ServiceNow Inc (NOW)
Operating profit margin
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 762,000 | 647,000 | 507,000 | 412,000 | 355,000 | 235,000 | 218,000 | 247,000 | 257,000 | 240,000 | 235,000 | 247,000 | 199,000 | 209,389 | 196,713 | 106,713 | 42,000 | 13,889 | -32,867 | -37,856 |
| Revenue (ttm) | US$ in thousands | 8,971,000 | 8,474,000 | 8,017,000 | 7,619,000 | 7,245,000 | 6,919,000 | 6,600,000 | 6,257,000 | 5,895,000 | 5,531,000 | 5,171,000 | 4,833,000 | 4,519,000 | 4,220,337 | 3,954,170 | 3,717,074 | 3,460,000 | 3,224,104 | 3,011,368 | 2,808,520 |
| Operating profit margin | 8.49% | 7.64% | 6.32% | 5.41% | 4.90% | 3.40% | 3.30% | 3.95% | 4.36% | 4.34% | 4.54% | 5.11% | 4.40% | 4.96% | 4.97% | 2.87% | 1.21% | 0.43% | -1.09% | -1.35% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $762,000K ÷ $8,971,000K
= 8.49%
ServiceNow Inc's operating profit margin has shown a steady improvement over the past eight quarters, indicating a positive trend in the company's operational efficiency and profitability. In the most recent quarter, ending December 31, 2023, the operating profit margin reached 8.49%, representing an increase from the previous quarter's 7.64%. This suggests that the company has been able to generate more operating profit relative to its revenue, reflecting stronger cost management and potentially higher pricing power. Notably, the company's operating profit margin has more than doubled since the first quarter of 2022, demonstrating a significant improvement in profitability over the two-year period. Overall, these trends indicate positive developments in ServiceNow Inc's ability to translate its sales into operating profits.
Peer comparison
Dec 31, 2023