3Q25业绩：强劲cRPO增长和利润率扩张，源于积极的人工智能进展

3Q25 results: solid cRPO growth and marginexpansion on positive AI progress Target PriceUS$1180.00(Previous TPUS$1175.00)Up/Downside29.4%Current PriceUS$911.70 ServiceNow announced 3Q25 results: total revenue grew by 22% YoY toUS$3.41bn,largely in line with consensus estimate;non-GAAP operatingincome increased by 31% YoY to US$1.14bn,11% ahead of consensusestimate, mainly thanks to the AI-drivenefficiencygains and prudent expensecontrol.During the period,cRPOincreasedby 21% YoY and beat the guidanceby 250bps, driven by the better-than-expected performance across Now Assist,U.S Federal vertical, andWorkflow Data Fabricetc. ManagementraisedFY25subscription revenue growth guidance to +20.5% YoYand non-GAAP OPMguidance to 31% (previous: +20% YoY and 30.5%). We raise FY25-27E non-GAAPoperating income forecast by 1-4%,in view of the strong toplineperformance and improvedefficiency. We roll forward our valuation window toFY26,and fine-tune our target price to US$1,180 based on 45x FY26EEV/EBITDA (previous:US$1,175 based on 55x FY25E EV/EBITDA)which ismorealignedwith sector valuation. Maintain BUY. China Internet Saiyi HE, CFA(852) 3916 1739hesaiyi@cmbi.com.hk Wentao LU, CFAluwentao@cmbi.com.hk Ye TAO, CFAfranktao@cmbi.com.hk Solid cRPO growth on strongexecution.Subscription revenueincreasedby 21.5% YoY to US$3.30bn, and cRPO grew by 21% YoY to US$11.35bnin 3Q25. By verticals,net new ACV oftransportation&logistics/retail&hospitality/education verticals grewby over90/50/50% YoY respectivelyin3Q25.U.S. federal businessis also better than expected, with net new ACVup by over 30% YoY, mainly driven by the solid demand for Now Assist andAI Control Tower. For 4Q25E,managementguidedcRPO to increase by19% YoY in constant currency, supported by a strong dealpipeline, butpartially offset by the uncertainty in the public sector. Joanna Ma(852)3761 8838joannama@cmbi.com.hk Stock Data Source: FactSet AI product ACV to surpass US$500mn by FY25.The company’s AIproducts now target to exceed US$500mn ACV byend-FY25, up fromUS$250mn ACV in 1Q25. Now Assist continued its strong momentum in3Q25, with 12 deals over US$1mn in net new ACV. The net new ACV ofITSM Plus/HR Plus/ITOM Plus products grew by over 100%/100%/400%QoQ in 3Q25.AI Agent Assist consumption has increasedbyover 55xsincethe end of May 2025. AI Control Tower, the new AIproductto help enterprisegovern AI workflows, saw itsdeal volume more than quadrupledQoQin3Q25. Overall, the company is well on track to achieve its US$1bn ACVtargetfor the AI products by FY26. Marginexpansion on AI-driven efficiency gains.Non-GAAP OPMexpandedby2.3pptsYoY to 33.5% in 3Q25, mainlyattributableto solidrevenue growth and AI-drivenefficiencygains. The company continues todeploy AI agents across its own different business workflows, whichshouldfurtherdrive cost saving and marginimprovement in 4Q25E and FY26E.Managementexpectsnon-GAAP OPM to improve by 1.5ppt YoY to 31% inFY25E, and we expect another 1ppt margin expansion in FY26E supportedby internal AI deployment, expense control and operatingleverage. Source: FactSet Valuation We value ServiceNow at US$1,180per share based on45x2026E EV/EBITDA. Our targetEV/EBITDA is at a premium to the sector average (31x), which is justified by ServiceNow’sstrongearnings growth outlookover 2025-2027E. Disclosures& Disclaimers Analyst CertificationThe research analyst who is primary responsible for the content of this research report, in whole or in part, certifies thatwith respect to the securities or issuer that the analyst covered in this report: (1) all of the views expressed accurately reflect his or her personal views about the subject securities or issuer; and (2)no part of his or her compensation was, is, or will be, directly or indirectly, related to the specific views expressed by that analyst in this report.Besides, the analystconfirms that neither the analyst nor his/her associates (as defined in the code of conduct issued by The Hong Kong Securities and Futures Commission) (1) have dealt in or traded in the stock(s) covered in this research report within 30 calendar days priorto the date of issue of this report; (2) willdeal in or trade in the stock(s) covered in this research report 3 business days after the date of issue of this report; (3)serve as an officer of any of the HongKong listed companies covered in this report;and (4) have any financial interests in the Hong Kong listed companies covered in this report. CMBIGM RatingsBUY : Stock with potential return of over 15% over next 12 monthsHOLD: Stock with potential return of +15% to-10% over next 12monthsSELL: Stock with potential loss of over 10% over next 12 monthsNOT RATED: Stock is not rated byCMBIGM :Industry expected to outperform the relevant broad market benchmark over next 12 months:Industry expected to perform in-line with the relevant broad market benchmark over next 12 months:Industry expected to underperform the relevant broad market benchmark over next 1