ServiceNow — Get Investor Presentation (opens in new window) (company IR deck)

ServiceNow (NOW) · 27 slides · Filed Oct 28, 2026

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Slide 1 — Investor

Slide 2 — Safe Harbor and other information

2 © 2025 ServiceNow, Inc. All Rights Reserved. 2 2 © 202 6 ServiceNow, Inc. All Rights Reserved. This presentation contains “forward ‐looking” statements, including but not limited to statements in the slide entitled “Outlo ok Considerations,” that are based on our management’s beliefs and assumptions and on information currently available to management. Forward ‐looking statements include information concerning o ur possible or assumed strategy, future operations, financing plans, operating model, financial position, future revenues, projected costs, competitive position, industry environment, pot ential growth opportunities, potential market opportunities, plans and objectives of management, the effects of competition on our business, and customer trends. Forward ‐looking statements include all statements that are not historical facts and can be identified by terms such as “antic ipa tes,” “believes,” “could,” “seeks,” “estimates” (including, without limitation, financial estimates denoted with an “E,” such as FY26E), “targets,” “guidance,” “expects,” “intends,” “may,” “pla ns, ” “potential,” “predicts,” “prospects,” “projects,” “should,” “will,” “would” or similar expressions and the negatives of those terms, although not all forward ‐looking statements contain these id entifying words. Forward -looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, p erformance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward -looking statements. Additionally, these forw ard -looking statements, particularly our guidance, involve risks, uncertainties and assumptions based on information available to us as of October 28, 2026, including those related to our future financial performance, global economic conditions and customer demand for and acceptance of existing, new and improved products and services, including products that incorporate a nd services that support AI technology. Many of these assumptions relate to matters that are beyond our control and changing rapidly, including, but not limited to, fluctuations i n the value of foreign currencies relative to the U.S. Dollar; fluctuations in interest rates; global macroeconomic and political conditions including changes in government spending and operating statu s, tariffs, inflation and armed conflicts; our ability to consummate and realize the benefits of any strategic transactions or acquisitions; and fluctuations and volatility in our stock price. I f any such risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from the results expressed or implied by the forward -looking statements we make. Further information on these and other factors that could cause or contribute to such differences include, but are not limited to, those discussed in the “Risk Factors” section in our An nual Report on Form 10 -K filed for the year ended December 31, 2025 and in our other Securities and Exchange Commission (“SEC”) filings. We cannot guarantee that we will achieve the plans, intent ions, or expectations disclosed in our forward -looking statements, and you should not place undue reliance on our forward -looking statements. Forward -looking statements represent our management’s beliefs and assumptions only as of the date of this presentation. We under take no obligation, and do not intend, to update these forward -looking statements, to review or confirm analysts’ expectations, or to provide interim reports or updates on the progres s of the current financial quarter. This presentation includes certain non ‐GAAP financial measures and the corresponding growth rates as defined by SEC rules. Fo r additional information, see the slide titled “Statement Regarding Use of Non -GAAP Financial Measures.” Terms such as Remaining Performance Obligations (“RPO”), Current Remaining Performance Obligations (“cRPO”) and Renewal Rate sha ll have the meanings set forth in our filings with the SEC. The information in this presentation on new products, features, or functionality, including products that incorporate AI tech nology, is intended to outline our general product direction and should not be relied upon in making a purchasing decision. The information on new products, features, and functionality is for infor mational purposes only and shall not be incorporated into any contract. The information on new products, features, and functionality is not a commitment, promise, or legal obligation to d eliver any material, code or functionality. The development, release, and timing of any features or functionality described for our products remains at our sole discretion. Safe Harbor and other information

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Slide 3 — Statement Regarding Use of

