NASDAQ$WDAY

Workday Inc A · Q3 2025 earnings

Q3 2025 earnings · · Investor relations

Briefing

Workday's Q3 2025 financial results were announced, with total revenues of $2.160 billion, up 15.8% year over year, and subscription revenues of $1.959 billion, also up 15.8% year over year.

Workday announced solid Q3 2025 results, demonstrating growth in total revenues and subscription revenues, alongside increased operating income and diluted net income per share. The company also updated its full-year fiscal 2025 subscription revenue guidance to $7.703 billion, representing 17% growth.

  • Total revenues increased by 15.8% year-over-year to $2.160 billion.
  • Subscription revenues also grew by 15.8% year-over-year to $1.959 billion.
  • Diluted net income per share rose to $0.72, compared to $0.43 in the same period last year.
  • The company updated its fiscal 2025 subscription revenue guidance to $7.703 billion, representing 17% growth.

Headline financials

Total Revenue

$2.16B

Previous: $1.87B+15.8%
EPS (adj)

$1.89

Previous: $1.53+23.5%
Capital Expenditures

-$47M

Previous: -$1.42M-3200.6%
Free Cash Flow

$146M

Previous: $112M+30.0%
Net Income

$193M

Previous: $114M+69.7%
Operating Income

$165M

Previous: $87.9M+87.8%
Gross Profit

$0.00

Previous: -$807K+100.0%
Cash & Equivalents

$1.31B

Previous: $1.56B-16.2%
Total Assets

$16.4B

Previous: $13.9B+17.9%
R&D Expense

$647M

Previous: $619M+4.6%
Stock-Based Comp

$367M

Previous: $349M+5.2%

Revenue & EPS history

Workday · Revenue · Quarterly

$2.16B

Q3 2025+15.8%vs Q3 2024
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

Workday · $2.54B total across 2 segments · Q1 2027

  • Subscription services
    $2.35B
  • Professional services
    $188M

Forward guidance

Workday is providing guidance for the fiscal 2025 fourth quarter ending January 31, 2025 as follows: Subscription revenue of $2.025 billion, representing growth of 15% and Non-GAAP operating margin of 25.0%. Workday is updating its guidance for the fiscal 2025 full year ending January 31, 2025 as follows: Subscription revenue of $7.703 billion, representing growth of 17% and Non-GAAP operating margin of 25.5%.

Tailwinds

  • Subscription revenue of $2.025 billion, representing growth of 15% for Q4 2025
  • Non-GAAP operating margin of 25.0% for Q4 2025
  • Subscription revenue of $7.703 billion, representing growth of 17% for fiscal year 2025
  • Non-GAAP operating margin of 25.5% for fiscal year 2025

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2025

Historical avgQ3 2025

+0.5%

Avg return

Earnings day

-0.4%

Avg return

5 days after

-1.7%

Avg return

30 days after

41%

22 / 54 earnings

Positive

+20.5%

Q4 2016

Best reaction

-15.3%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027-4.6%-7.6%-12.9%
Q4 2026-0.2%+2.9%-4.6%
Q3 2026-3.0%-8.7%-5.6%
Q2 2026-2.8%+0.9%+2.7%
Q1 2026-12.4%-11.8%-12.5%
Q4 2025+6.2%-0.3%-6.6%
Q3 2025-5.3%-6.6%+0.6%
Q2 2025+11.3%+13.3%+6.3%
Q1 2025-15.0%-17.1%-15.7%
Q4 2024-3.5%-4.6%-10.5%
Q3 2024+11.7%+15.7%+17.1%
Q2 2024+2.9%+5.0%+0.3%
Q1 2024+10.1%+6.6%+13.3%
Q4 2023+1.3%+4.6%+8.3%
Q3 2023+15.6%+17.7%+15.5%
Q2 2023+3.8%+2.4%-5.7%
Q1 2023-3.5%-5.0%-7.6%
Q4 2022+6.7%+6.7%+7.3%
Q3 2022-4.8%-8.8%-9.0%
Q2 2022+9.4%+11.0%+9.1%
Q1 2022-3.1%-3.3%+2.7%
Q4 2021-6.7%-5.6%-5.0%
Q3 2021-6.4%-4.7%+8.0%
Q2 2021+14.2%+13.2%+1.0%
Q1 2021+8.4%+5.7%+11.4%
Q4 2020-1.2%-5.0%-22.3%
Q3 2020-3.8%-3.3%-2.6%
Q2 2020-4.3%-5.6%-9.0%
Q1 2020-3.6%-3.1%-2.1%
Q4 2019-4.2%-7.8%-2.3%
Q3 2019+12.5%+13.2%+9.4%
Q2 2019-8.0%-6.2%-9.6%
Q1 2019-4.2%-2.3%-8.1%
Q4 2018-0.9%+2.7%-0.5%
Q3 2018-10.2%-15.8%-11.3%
Q2 2018+5.1%+4.2%+0.9%
Q1 2018+4.4%+2.7%-3.0%
Q4 2017-7.5%-6.4%-5.7%
Q3 2017-15.3%-12.8%-21.6%
Q2 2017+6.7%+4.3%+12.0%
Q1 2017+1.8%+5.4%-1.8%
Q4 2016+20.5%
Q3 2016-0.7%
Q2 2016+7.6%
Q1 2016-11.0%
Q4 2015-4.7%
Q3 2015-6.1%
Q2 2015-5.4%
Q1 2015+7.3%
Q4 2014+16.9%
Q3 2014+11.5%
Q2 2014-1.6%
Q1 2014-3.4%
Q4 2013-3.2%
Q3 2013
Q2 2012
Q1 2012
Q4 2011
Q3 2011

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