Salesforce has announced results for Q4 FY2021 and the entire 2021 financial year.
The CRM giant exceeded Wall Street’s revenue expectations, a feat largely down to strong growth in subscription and support revenue.
Salesforce posted adjusted earnings of $1.04 per share. This EPS result is up from 66 cents reported in the prior-year quarter, and outperformed analysts’ EPS predictions of $0.75.
Fourth quarter revenue came in at $5.82 billion, up 20% year-over-year, and surpassing the $5.68 billion in revenue that Wall Street had anticipated.
Choose a financial quarter:
Salesforce financial results Q1 FY2020
Salesforce has made a fantastic start to the financial year by announcing a record first quarter, delivering revenue of $3.74 billion.
Salesforce made a strong finish to the 2019 financial year, and its first quarter results for FY 2020 paint a bright future for the company and its investors. In addition to first quarter revenue being up 24% year over year, earnings per share guidance for FY20 GAAP and Non-GAAP earnings have both been raised, while Q2 revenue guidance has also increased.
The company also has a remaining performance obligation of approximately $24.9 Billion, up 22% year over year.
Salesforce Chairman and co-CEO, Marc Benioff, was quick to celebrate his company’s dramatic start to the financial year. “I am thrilled with our results this quarter, and I am especially excited to have delivered record revenue in Q1 and operating cash flow of almost $2 billion, up 34% year-over-year. We have a massive opportunity in front of us and are well-positioned for long-term growth as the world’s #1 CRM.”
“Our strong revenue growth in the quarter reflects the strength of our business and the tremendous demand we’re seeing from customers worldwide,” said Keith Block, co-CEO of Salesforce. “Companies of every size and industry are undergoing a digital transformation to better serve their customers and they are choosing Salesforce as their partner.”
Salesforce delivered the following results for its first quarter FY 2020:
Revenue: Total first quarter revenue was $3.74 billion, an increase of 24% year-over-year, and 26% in constant currency. Subscription and support revenues were $3.50 billion, an increase of 24% year-over-year. Professional services and other revenues were $241 million, an increase of 23% year-over-year.
Earnings per Share: First quarter GAAP diluted earnings per share was $0.49, and non-GAAP diluted earnings per share was $0.93. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP diluted earnings per share by $0.27 based on the US tax rate of 25% and non-GAAP diluted earnings per share by $0.27 based on our non-GAAP tax rate of 22.5%.
Cash: Cash generated from operations for the first quarter was $1.97 billion, an increase of 34% year-over-year. Total cash, cash equivalents and marketable securities ended the first quarter at $6.38 billion.
Remaining Performance Obligation: Remaining performance obligation ended the first quarter at approximately $24.9 billion, an increase of 22% year-over-year. This includes approximately $500 million related to the remaining performance obligation from MuleSoft. Current remaining performance obligation ended the first quarter at approximately $11.8 billion, an increase of 23% year-over-year, 24% in constant currency.
Salesforce financial results Q2 FY2020
Salesforce has continued its stellar financial performance by announcing record second quarter fiscal 2020 results.
Following a strong second quarter, Salesforce has again raised its FY2020 revenue guidance, this time from $16.75 billion to $16.90 billion. And it’s no wonder when you look at the numbers they’ve put up.
The tech giant has posted a second quarter revenue of $4.0 billion, up 22% year-over year. It also has a current remaining performance obligation of approximately $25.3 billion, up 20% year-over-year.
Salesforce Chairman and co-CEO Marc Benioff is understandably delighted with the company’s consistently impressive financial results.
“Following an outstanding quarter, we’re raising our FY20 revenue guidance to $16.9 billion at the high-end of the range,” said Benioff. “With our Customer 360 vision, Einstein AI and the millions of Trailblazers innovating on our platform, Salesforce has never been better positioned for the future.”
Salesforce’s other co-CEO, Keith Block, echoed this sentiment. “An enormous wave of digital transformation is sweeping across every industry, and major brands, like FedEx, AXA and Unicredit, turned to Salesforce in the quarter to propel their growth,” explained Block. “The trust our customers have in us to drive their digital transformations is reflected in our strong quarterly results across our clouds and regions.”
