NASDAQ$WDAY

Workday Inc A · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Workday's Q4 2021 financial results were announced, revealing an increase in total revenues and subscription revenue compared to the same period last year.

Workday announced strong Q4 2021 results with total revenues of $1.13 billion, up 15.9% year-over-year, and subscription revenue of $1.01 billion, up 19.8% year-over-year. The company's 24-month subscription revenue backlog reached $6.53 billion, a 19.2% increase, and the total subscription revenue backlog was $10.09 billion, up 21.6% year-over-year.

  • Total revenues increased by 15.9% year-over-year, reaching $1.13 billion.
  • Subscription revenue grew by 19.8% year-over-year, totaling $1.01 billion.
  • 24-month subscription revenue backlog increased by 19.2% year-over-year to $6.53 billion.
  • Total subscription revenue backlog increased by 21.6% year-over-year to $10.09 billion.

Headline financials

Total Revenue

$1.13B

Previous: $976M+15.9%
EPS (adj)

$0.73

Previous: $0.50+46.0%
Total subscription revenue backlog

$10.1B

Previous: $8.29B+21.7%
12-month subscription revenue backlog

$6.53B

No prior period
Net Income

-$71.7M

Previous: -$128M+44.0%
Operating Income

-$73.3M

Previous: -$146M+49.8%
Gross Profit

$819M

Previous: $692M+18.4%
Cash & Equivalents

$1.38B

Previous: $731M+89.3%
Total Assets

$8.72B

Previous: $6.82B+27.9%
Stock-Based Comp

$257M

Previous: $234M+9.7%

Revenue & EPS history

Workday · Revenue · Quarterly

$1.13B

Q4 2021+15.9%vs Q4 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Workday · $1.13B total across 2 segments · Q4 2021

  • Subscription services
    $1.01B+19.8%
  • Professional services
    $125M-8.2%

Forward guidance

Workday expects fiscal 2022 subscription revenue to be in the range of $4.38 billion to $4.40 billion, representing year-over-year growth of 16%, and non-GAAP operating margins of 17%.

Tailwinds

  • Fiscal 2022 subscription revenue expected to be in the range of $4.38 billion to $4.40 billion.
  • Year-over-year subscription revenue growth of 16% is anticipated.
  • Non-GAAP operating margins are projected to be 17%.
  • Focus on driving accelerated bookings growth.
  • Expectation that accelerated bookings growth will result in a faster pace of future subscription revenue growth.

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 Q4 2021

Historical avgQ4 2021

+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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