For the quarter ended March 2025, ServiceNow (NOW) reported revenue of $3.09 billion, up 18.6% over the same period last year. EPS came in at $4.04, compared to $3.41 in the year-ago quarter.

The reported revenue represents a surprise of +0.18% over the Zacks Consensus Estimate of $3.08 billion. With the consensus EPS estimate being $3.79, the EPS surprise was +6.60%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

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: $10.31 billion compared to the $10.1 billion average estimate based on four analysts.
• Remaining Performance Obligations (RPO) - GAAP: $22.1 billion compared to the $21.42 billion average estimate based on three analysts.
• Revenues- Professional services and other: $83 million compared to the $84.10 million average estimate based on nine analysts. The reported number represents a change of +3.8% year over year.
• Revenues- Subscription: $3.01 billion compared to the $3 billion average estimate based on nine analysts. The reported number represents a change of +19.1% year over year.
• Gross Profit (Non-GAAP)- Professional services and other: $4 million versus the eight-analyst average estimate of $10.12 million.
• Gross Profit (Non-GAAP)- Subscription: $2.53 billion compared to the $2.51 billion average estimate based on eight analysts.

View all Key Company Metrics for ServiceNow here>>>

Shares of ServiceNow have returned -11% over the past month versus the Zacks S&P 500 composite's -6.6% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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This article originally published on Zacks Investment Research (zacks.com).

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