Here are Salesforce’s second quarter fiscal 2020 results in detail:
Revenue: Total second quarter revenue was $4.0 billion, an increase of 22% year-over-year, and 23% in constant currency. Subscription and support revenues were $3.75 billion, an increase of 22% year-over-year. Professional services and other revenues were $252 million, an increase of 14% year-over-year.
Earnings per Share: Second quarter GAAP diluted earnings per share was $0.11, and non-GAAP diluted earnings per share was $0.66. GAAP and non-GAAP diluted earnings per share were negatively impacted by the loss on the settlement of the Salesforce.org reseller agreement by $0.16. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP diluted earnings per share by $0.10 based on the US tax rate of 25% and non-GAAP diluted earnings per share by $0.11 based on a non-GAAP tax rate of 22.5%.
Cash: Cash generated from operations for the second quarter was $436 million, a decrease of 5% year-over-year. Total cash, cash equivalents and marketable securities ended the second quarter at $6.04 billion.
Remaining Performance Obligation: Remaining performance obligation ended the second quarter at approximately $25.3 billion, an increase of 20% year-over-year. This includes approximately $350 million related to the business combination with Salesforce.org. Current remaining performance obligation ended the second quarter at approximately $12.1 billion, an increase of 23% year-over-year, 25% in constant currency.
Salesforce Financial Results Q3 FY2020
Salesforce has entrenched its market dominance in the CRM world by posting record third quarter fiscal 2020 results.
The tech giant’s strong third quarter sees revenue of £4.5 billion posted, up 33% year-over-year.
Salesforce has also initiated Q4 FY2020 revenue guidance of $4.743 billion to $4.753 billion, up 32% year-over-year.
Looking ahead to Q1 FY2021, the company has also raised revenue guidance of $4.8 billion to $4.85 billion, up 28% to 29% year-over-year.
Leaders at Salesforce were understandably delighted to be posting such positive results ahead of the festive period:
“We’re now on track to double our revenue in five years,” said Marc Benioff, Chairman and co-CEO of Salesforce. “With Customer 360, only Salesforce is providing companies with a single source of truth, bringing them even closer to their customers across every touchpoint.”
“We had strong growth across our clouds and regions in the quarter as more companies turn to Salesforce as a trusted advisor in their digital transformations,” commented Keith Block, co-CEO of Salesforce. “With these trusted customer relationships, continuous innovation and our phenomenal Trailblazer ecosystem, we have never been better positioned for the future.”
Salesforce delivered the following results for its fiscal third quarter:
Revenue: Total third quarter revenue was $4.5 billion, an increase of 33% year-over-year, and 34% in constant currency. Subscription and support revenues were $4.24 billion, an increase of 34% year-over-year. Professional services and other revenues were $274 million, an increase of 22% year-over-year.
Earnings per Share: Third quarter GAAP loss per share was $0.12, and non-GAAP diluted earnings per share was $0.75. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP loss per share by $0.01 based on a U.S. tax rate of 25% and non-GAAP diluted earnings per share by $0.01 based on a non-GAAP tax rate of 22.5%.
Cash: Cash generated from operations for the third quarter was $298 million, an increase of 108% year-over-year. Total cash, cash equivalents and marketable securities ended the third quarter at $6.53 billion.
Remaining Performance Obligation: Remaining performance obligation ended the third quarter at approximately $25.9 billion, an increase of 22% year-over-year. Current remaining performance obligation ended the third quarter at approximately $12.8 billion, an increase of 28% year-over-year, 28% in constant currency.
Salesforce financial results Q4 FY2020
Salesforce has capped off its year in the sun by posting Record Fourth Quarter AND Full Year Fiscal 2020 Results.
Salesforce’s stock price tends to fluctuate regularly, due to the frequency of large acquisitions and changes in personnel, but investors will be heavily encouraged by the company’s latest financial results.
Salesforce’s record-breaking year sees a Fourth-quarter revenue of $4.85 Billion, up 35% Year-Over-Year. FY20 Revenue in total was $17.1 Billion, up 29% year over year, 29% in Constant Currency.
The CRM giant has raised FY21 Revenue Guidance from $21.0 Billion to $21.1 Billion, with Q1 FY21 Revenue Guidance rising from $4.875 Billion to $4.885 Billion.
