Financial Analysis

Business Combinations 2025 Business Combinations Moveworks, Inc. On December 15, 2025, we acquired all outstanding shares of Moveworks, Inc. (Moveworks), a privately held company that provides enterprise search and front-end virtual agent technology. The acquisition is intended to drive use of our Platform to accelerate enterprise adoption and innovation across key growth areas, including CRM. The preliminary aggregate purchase price consideration for Moveworks was $2.4 billion, which was comprised of the following (in millions): Fair Value Fair value of common stock issued (1) $ 1,467 Cash 905 Settlement of pre-existing loan 31 Stock-based compensation awards attributable to pre-combination services 4 Total purchase consideration $ 2,407 (1) The fair value of the stock consideration is based on the December 15, 2025 closing price of ServiceNow common stock at $153.04 and approximately 9.6 million shares of ServiceNow common stock. The allocation of the total purchase price is summarized below (in millions): Purchase Price Allocation Asset Life Current assets $ 48 Intangible assets 770 2 - 5 years Goodwill 1,748 Indefinite Other assets 124 Assets acquired $ 2,690 Current liabilities assumed 83 Long-term liabilities assumed 13 Deferred tax liabilities, non-current 187 Net assets acquired $ 2,407 Identifiable intangible assets acquired in connection with the Moveworks acquisition (in millions) and the weighted-average lives are as follows: Intangible Assets Asset Life (years) D …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

Commitments and Contingencies Operating Leases For some of our offices and data centers, we have entered into non-cancellable operating lease agreements with various expiration dates through 2036. Certain lease agreements include options to renew or terminate the lease, which are not reasonably certain to be exercised and therefore are not factored into our determination of lease payments. Total operating lease costs were $147 million, $130 million and $129 million for each of the years ended December 31, 2025, 2024 and 2023, respectively. For the years ended December 31, 2025 and 2024, total cash paid for amounts included in the measurement of operating lease liabilities was $107 million and $85 million, respectively. Operating lease liabilities arising from obtaining operating right-of-use assets totaled $225 million and $84 million for the years ended December 31, 2025 and 2024, respectively. As of December 31, 2025, the weighted-average remaining lease term is approximately eight years, and the weighted-average discount rate is 4%. Maturities of operating lease liabilities as of December 31, 2025 are presented in the table below (in millions): Fiscal Period: 2026 $ 147 2027 145 2028 143 2029 134 2030 118 Thereafter 383 Total operating lease payments 1,070 Less: imputed interest (158) Present value of operating lease liabilities $ 912 In addition to the amounts above, as of December 31, 2025, we have leases, primarily for offices, that have not yet commenced with minimum u …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

Debt For the periods ended December 31, 2025 and 2024, the carrying value of our outstanding debt was $1,491 million and $1,489 million, respectively, net of unamortized debt discount and issuance costs of $9 million and $11 million, respectively. We consider the fair value of the 2030 Notes at December 31, 2025 and 2024 to be a Level 2 measurement. The estimated fair value of the 2030 Notes based on the closing trading price per $100, was $1,324 million and $1,247 million at December 31, 2025 and 2024, respectively. 2030 Notes In August 2020, we issued 1.40% fixed rate ten-year notes with an aggregate principal amount of $1.5 billion due on September 1, 2030 (the 2030 Notes). The 2030 Notes were issued at 99.63% of principal and we incurred $13 million for debt issuance costs. The effective interest rate for the 2030 Notes was 1.53% and included interest payable, amortization of debt issuance cost and amortization of debt discount. Interest is payable semi-annually in arrears on March 1 and September 1 of each year, beginning on March 1, 2021, and the entire outstanding principal amount is due at maturity on September 1, 2030. The 2030 Notes are unsecured obligations and the indentures governing the 2030 Notes contain customary events of default and covenants that, among others and subject to exceptions, restrict our ability to incur or guarantee debt secured by liens on specified assets or enter into sale and lease-back transactions with respect to specified properties. …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

