(NASDAQ: WDAY) has been a late summer success story on the market. Its shares have crushed the broader indexes since it reported its fiscal 2025 second-quarter results near the end of August. This, despite one crucial metric that is anticipated to come in under expectations in the current quarter.

That line item is subscription revenue -- Workday management believes this will come in at a shade under $2 billion in its fiscal third quarter. While $2 billion is an easy figure to track, to a degree, it was mildly disappointing that the company doesn't expect it to be met or exceeded.

Subscription revenue is crucial for Workday. The company offers a palette of financial and human resources software tools for businesses, providing them -- as is the current fashion in tech services -- via a subscription model. Happily for the company, its take from subscriptions has been growing. For example, it topped $1.9 billion for the first time in fiscal Q2 (which ended July 31) thanks to a 17% year-over-year rise.

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Source Fool.com