8-KEarnings & ResultsExhibits & Filings

Salesforce, Inc. 8-K Report, Financial Results (Feb 25, 2020)

Filed February 25, 2020For Securities:CRM

Summary

Salesforce, Inc. (CRM) filed an 8-K on February 25, 2020, primarily to announce two key events: its financial results for the fiscal fourth quarter and full year ended January 31, 2020, and a significant acquisition. The company's press release detailing these results is incorporated by reference. Investors should note that the press release provides guidance for fiscal year 2021, which is a crucial indicator of future performance and growth expectations. The most impactful news for investors in this filing is the agreement to acquire Vlocity, Inc. for approximately $1.33 billion in cash. Vlocity specializes in industry-specific cloud software built on the Salesforce platform. This strategic move signals Salesforce's intent to deepen its industry vertical offerings, a key growth driver. The acquisition is anticipated to close in the second quarter of fiscal 2021 and its financial impact is already factored into the company's FY21 guidance.

Key Highlights

  • 1Salesforce announced its financial results for Q4 and the full fiscal year 2020, ending January 31, 2020.
  • 2The company entered into an agreement to acquire Vlocity, Inc. for approximately $1.33 billion in cash.
  • 3Vlocity is a provider of industry-specific cloud and mobile software built on the Salesforce platform.
  • 4The acquisition is expected to close in the second quarter of fiscal year 2021, subject to customary conditions.
  • 5The financial impact of the Vlocity acquisition is incorporated into Salesforce's full fiscal year 2021 guidance for revenue, non-GAAP EPS, and operating cash flow.
  • 6The press release containing the financial results and FY21 guidance is attached as Exhibit 99.1.
  • 7Information provided is not deemed 'filed' for certain regulatory purposes.

Frequently Asked Questions

This 8-K filing serves two primary purposes: to announce Salesforce's financial results for the fiscal fourth quarter and full year ended January 31, 2020, and to disclose the definitive agreement to acquire Vlocity, Inc.

Vlocity is a leading provider of industry-specific cloud and mobile software that is natively built on the Salesforce platform. Salesforce is acquiring Vlocity to strengthen its own industry-specific cloud solutions, enabling deeper penetration and tailored offerings within various verticals.

Salesforce will acquire Vlocity for approximately $1.33 billion in cash, plus the assumption of outstanding unvested equity awards. The acquisition is expected to close during the second quarter of fiscal year 2021. The financial impact of this acquisition is already included in Salesforce's provided guidance for FY21.

The detailed financial results for the fiscal quarter and year ended January 31, 2020, along with the guidance for fiscal year 2021, are provided in the press release dated February 25, 2020, which is attached as Exhibit 99.1 to this 8-K filing.