Workday, Inc. key statistics and ratios

In fiscal 2026, Workday, Inc. had return on equity of 8.2%, an operating margin of 7.5%, debt equal to 38.3% of equity and a current ratio of 1.32. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Workday, Inc.: financial ratios, annual
Fiscal year	2011Dec 2010	2012Jan 2012	2013Jan 2013	2014Jan 2014	2015Jan 2015	2016Jan 2016	2017Jan 2017	2018Jan 2018	2019Jan 2019	2020Jan 2020	2021Jan 2021	2022Jan 2022	2023Jan 2023	2024Jan 2024	2025Jan 2025	2026Jan 2026	LTMJul 2026
Gross margin	41.4%	51.4%	57.4%	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Operating margin	−82.4%	−58.4%	−43.1%	−32.7%	−27.4%	−21.6%	−22.4%	−14.1%	−16.4%	−13.8%	−5.8%	−2.3%	−3.6%	2.5%	4.9%	7.5%	10.7%
Net margin	−82.6%	−59.5%	−43.8%	−36.8%	−31.5%	−23.8%	−24.4%	−15.0%	−14.8%	−13.3%	−6.5%	0.6%	−5.9%	19.0%	6.2%	7.3%	12.3%
Free-cash-flow margin	−27.9%	−14.0%	−1.7%	−3.1%	−0.2%	10.8%	14.6%	15.1%	14.3%	—	—	—	20.8%	26.4%	26.0%	29.1%	28.0%
Return on equity	—	—	−57.5%	−19.4%	−20.8%	−22.7%	−30.7%	−22.5%	−23.6%	−21.6%	−9.8%	0.7%	−7.3%	20.2%	6.1%	8.2%	17.5%
Return on assets	—	−34.4%	−20.1%	−11.0%	−11.0%	−10.8%	−12.8%	−7.8%	−8.0%	−7.8%	−3.6%	0.3%	−3.1%	9.2%	3.1%	3.8%	7.4%
Asset turnover	—	0.58	0.46	0.30	0.35	0.46	0.53	0.52	0.54	0.59	0.56	0.53	0.52	0.48	0.49	0.53	0.60
Current ratio	—	1.26	3.47	4.80	3.29	2.56	1.96	1.92	1.11	1.04	1.12	1.03	1.75	1.97	1.90	1.32	0.91
Debt to equity	—	—	—	—	—	—	—	—	—	50.8%	54.8%	40.6%	53.3%	36.9%	33.0%	38.3%	46.4%
Interest cover (operating income ÷ interest)	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	1.6x	3.6x	6.3x	9.8x
Effective tax rate	—	—	—	—	—	—	—	—	—	—	—	—	—	—	17.6%	31.3%	2.6%
R&D as % of revenue	57.6%	46.1%	37.5%	38.8%	40.2%	40.6%	43.2%	42.5%	42.9%	42.7%	39.9%	36.6%	36.1%	33.9%	31.1%	28.0%	27.7%
Capital spending as % of revenue	5.4%	3.7%	5.8%	12.9%	13.2%	11.6%	7.7%	6.6%	7.2%	—	—	—	5.9%	3.2%	3.2%	1.7%	2.3%
Free cash flow ÷ net income	—	—	—	—	—	—	—	—	—	—	—	—	—	138.8%	416.7%	400.7%	227.3%
Dividends and buybacks ÷ free cash flow	—	—	—	—	—	—	—	—	—	—	—	—	5.8%	22.1%	31.9%	104.2%	183.9%

US$ thousands unless shown otherwise. Fiscal quarters.

Workday, Inc.: financial ratios, quarterly
Quarter	2025 Q3Oct 2024	2025 Q4Jan 2025	2026 Q1Apr 2025	2026 Q2Jul 2025	2026 Q3Oct 2025	2026 Q4Jan 2026	2027 Q1Apr 2026	2027 Q2Jul 2026
Operating margin	7.6%	3.4%	1.7%	10.6%	10.6%	6.9%	13.3%	11.8%
Net margin	8.9%	4.3%	3.0%	9.7%	10.4%	5.7%	8.7%	23.9%
Free-cash-flow margin	16.6%	46.4%	18.8%	25.0%	22.6%	48.1%	24.2%	17.4%
Current ratio	2.05	1.90	2.07	2.10	1.83	1.32	1.01	0.91
Debt to equity	34.6%	33.0%	33.5%	32.5%	33.6%	38.3%	44.7%	46.3%
R&D as % of revenue	30.0%	30.5%	29.6%	28.1%	27.4%	27.3%	27.7%	28.2%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

3 of 7 checks passed · July 31, 2026

What it owns · $15.9bn

Short-term assets $6.0bnLonger-term assets $9.9bn

What it owes, and who funded it · $15.9bn

Short-term liabilities $6.6bnLonger-term liabilities $2.8bnShareholders' equity $6.5bn

Short-term assets cover short-term liabilities $6.0bn of assets due within a year against $6.6bn of liabilities due within a year.
Short-term assets cover long-term liabilities $6.0bn short-term assets against $2.8bn of longer-dated liabilities.
More cash than debt $661m of cash against $3.0bn of debt.
Debt below 40% of shareholders' equity Debt is 46% of equity.
Debt burden no higher than five years ago Debt to equity moved from 14% to 46% over five years.
A year's operating cash flow covers at least 20% of debt $3.1bn of operating cash flow against $3.0bn of debt.
Operating profit covers interest at least five times over Operating income of $1.1bn against $111m of interest.

From Workday, Inc.'s latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

22 /100

Weak moat

How hard Workday's competitive advantage looks for rivals to wear away, judged from 10 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

Returns on capital 0 / 20

Net income has been a median -1.2% of total assets over 10 years.
Durability 10 / 20

Operating margin has been a median -3.0%; its worst year was -18.1%.
Cash conversion 15 / 20

Free cash flow was positive in 8 of 10 years, at a median 13.3% of revenue.
Discipline 5 / 20

The diluted share count rose 5.1% over five years; stock-based pay has been a median 21.4% of revenue.

AI disruption exposure: High. In this industry, the core product is information work that AI systems increasingly perform. The score above includes a 15-point deduction for that exposure (37 before it).

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

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Figures from Workday, Inc.'s SEC filings (10-K and 10-Q), retrieved October 20, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to Workday, Inc.