3 © 2025 ServiceNow, Inc. All Rights Reserved. 3 3 © 202 6 ServiceNow, Inc. All Rights Reserved. We report non -GAAP financial measures in addition to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. We adjust revenues and related growth rates (“revenues”), and current remaining performance obligations (“cRPO”) and remainin g p erformance obligations (”RPO”) and related growth rates for constant currency to provide a framework for assessing how our business performed excluding the effect of foreign currency rate fluctu ations, and for revenues only, any gains or losses from foreign currency hedge contracts that are reported in the current and comparative period. To exclude the effect of foreign currency rate fluct uations, current period revenues results for entities reporting in currencies other than U.S. Dollars are converted into U.S. Dollars at the average exchange rates in effect for the comparison period, rather t han the actual exchange rates in effect for the current period. Guidance for revenues related growth rates is derived by applying the average exchange rates in effect during the comparison period, rathe r than the exchange rates for the guidance period, adjusted for any foreign currency hedging effects. We believe the presentation of revenues and corresponding growth rates adjusted for constant currency by excluding effects of foreign currency rate fluctuations and any gains or losses from foreign currency hedge contracts facilitates the comparison of revenues year -over -year. Current period cRPO and R PO results and related growth rates for entities reporting in currencies other than U.S. Dollars are converted into U.S. Dollars at the exchange rates in effect at the end of the comparison period r ather than the actual end of the period exchange rates in effect during the current period. Guidance for cRPO growth rates is derived by applying the end of period exchange rates in effect during the compariso n p eriod rather than the exchange rates in effect during the guidance period. We believe the presentation of cRPO and RPO and related growth rates adjusted for constant currency facilitates the compariso n of cRPO and RPO year -over -year, respectively. Our non -GAAP presentation of gross profit, income from operations, and net income measures exclude certain non -cash or non -recur ring items, including stock -based compensation expense, amortization of purchased intangibles, legal settlements, impairment of assets, severance costs, contract termination costs, bus iness combination and other related costs including compensation expense, gains and losses on strategic investments, net, income tax effects and adjustments, and the income tax benefit from the release of a valuation allowance on deferred tax assets. We believe these adjustments provide useful supplemental information to investors and facilitates the analysis of our operating results and comparison of operating results across reporting periods. Free cash flow is defined as net cash provided by operating activities plus cash outflows for legal settlements and business com bination and other related costs including compensation expense, reduced by purchases of property and equipment. Free cash flow margin is calculated as free cash flow as a percentage of total revenu es. We believe information regarding free cash flow and free cash flow margin provides useful information to investors because it is an indicator of the strength and performance of our business op era tions. Our presentation of non -GAAP financial measures may not be comparable to similar measures used by other companies. We encourage investors to carefully consider our results under GAAP, as well as our supplemental non -GAAP information and the reconciliation between these presentations, to more fully understand our business. Please see the tables included at the end of this presentation for the reconciliation of GAAP and non -GAAP results. Statement Regarding Use of Non-GAAP Financial Measures

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Slide 4 — ServiceNow AI Platform

4 © 202 6 ServiceNow, Inc. All Rights Reserved. 4 Technology Workflows Core Business Workflows CRM and Industry Workflows Creator and Other Workflows Unite data, AI, workflows, and security to maximize the value of existing technology investments, cut costs, and make impactful improvements in core business processes all on a single platform Accelerate digital transformation with resilient, cost -efficient, and secure technology Provide easy -to-follow processes across HR, Procurement, Facilities, Legal, and Finance, reducing costs and improving performance Intelligently orchestrate customer experiences to sell, fulfill, and service on one unified platform Build connected cross - enterprise workflow apps fast using low -code and hyperautomation that safely deliver agile services at scale © 2025 ServiceNow, Inc. All Rights Reserved. 4 ServiceNow AI Platform

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Slide 5 — 5

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Slide 6 — We are the AI Control Tower for Business Reinvention

6 © 2025 ServiceNow, Inc. All Rights Reserved. 6 6 © 202 6 ServiceNow, Inc. All Rights Reserved. We are the AI Control Tower for Business Reinvention Our aspiration is to be the defining enterprise software company of the 21st century We move with the pace of innovation to help customers transform organizations across every industry, while upholding a trustworthy, human -centered approach to deploying our products and services at scale Our 8,800+ global customers (1) include approximately 90% of the Fortune 500. They all rely on ServiceNow solutions using the Now AI Platform —the intelligent and intuitive cloud platform —for successful digital transformation From Fortune Magazine. ©2026 Fortune Media IP Limited. All rights reserved. Used under license. (1) Global customers count is as of the end of 2025.

