August 20th, 2009
Salesforce delivers strong second quarter, ups outlook
Salesforce.com delivered strong second quarter results and upped its financial targets for fiscal 2010.
The company on Thursday reported net income of $21.2 million, or 17 cents a share, on revenue of $316 million, up 20 percent from a year ago. Wall Street was expecting earnings of 15 cents a share on revenue of $312.7 million.
In a statement, Salesforce said that it added 3,900 net paying customers to hit a total of 63,200. Net paying customers are up 32 percent from a year ago.
In addition, Salesforce’s financial targets were in line with estimates or better than expected. To wit:
- Salesforce is projecting third quarter earnings to be 15 cents a share to 16 cents a share on revenue of $323 million to $324 million. Wall Street was looking for earnings of 15 cents a share on revenue of $319 million.
- For the fiscal 2010, Salesforce sees revenue between $1.27 billion to $1.28 billion. Earnings will be 60 cents a share to 61 cents a share. Wall Street is expecting earnings of 60 cents a share on revenue of $1.265 billion.
By the numbers:
- Deferred revenue in the second quarter was $549 million, up 14 percent from a year ago.
- The company had $1.03 billion in cash, cash equivalents and marketable securities as of July 31.
- Salesforce ended the second quarter with 3,653 employees, up from 3,607 in the prior quarter.
Larry Dignan is Editor in Chief of ZDNet and Editorial Director of ZDNet sister site TechRepublic. See his full profile and disclosure of his industry affiliations.
For daily updates, follow Larry on Twitter.
Subscribe to Between the Lines via Email alerts or RSS.