Equity Awards We have three equity incentive plans: 2012 Equity Incentive Plan (the 2012 Plan), amended and restated 2021 Equity Incentive Plan (the 2021 Plan) and 2022 New-Hire Equity Incentive Plan (the 2022 Plan). The 2012 Plan was terminated in connection with the initial approval of the 2021 Plan on June 7, 2021 but continues to govern the terms of outstanding equity awards that were granted prior to the termination of the 2012 Plan. As of June 7, 2021, we no longer grant equity awards pursuant to the 2012 Plan. The 2021 Plan, as amended and restated, was approved by the shareholders on June 1, 2023 to increase shares available for future grants by approximately 50 million shares. Upon effectiveness of the 2021 Plan, as amended and restated, the 2022 Plan was terminated, and no additional awards under the 2022 Plan have been made since the amendment and restatement of the 2021 Plan. Outstanding equity awards under the 2022 Plan continue to be subject to the terms and conditions of the 2022 Plan. The 2021 Plan and the 2012 Plan provide for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, RSUs, performance-based stock awards and other forms of equity compensation (collectively, equity awards). The 2022 Plan permits the grant of any of the foregoing awards with the exception of incentive stock options. In addition, the 2022 Plan, the 2021 Plan and the 2012 Plan provide for the grant of performance cash awards. Incentive stock opti …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Fair Value Measurements The following table presents our fair value hierarchy for our assets measured at fair value on a recurring basis as of December 31, 2025 (in millions): Level 1 Level 2 Total Cash equivalents: Money market funds $ 2,055 $ $ 2,055 Commercial paper 137 137 Corporate notes and bonds 6 6 Deposits 219 219 U.S. government and agency securities 515 515 Marketable securities: Commercial paper 173 173 Corporate notes and bonds 4,793 4,793 Certificates of deposit 11 11 U.S. government and agency securities 1,263 1,263 Mortgage-backed and asset-backed securities 89 89 Total $ 2,274 $ 6,987 $ 9,261 The following table presents our fair value hierarchy for our assets measured at fair value on a recurring basis as of December 31, 2024 (in millions): Level 1 Level 2 Total Cash equivalents: Money market funds $ 1,357 $ $ 1,357 Commercial paper 23 23 Corporate notes and bonds 4 4 Deposits 391 391 U.S. government and agency securities 14 14 Marketable securities: Commercial paper 336 336 Corporate notes and bonds 4,976 4,976 Certificates of deposit 67 67 U.S. government and agency securities 2,104 2,104 Mortgage-backed and asset-backed securities 86 86 Total $ 1,748 $ 7,610 $ 9,358 We determine the fair value of our security holdings based on pricing from our service providers and market prices from industry-standard independent data providers. Such market prices may be quoted prices in active markets for identical assets (Level 1 inputs), pricing determined using inputs …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Goodwill and Intangible Assets The changes in the carrying amounts of goodwill were as follows (in millions): Carrying Amount Balance as of December 31, 2023 $ 1,231 Goodwill acquired 75 Foreign currency translation adjustments (33) Balance as of December 31, 2024 $ 1,273 Goodwill acquired 2,225 Foreign currency translation adjustments 80 Balance as of December 31, 2025 $ 3,578 Intangible assets, net consists of the following (in millions): December 31, 2025 December 31, 2024 Developed technology $ 1,316 $ 581 Customer relationships 238 5 Patents 83 83 Other 72 6 Intangible assets, gross $ 1,709 $ 675 Less: accumulated amortization (588) (466) Intangible assets, net $ 1,121 $ 209 The weighted-average useful life of the acquired developed technology for each of the years ended December 31, 2025 and 2024 was approximately five years. Amortization expense for intangible assets was approximately $120 million, $94 million and $85 million for the years ended December 31, 2025, 2024 and 2023, respectively. The following table presents the estimated future amortization expense related to intangible assets held as of December 31, 2025 (in millions): Fiscal Period: 2026 $ 269 2027 253 2028 228 2029 210 2030 160 Thereafter 1 Total future amortization expense $ 1,121

