By Paul Ziobro

Workday on Thursday said it swung to a slight first-quarter profit as double-digit revenue growth out paced rising costs.

The Pleasanton, Calif.-based developer of cloud software for human resource and finance professionals posted a profit of $136,000 or zero cents a share, compared with a loss of $102.2 million, or 41 cents a share, in the same period a year ago.

Stripping out stock-based compensation and other one-time items, the company said its profit was $1.31 a share, ahead of the $1.12 a share expected by analysts polled by FactSet.

Revenue rose 17.4% to $1.68 billion, ahead of analyst estimates for $1.67 billion.

Subscription revenue rose 20.1% to $1.53 billion, while its total subscription revenue backlog rose 31.6% to $16.65 billion.

Co-Chief Executive Aneel Bhusri said the results reflect the value proposition of its full Workday platform, as well as its use of artificial intelligence and machine learning that helps organizations improve productivity, become more informed and reduce business risk.

Write to Paul Ziobro at paul.ziobro@wsj.com

(END) Dow Jones Newswires

May 25, 2023 16:39 ET (20:39 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.
Workday (NASDAQ:WDAY)
Historical Stock Chart
From May 2023 to Jun 2023 Click Here for more Workday Charts.
Workday (NASDAQ:WDAY)
Historical Stock Chart
From Jun 2022 to Jun 2023 Click Here for more Workday Charts.