Common-Size Income Statement
Quarterly Data
Workday Inc., common-size consolidated income statement (quarterly data)
Based on: 10-K (reporting date: 2026-01-31), 10-Q (reporting date: 2025-10-31), 10-Q (reporting date: 2025-07-31), 10-Q (reporting date: 2025-04-30), 10-K (reporting date: 2025-01-31), 10-Q (reporting date: 2024-10-31), 10-Q (reporting date: 2024-07-31), 10-Q (reporting date: 2024-04-30), 10-K (reporting date: 2024-01-31), 10-Q (reporting date: 2023-10-31), 10-Q (reporting date: 2023-07-31), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-31), 10-Q (reporting date: 2022-10-31), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-04-30), 10-K (reporting date: 2022-01-31), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-07-31), 10-Q (reporting date: 2021-04-30), 10-K (reporting date: 2021-01-31), 10-Q (reporting date: 2020-10-31), 10-Q (reporting date: 2020-07-31), 10-Q (reporting date: 2020-04-30).
The common-size income statement reveals a significant evolution in the company’s revenue composition and profitability over the analyzed period. Subscription services consistently represent the dominant revenue stream, increasing from 86.60% of revenues in April 2020 to 93.25% in January 2026, with some fluctuations. Professional services, conversely, demonstrate a declining trend as a percentage of total revenues, falling from 13.40% in April 2020 to 6.75% in January 2026.
Cost structures have also undergone notable changes. Costs of subscription services have generally increased as a percentage of revenue, moving from -14.26% to -16.43% by January 2026. Costs of professional services have decreased, though at a slower rate, from -15.75% to -7.70% over the same period. Consequently, overall costs of revenues have decreased initially, then increased, ending at -24.13% in January 2026.
- Gross Profit
- Gross profit as a percentage of revenues initially increased from 69.99% to 73.31% before fluctuating and ultimately reaching 75.87% in January 2026. This suggests improved efficiency in managing the cost of services relative to revenue generation, particularly in the earlier part of the period.
- Operating Expenses
- Product development expenses consistently represent a substantial portion of revenues, decreasing from -43.55% to -27.25% in January 2026. Sales and marketing expenses also represent a significant portion, fluctuating around -30% before decreasing to -26.66% in January 2026. General and administrative expenses have remained relatively stable, ranging between -9.17% and -10.71% before decreasing to -9.87% in January 2026.
Operating income demonstrates a volatile pattern. It moved from a loss of -14.18% in April 2020 to a gain of 1.80% in October 2021, then back to a loss of -7.34% in January 2022. By January 2026, operating income had significantly improved to 6.91%.
- Net Income
- Net income exhibits a similar pattern of volatility, initially showing a substantial loss of -15.55% in April 2020. It then transitioned to a positive value of 8.39% in July 2021, followed by periods of loss and ultimately reaching a substantial gain of 61.83% in January 2026, largely driven by a significant benefit from income taxes in that period. The provision for income taxes shows considerable fluctuation, including a large benefit in January 2026.
Other income (expense), net, generally remains within a narrow range, with a notable positive impact in several periods. The overall trend suggests a strengthening financial performance, particularly in the later years of the analyzed period, driven by the increasing dominance of subscription services and improved operational efficiency, though heavily influenced by tax benefits in the final reported period.
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