Salesforce Chairman and CEO Marc Benioff was understandably delighted to be posting such positive results ahead of what will no doubt be another ground-breaking year for the tech powerhouse.
“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.
“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.”
Salesforce delivered the following results for its fiscal fourth quarter:
Revenue:
Total fourth quarter revenue was $4.85 billion, an increase of 35% year-over-year, and 34% in constant currency. Subscription and support revenues for the quarter were $4.56 billion, an increase of 35% year-over-year. Professional services and other revenues for the quarter were $288 million, an increase of 26% year-over-year.
Total Fiscal 2020 revenue was $17.1 billion, up 29% year-over-year, and 29% in constant currency. Subscription and support revenues for the year were $16.0 billion, an increase of 29% year-over-year. Professional services and other revenues for the year were $1.1 billion, an increase of 21% year-over-year.
Earnings per Share:
Fourth quarter GAAP loss per share was $(0.28), and non-GAAP diluted earnings per share was $0.66. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP loss per share by $0.03 based on a U.S. tax rate of 25% and non-GAAP diluted earnings per share by $0.03 based on a non-GAAP tax rate of 22.5%.
Fiscal 2020 GAAP earnings per share was $0.15, and non-GAAP diluted earnings per share was $2.99. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP earnings per share by $0.38 based on a U.S. tax rate of 25% and non-GAAP diluted earnings per share by $0.39 based on a non-GAAP tax rate of 22.5%.
Cash:
Cash generated from operations for the fourth quarter was $1.63 billion, an increase of 23% year-over-year. Total cash, cash equivalents and marketable securities ended the fourth quarter at $7.95 billion. Cash generated from operations for Fiscal 2020 was $4.33 billion, an increase of 27% year-over-year.
Remaining Performance Obligation:
Remaining performance obligation ended the fourth quarter at approximately $30.8 billion, an increase of 20% year-over-year. Current remaining performance obligation ended the fourth quarter at approximately $15.0 billion, an increase of 26% year-over-year, 27% in constant currency.
Salesforce financial results Q1 FY2021
Salesforce has made a great start to financial year 2021 by announcing a record first-quarter revenue.
Despite massive disruption to businesses worldwide, Salesforce pivoted and persevered to ensure a fantastic start to 2021.
With an array of new products and initiatives in response to COVID-19, the cloud giant has solidified its position as global leader in CRM, and will lead thousands of businesses through their accelerated digital transformations into ‘the new normal’.
Salesforce posted a first-quarter revenue of $4.87 Billion, up 30% year-over-year. The company’s Q2 2021 revenue guidance of $4.89 Billion to $4.90 Billion is up approximately 22% to 23% year-over-year and, in turn, FY21 revenue guidance is now $20 billion, up 17% year-over-year.
Salesforce co-Chair Marc Benioff believes the pandemic has emphasized the need for cloud-based business tools.
“Our results, amidst this global crisis, demonstrated our ability to execute at speed, innovate at scale and the strength of our business model,” said Benioff.
“We made long-term investments in keeping our employees safe, supporting our customers, delivering crucial innovation like Work.com, and helping our communities with PPE, grants, and technology. The pandemic showed us that digital is an imperative for every company, and we’re confident Salesforce will continue to accelerate as we bring our customers into the new normal.”
The success of Salesforce paints a bright future for those working with the technology. As a specialist Salesforce recruiter, Mason Frank looks forward to growth in the Salesforce partner and customer ecosystem, as more and more organizations across the globe embrace the world’s number one CRM technology.
Salesforce delivered the following results for its fiscal first quarter:
Revenue:
Total first quarter revenue was $4.87 billion, an increase of 30% year-over-year, and 31% in constant currency. Subscription and support revenues for the quarter were $4.58 billion, an increase of 31% year-over-year. Professional services and other revenues for the quarter were $290 million, an increase of 20% year-over-year.
Earnings per Share:
First quarter GAAP earnings per share was $0.11, and non-GAAP diluted earnings per share was $0.70. Markto-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP earnings per share by $0.16 based on a U.S. tax rate of 25% and non-GAAP diluted earnings per share by $0.16 based on a non-GAAP tax rate of 22%.