GoodwillAndIntangibleAssetsDisclosureTextBlock

"Provision for (Benefit from) Income Taxes The components of income before income taxes by U.S. and foreign jurisdictions were as follows (in millions): Year Ended December 31, 2025 2024 2023 United States $ 1,302 $ 1,055 $ 523 Foreign 959 683 485 Total $ 2,261 $ 1,738 $ 1,008 The provision for (benefit from) income taxes consists of the following (in millions): Year Ended December 31, 2025 2024 2023 Current provision: Federal $ 36 $ 36 $ 2 State 43 49 31 Foreign 183 130 101 262 215 134 Deferred provision: Federal 169 51 (750) State 25 (5) (135) Foreign 57 52 28 251 98 (857) Provision for (benefit from) income taxes $ 513 $ 313 $ (723) The effective income tax rate differs from the federal statutory income tax rate applied to the income before income taxes due to the following (in millions): Year Ended December 31, 2025 2024 2023 U.S. federal statutory tax rate $ 475 21.0 % $ 365 21.0 % $ 212 21.0 % State and local income tax, net of federal benefit (1) 51 2.3 % 33 1.9 % (81) (8.1) % Foreign tax effects Ireland Statutory tax rate difference between Ireland and United States (45) (2.0) % (31) (1.8) % (20) (1.9) % Other (17) (0.7) % 1 % 12 1.2 % Brazil Withholding 30 1.3 % 18 1.0 % % Other % 2 0.1 % 10 0.9 % Other foreign jurisdictions 63 2.8 % 58 3.3 % 21 2.1 % Effect of cross-border tax laws Global intangible low-taxed income (22) (1.0) % (29) (1.6) % 45 4.5 % Other (1) (0.1) % (6) (0.3) % (1) (0.1) % Research and development tax credits (53) (2.3) % (64) (3.7) % (74) (7.3) % …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Recently Issued Accounting Pronouncement Adopted In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-09, Income Taxes - Improvements to Income Tax Disclosures, which requires enhancement and further transparency to certain income tax disclosures, most notably the tax rate reconciliation and income taxes paid. We adopted this standard effective January 1, 2025 using a retrospective approach. Refer to our consolidated statements of cash flows and Note 17 Provision for (Benefit from) Income Taxes for further information. Recently Issued Accounting Pronouncements Pending Adoption In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, which modernizes the recognition and disclosure framework for internal-use software costs by removing all references to software development project stages so that the guidance is neutral to different software development methods. This ASU is effective for annual reporting periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods, and can be applied using a prospective, retrospective or modified transition approach with early adoption permitted. We are currently evaluating the impact of the adoption of this standard. In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Deferred Revenue and Performance Obligations Revenues recognized from beginning period deferred revenue during the years ended December 31, 2025 and 2024 were $6.9 billion and $5.7 billion, respectively. Remaining Performance Obligations Transaction price allocated to remaining performance obligations (RPO) represents contracted revenue that has not yet been recognized, which includes deferred revenue and non-cancellable amounts that will be invoiced and recognized as revenues in future periods. RPO excludes contracts that are billed in arrears, such as certain time and materials contracts, as we apply the right to invoice practical expedient under relevant accounting guidance. As of December 31, 2025, the total non-cancellable RPO under our contracts with customers was $28.2 billion, and we expect to recognize revenues on approximately 46% of these RPO over the following 12 months. The majority of the non-current RPO will be recognized over the next 13 to 36 months. …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Segment and Geographic Information Segment Information Our chief operating decision maker (CODM), the Chief Executive Officer, manages the Companys business activities as a single operating and reportable segment at the consolidated level. Accordingly, our CODM uses consolidated net income to measure segment profit or loss, allocate resources and assess performance. Further, the CODM reviews and utilizes functional expenses (cost of revenues, sales and marketing, research and development, and general and administrative) at the consolidated level to manage the Companys operations. Other segment items included in consolidated net income are interest income, other expense, net and the provision for (benefit from) income taxes, which are reflected in the consolidated statements of comprehensive income. Geographic Information Revenues by geographic area, based on the location of our users, were as follows for the periods presented (in millions): Year Ended December 31, 2025 2024 2023 North America (1) $ 8,348 $ 6,909 $ 5,702 EMEA (2) 3,402 2,834 2,298 Asia Pacific and other 1,528 1,241 971 Total revenues $ 13,278 $ 10,984 $ 8,971 Property and equipment, net by geographic area were as follows (in millions): December 31, 2025 2024 Property and equipment, net: North America (3) $ 1,437 $ 1,144 EMEA (2) 563 428 Asia Pacific and other 289 191 Total property and equipment, net $ 2,289 $ 1,763 (1) Revenues attributed to the United States were 94% of North America revenues for each of the …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Stockholders' Equity Common Stock We are authorized to issue a total of 3.0 billion shares of common stock as of December 31, 2025. Holders of our common stock are not entitled to receive dividends unless declared by our board of directors. As of December 31, 2025, we had 1,047 million shares of common stock, net of treasury stock, outstanding and had reserved shares of common stock for future issuance as follows (in thousands): December 31, 2025 Stock plans: Options outstanding 4,829 RSUs (1) 26,011 Shares of common stock available for future grants: Amended and Restated 2021 Equity Incentive Plan (2) 37,616 Amended and Restated 2012 Employee Stock Purchase Plan (2) 38,893 Total shares of common stock reserved for future issuance 107,349 (1) Represents the number of shares issuable upon settlement of outstanding restricted stock units (RSUs) and performance-based RSUs (PRSUs), as discussed in Note 15 Equity Awards. (2) Refer to Note 15 Equity Awards for a description of these plans. During the years ended December 31, 2025 and 2024, we issued a total of 11.9 million and 12.8 million shares, respectively, from stock option exercises, vesting of RSUs, net of employee payroll taxes, and purchases from the employee stock purchase plan (ESPP). Treasury Stock In May 2023, our board of directors authorized a program to repurchase up to $1.5 billion of our common stock (the Share Repurchase Program). In January 2025, our board of directors authorized an additional $3.0 billion in re …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

