Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Nyse  >  Salesforce.com    CRM

SALESFORCE.COM (CRM)
Mes dernières consult.
Most popular
Report
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets

salesforce com : Eases Revenue Worries -- WSJ

share with twitter share with LinkedIn share with facebook
share via e-mail
0
05/19/2017 | 08:48am CET
By Jay Greene 

Salesforce.com Inc. posted a 26% jump in deferred revenue for its fiscal first quarter, easing concerns after the company provided a lukewarm forecast for billings three months ago.

Results were so much better than it had expected, Salesforce lifted its outlook for revenue for the year by $100 million from what it had anticipated just three months ago.

The San Francisco-based business-software company now expects annual revenue of $10.25 billion to $10.30 billion, up 22% to 23% from the prior year. Salesforce also bumped up its expectation for per-share profit for the year by a penny to between 6 cents and 8 cents.

Salesforce attributed the higher forecast to its ability to grow more quickly than it expected three months ago. It is doing so even in the face of competition from Microsoft Corp., Oracle Corp. and ServiceNow Inc.

Even though rivals are targeting Salesforce's stronghold in customer-relationship management, the company said it is able to grab significant pieces of new business in the growing field. "We're absolutely taking share," Salesforce president and operating chief Keith Block said in an interview.

Since Salesforce relies on subscriptions of its web-based, on-demand software used by business customers, deferred revenue is a strong indicator of the company's prospects. Deferred revenue, which consists primarily of billings received in advance for subscription services, totaled $5.04 billion in the quarter.

The company surprised Wall Street three months ago, forecasting first-quarter deferred-revenue growth of 22% to 23%, a sign that billings growth wouldn't be as robust as some analysts expected. In the year-earlier quarter, deferred revenue grew 31%.

"It was a somewhat low hurdle," Stifel, Nicolaus & Co. analyst Tom Roderick said of the earlier guidance. "They blew past it."

After Salesforce reported its quarterly results Thursday, its shares climbed 1.8% to $89.40 in recent after-hours trading.

Revenue from Sales Cloud, the company's sales-force automation business, rose 15% to $829.6 million. Salesforce is facing increased competition in the business from Microsoft's Dynamics applications, which some analysts believe is luring small and midsize customers with aggressive pricing.

"The worries about Microsoft Dynamics pressuring them isn't showing up in the numbers yet," Mr. Roderick said.

Salesforce's Service Cloud business, which provides technology to help businesses run customer-service operations, generated $651.2 million in revenue, a 21% gain. That business is facing increasing competition from ServiceNow Inc.

And revenue from Marketing Cloud, the company's offering to manage customers' email and advertising campaigns, which was bolstered by the July acquisition of Demandware Inc., grew 56% to $289 million.

Salesforce posted a loss of $9.2 million, or a penny a share, for the quarter ended April 30, compared with a profit of $38.8 million, or 6 cents a share, a year earlier.

Excluding the impact of items such as amortization and stock-based compensation, adjusted earnings rose to 28 cents a share from 24 cents a year earlier. Revenue gained 25% to $2.39 billion.

Analysts surveyed by S&P Global Market Intelligence expected Salesforce to report adjusted earnings of 26 cents a share on revenue of $2.35 billion.

Write to Jay Greene at [email protected]

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on SALESFORCE.COM
01/19 IBM : and Salesforce Strengthen Strategic Partnership
01/17 SALESFORCE COM : Data Shows Fintech Market Growth
01/16 SALESFORCE COM : YETI Coolers Launches New Digital Shopping Experience on Salesf..
01/16 SALESFORCE COM : Releases Fourth Annual State of Marketing
01/16 SALESFORCE COM : Announces New Retail Tools
01/15 SALESFORCE COM : Rack Room Shoes Grows Revenue With Salesforce Marketing Cloud
01/15 SALESFORCE : Announces New Retail Innovations at NRF 2018 to Unify Shopping Expe..
01/11 SALESFORCE : Announces Innovative Water Recycling System for Salesforce : Tower
01/10 SALESFORCE COM : State of Colorado Selects Salesforce to Modernize its Benefits ..
01/06 CES kicks off with no lead women speakers or code of conduct
More news
News from SeekingAlpha
01/18 5 FAVORITES IN LIFE SCIENCES : Integra, Emergent, Tekla, Utah Medical, And Veeva
01/18 Barclays raises Salesforce price target to 15% upside
01/13 Venture capital deals of the week
01/12 DAILY INSIDER RATINGS ROUND UP 1/10/ : Shld, re, swz, dex, nxrt
01/05 Keep Your Eyes On The Market - Cramer's Mad Money (1/4/18)
Financials ($)
Sales 2018 10 442 M
EBIT 2018 1 523 M
Net income 2018 83,9 M
Finance 2018 2 737 M
Yield 2018 -
P/E ratio 2018 955,03
P/E ratio 2019 247,30
EV / Sales 2018 7,48x
EV / Sales 2019 6,08x
Capitalization 80 847 M
Chart SALESFORCE.COM
Duration : Period :
Salesforce.com Technical Analysis Chart | CRM | US79466L3024 | 4-Traders
Technical analysis trends SALESFORCE.COM
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 45
Average target price 122 $
Spread / Average Target 8,8%
EPS Revisions
Managers
NameTitle
Marc Russell Benioff Chairman & Chief Executive Officer
Alexandre Dayon Co-President & Chief Strategy Officer
Bret Steven Taylor Co-President & Chief Product Officer
Keith G. Block Vice Chairman & Chief Operating Officer
Mark J. Hawkins Chief Financial Officer & Executive Vice President
Sector and Competitors
1st jan.Capitalization (M$)
SALESFORCE.COM7.64%80 847
NUTANIX INC4.11%5 764
QUALYS INC9.10%2 440
CORNERSTONE ONDEMAND, INC.11.18%2 323
GTT COMMUNICATIONS INC-7.35%1 842
CLX COMMUNICATIONS AB (PUBL)-4.08%466