CFOtech New Zealand - Technology news for CFOs & financial decision-makers
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Workday's cloud solutions gain momentum in diverse sectors for CFO office
Wed, 29th Nov 2023

Workday has seen continued uptake for its solutions for the office of the chief financial officer (CFO), with increased adoption across healthcare, financial services, retail, technology, and the public sector. The firm revealed this continued momentum in the third fiscal quarter ending October 31, 2023.

Several global organizations, including Cross Insurance, First Financial Bank, Ochsner Clinic Foundation, and Patient First Corporation, expanded their existing usage of Workday Human Capital Management (HCM) to include Workday Financial Management. Additionally, Workday Financial Management and Workday HCM were also selected or deployed by organisations such as AdventHealth, Antares Global Management Limited, Aurelius Group, County of Chesterfield, County of Kern, Globe Life Inc., Heartland Bank Limited, NorthShore University HealthSystem, and Weis Markets, Inc. Other organisations, including Bentley Systems, Catalina Marketing Japan K.K., and Lifespan Corporation, selected Workday Financial Management, Workday HCM, and Workday Adaptive Planning.

Over the third quarter, Workday has seen significant financial results, with revenues of $1.87 billion, up by 16.7% year on year (YoY), and subscription revenue of $1.69 billion, up 18.1% YoY. Due to these results, the firm is raising its fiscal 2024 subscription revenue guidance to $6.598 billion, which represents a growth of 19% YoY. The non-GAAP operating margin guidance has also been raised to 23.8% for fiscal 2024.

"Workday helps organizations automate their financial processes, deliver engaging employee experiences, and drive enterprise-wide planning," said Terrance Wampler, group general manager, office of the CFO at Workday. He added, "Now with Workday AI, we're making finance and HR processes smoother so organizations make faster, data-driven decisions and thrive in the future of work".

Workday's chief financial officer, Zane Rowe, stated, "Our strong third-quarter results demonstrate the durability of our business and the ongoing market adoption for cloud Financials and Human Capital Management." He added, "following our continued momentum in the third quarter, we are raising our fiscal 2024 subscription revenue guidance to $6.598 billion, representing 19% year-over-year growth. We are also raising our fiscal 2024 non-GAAP operating margin guidance to 23.8%. Our focus is centred on investing to drive durable long-term growth while expanding margins."

Local customers in Australia and New Zealand include The Iconic, Bunnings, MECCA, and, more recently, Australian food manufacturer Kinrise. These organisations have selected Workday Human Capital Management (HCM) to modernise their HR processes and to ensure the smooth integration of teams from acquired companies, thereby driving business growth. In addition, Workday's financial management customers in ANZ include Deakin University, Macquarie University, and Opteon.

"The momentum across our business is palpable, powered by our AI innovation, strength in full platform deals, expanding partner ecosystem, and international growth,” stated Carl Eschenbach, co-CEO of Workday. He further added, "Now with over 5,000 core Workday HCM customers, more companies around the world are turning to Workday to manage their most precious assets: their people and money."