Business Combinations 2026 Business Combinations Armis Security Ltd. On April 20, 2026, we acquired all outstanding shares of Armis Security Ltd. (Armis), a cyber-exposure management and cyber-physical security solutions provider, for preliminary purchase price consideration of approximately $7.6 billion, settled in cash. The acquisition is intended to expand our security workflow offerings and advance AI-native, proactive cybersecurity and vulnerability response across all connected devices. Veza Technologies, Inc. On March 2, 2026, we acquired all outstanding shares of Veza Technologies, Inc. (Veza), a privately held AI identity security company that provides a unified access platform, with native products offering access capabilities across search, intelligence, monitoring and workflows, for approximately $1.2 billion, substantially in cash. The acquisition is intended to extend the capabilities of our security and risk portfolios to include identity security, which will enable organizations to understand and control who and what has access to their critical data, applications, systems, and AI artifacts. The allocation of the total purchase price for Armis and Veza is summarized below (in millions): Armis Veza Current assets $ 273 $ 109 Intangible assets 2,530 356 Goodwill 5,323 826 Deferred tax assets, non-current 405 53 Other assets 77 1 Assets acquired $ 8,608 $ 1,345 Deferred revenue, current 137 18 Other liabilities 240 7 Deferred tax liabilities, non-current 594 83 N …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