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Slide 7 — Q3-26 Financial Highlights

7 © 2025 ServiceNow, Inc. All Rights Reserved. 7 7 © 202 6 ServiceNow, Inc. All Rights Reserved. Q3-26 Financial Highlights (1) Currency impact on subscription revenue growth rates are derived by applying the average exchange rates in effect during the comparison period, rather than the actual average exchange rates in effect during the current period, excluding any gains or losses from foreign currency hedge contracts that are reported in the current and comparative periods. Currency impact on cRPO and RPO growth rates are derived by applying the exchange rates in effect at the end of the comparison period rather than the actual end of period exchange rates in effect during the current period. (2) The non-GAAP growth rates for subscription revenues are adjusted for constant currency by excluding effects of foreign currency rate fluctuations and any gains or losses from foreign currency hedge contracts, and cRPO and RPO are adjusted only for constant currency. See slides 12-13 for additional discussion of non-GAAP subscription revenues and their corresponding growth rates. See slide 14 for additional discussion of non-GAAP cRPO and RPO and their corresponding growth rates. (3) This financial metric and its corresponding growth rate, if applicable, are calculated on a non-GAAP basis. See appendix for a reconciliation of non-GAAP financial measures to the most comparable GAAP measures. Note: Numbers rounded for presentation purposes. Q3 2026 Results Quarterly Results Increase (Decrease) Y/Y Currency Impact (1) Non -GAAP Constant Currency Y/Y (2) Subscription Revenues $3,988M 21% ~50bps tailwind 20.5% Current RPO (cRPO) $13.65B 20.5% ~(50bps) headwind 21% Remaining Performance Obligations (RPO) $29.7B 22% ~(50bps) headwind 22.5% Non -GAAP Operating Margin (3) 32.5% ~(100bps) NA NA Non -GAAP Free Cash Flow Margin (3) 20% ~250bps NA NA

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Slide 8 — Outlook Considerations

8 © 2025 ServiceNow, Inc. All Rights Reserved. 8 8 © 202 6 ServiceNow, Inc. All Rights Reserved. Our guidance includes GAAP and non -GAAP financial measures. The non -GAAP growth rates for subscription revenues are adjusted for constant currency by excluding the effects of foreign currency rate fluctuations and any gains or losses from foreign currency hedge c ontracts, and the non -GAAP growth rates for cRPO are adjusted only for constant currency to provide better visibility into the underlying business. Investing in Accelerating AI Adoption To help customers realize value even faster at scale, ServiceNow has made the strategic decision to invest in their success b y including delivery expertise with our platform solutions to accelerate AI deployments for select large deals. Customers receiving this support have seen AI adoption progress twice as fast during the first five weeks, with multiples hig her Assist consumption and product usage versus those without support over time. Under ASC 606, the value of these deployment services are carved out of the subscription contract and allocated to profession al services revenue rather than subscription revenue, and in some cases, excluded from cRPO . While this mix shift creates a near -term headwind to subscription revenue and cRPO , we expect it to accelerate customer AI consumption meaningfully, unlocking a significantly larger monetization opportunity. Notably, upon renewal, the value of those services carve -outs return to subscription revenue and cRPO , providing a structural acceleration to growth. These incremental investments shifted approximately 25 bps of year -over -year subscription revenue growth to professional service s revenue in Q3 2026 and are expected to have an approximately 50 bps impact in Q4 2026. cRPO Correlation with Subscription Revenue Our cRPO also excludes the effect of an increasing balance of backlog from termination -for-convenience (T4C) contracts, reflecting deals with inherited contract terms from acquisitions. It will also exclude potential direct public -sector deals in the future. We expect to exit Q4 2026 with approximately 50 bps of year -over -year subscription backlog growth excluded from cRPO due to T4C provisions. While not included in cRPO , these contracts will contribute to subscription revenue if they remain in effect. Outlook Considerations

