Workday promotes Chano Fernandez as co-CEO, raises 2021 subscription forecast

FILE PHOTO: Workday Inc. Chairman, Co-Founder and Co-CEO Aneel Bhusri (L) and Co-Founder and Co-CEO Dave Duffield (C) applaud thier company's first trade with NYSE-Euronext CEO Duncan Niederauer (center R) and traders following the IPO on the floor of the New York Stock Exchange, October 12, 2012. REUTERS/Brendan McDermid

(Reuters) - Workday Inc on Thursday appointed Chano Fernandez as co-chief executive officer and raised its annual subscription forecast, sending the business software provider’s shares up nearly 12% in extended trading.

The company, which has become the latest to opt for the co-CEO model after Netflix Inc, promoted co-president Fernandez to serve alongside CEO and co-founder Aneel Bhusri.

Workday said it expects fiscal 2021 subscription revenue between $3.73 billion and $3.74 billion, up from its previous forecast of $3.67 billion to $3.69 billion.

The Pleasanton, California-based company’s total revenue jumped 19.6% to $1.06 billion for the second quarter ended July 31, edging past analysts’ average estimate of $1.04 billion, according to IBES data from Refinitiv.

Reporting by Neha Malara in Bengaluru; Editing by Shinjini Ganguli