ServiceNow Q3 Total Revenue Rises 20.5% to $4.106 Billion: Subscription Revenue Up 21% to $3.988 Billion as Guidance Raised
Enterprise software company ServiceNow (NYSE: NOW) reported results on October 28 for its third quarter ended September 30, 2026: total revenues were $4,106 million, up 20.5% year over year, including subscription revenues of $3,988 million, up 21% (20.5% in constant currency), and professional services and other revenues of $118 million, up 10%. The company said it exceeded the high end of its guidance across all third-quarter topline growth and profitability metrics.
On a GAAP basis, gross profit was $2,895 million, a 70.5% margin; income from operations was $385 million, a 9.5% margin, compared with $572 million and 17% a year earlier; and net income was $277 million, or $0.27 per share, versus $502 million, or $0.48, a year earlier. On a non-GAAP basis, net income was $1,039 million, or $1.00 per share, with a 32.5% operating margin. Operating cash flow was $839 million and free cash flow was $822 million.
Current remaining performance obligations (cRPO) were $13.65 billion, up 20.5%, and total remaining performance obligations were $29.7 billion, up 22%. The company closed 19 transactions with more than $5 million in net new annual contract value (ACV), growth of over 135% year over year, ended the quarter with 680 customers generating more than $5 million in ACV, up about 23%, and reported a 98% renewal rate.
ServiceNow raised its outlook: full-year 2026 subscription revenue guidance rose to $15.78 billion to $15.79 billion, its free cash flow margin target rose to 36%, and fourth-quarter subscription revenue is expected at $4.245 billion to $4.255 billion. The company also raised its 2026 target for super intelligence (SI) annual contract value to $1.7 billion.
Headquartered in Santa Clara, California, ServiceNow's platform runs IT services and departmental workflows for large organizations; its U.S. federal business saw deals over $1 million grow more than 30% year over year in the quarter.
Source: GSM · USA (original Chinese edition)
Photo: 图：ServiceNow 公司标识。公共领域，经 Wikimedia Commons。 / Image: ServiceNow logo. Public domain, via Wikimedia Commons.
