Summary
This Form 8-K filing by ServiceNow, Inc. (NOW) on July 30, 2014, primarily serves to report the company's financial results for the three months ended June 30, 2014. While the filing itself is brief, it incorporates by reference a press release (Exhibit 99.1) that contains the detailed financial performance data. Investors should note that ServiceNow utilizes and presents non-GAAP financial measures alongside GAAP results. These non-GAAP measures, which exclude items like stock-based compensation, debt adjustments, and acquisition-related expenses, are presented to provide a clearer view of the company's core operating performance and are considered by management to be useful for investor analysis. The press release, though not fully detailed in the 8-K text provided, is the critical document for understanding ServiceNow's second-quarter 2014 performance. The company emphasizes that investors should review both GAAP and non-GAAP figures, along with provided reconciliations, for a comprehensive understanding of its financial health and operational efficiency. Key metrics such as gross margins, operating margins, net income, earnings per share, billings, and free cash flow are likely discussed in the accompanying press release.
Key Highlights
- 1ServiceNow, Inc. filed an 8-K on July 30, 2014, to report its financial results for the second quarter of 2014 (ended June 30, 2014).
- 2The detailed financial results are provided in a press release (Exhibit 99.1) which is incorporated by reference.
- 3The company utilizes and provides non-GAAP financial measures to supplement GAAP results.
- 4Non-GAAP measures include adjustments for stock-based compensation, amortization of debt discount and issuance costs, amortization of purchased intangibles, and acquisition-related expenses.
- 5Management believes non-GAAP measures offer useful supplemental information for analyzing core operating results and comparing performance across periods.
- 6Key non-GAAP metrics highlighted include gross margins, operating margins, net income/loss, EPS, billings, and free cash flow.
- 7Billings, a non-GAAP metric, is defined as revenue plus the change in total deferred revenue, believed to reflect sales volumes and business performance.