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Apr 23, 2026 8:03 AM

ServiceNow Crushes Earnings—Then Tanks 14% On Dire Middle East Warning

ServiceNow Inc. (NYSE:NOW) reported first-quarter results after the market close Wednesday, topping Wall Street estimates, while warning that ongoing tensions in the Middle East could delay deals through the rest of the year.

Earnings Snapshot

The company posted first-quarter revenue of approximately $3.77 billion, beating the consensus estimate of $3.74 billion, according to Benzinga Pro.

The software solutions company reported adjusted EPS of 97 cents for the quarter, narrowly beating analyst estimates of 96 cents.

ServiceNow expects second-quarter subscription revenue of $3.815 billion to $3.82 billion, representing approximately 21% to 21.5% growth.

CFO Gina Mastantuono said, “Our guidance captures that momentum while taking a prudent view of the geopolitical environment, particularly the conflict in the Middle East and its potential impact to deal timing.”

Conference Call Takeaways

ServiceNow closed 16 deals greater than $5 million in net new ACV, including 5 deals exceeding $10 million. It ended the quarter with 630 customers generating over $5 million ...