Salesforce has achieved significant growth in its Sales Cloud, Service Cloud, Salesforce Platform and Other and Marketing and Commerce Cloud in the first quarter.
Salesforce.com announced that the CRM company’s total revenue rose 24 percent to $3.74 billion for its fiscal first quarter ended April 30, 2019.
The San Francisco-based company generated revenue of $1.073 billion (+11 percent) from Sales Cloud, $1.020 billion (+20 percent) from Service Cloud, $842 million (+46 percent) from Salesforce Platform and Other and $561 million (+33 percent) from Marketing and Commerce Cloud in the first quarter.
Salesforce.com generated revenue of $2.617 billion from Americas, $755 million from Europe and $365 million from Asia Pacific.
Marc Benioff, chairman and co-CEO of Salesforce, said: “We have a massive opportunity in front of us and are well-positioned for long-term growth as the world’s #1 CRM.”
The company raised its full-year 2020 adjusted profit forecast to be in the range of $2.88 to $2.90 per share and revenue between $16.10 billion and $16.25 billion. Analysts on average were expecting a profit of $2.66 per share on revenue of $16.12 billion.
“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.
Salesforce’s net income rose to $392 million, or 49 cents per share, in the quarter ended April 30, from $344 million, or 46 cents per share, a year earlier.
Salesforce is in the early stages of international expansion, offering it potential for growth, New England Investment & Retirement Group analyst Brian Pirri said.
Salesforce and other cloud-based service providers are benefiting from a growing trend among companies to shift their operations onto lower cost cloud-based services that also offer more scalability.
Last week, Workday, one of the smaller rivals of Salesforce, reported better-than-expected quarterly profit and revenue, as it enrolled more companies for its cloud-based financial and human resources software.
