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Workday, Inc. WDAY Operating margin

Operating margin at other companies

Paychex logo
PaychexPAYX
36.9%-4.6pp
Microsoft logo
MicrosoftMSFT
46.8%+1.6pp
Tyler Technologies logo
Tyler TechnologiesTYL
15.5%+0.8pp
Salesforce logo
SalesforceCRM
20.4%+1.1pp
Oracle logo
OracleORCL
30.6%-0.4pp
ServiceNow logo
ServiceNowNOW
13.4%+0.5pp

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$28.88B-50.3%
Enterprise value$32.12B-47.2%
P/E34.1×-85.3×
P/S2.9×-3.8×

Profitability

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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

Calculated from Workday, Inc.’s reported figures.

Based on trailing twelve months.

The official record: Workday, Inc.’s 10-Q, filed May 22, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Workday, Inc.'s operating margin?
Workday, Inc. (WDAY) reported operating margin of 10.3% in Q1 2026.
How has Workday, Inc.'s operating margin changed year-over-year?
Workday, Inc.'s operating margin increased by 130.6% year-over-year, from 4.5% to 10.3%.
What is the long-term trend for Workday, Inc.'s operating margin?
Over 5 years (2020 to 2025), Workday, Inc.'s operating margin has grown at a 5.5% compound annual growth rate (CAGR), from -5.8% to 7.5%.
What does operating margin mean?
The profit left from core operations for every dollar of sales, before interest and taxes.
How do you interpret operating margin?
Expanding operating margin shows operating leverage — revenue growing faster than the cost base. Compression points to rising overhead, pricing pressure, or investment ahead of revenue.
How does operating margin compare across companies?
Strong cross-company signal within a sector. Capital-light businesses sustain higher operating margins than capital-intensive ones.