ServiceNow Inc., balance sheet: property, plant and equipment

US$ in millions

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Computer equipment	2,697)	2,136)	1,606)	1,226)	974)
Computer software	106)	96)	82)	77)	72)
Leasehold and other improvements	320)	292)	226)	200)	168)
Furniture and fixtures	85)	86)	81)	74)	69)
Construction in progress	63)	33)	53)	14)	9)
Property and equipment, gross	3,271)	2,643)	2,048)	1,591)	1,292)
Accumulated depreciation	(1,508)	(1,285)	(995)	(825)	(632)
Property and equipment, net	1,763)	1,358)	1,053)	766)	660)

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Item	Description	The company
Property and equipment, gross	Amount before accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures.	ServiceNow Inc. property and equipment, gross increased from 2022 to 2023 and from 2023 to 2024.
Property and equipment, net	Amount after accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business to produce goods and services and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures.	ServiceNow Inc. property and equipment, net increased from 2022 to 2023 and from 2023 to 2024.

ServiceNow Inc., asset age ratios

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Average age ratio	46.10%	48.62%	48.58%	51.85%	48.93%
Estimated total useful life (years)	9	7	8	5	6
Estimated age, time elapsed since purchase (years)	4	3	4	3	3
Estimated remaining life (years)	5	4	4	2	3

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Asset age ratio	Description	The company
Average age ratio	As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company fixed asset base is old or new. Newer assets are likely to be more efficient.	ServiceNow Inc. average age ratio of depreciable property, plant and equipment deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.
Estimated total useful life	Over longer time periods, this ratio is a useful measure of company depreciation policy and can be used for comparisons with competitors.	ServiceNow Inc. estimated total useful life of depreciable property, plant and equipment decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.
Estimated time elapsed since purchase	The approximate age in years of a company fixed assets. Useful for comparison purposes.	ServiceNow Inc. estimated time elapsed since purchase of depreciable property, plant and equipment improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Estimated remaining life		ServiceNow Inc. estimated remaining life of depreciable property, plant and equipment decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Selected Financial Data (US$ in millions)
Accumulated depreciation	1,508)	1,285)	995)	825)	632)
Property and equipment, gross	3,271)	2,643)	2,048)	1,591)	1,292)
Asset Age Ratio
Average age¹	46.10%	48.62%	48.58%	51.85%	48.93%

2024 Calculations

¹ Average age = 100 × Accumulated depreciation ÷ Property and equipment, gross
= 100 × 1,508 ÷ 3,271 = 46.10%

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Asset age ratio	Description	The company
Average age	As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company fixed asset base is old or new. Newer assets are likely to be more efficient.	ServiceNow Inc. average age ratio of depreciable property, plant and equipment deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Selected Financial Data (US$ in millions)
Property and equipment, gross	3,271)	2,643)	2,048)	1,591)	1,292)
Depreciation expense	371)	372)	261)	312)	225)
Asset Age Ratio (Years)
Estimated total useful life¹	9	7	8	5	6

2024 Calculations

¹ Estimated total useful life = Property and equipment, gross ÷ Depreciation expense
= 3,271 ÷ 371 = 9

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Asset age ratio	Description	The company
Estimated total useful life	Over longer time periods, this ratio is a useful measure of company depreciation policy and can be used for comparisons with competitors.	ServiceNow Inc. estimated total useful life of depreciable property, plant and equipment decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Selected Financial Data (US$ in millions)
Accumulated depreciation	1,508)	1,285)	995)	825)	632)
Depreciation expense	371)	372)	261)	312)	225)
Asset Age Ratio (Years)
Time elapsed since purchase¹	4	3	4	3	3

2024 Calculations

¹ Time elapsed since purchase = Accumulated depreciation ÷ Depreciation expense
= 1,508 ÷ 371 = 4

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Asset age ratio	Description	The company
Estimated time elapsed since purchase	The approximate age in years of a company fixed assets. Useful for comparison purposes.	ServiceNow Inc. estimated time elapsed since purchase of depreciable property, plant and equipment improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Selected Financial Data (US$ in millions)
Property and equipment, net	1,763)	1,358)	1,053)	766)	660)
Depreciation expense	371)	372)	261)	312)	225)
Asset Age Ratio (Years)
Estimated remaining life¹	5	4	4	2	3

2024 Calculations

¹ Estimated remaining life = Property and equipment, net ÷ Depreciation expense
= 1,763 ÷ 371 = 5

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Asset age ratio	Description	The company
Estimated remaining life		ServiceNow Inc. estimated remaining life of depreciable property, plant and equipment decreased from 2022 to 2023 but then increased from 2023 to 2024 exceeding 2022 level.

ServiceNow Inc. (NYSE:NOW)

Analysis of Property, Plant and Equipment