Summary
Salesforce, Inc. (CRM) reported its first-quarter fiscal year 2020 results for the period ending April 30, 2019. The company demonstrated robust revenue growth, with total revenues increasing by 24% year-over-year to $3.74 billion. Subscription and support revenues, the primary revenue driver, grew by 24% to $3.50 billion, indicating strong demand for its core CRM services. Profitability also saw improvement, with net income rising to $392 million from $344 million in the prior year's comparable period. Diluted earnings per share increased to $0.49 from $0.46. The company's strategic investments also contributed significantly, with gains on strategic investments netting $281 million. The company ended the quarter with a strong liquidity position, boasting over $6.4 billion in cash, cash equivalents, and marketable securities.
Financial Highlights
50 data points| Revenue | $3.74B |
| Cost of Revenue | $914.00M |
| Gross Profit | $2.82B |
| R&D Expenses | $554.00M |
| Operating Expenses | $2.61B |
| Operating Income | $210.00M |
| Interest Expense | $29.00M |
| Net Income | $392.00M |
| EPS (Basic) | $0.51 |
| EPS (Diluted) | $0.49 |
| Shares Outstanding (Basic) | 771.00M |
| Shares Outstanding (Diluted) | 793.00M |
Key Highlights
- 1Total revenues increased by 24% to $3.74 billion compared to the prior year's quarter.
- 2Subscription and support revenues grew by 24% to $3.50 billion, driven by new business and customer upgrades.
- 3Net income increased to $392 million, up from $344 million in the same quarter last year.
- 4Diluted earnings per share improved to $0.49 from $0.46 year-over-year.
- 5Gains on strategic investments were a significant contributor, totaling $281 million.
- 6The company maintained a strong balance sheet with $6.4 billion in cash, cash equivalents, and marketable securities.
- 7Operating lease right-of-use assets and liabilities were recognized for the first time due to the adoption of new lease accounting standards (Topic 842).