Cash:
Cash generated from operations for the first quarter was $1.86 billion, a decrease of 5% year-over-year. Total cash, cash equivalents and marketable securities ended the first quarter at $9.80 billion.
Remaining Performance Obligation:
Remaining performance obligation ended the first quarter at approximately $29.3 billion, an increase of 18% year-over-year. Current remaining performance obligation ended the first quarter at approximately $14.5 billion, an increase of 23% year-over-year, 24% in constant currency.
The company broke down the Q4FY2021 results, illustrating revenue of $5.48 billion from subscription and support revenue—equating to 20% growth—and $0.34 billion from professional services and other revenue, up 18.4%.
Subscription and support growth was driven by surging sales across several of the software’s divisions during the previous quarter. Sales Cloud division revenue grew 11% to $1.36 billion, Service Cloud division revenue was up 19% to $1.45 billion, Marketing and Commerce grew 27%, bringing in $900 million, and Platform and Other revenue climbed 26% to $1.81 billion.
Slack, the collaboration platform acquired by Salesforce in December 2020, earned $250.6 million in total revenue for the quarter.
“We never could have predicted a year ago what was in store, which makes me incredibly proud of how well we pivoted our company to adapt to this pandemic world,” said Marc Benioff, Chair & CEO of Salesforce.
“We had a record quarter and year by innovating more and faster than ever, enabling our customers to be successful from anywhere, and becoming more relevant and strategic than ever. And we continued to serve all of our stakeholders in a time when they needed it most.”
Following the announcement, Salesforce raised its first quarter FY22 revenue guidance to $5.875 billion to $5.885 billion.
The success of Salesforce paints a bright future for those working with the technology. As a specialist Salesforce recruiter, Mason Frank looks forward to growth in the Salesforce partner and customer ecosystem, as more and more organizations across the globe embrace the world’s number one CRM technology.
Andy Mason
Director, Mason Frank International
“Every day we connect hundreds of Salesforce professionals with businesses utilizing the company’s products,” said Andy Mason, Director of Mason Frank.
“It’s encouraging to see Salesforce’s continuing growth and dominance in the CRM market space. To be aligned with a company that continues to scale at pace, while investing in R&D and innovating is extremely exciting, especially as Salesforce is still yet to fully realize its potential in the technology sector.”
Salesforce delivered the following results for its fiscal fourth quarter and financial year:
Revenue:
Total fourth quarter revenue was $5.82 billion, an increase of 20% year-over-year, and 19% in constant currency. Subscription and support revenues for the quarter were $5.48 billion, an increase of 20% year-over-year. Professional services and other revenues for the quarter were $0.34 billion, an increase of 18% year-over-year.
Total fiscal 2021 revenue was $21.25 billion, up 24% year-over-year, and 24% in constant currency. Subscription and support revenues for the year were $19.98 billion, up 25% year-over-year. Professional services and other revenues for the year were $1.28 billion, up 21% year-over-year.
Earnings per Share:
Fourth quarter GAAP diluted earnings per share was $0.28, and non-GAAP diluted earnings per share was $1.04. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP diluted earnings per share by $0.21 based on a U.S. tax rate of 25% and non-GAAP diluted earnings per share by $0.22 based on a non-GAAP tax rate of 22%.
Fiscal 2021 GAAP diluted earnings per share was $4.38, and non-GAAP diluted earnings per share was $4.92. Mark-to-market accounting of the company’s strategic investments, required by ASU 2016-01, benefited GAAP diluted earnings per share by $1.75 based on a U.S. tax rate of 25% and non-GAAP diluted earnings per share by $1.82 based on a non-GAAP tax rate of 22%.
Cash:
Cash generated from operations for the fourth quarter was $2.17 billion, an increase of 33% year-over-year. Total cash, cash equivalents and marketable securities ended the fourth quarter at $11.97 billion. Cash generated from operations for fiscal 2021 was $4.8 billion, an increase of 11% year-over-year.
Remaining Performance Obligation:
Remaining performance obligation ended the fourth quarter at approximately $36.1 billion, an increase of 17% year-over-year. Current remaining performance obligation ended the fourth quarter at approximately $18.0 billion, an increase of 20% year-over-year, 18% in constant currency.
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