Workday Exceeds Quarterly Revenue and Earnings Estimates
Workday (NASDAQ:WDAY) reported quarterly revenue of $2.649 billion, up 12.8% year-over-year, surpassing analyst expectations of $2.64 billion. Adjusted earnings per share rose to $2.75 from $2.21 a year ago, also exceeding the expected $2.61. The company forecast third-quarter subscription revenue at $2.515 billion and full-year revenue between $9.940 billion and $9.950 billion—both in line with or slightly above analyst estimates. Workday's AI initiatives are gaining traction, contributing to more than 25% of new annual contract value during the quarter. Over 5,500 customers were using its internally developed AI agents, a significant increase from the prior quarter. The company also announced an additional $4 billion in share buybacks and reported strong cash reserves. Despite initial declines after earnings release, Workday's stock recovered slightly in extended trading.
Tickers: $WDAY
Topics: AI_integration revenue subscription_growth