://x.com/EugeneNg_VCap/status/1948189668526497840)
[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]
Eugene Ng @EugeneNg_VCap on x 24.5K followers
Created: 2025-07-24 01:13:07 UTC
ServiceNow $NOW 2Q25 Earnings
- Rev $3.2b +22% ↗️🟢
- GP $2.5b +20% ↗️🟢 margin XX% -XXX bps ↘️🔴
- NG EBIT $955m +33% ↗️🟢 margin XX% +230 bps ✅
- EBIT $358m +49% ↗️🟢 margin XX% +200 bps ✅
- NG Net Inc $854m +31% ↗️🟢 margin XX% +178 bps ✅
- Net Inc $385m +47% ↗️🟢 margin XX% +200 bps ✅
- OCF $716m +15% ↗️🟢 margin XX% -XXX bps ↘️🔴
- FCF $526m +47% ↗️🟢 margin XX% +273 bps ✅
Segment
- Subscription Rev $3.1b +22% ↗️🟢
- Subscription GP $2.5b +20% ↗️🟢 margin XX% -XXX bps ↘️🔴
- Pro Svcs Rev $102m +20% ↗️🟢
- Pro Svcs GP $3m +50% ↗️🟢 margin X% +59 bps ✅
Biz Metrics
- cRPO $10.9b +25% ↗️🟢
- RPO $23.9b +29% ↗️🟢
- Cust >$20m ACV +30% ↗️🟢
- No. of cust >$5m ACV $528m +19% ↗️🟢
- Avg ACV of cust >$5m ACV $15m +7% ↗️🟢
- Net new ACV across workflows: XX% tech, XX% CRM, XX% creator
- XX% renewal rates ➡️✅
- Rev by geography: NA 62%, EMEA 26%, APAC XX%
Mgmt Guide 3Q25
- Sub Rev $3.265b +20.5% ↗️🟢
- cRPO +18.5% ↗️🟢
- NG EBIT Margin XX%
Mgmt Guide FY25
- Sub Rev $12.795b +20% ↗️🟢 (raise)
- Sub Gross Profit Margin XXXX% (same)
- NG EBIT Margin XXXX% (same)
- FCF Margin XX% (same)
X | Spectacular quarter with 200bps beat, well positioned going into 2H25
Q2 was a spectacular quarter across the board. We significantly beat the high end of our guidance across all top line and profitability metrics. Among many highlights, strong adoption of our analysis products continued outperforming expectations in the quarter once again. AI efficiencies internally were also a meaningful tailwind to margin expansion.
Q2 subscription revenues of $XXXX billion, growing XXXX% YoY in constant currency, 200bps above the high end of our guidance range. driven by strong execution and some early on-prem renewals.
In conclusion, Q2 was another fantastic quarter fueled by solid execution and resilient demand, with a robust pipeline and expanding market opportunities, we are well positioned as we enter the second half of the year.
X | Particularly strong across transportation and logistics, TMT, retail, hospitality, energy and utilities
From an industry perspective, transportation and logistics delivered a standout performance, net new ACV over XXX% YoY. Technology, Media and Telecom had a fantastic quarter, growing over XX% YoY. Retail and Hospitality and Energy & Utilities also saw strength, each growing over XX% YoY.
X | Larger than average customer cohort to renew in Q4, 3Q25 to 200bps of cRPO headwinds which will then subside in Q4
ServiceNow has a larger-than-average customer cohort scheduled to renew in Q4 2025. As a result, Q3 2025 will experience approximately X points of headwinds to cRPO growth as the contractual obligations wind down. We expect that cohort to renew in Q4 2025, at which time those headwinds will subside.
As noted last quarter, U.S. Federal agencies are navigating changes, from tightening budgets to evolving mission demands. We expect those dynamics to continue into Q3 2025. We remain confident that our revised guidance appropriately reflects these trends and continues to set us up for success for the remainder of the year.
X | DOGE, US government driving more conservatism and prudence, but still fell good
Our federal team is the best in the business, and I couldn't be prouder of them. And despite the noise actually in the court of U.S. public sector closed X new logos in Q2 alone. And so again, just continuing to execute despite the uncertainty. That being said, for the remainder of 2025, we're absolutely building prudence in around our assumptions for U.S. Fed, right? And so they continue to navigate tightening budgets and shifting mission demands with increasing urgency. So we feel good that our guidance contemplates appropriately those trends into Q3, and I feel good about where that stands.
