Workday forecasts lukewarm quarterly subscription revenue, shares fall

FILE PHOTO: The logo of Workday is seen at the entrance of the company's temporary stand ahead of the World Economic Forum (WEF) in Davos, Switzerland January 18, 2025. REUTERS/Yves Herman/File Photo

(Reuters) -Workday forecast second-quarter subscription revenue in line with Wall Street expectations on Thursday, anticipating weakening client spending on its human capital management software due to economic uncertainty, sending its shares down 5% in extended trading.

The human capital management industry is grappling with softening spending by enterprise clients due to economic uncertainty that has pressured tech budgets.