Commitments and Contingencies Operating Leases For some of our offices and data centers, we have entered into non-cancellable operating lease agreements with various expiration dates through 2036. Certain lease agreements include options to renew or terminate the lease, which are not reasonably certain to be exercised and therefore are not factored into our determination of lease payments. Total operating lease costs were $43 million and $85 million for the three and six months ended June 30, 2026, respectively, and $36 million and $72 million for the three and six months ended June 30, 2025, respectively. For the six months ended June 30, 2026 and 2025, total cash paid for amounts included in the measurement of operating lease liabilities was $72 million and $53 million, respectively. Operating lease liabilities arising from obtaining operating right-of-use assets totaled $100 million and $173 million for the six months ended June 30, 2026 and 2025, respectively. As of June 30, 2026, the weighted-average remaining lease term is approximately seven years, and the weighted-average discount rate is 4%. Maturities of operating lease liabilities as of June 30, 2026 are presented in the table below (in millions): Fiscal Period: Remainder of 2026 $ 68 2027 162 2028 159 2029 151 2030 136 Thereafter 409 Total operating lease payments 1,085 Less: imputed interest (149) Present value of operating lease liabilities $ 936 In addition to the amounts above, as of June 30, 2026, we have lea …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

"Debt The following table summarizes the carrying value of our outstanding debt (in millions, except percentages): Effective Interest Rate June 30, 2026 December 31, 2025 Long-Term Debt Senior notes issued August 2020: 1.40% notes due September 2030 1.53% $ 1,500 $ 1,500 Senior notes issued May 2026: 4.25% notes due May 2028 4.68% 750 4.70% notes due August 2031 5.00% 600 5.05% notes due May 2033 5.36% 650 5.40% notes due May 2036 5.68% 1,250 6.30% notes due May 2056 6.57% 750 Total senior notes $ 5,500 $ 1,500 Unamortized debt discount and issuance costs (65) (9) Total carrying value of long-term debt $ 5,435 $ 1,491 Short-Term Debt Commercial paper $ 2,100 $ Unamortized debt discount (18) Total carrying value of short-term debt $ 2,082 $ Total interest expense recognized related to our outstanding debt was $66 million and $6 million for the three months ended June 30, 2026 and 2025, respectively, and $72 million and $12 million for the six months ended June 30, 2026 and 2025, respectively. Senior Notes In May 2026, we issued five series of fixed-rate senior unsecured notes for an aggregate principal amount of $4.0 billion (collectively, the Notes). The proceeds from the issuance were $3.9 billion, net of debt discount and issuance costs of $57 million. The debt discount and issuance costs are amortized to interest expense using the effective interest rate method over the term of the Notes. The net proceeds from the Notes were used to fund the repayment of outstanding borrow …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

