01—Abstract
Summary
Summary of the 8-K filed May 29, 2018. Cited figures are marked; the original filing is the authoritative source.
Salesforce, Inc. (CRM) filed an 8-K on May 29, 2018, primarily to provide its earnings release for the fiscal quarter ended April 30, 2018.
The report highlights the adoption of a new accounting standard for revenue recognition, specifically ASC 606, using the full retrospective method. This adoption impacts the presentation of historical financial information, with prior periods adjusted to be consistent with the new standard. Investors should note that the information furnished in this 8-K, including the press release, is not considered 'filed' for certain regulatory purposes and therefore does not subject the company to liabilities under Section 18 of the Exchange Act, nor is it automatically incorporated into other filings unless explicitly stated.
The core of this filing is the accompanying press release (Exhibit 99.1), which contains the detailed financial results for the quarter. While the 8-K itself does not provide the numbers, it directs investors to the press release for performance metrics, guidance, and other qualitative information relevant to the company's operational and financial condition. The adoption of ASC 606 is a significant accounting change that investors should review for its impact on reported revenue and related costs.
02—Key points
Key Highlights
- The 8-K announces Salesforce's financial results for the fiscal quarter ended April 30, 2018, via an attached press release (Exhibit 99.1).
- Salesforce adopted the new revenue recognition standard (ASC 606) effective February 1, 2018.
- The company elected to use the full retrospective method for adopting ASC 606, meaning prior periods are restated for comparability.
- This accounting change affects the recognition of revenue and costs capitalized to obtain revenue contracts.
- The press release serves as the primary source for detailed financial performance metrics and guidance.
- Information furnished under Regulation FD is not considered 'filed' for certain legal liabilities (e.g., Section 18 of the Exchange Act).
03—Questions
Frequently Asked Questions
What is the main purpose of this 8-K filing?
The main purpose of this 8-K filing is to formally report Salesforce's financial results for the fiscal quarter ended April 30, 2018, through an attached press release. It also serves to disclose the company's adoption of a new accounting standard for revenue recognition.
What accounting standard did Salesforce adopt?
Salesforce adopted the new accounting standard for revenue recognition, ASC 606. This standard impacts how revenue is recognized, including accounting for costs capitalized to obtain revenue contracts.
How did Salesforce adopt the new revenue recognition standard?
Salesforce adopted ASC 606 using the full retrospective method. This means that previously reported financial periods have been restated to align with the new standard, providing a consistent basis for comparison.
Where can I find the actual financial results for the quarter?
The detailed financial results, including key performance indicators and guidance, are provided in the press release attached as Exhibit 99.1 to this 8-K filing.
04—Continue