35 Percent Growth In Q4 Revenues Reported By Salesforce

The United States based leading cloud-based software company Salesforce reported a 35 per cent growth in its quarterly revenues for the fourth quarter of last year at $4.85 billion.

Revenue from sale for the customer relationship management service provider was reported by it at $17.1 billion dollars for entire year of 2019 which was a 209 per cent growth compared to the previous year.

The company also reported a 35 per cent year on year growth for its subscription and support revenues at $4.56 billion, Salesforce said. On the other hand, the revenues in the quarter from its professional services and the sales of its other sectors were reported at $ 288 million which marked a growth of 26 per cent year-on-year.

“Our Q4 and FY20 results were phenomenal. We are delighted to raise our revenue guidance for FY21 by $200 million to $21.1 billion at the high end of the range, while expanding our operating margin,” said Marc Benioff, Salesforce Chairman and CEO. “Nothing is more important to us than the trust and customer success we have with each one of our customers. Salesforce’s Customer 360 platform uniquely brings companies and customers together.”

Despite the strong performance in revenues during the quarter, the San Francisco-based CRM giant reported a loss of $248 million or 46 cents a share compared to a net profit of $362 million in the same period the year before.

Salesforce said Tuesday that Marc Benioff would be the sole CEO of the company after the stepping down of Keith Block who served as the co-chief executive officer.

The company has also increased its forecast for the first quarter of 2020 and said that it expected revenues to be between $21 billion and $21.1 billion and adjusted earnings to be between 3.16 to 3.18 dollars for a share.

“Our Q4 and FY20 results were phenomenal. We are delighted to raise our revenue guidance for FY21 by 200 million dollars to 21.1 billion dollars at the high end of the range, while expanding our operating margin,” said Benioff.

Its acquisition of Vlocity, a leading provider of industry-specific cloud and mobile software built on the Salesforce platform, will impact the overall revenue guidance of the company for the current year of 2020, the company said.

This acquisition was announced by the company along with the quarterly report. Vlocity, which is also based in San Francisco, has a total of 1,000 employees. Salesforce expects the deal to close during the second quarter of the current year.

(Adapted from XinhuaNet.com)



Categories: Creativity, Economy & Finance, Regulations & Legal, Strategy, Sustainability, Uncategorized

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