ServiceNow (NOW) Margins & Profitability 2020-2026

Gross, EBITDA, operating, and net margin trends

Margins

Profit margins across the income statement

Gross Margin: 75.1%
EBITDA Margin: 20.2%
Op. Margin: 13.3%
Net Margin: 12.4%

Op. margin of 13.3% is down 1.3% YoY — costs are rising relative to revenue. Net margin at 12.4% and gross margin of 75.1% — earnings take a bigger bite when COGS stays lean..

Gross Margin (%)

Revenue left after direct cost of goods sold

EBITDA Margin (%)

Operating profitability independent of capital structure

Operating & Net Margins (%)

How much of each dollar becomes profit