Workday increases revenue

Workday reported stronger revenue as it benefited from new and existing customers spending on its human-resources software.

Workday reported stronger revenue in its latest quarter as it benefited from new and existing customers spending on its human-resources software.

The company, known for its platform that allows employees and managers to record hours worked and time off, said revenue grew 33 per cent to $US825.1 million ($1.192bn) in its fiscal first quarter from the same period a year earlier. Analysts surveyed by FactSet had expected revenue of $US814m in the quarter.

Subscription revenue, Workday’s largest income source, increased 34 per cent to $US701m for the period.

Chief executive Aneel Bhusri said on a conference call with analysts that during the quarter, many of its existing customers paid more for Workday’s services. For example, Mr Bhusri said, Legg Mason expanded its use of Workday financial management to all of its affiliates.

The company also said it added about 150 stand-alone deals, which included Airbus, AstraZeneca and H&R Block, for its newly acquired business-planning software maker Adaptive Insights. Workday bought Adaptive for about $US1.6bn last year.

The company raised its ­subscription revenue forecast $US10m to between $US3.04bn and $US3.06bn.