Analysts await Salesforce.com Inc (NASDAQ:CRM) to report earnings on Wednesday for the fiscal quarter ending April 2016.
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On the company’s financial health, salesforce.com reported $0.19 EPS for the quarter, based on the information available during the earnings call on Feb 24, 2016. Unbilled deferred revenue, representing business that is contracted but unbilled and off balance sheet, ended the first quarter at approximately $7.6 billion, up 27% year-over-year.
Salesforce CEO Marc Benioff, who usually reiterates the social enterprise purveyor’s goal to achieve $10 billion in annual revenue, said the increase was due to the “strong response to our Customer Success Platform”.
Revenue rose 26.8 percent to $1.92 billion. Deferred revenue, a measure of future orders, was up 31% to $4.01 billion.
For the full year, it expects revenues of $8.16B-$8.2B (vs. consensus for $8.12B) and non-GAAP EPS of $1.00-$1.02, in line.
Separately, TheStreet Ratings team rates the stock as a “hold” with a ratings score of C.
Salesforce.com, Inc. (NYSE: CRM) has announced its earnings, and investors are excited that it has raised fiscal 2017 guidance.
“We continued to drive larger and more strategic transactions in the first quarter, including yet another 9-figure transaction”, Keith Block, president and chief operating officer, said in the statement. They expect GAAP earnings of 3 cents to 4 cents per share and adjusted earnings of 24 cents to 25 cents for the quarter.
GAAP diluted earnings per share is projected to be $0.20 to $0.22, while non-GAAP diluted earnings per share is projected to be $1.00 to $1.02. Professional services and other revenues totaled $141 million, up 33 percent year-over-year. With a market cap of over $52 billion at the close of trading (not including the 5% after-hours gain), it needs to be kept in mind that Salesforce.com is still valued at about 77 times expected earnings for the year ahead.
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The shares gained as much as 5.9 percent in extended trading in NY after closing at $77.87.
