ServiceNow Earnings, Guidance Soothe Fear of Slower Govt Business -- Market Talk

Dow Jones

2025/04/24

1757 ET - ServiceNow's stock has slid since January, down 23% year-to-date as investors feared the company's growing public sector business could hit a snag amid federal spending cuts. Those worries seem to be dissipating now after the company slightly bumped up its full-year guidance and reported higher profit and revenue in the first quarter. Chief Executive Bill McDermott said in an interview the company logged 30% higher sales in its public sector business in the quarter amid higher global interest in boosting government efficiency. He also said all demand signals remain strong going into the second quarter. The stock climbs 10% after-hours.(kelly.cloonan@wsj.com)

(END) Dow Jones Newswires

April 23, 2025 17:57 ET (21:57 GMT)

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