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Slide 9 — 2026 Guidance Assumptions: Armis Impact

9 © 2025 ServiceNow, Inc. All Rights Reserved. 9 9 © 202 6 ServiceNow, Inc. All Rights Reserved. Armis Impact Q4 2026 FY 2026 Guidance Subscription Revenues Non -GAAP Constant Currency Y/Y Growth ~175bps ~125bps Current RPO (cRPO) Non -GAAP Constant Currency Y/Y Growth ~175bps NA Non -GAAP Subscription Gross Margin NA ~(25bps) Non -GAAP Operating Margin ~(75bps) ~(75bps) Non -GAAP Free Cash Flow Margin NA ~(200bps) Note: Numbers rounded to nearest 25bps for presentation purposes 2026 Guidance Assumptions: Armis Impact

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Slide 10 — Guidance Summary

10 © 2025 ServiceNow, Inc. All Rights Reserved. 10 10 © 202 6 ServiceNow, Inc. All Rights Reserved. Guidance Summary Q4 2026 Guidance Quarterly Guidance Increase (Decrease) Y/Y Currency Impact Included in Guidance (1) Non -GAAP Constant Currency Y/Y (2) Subscription Revenues $4,245M - $4,255M 22.5% - 23% ~100bps tailwind 21.5% Non -GAAP Operating Margin (3) 32% ~100bps NA NA Current RPO (cRPO) Growth 18.5% NA ~Flat 18.5% FY 2026 Guidance Full -Year Guidance Increase (Decrease) Y/Y Currency Impact Included in Guidance (1) Non -GAAP Constant Currency Y/Y (2) Subscription Revenues $15,780M - $15,790M 22.5% ~150bps tailwind 21% Non -GAAP Subscription Gross Margin (3) 81% ~(250bps) NA NA Non -GAAP Operating Margin (3) 31.5% ~50bps NA NA Non -GAAP Free Cash Flow Margin (3) 36% ~100bps NA NA (1) Currency impact on subscription revenues growth rates are derived by applying the average exchange rates in effect during the comparison period, rather than the exchange rates for the guidance period, adjusted for any foreign currency hedging effect s. Currency impact on cRPO growth rates are derived by applying the end of period exchange rates in effect during the comparison period rather than the exchange rates in effect during the guidance period. (2) The non -GAAP growth rates for subscription revenues are adjusted for constant currency by excluding effects of foreign curre ncy rate fluctuations and any gains or losses from foreign currency hedge contracts, and cRPO is adjusted only for constant c urrency. (3) This financial metric and its corresponding growth rate, if applicable, are calculated on a non -GAAP basis. See appendix for a reconciliation of non -GAAP financial measures to the most comparable GAAP measures. (4) Growth rate calculated on a Non -GAAP basis. See appendix for reconciliation of Non -GAAP financial measures to the most compa rable GAAP measures.

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Slide 11 — Comparison to Previously Issued Guidance

11 © 2025 ServiceNow, Inc. All Rights Reserved. 11 11 © 202 6 ServiceNow, Inc. All Rights Reserved. Comparison to Previously Issued Guidance Q3 -26A FY26G 22.5% 22.5% Actual Results Currency Impact (2) Prev. Guidance Midpoint (1) Q3 Performance Current Guidance Midpoint Guidance Change (1) Refers to previously issued financial guidance dated 07/22/26. (2) GAAP subscription revenues included in our previous guidance is based on the 30 -day average foreign exchange rates for June 2025 for entities reporting in currencies other than U.S. Dollars. Currency impact in Q3 2026 represents the impact of the di fference between the actual average foreign exchange rates in the period used to calculate our Q3 2026 actual results and the 30 -day average foreign exchange rates for June 2026 assumed in our previously issued guidance dated 07/22/26, including any gains or losses from foreig n currency hedge contracts. Currency impact on our full year guidance represents the impact of the difference between the 30 -day average foreign exchange rates for September 2026 assumed in our updated full -year 2026 guidance, and the 30 -day average foreign exchange rates for June 2026 in our previously issued guidance dated 07/22/26, including any gains or losses from foreign currency hedge contracts. Note: Numbers rounded for presentation purposes and may not foot. ($M) Subscription Revenues Y/Y Growth 20.5% 21% $12

