As per reports, enterprise software maker and Dow 30 component Salesforce (CRM) reported second-quarter earnings beating analysts’ estimates. The company reported adjusted earnings of $1.48 per share versus 92 cents per share expected and revenue of $6.34 billion was reported exceeding analyst estimates of $6.24 billion. Revenue increased 23% year over year in the quarter, ended July 31.
- Salesforce’s Platform and Other units, which includes the MuleSoft integration software and Tableau data-analytics software, reported $1.88 billion in revenue, up by 24%.
- The Service Cloud segment reported $1.60 billion in revenue, representing about 23% growth.
- Salesforce’s core Sales Cloud product had $1.48 billion in revenue, up by 15%.
- In the quarter, ending July 31 Salesforce completed its $27.7 billion acquisition of team communication app company Slack. Slack’s revenue grew by 39% on a standalone basis in the quarter.
- Salesforce expects 91 to 92 cents in adjusted fiscal third-quarter earnings per share on $6.78 billion to $6.79 billion in revenue. Analysts expected 82 cents in adjusted earnings per share and $6.66 billion in revenue.
- Salesforce raised its earnings and revenue guidance for the full 2022 fiscal year and now sees $4.36 to $4.38 in adjusted earnings per share and $26.2 billion to $26.3 billion in revenue, higher than analyst estimates of $3.82 in adjusted earnings per share and $26.01 billion in revenue The revenue figure includes $530 million from Slack, which is $30 million more than Salesforce had predicted one quarter earlier. The company projected that its operating margin for the fiscal year would be 1.8%, broader than the 1.4% guidance from the previous quarter.
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