Workday ( (WDAY) ) has released its Q4 earnings. Here is a breakdown of the information Workday presented to its investors.
Workday, Inc., a leading AI platform for managing human resources and financial operations, serves over 11,000 organizations globally, including a significant portion of the Fortune 500.
In its fiscal 2025 fourth quarter and full year financial results, Workday reported a notable increase in revenues, with total revenues reaching $2.211 billion for the quarter, marking a 15% year-over-year growth. The company’s subscription revenues also rose by 15.9% to $2.040 billion. For the full fiscal year, Workday achieved total revenues of $8.446 billion, reflecting a 16.4% increase from the previous year, with subscription revenues growing by 16.9% to $7.718 billion.
Key financial metrics highlighted in the report include an operating income of $75 million for the fourth quarter, impacted by restructuring expenses, and a non-GAAP operating income of $584 million. The diluted net income per share was $0.35, affected by restructuring costs, while the non-GAAP diluted net income per share rose to $1.92. For the fiscal year, Workday’s operating income was $415 million, with a non-GAAP operating income of $2.186 billion. The company’s operating cash flows increased to $2.461 billion, and it repurchased 2.9 million shares for $700 million.
Looking ahead, Workday’s management remains optimistic, projecting fiscal 2026 subscription revenue to grow by 14% to $8.800 billion, with a non-GAAP operating margin expected to reach 28.0%. The company continues to focus on strategic investments and operational efficiencies to support its long-term growth objectives.