Workday Reports Q4 Earnings, Beats Estimates with Revenue Rise

Workday, Inc. posted its fourth-quarter earnings showing a decrease from last year, but with a positive earnings surprise. Analysts had expected $1.78 EPS, while Workday delivered $1.92 adjusted earnings per share.

Date: 25-02-2025

AI Rating: 6

Earnings Performance: Workday, Inc. reported earnings of $94 million or $0.35 per share for the fourth quarter, which represents a notable decline from the previous year's earnings of $1.188 billion or $4.42 per share. However, the adjusted earnings of $1.92 per share exceeded analysts' expectations of $1.78, indicating that, despite the decline in raw earnings, the company's performance outshined the market's predictions.

Revenue Growth: The company's revenue for the period saw a healthy increase of 15%, rising to $2.211 billion from $1.922 billion a year ago. This growth in revenue is a positive sign, reflecting demand for Workday's services and an ability to capture market growth.

Overall, the reporting data presents a mixed picture. While the drop in net earnings could raise concerns amongst investors, the revenue growth and improved adjusted earnings suggest operational strength. If Workday can maintain or improve this revenue trajectory, it could positively influence stock performance in the future.

Stocks: WDAY