- Salesforce Inc’s 4Q adjusted EPS beat estimates with $2.29 vs. $1.68 y/y, estimate $2.27.
- The revenue was $9.29 billion, a 11% increase y/y, beating the estimate of $9.22 billion.
- Subscription and support revenue was $8.75 billion, a 12% increase y/y, beating the estimate of $8.62 billion.
- Sales were $1.97 billion, a 10% increase y/y, meeting the estimate of $1.97 billion.
- Service revenue was $2.16 billion, a 12% increase y/y, beating the estimate of $2.14 billion.
- Platform & other revenue was $1.72 billion, a 10% increase y/y, slightly below the estimate of $1.73 billion.
- Marketing & commerce revenue was $1.27 billion, a 8.2% increase y/y, slightly below the estimate of $1.28 billion.
- Professional services and other revenue decreased by 9.4% y/y to $539 million, below the estimate of $604.2 million.
- Unearned revenue at the end of the period was $19.00 billion, slightly above the estimate of $18.95 billion.
- Adjusted income from operations was $2.92 billion, a 19% increase y/y, slightly above the estimate of $2.91 billion.
- Adjusted operating margin was 31.4%, compared to 29.2% y/y, meeting the estimate of 31.4%.
- Remaining performance obligations were $56.9 billion, a 17% increase y/y, beating the estimate of $54.01 billion.
- Current remaining performance obligation was $27.6 billion, a 12% increase y/y, slightly above the estimate of $27.1 billion.
- Free cash flow was $3.26 billion, significantly above the estimate of $2.29 billion.
- For FY25, Salesforce Inc has initiated a GAAP operating margin guidance of 20.4% and non-GAAP operating margin guidance of 32.5%.
- The company has also initiated a full year FY25 Subscription & Support Revenue Growth Guidance of approximately 10% Y/Y, slightly above 10% Y/Y CC.
- It has also initiated a full year FY25 Operating Cash Flow Growth Guidance of 21% to 24% Y/Y.
Salesforce.Com Inc on Smartkarma
Salesforce Inc. is receiving positive analyst coverage on Smartkarma, an independent investment research network. According to Baptista Research, Salesforce’s recent acquisition of Airkit.ai could be a game changer for the company. This is due to the company’s impressive quarter, which saw double-digit revenue growth and a non-GAAP margin exceeding 30%. Additionally, Salesforce has solidified its position as the third-largest enterprise software company by revenue and has achieved successes such as an 80% growth in deals exceeding $1 million and the introduction of the Data Cloud with 1,000 new customers.
Baptista Research also notes that Salesforce’s non-GAAP operating margin increased in the previous quarter, and the company had fantastic victories with major clients such as JPMorgan, Bayer, FedEx, Maersk, and the Department of Veterans Affairs. This has led to speculation about whether the company’s new Starter CRM could put Salesforce on a different level of growth. Overall, analysts on Smartkarma are bullish on Salesforce’s prospects, citing its strong financial performance and impressive client wins as major drivers for future success.
A look at Salesforce.Com Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Salesforce.Com Inc, a leading provider of on-demand software, has received positive scores from Smartkarma for its long-term outlook. The company has been rated with a 2 for value, indicating a promising financial performance in the future. However, its dividend score is at a 1, suggesting that investors may not see significant returns in the form of dividends.
The company’s growth and resilience scores are at a 3, indicating steady and stable growth potential. Additionally, Salesforce.Com Inc has scored a 5 in momentum, highlighting its strong momentum in the market. This is good news for the company and its investors, as it suggests a positive outlook for the company’s stock in the long term. Overall, with its innovative technology platform and global presence, Salesforce.Com Inc is poised for success in the years to come.
Based on its description, Salesforce.Com Inc offers a customer relationship management service to businesses worldwide. Its technology platform allows customers and developers to build and run business applications, helping clients manage their customer, sales, and operational data. With its strong Smartkarma scores, the company is well-positioned for growth and success in the competitive software industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