Equity Awards We have three equity incentive plans: 2012 Equity Incentive Plan (the 2012 Plan), amended and restated 2021 Equity Incentive Plan (the 2021 Plan) and 2022 New-Hire Equity Incentive Plan (the 2022 Plan). The 2012 Plan was terminated in connection with the initial approval of the 2021 Plan on June 7, 2021 but continues to govern the terms of outstanding equity awards that were granted prior to the termination of the 2012 Plan. As of June 7, 2021, we no longer grant equity awards pursuant to the 2012 Plan. The 2021 Plan, as amended and restated, was approved by the shareholders on June 1, 2023 and May 21, 2026 to increase shares available for future grants by approximately 50 million and 38 million shares, respectively. The 2022 Plan was terminated in June 2023 and no additional awards were granted thereafter under the 2022 Plan. Outstanding equity awards under the 2022 Plan continue to be subject to the terms and conditions of the 2022 Plan. The 2021 Plan and the 2012 Plan provide for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, RSUs, performance-based stock awards and other forms of equity compensation (collectively, equity awards). The 2022 Plan permits the grant of any of the foregoing awards with the exception of incentive stock options. In addition, the 2022 Plan, the 2021 Plan and the 2012 Plan provide for the grant of performance cash awards. Incentive stock options may be granted only to employees. All other …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Fair Value Measurements The following table presents our fair value hierarchy for our assets measured at fair value on a recurring basis as of June 30, 2026 (in millions): Level 1 Level 2 Total Cash equivalents: Money market funds $ 1,424 $ $ 1,424 Commercial paper 3 3 Deposits 55 55 U.S. government and agency securities 14 14 Marketable securities: Commercial paper 6 6 Corporate notes and bonds 3,301 3,301 Certificates of deposit 8 8 U.S. government and agency securities 798 798 Mortgage-backed and asset-backed securities 91 91 Total $ 1,479 $ 4,221 $ 5,700 The following table presents our fair value hierarchy for our assets measured at fair value on a recurring basis as of December 31, 2025 (in millions): Level 1 Level 2 Total Cash equivalents: Money market funds $ 2,055 $ $ 2,055 Commercial paper 137 137 Corporate notes and bonds 6 6 Deposits 219 219 U.S. government and agency securities 515 515 Marketable securities: Commercial paper 173 173 Corporate notes and bonds 4,793 4,793 Certificates of deposit 11 11 U.S. government and agency securities 1,263 1,263 Mortgage-backed and asset-backed securities 89 89 Total $ 2,274 $ 6,987 $ 9,261 We determine the fair value of our security holdings based on pricing from our service providers and market prices from industry-standard independent data providers. Such market prices may be quoted prices in active markets for identical assets (Level 1 inputs), pricing determined using inputs other than quoted prices that are observable ei …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Goodwill and Intangible Assets The changes in the carrying amounts of goodwill were as follows (in millions): Carrying Amount Balance as of December 31, 2025 $ 3,578 Goodwill acquired 6,300 Foreign currency translation adjustments (41) Balance as of June 30, 2026 $ 9,837 Intangible assets, net consists of the following (in millions): June 30, 2026 December 31, 2025 Developed technology $ 3,515 $ 1,316 Customer relationships 871 238 Patents 83 83 Other 194 72 Intangible assets, gross $ 4,663 $ 1,709 Less: accumulated amortization (882) (588) Intangible assets, net $ 3,781 $ 1,121 The weighted-average useful life of the acquired developed technology for the six months ended June 30, 2026 and 2025 was approximately six years and five years, respectively. The weighted-average useful life of the acquired customer relationships for the six months ended June 30, 2026 and 2025 was approximately five years and three years, respectively. Amortization expense for intangible assets for the three months ended June 30, 2026 and 2025 was $219 million and $25 million, respectively, and for the six months ended June 30, 2026 and 2025 was $296 million and $46 million, respectively. The following table presents the estimated future amortization expense related to intangible assets held as of June 30, 2026 (in millions): Fiscal Period: Remainder of 2026 $ 391 2027 776 2028 726 2029 700 2030 648 Thereafter 540 Total future amortization expense $ 3,781

