- Workday reported higher Q2 profit and revenue, with growth driven by adoption of its AI agents.
- Workday reported $2.65 billion in Q2 revenue, including $2.5 billion in subscription revenue and $100 million in AI ACV; AI SKU ARR grew 200% year over year.
- More than 5,500 customers were using at least one Workday AI agent, up 35% sequentially, while Q3 subscription-revenue guidance called for 12% growth and FY28 guidance implied 11% growth.
- The setup is mixed: AI product adoption is strong, but slower subscription growth, SAP competition and softer business spending remain investor concerns.
Quotes
“Because this is another one that could have a really big earnings acceleration.”
“Well, look, it's about product and if they sell the product well they're going to have acceleration.”