Salesforce.com Raises $CRM Cloud Software Outlook, Beats Earnings

Cloud enterrpise software firm Salesforce.com $CRM reported better than expected adjusted fiscal second quarter earnings after the market Tuesday. CRM raised guidance with unbilled deferred revenue ended Q2 at $10.4 billion.

Cloud enterrpise software firm Salesforce.com $CRM reported better than expected adjusted fiscal second quarter earnings after the market Tuesday. CRM raised guidance with unbilled deferred revenue ended Q2 at $10.4 billion.

Salesforce

CRM cloud software has been one of the fastest growing tech spaces and Salesforce contues to add tier one customers. There major competitor is Oracle $ORCL.

Earnings:

EPS of 33 cents a share, up 37% from a year ago and beating expected EPS of 32 cents. Revenue rose 26% to $2.56 billion topping consensus estimates of $2.51 billion.

Reaction: salesforce.com, inc.NYSE: $CRM  After-hours: 92.19 –0.76 (-0.82%)

Highlights

  • Salesforce.com Inc ‍deferred revenue on balance sheet as of July 31 was $4.82 billion, an increase of 26% year-over-year, and 25% in constant currency​.
  • Unbilled deferred revenue ended Q2 at approximately $10.4 billion, up 30% year-over-year​.
  • Unbilled deferred revenue in quarter includes approximately $625 million related to unbilled deferred revenue from demandware​

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Guidance

  • Sees Q3 2018 revenue $2.64 billion to $2.65 billion
  • Sees Q3 2018 gaap earnings per share $0.04 to $0.05
  • Sees Q3 2018 revenue $2.64 billion to $2.65 billion
  • Sees Q3 2018 gaap earnings per share $0.04 to $0.05
  • Raises FY18 revenue guidance by $100 million to $10.35 billion to $10.40 billion​
  • Sees ‍FY 2018 gaap diluted earnings per share is projected to be $0.07 to $0.09​
  • FY 2018 non-gaap diluted earnings per share is projected to be $1.29 to $1.31​
  • Maintaining its full fiscal year 2018 operating cash flow guidance, previously provided on May 18, 2017​
  • Q3 earnings per share view $0.36, revenue view $2.61 billion — Thomson Reuters I/B/E/S
  • FY2018 earnings per share view $1.30, revenue view $10.28 billion — Thomson Reuters I/B/E/S 

Source: Saleforce.com, AlphaStreet

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