GoodwillAndIntangibleAssetsDisclosureTextBlock

"Provision for Income Taxes We compute our provision for income taxes by applying the estimated annual effective tax rate to year-to-date income from recurring operations and adjust the provision for discrete tax items recorded in the period. Our income tax provision was $140 million and $344 million for the three and six months ended June 30, 2026, respectively, and was primarily attributable to the mix of earnings and losses in countries with differing statutory tax rates and stock-based compensation shortfalls, offset by the release of a valuation allowance on certain California deferred tax assets. Our income tax provision was $86 million and $181 million for the three and six months ended June 30, 2025, respectively, and was primarily attributable to the mix of earnings and losses in countries with differing statutory tax rates, offset by excess tax benefits of stock-based compensation. We are subject to taxation in the United States and foreign jurisdictions. As of June 30, 2026, our tax years 2004 to 2025 remain subject to examination in most jurisdictions. Due to differing interpretations of tax laws and regulations, tax authorities may dispute our tax filing positions. We periodically evaluate our exposures associated with our tax filing positions and believe that adequate amounts have been reserved for adjustments that may result from tax examinations. On July 4, 2025, H.R. 1, the ""One Big Beautiful Bill Act,"" was enacted into law, bringing significant amendments …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Deferred Revenue and Performance Obligations Revenues recognized from beginning period deferred revenue during the three months ended June 30, 2026 and 2025 were $3.4 billion and $2.8 billion, respectively, and $5.7 billion and $4.7 billion for the six months ended June 30, 2026 and 2025, respectively. Remaining Performance Obligations Transaction price allocated to remaining performance obligations (RPO) represents contracted revenue that has not yet been recognized, which includes deferred revenue and non-cancellable amounts that will be invoiced and recognized as revenues in future periods. RPO excludes contracts that are billed in arrears, such as certain time and materials contracts, as we apply the right to invoice practical expedient under relevant accounting guidance. As of June 30, 2026, the total non-cancellable RPO under our contracts with customers was $29.0 billion and we expect to recognize revenues on approximately 46% of these RPO over the following 12 months. The majority of the non-current RPO will be recognized over the next 13 to 36 months. …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Segment and Geographic Information Segment Information Our chief operating decision maker (CODM), the Chief Executive Officer, manages the Companys business activities as a single operating and reportable segment at the consolidated level. Accordingly, our CODM uses consolidated net income to measure segment profit or loss, allocate resources and assess performance. Further, the CODM reviews and utilizes functional expenses (cost of revenues, sales and marketing, research and development, and general and administrative) at the consolidated level to manage the Companys operations. Other segment items included in consolidated net income are interest income, other income (expense), net and the provision for income taxes, which are reflected in the condensed consolidated statements of comprehensive income. Geographic Information Revenues by geographic area, based on the location of our users, were as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 North America (1) $ 2,522 $ 2,006 $ 4,881 $ 3,969 EMEA (2) 997 834 1,976 1,616 Asia Pacific and other 468 375 900 718 Total revenues $ 3,987 $ 3,215 $ 7,757 $ 6,303 Property and equipment, net by geographic area were as follows (in millions): June 30, 2026 December 31, 2025 North America (3) $ 1,411 $ 1,437 EMEA (2) 501 563 Asia Pacific and other 265 289 Total property and equipment, net $ 2,177 $ 2,289 (1) Revenues attributed to the United States were 95% of North America revenues for ea …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

"Stockholders' Equity Common Stock We are authorized to issue a total of 3.0 billion shares of common stock as of June 30, 2026. Holders of our common stock are not entitled to receive dividends unless declared by our board of directors. As of June 30, 2026, we had 1,034 million shares of common stock, net of treasury stock, outstanding and had reserved shares of common stock for future issuance as follows (in thousands): June 30, 2026 Stock plans: Options outstanding 7,339 RSUs (1) 46,824 Shares of common stock available for future grants: Amended and Restated 2021 Equity Incentive Plan (2) 53,352 Amended and Restated 2012 Employee Stock Purchase Plan (2) 37,355 Total shares of common stock reserved for future issuance 144,870 (1) Represents the number of shares issuable upon settlement of outstanding restricted stock units (RSUs) and performance-based RSUs (PRSUs), as discussed in Note 14 Equity Awards. (2) Refer to Note 14 Equity Awards for a description of these plans. During the six months ended June 30, 2026 and 2025, we issued a total of 6.7 million and 6.2 million shares, respectively, from stock option exercises, vesting of RSUs, net of employee payroll taxes, and purchases from the employee stock purchase plan (ESPP). Treasury Stock In May 2023, our board of directors authorized a program to repurchase up to $1.5 billion of our common stock (the Share Repurchase Program). In January 2025 and January 2026, our board of directors authorized an additional $3.0 billion …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing