Workday, Inc. SEC 10-Q Report

Workday, Inc., a leading provider of enterprise cloud applications for finance and human resources, has released its latest Form 10-Q report, showcasing robust financial and operational performance for the period ended July 31, 2025. The report highlights significant growth in revenues, improved profitability, and strategic initiatives aimed at sustaining long-term growth.

Financial Highlights

• Total Revenues: $2,348 million, increased by 13% compared to the prior year period, driven by a 14% increase in Subscription Services Revenues.
• Operating Income: $248 million, increased by 123% compared to the prior year period, reflecting improved operational efficiency.
• Net Income: $228 million, increased from $132 million in the prior year period, indicating strong financial performance.
• Net Income Per Share, Basic: $0.86, up from $0.50 in the prior year period, reflecting higher profitability.
• Net Income Per Share, Diluted: $0.84, up from $0.49 in the prior year period, showing improved earnings per share.

Business Highlights

• Revenue Segments: Subscription services accounted for approximately 92% of total revenues for the three and six months ended July 31, 2025. This segment's growth was driven by both expansion within existing customers and the addition of new customers.
• Geographical Performance: The United States remains the largest market, contributing $1.76 billion in revenues for the three months ended July 31, 2025, and $3.45 billion for the six months ended July 31, 2025. Other countries contributed $584 million and $1.14 billion for the same periods, respectively.
• Sales Units: The company reported a gross revenue retention rate of approximately 97% as of July 31, 2025, indicating strong customer satisfaction and retention.
• New Production Launches: The company commenced a 20-year lease for a new European headquarters in Dublin, Ireland, which resulted in the recognition of significant operating lease assets and liabilities.
• Future Outlook: The company is focused on driving sustainable, long-term subscription revenue growth by adding new customers and expanding relationships with existing customers. Investments in strategic growth areas such as AI solutions, international expansion, and industry verticals are expected to support revenue growth and scalability.
• Operational Efficiency: The company is prioritizing investments to expand operating margins by building efficiencies across the business, with a focus on reducing product development, sales and marketing, and general and administrative expenses as a percentage of total revenues over the long term.

SEC Filing: Workday, Inc. [ WDAY ] - 10-Q - Aug. 22, 2025