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Slide 12 — Year-Over-Year Subscription Revenues Growth

12 © 2025 ServiceNow, Inc. All Rights Reserved. 12 12 © 202 6 ServiceNow, Inc. All Rights Reserved. Year-Over-Year Subscription Revenues Growth Non -GAAP Constant Currency Sub Revenue Growth (1) Actual Growth Previous Year Growth Subscription Revenues (%) FY25A Q3 -25A Q4 -25A Q1-26A (1) Non-GAAP subscription revenues growth rates are adjusted only for constant currency and derived by adjusting subscription re venues for constant currency by applying the average exchange rates in effect during the comparison period rather than the ac tual average exchange rate in effect during the current period and excluding any gains or losses from foreign currency hedge contract s. Note: Numbers are rounded to the nearest whole percentage for presentation purposes. Q3 -26A Q2 -26A

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Slide 13 — Currency Impact to Year-Over-Year Sub. Revenues

13 © 2025 ServiceNow, Inc. All Rights Reserved. 13 13 © 202 6 ServiceNow, Inc. All Rights Reserved. 21% 20% 20% 25% 23% Currency Impact to Year-Over-Year Sub. Revenues 21% 20% 22% 19% 21% 20% (1) Non-GAAP constant currency subscription revenues and the corresponding growth figures are adjusted only for constant currenc y and derived by applying the average exchange rates in effect during the comparison period rather than the actual average excha nge rate in effect during the current period and excluding any gains or losses from foreign currency hedge contracts. Note: Numbers are rounded to the nearest whole percentage for presentation purposes. Y/Y Growth Non -GAAP Constant Currency Sub Revenues (1) Actuals Currency Impact Subscription Revenues ($M) 22% FY25A Q3 -25A Q2 -26A Q3 -26A Q1-26A Q4 -25A $3,412 $(54) $12,797 $(99) $3,299 $(32) $3,848 $(29) $3,877 $3,671 $3,466 $3,572 $(86) $12,883 $2 $3,988 $3,990 $3,267

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Slide 14 — Remaining Performance Obligations (RPO)

14 © 2025 ServiceNow, Inc. All Rights Reserved. 14 14 © 202 6 ServiceNow, Inc. All Rights Reserved. Remaining Performance Obligations (RPO) (1) The total RPO and current RPO growth rates are adjusted only for constant currency. Results for entities reporting in cur rencies other than U.S. Dollars are converted into U.S. Dollars at the exchange rates in effect at the end of the comparison per iod , rather than the actual exchange rates in effect at the end of the current period. Note: Numbers rounded for presentation purposes. ($B) cRPO Y/Y Growth 21% 25% 22.5% 21% 20.5% cRPO cc (1) Y/Y Growth 20.5% 21% 21% 21.5% 21% +22% / +22.5% cc (1) Total RPO Q3 -26 Y/Y Growth

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Slide 15 — Customer Cohort Growth

15 © 2025 ServiceNow, Inc. All Rights Reserved. 15 15 © 202 6 ServiceNow, Inc. All Rights Reserved. 87% 83% 52% 182% Customer Cohort Growth 185% 242% (1) 123% 133% 116% 88% 93% 41% (1) As an illustrative example, the 2011 customer cohort started with a contract of initial ACV (annual contract value) of $1 00 and grew to ACV of $3,730 as of Q3 -26 and represents annual growth of initial ACV of 242%. Note: Chart reflects growth in total annual contract value over time, inclusive of losses, for the group of customers that jo ined ServiceNow in each respective year. Annual Growth represents increases in total annual contract value after the initial contr act of each customer. 61% 57% 32% Annual Growth of Initial ACV

