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10-QPeriod: Q1 FY2019

Workday, Inc. Quarterly Report for Q1 Ended Apr 30, 2018

Filed June 1, 2018For Securities:WDAY

Summary

Workday, Inc. reported total revenues of $618.6 million for the three months ended April 30, 2018, a 29% increase year-over-year, driven by a 31% increase in subscription services revenue. Despite revenue growth, the company continued to incur an operating loss of $71.3 million and a net loss of $74.4 million. This loss was primarily due to significant investments in product development and sales & marketing to support future growth. The company maintained a strong liquidity position with $3.4 billion in cash, cash equivalents, and marketable securities.

Financial Statements
Beta
Revenue$618.64M
R&D Expenses$263.58M
Operating Expenses$689.91M
Operating Income-$71.26M
Interest Expense$18.30M
Net Income-$74.41M
EPS (Basic)$-0.35
Shares Outstanding (Basic)213.06M

Key Highlights

  • 1Total revenues grew 29% year-over-year to $618.6 million.
  • 2Subscription services revenue increased 31% to $522.1 million, representing 84% of total revenues.
  • 3Professional services revenue increased 20% to $96.5 million.
  • 4The company reported an operating loss of $71.3 million and a net loss of $74.4 million.
  • 5Investments in product development and sales & marketing increased significantly year-over-year to support growth initiatives.
  • 6Cash, cash equivalents, and marketable securities totaled $3.4 billion as of April 30, 2018, indicating a strong liquidity position.
  • 7The company's 0.75% convertible senior notes due July 15, 2018, were classified as current liabilities, and the 2020 notes became convertible at the holders' option in the next quarter.

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