ServiceNow Inc. (NYSE:NOW)

The analysis of the data reveals a consistent upward trend in the majority of asset categories over the considered periods. Total assets have risen substantially from US$8,715 million at the end of 2020 to US$20,383 million at the end of 2024, indicating a strong growth trajectory for the company’s asset base.

Liquidity and Short-term Assets

Cash and cash equivalents increased from US$1,677 million in 2020 to US$2,304 million in 2024, suggesting improved liquidity.

Short-term investments nearly doubled from US$1,415 million in 2020 to US$3,458 million in 2024, reflecting a strategic allocation of funds into liquid investment instruments.

Accounts receivable, net, followed an upward pattern from US$1,009 million to US$2,240 million, possibly indicating growth in sales or services rendered on credit.

Current portion of deferred commissions and prepaid expenses and other current assets also showed marked increases, reaching US$517 million and US$668 million respectively by 2024, implying expanded operational activities and possibly higher upfront expenditures.

Consequently, total current assets grew from US$4,522 million to US$9,187 million, more than doubling over the period.

Long-term Assets

Deferred commissions, less current portion, rose steadily from US$444 million to US$999 million, highlighting ongoing investment in customer acquisition costs being capitalized over time.

Long-term investments expanded significantly from US$1,468 million to US$4,111 million, indicating an increasing portfolio of non-current financial assets.

Property and equipment, net, grew robustly by approximately 2.7 times, from US$660 million to US$1,763 million, signaling considerable capital expenditure on physical assets.

Operating lease right-of-use assets increased moderately until 2023 but slightly declined in 2024, ending at US$693 million compared to US$454 million in 2020.

Intangible assets, net, showed a slight decline after peaking in 2021, decreasing from US$287 million to US$209 million by 2024, which might imply amortization or impairment activities.

Goodwill increased significantly, nearly quintupling from US$241 million to US$1,273 million, suggesting notable acquisitions or business combinations.

Deferred tax assets fluctuated but notably increased to US$1,508 million in 2023 before a slight decrease to US$1,385 million, reflecting changes in tax positions or timing differences.

Other assets saw strong growth, rising from US$100 million to US$763 million, indicating expansion in miscellaneous long-term resources.

Overall, long-term assets increased from US$4,193 million to US$11,196 million, underscoring aggressive asset accumulation beyond current assets.

Summary

The company shows a dynamic and growing asset base with substantial investments in both current and long-term assets. Growth in cash, investments, receivables, and property indicates robust operational scaling and financial management enhancement. The marked increase in goodwill and deferred commissions signals ongoing strategic acquisitions and marketing investments. The evolution of intangible assets and lease assets suggests a shift or recalibration in asset composition. The increase in deferred tax assets and other long-term assets further highlights complexity and growth in the company’s financial structure.