X | AI, data and workflows driving growth
Let's talk about what's driving the growth. It's AI, data and workflows. On AI, now assist net new ACV to date beat expectations once again in Q2. Our key AI Pro+ deal count, including ITSM, CSM and HR was up over XX% QoQ. We also closed our largest now as this deal to date, at over $XX million.
X | AI hype cycle has not slowed, AI transformation remains priority #1 and
The AI hype cycle has not slowed for good reason. Enterprises in every industry and every region of the world have AI transformation as priority number one. IT budgets are highly resilient and increasingly focused on strategic mission-critical AI platforms.
X | AI work is cross-functional, ServiceNow alone has 450K agents, over XX% done by agents, extraordinary business case
AI work is cross-functional work. It is not one dimensional into a silo. Teams work on processes across functions organization charts are going to change. Work is going to be AI work, and it will be cross-functional. And our own company we have XXXXXXX agents in the workflow right now. And all of the supporting functions from customer support to IT support to risk, compliance, security, most of this is now over XX% being done by agents. So Agentic is real. The business cases are extraordinary. Gina has told the Street -- it will be $XXX million value to us this year
X | ServiceNow is delivering AI to empower people everywhere, as Agentic AI become more ubiquitous, and AI becomes the new UI
People and AI together will create new businesses, new discoveries and catalyze economic growth in every corner of the world. The world works with ServiceNow because we are delivering AI to empower people everywhere. So they can be the ones who lead their organizations forward to new horizons. I'll leave you with this point.
Analysts predict agentic AI will be ubiquitous, embedded in software platforms and applications, transforming user experiences and workflows. AI is the new UI, and that's why the software industrial complex of the 21st century is converging into ServiceNow as the extensible AI operating system for the Agentic enterprise.
X | ServiceNow stands out because it can work across functions, as it integrates the entire tech stack and data source into a single model, and then elevated to the workflow area for AI agents to act upon
Our position is highly differentiated because AI work is cross-functional work. ServiceNow integrates the entire tech stack, on-prem or in the cloud, any system, any LLM, any data source and we bring all of that data into a single model. From there, we elevated to the workflow layer where you take action on that data wherever it lives. Then we move into the AI layer, not just automation but true AI agents executing real tasks to drive outcomes across business processes, hire to retire, procure to pay, design to product quote to cash and sales to service.
XX | ServiceNow is about fixing the pain of enterprise tech where they don’t work well together
The long history of enterprise tech can be described in a single word, pain, that's because people and devices and apps and data and clouds, they don't work well together. Without ServiceNow, we run the real risk of a new generation of pain this time with AI agents scattered around like spare parts. We have no intention, ladies and gentlemen, of allowing that to happen.
XX | ServiceNow sees a huge CRM opportunity (watch out Salesforce), and Agentic AI could render traditional CRM obsolete
First of all, the CRM opportunity for ServiceNow really is huge. And we've moved away from a CRM screen and AI agents are going to be embedded in an omnipresent way in everyday tools and no more swivel sharing the workflows will be organized, They'll be agentic and legacy systems will be a customer's choice but they'll see the difference between end-to-end order, fulfill and service on one common platform.
As I summarized earlier, all our workflows are growing, especially CRM, front office workflows. The CRM opportunity for ServiceNow is massive. According to industry experts, Agentic AI represents a seismic shift that could render traditional CRM obsolete. By the end of this decade, enterprises will adopt systems of action driven by autonomous front-end agents.
The future isn't a CRM screen, it's omnipresent AI agent embedded in everyday tools. With our sales and order management solution and our acquisition of We're not just entering CRM. We're reimagining it now. We're delivering a fully integrated AI-powered front office, sales and service, streamlined operations and dramatically improved time to revenue. And customers are responding to our innovation.
XX | Saw strong momentum with CRM securing several notable wins
CRM and industry workflows continued its strong momentum and XX of our top XX deals with XX of those deals over $X million.
We secured several notable wins with strong momentum in CRM and widespread adoption of our end-to-end capabilities, one of the largest building supply companies in the U.S. selected ServiceNow CPQ to support configuration and quoting at scale for their largest distribution network.
XX | Delivered AI control tower AI agent fabric and a nocode AI agent studio in XX days
Under Amit Zavery's leadership, our product, engineering and design teams are the best in the enterprise. They're building too much net new innovation to cover in these remarks. That's a good thing.