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Slide 16 — Expansion of Customer Relationships

16 © 2025 ServiceNow, Inc. All Rights Reserved. 16 16 © 202 6 ServiceNow, Inc. All Rights Reserved. Note: Previously disclosed number of customers with ACV greater than $5 million is restated to allow for comparability. ACV i s c alculated based on the foreign exchange rate in effect at the time the contract was entered into. Foreign exchange rate fluct uations could cause some variability in the number of customers with ACV greater than $5 million. ($M) Expansion of Customer Relationships Number of Customers with $5M+ ACV Avg ACV of Customers with $5M+ ACV

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Slide 17 — Renewal Rate

17 © 2025 ServiceNow, Inc. All Rights Reserved. 17 17 © 202 6 ServiceNow, Inc. All Rights Reserved. Renewal Rate (1) Excluding the closure of a large U.S. Federal agency, Q3 2025 renewal rate would be 98%. Note: We adjust our Renewal Rate for acquisitions, consolidations and other customer events that cause the merging of two or mor e accounts occurring at the time of renewal. (1)

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Slide 18 — Trailing Twelve Month Net New ACV Contribution Across

18 © 2025 ServiceNow, Inc. All Rights Reserved. 18 18 © 202 6 ServiceNow, Inc. All Rights Reserved. Trailing Twelve Month Net New ACV Contribution Across Workflows and Products(1) (1) Historical presentations disclosed net new ACV contribution across products and are not comparable to net new ACV contrib ution across workflows and products disclosed herein. Net new ACV generated from Industry products is spread across several work flows, the majority of which is reported under CRM and Industry Workflows. Note: Technology Workflows include IT Service Management, IT Operations Management, Asset Management, Security Operations, Ri sk Management, Strategic Portfolio Management, Operational Technology Management, Armis and others. CRM and Industry & Core Business Workflows include Customer Service Management, Field Service Management, HR Service Delivery, Workplace Service Deli very, Legal and Contract Operations, Source -to-Pay Operations, Moveworks and others. Creator Workflows & Others include App Engine, Workflow Data Fabric, Platform Privacy & Security, and others.

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Slide 19 — Trailing Twelve Month GAAP Revenues by

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Slide 20 — Headcount by Department

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Slide 21 — Non-GAAP Gross Margins

21 © 2025 ServiceNow, Inc. All Rights Reserved. 21 21 © 202 6 ServiceNow, Inc. All Rights Reserved. Non-GAAP Gross Margins Note: All figures are calculated on a non -GAAP basis. See appendix for reconciliation of non -GAAP financial measures. Non -GAAP Subscription Gross Margin Non -GAAP PS & Other Gross Margin Non -GAAP Total Gross Margin

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Slide 22 — Non-GAAP Operating and Free Cash Flow Margins

22 © 2025 ServiceNow, Inc. All Rights Reserved. 22 22 © 202 6 ServiceNow, Inc. All Rights Reserved. Non-GAAP Operating and Free Cash Flow Margins Non -GAAP Free Cash Flow Margin Non -GAAP Operating Margin Note: All figures are calculated on a non -GAAP basis. See appendix for reconciliation of non -GAAP financial measures.

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Slide 23 — Non-GAAP Net Income and Diluted EPS

23 © 2025 ServiceNow, Inc. All Rights Reserved. 23 23 © 202 6 ServiceNow, Inc. All Rights Reserved. Non-GAAP Net Income and Diluted EPS Non -GAAP Net Income ($M) Non -GAAP Diluted EPS Note: All figures are calculated on a non -GAAP basis. See appendix for reconciliation of non -GAAP financial measures. Non -GAAP diluted EPS historical periods have been restated to reflect the 5 -to-1 stock split and the exclusion of gains and loss es on strategic investments Non -GAAP Net Income historical periods have been restated to reflect the exclusion of gains and losses on strategic investments