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Shares of Workday (WDAY) - Get Free Report are rising after hours Thursday after the company reported second-quarter results ahead of expectations.

For the quarter ended July 31 the Pleasanton, Calif., company reported adjusted earnings rose to 44 cents a share from 31 cents in the year-earlier quarter. Revenue climbed 33% to $887.8 million.

Analysts surveyed by FactSet were expecting the company to report earnings of 35 cents a share on revenue of $872.3 million. 

CEO Aneel Bhursi said in a statement that continued momentum across Fortune 500 and Global 2,000 clients drove the outsized quarter. 

Subscription revenue rose 34% and operating margins and cash flow were "solid," Robynne Sisco, co-president and chief financial officer, said.

Workday provides enterprise cloud applications for finance and human resources. 

As a result of the strong quarter, the company increased its subscription revenue outlook for the year to between $3.06 billion and $3.07 billion. 

Workday shares were up 2.3% to $192.01 after hours Thursday. They finished the regular session up 1.3%.

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