ServiceNow has delivered a complete integrated enterprise-ready agentic platform for every agentic requirement. This includes AI control tower AI agent fabric and a nocode AI agent studio in just XX days. We've already surpassed our initial net new ACV expectations per AI control tower for the full year.
XX | ServiceNow is the only one that can cooperate with all three hyperscalers, allowing AI controller to control not just ServiceNow’s agents but also others, allowing for increased collaboration
Think about any cloud, okay, any cloud. We're the only ones that cooperate with all X of the hyperscalers. Oracle 2, I think any data source I think any -- when I say any data source, think about those systems of record, think about those data warehouses and data lakes. Think about any model, so any LLM model, all of the -- they're all good. They all do different things and they're all good and think about any agent. So these agents need to be managed just like people need to be managed. So our AI controller will manage our agents and all the other ones, too. And yes, Mark, the big picture is a CEO should want ServiceNow's AI platform for business transformation. They should want our AI controller to manage not just our agents, but all the other agents, too. These agents will team up, they will work together and they will collaborate together a chorus business processes
XX | Acquired for data governance, data catalog platform built on a knowledge graph with the highest user adoption
We also acquired to deliver innovative data governance, and these solutions are built for this agentic AI era, which is why it's so precious to us. This is the only data catalog platform built on a knowledge graph with the highest user adoption in the data, catalog and governance category period.
XX | Continue to expect EBIT margins to grow
And remember, we continue to accrete our operating margins each and every year. And so we feel really strongly that it makes sense to deploy some of these e ciencies, especially early on in this transition to really help our customers get to value fast because as you know, as we talked about at knowledge, once those assist start ramping up, that ramp for revenue is going to be large. And so the quicker we can get our customers to value, the better o they are, the better o we are. And so it's a great place for us to be investing some of these productivity gains.
XX | Despite several sales leadership changes, feeling good about his GTM bench
I feel fantastic about the go-to-market. These are really proven executives, Adrian in APJ is one of the premier athletes in the enterprise software industry and had a stellar career at Oracle. So he understands the enterprise extremely well, and he understand scale. So we're at that scale stage now.
In America, we have Tom Hannigan, who has now got a global job because he did such a good job. And we have Steve Walters, who ran our public sector business like a finely tuned Swiss watch, so he deserved a promotion too. And these are X great guys. And we have a really deep bench.
in South America. So actually, I've never felt better and Paul Fipps who is now running all global customer operations is somebody that I've known many years. He's been a superstar outside of the company. When we brought them in the company, every big challenge he's taken on, he's knocked it out of the park, and he is absolutely the right guy to run the corporation at the field general and teaming up with Amit and obviously, the rest of our colleagues, I just think he is just the best of the best.
XX | ServiceNow is executing well because of its people and culture riding the Agentic AI tailwind, leading the transformation with the best product
The one thing that can't easily get measured in an earnings script or in the numbers is the heart and the courage of a culture and part of this is gigantic. And this hungry and humble culture that started with red looting and has continued to this day has never given up on anything. But to answer your question speci cally, AI is what changed. And agentic AI is transforming the business model every company in the world. They see the difference tweens, ServiceNow and the other ones. And I would just sum this way. We got the best product on it.
XX | ServiceNow, the best positioned enterprise software company in the world, inventing their own paradigm of the agentic AI, and more customers will lean in
…that's why I believe we're the best positioned enterprise software company in the world, which is why I repeatedly say, we don't live in a neighborhood we're actually inventing our own paradigm of the agentic AI enterprise and what it's going to look like.
And so I think they're going to lean more into ServiceNow, not less into ServiceNow, but there will be others that won't become obsolete, and the market will determine the rules of the game.
Any agent, we cooperate with the whole ecosystem, so all of your investments to secure on our clean pain of glass across the enterprise. That's when they realize it's a different company I'm dealing with here. And I like everybody else.
➡️ Final Thoughts on ServiceNow $NOW
Solid, stable business, highly recurring revenues with a very long organic growth trajectory (20%+ FXN) and very profitable (FCF 30%+ margins) run by very solid management and execution. Looks well poised to benefit with secular and continued enterprise transformation and productivity gains with agentic AI workflows with their infrastructure/architecture moat of data connectors. See CRM as an exciting opportunity. Seeing good signs of early success, and if it continues to deliver customer success, there could be a reacceleration of revenue growth/strong beat in the coming quarters ahead with consumption-based AI agentic revenues.
XXXXX engagements
Related Topics $526m $716m $385m $854m $358m $955m $25b $32b