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Workday, Inc. WDAY Deferred contract costs

Deferred contract costs at other companies

Workday, Inc. logo
Workday, Inc.WDAY
$619M+13.8%
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AccentureACN
$1.14B+15.4%
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Veeva SystemsVEEV
$28.69M+8.7%
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Keel InfrastructureKEEL
$1.67M
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ArriVent BioPharma, Inc.AVBP
$69K
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AnterixATEX
$29.07M+0.4%

Other financials

Income statement

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Revenue$2.5B+13.5%
Operating income$338.0M+767%
Net income$222.0M+226%
EPS (diluted)$0.87+248%

Balance sheet

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Cash & equivalents$568.0M-42.5%
Total debt$3.8B+12.1%
Total equity$6.7B-25.1%
Total assets$16.1B-6.5%

Cash flow

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Operating cash flow$696.0M+52.3%
CapEx$80.0M+122%
Free cash flow$616.0M+46.3%

Valuation

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Market cap$42.14B-31.0%
Enterprise value$45.38B-28.6%
P/E49.8×-55.0×
P/S4.3×-2.5×

Profitability

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Operating margin10.3%+5.9pp
Net margin8.6%+3.0pp
FCF margin30.2%+3.5pp

Returns & leverage

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Return on equity10.9%+5.2pp
Debt / equity0.6×+0.2×
Current ratio-1.1×

Where this comes from

Reported directly by Workday, Inc. in its filing.

Tagged under the XBRL concept us-gaap:DeferredCosts.

The source filing: Workday, Inc.’s 10-Q, filed May 22, 2026.

Filed
May 22, 2026, 4:02 PM EDT
Fiscal quarter
Q1 FY2026
Calendar quarter
Q2 2026
Accession
0001327811-26-000026
Line itemApril 30, 2026January 31, 2026
Total current assets6,5928,429
Property and equipment, net1,1211,093
Operating lease right-of-use assets706719
Deferred costs, noncurrent619634
Acquisition-related intangible assets, net645681
Deferred tax assets745829
Goodwill5,2285,229
Other assets435460

Item 1. Financial Statements (unaudited):

FAQ

What is Workday, Inc.'s deferred contract costs?
Workday, Inc. (WDAY) reported deferred contract costs of $619M in Q1 2026.
How has Workday, Inc.'s deferred contract costs changed year-over-year?
Workday, Inc.'s deferred contract costs increased by 13.8% year-over-year, from $544M to $619M.
What is the long-term trend for Workday, Inc.'s deferred contract costs?
Over 5 years (2020 to 2025), Workday, Inc.'s deferred contract costs has grown at a 18.5% compound annual growth rate (CAGR), from $271.8M to $634M.
What does deferred contract costs mean?
This represents incremental costs of obtaining a contract, such as sales commissions, that are capitalized and amortized over the expected period of benefit. These costs are deferred because they are expected to generate future revenue beyond the current fiscal year. It is a critical metric for understanding the efficiency of customer acquisition.

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