Salesforce Sales Jump 24% -- Earnings Review

02/28/18 04:50 PM EST
   By Austen Hufford Inc. (CRM) reported results for its fourth quarter and year Wednesday. Here's what you need to know:

REVENUE: Total sales for the company rose 24% to $2.85 billion in the fourth quarter, above the $2.81 billion expected by analysts as polled by Thomson Reuters. Subscription-related sales rose 26% to $2.67 billion as professional services revenue rose 6.9% to $196 million. Deferred revenue rose 28% to $7.1 billion.

PROFIT: Net income for the quarter ended in January was $67.6 million, or 9 cents a share, compared to a loss of $51.4 million, or a loss of 7 cents a share, in the year-ago period. On an adjusted basis, earnings per share came in at 35 cents, above the 33 cents expected by Wall Street.

SHARES: In post-market trading, shares fell 0.2% to $115.99.

GUIDANCE: For the current quarter, the company expects revenue of $2.93 billion to $2.94 billion, compared to $2.9 billion forecast by analysts. It expects adjusted EPS of 43 cents to 44 cents, compared to the 37 cents expected by analysts.

GLOBAL GROWTH: The Americas remained, by far, the company's largest geographic unit, bringing in $2.04 billion in revenue and 19% growth. This was followed by Europe, Middle East and Africa, with $536 million in revenue and 48% growth. Asia-Pacific had revenue of $273 million and 27% growth.

SEASONAL BUMP: The company noted that it sees a disproportionate weighting toward yearly billings in the fourth quarter, primarily due to the buying patterns of large enterprise accounts.


Write to Austen Hufford at


(END) Dow Jones Newswires

February 28, 2018 16:50 ET (21:50 GMT)

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