Salesforce.com Earnings: Here’s Why Investors are Buying Shares Now
Salesforce.com (NYSE:CRM) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 4.30%.
Salesforce.com Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 18.6% to $0.51 in the quarter versus EPS of $0.43 in the year-earlier quarter.
Revenue: Rose 32.14% to $835 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Salesforce.com reported adjusted EPS income of $0.51 per share. By that measure, the company beat the mean analyst estimate of $0.4. It beat the average revenue estimate of $830.85 million.
Quoting Management: “Salesforce.com had a spectacular finish to its fiscal year. We delivered more than $3 billion in revenue and constant currency revenue growth of 37%,” said Marc Benioff, Chairman and CEO, salesforce.com.
Key Stats (on next page)…
Revenue increased 5.91% from $788.4 million in the previous quarter. EPS increased 54.55% from $0.33 in the previous quarter.
Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.43 to a profit $0.42. For the current year, the average estimate is a profit of $1.52, which is the same with that ninety days ago.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)