salesforce.com, inc (NYS: CRM) reported earnings on May 23. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 30 (Q1), salesforce.com, inc met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly. Non-GAAP earnings per share grew. GAAP loss per share expanded.
Margins dropped across the board.
salesforce.com, inc logged revenue of $892.6 million. The 34 analysts polled by S&P Capital IQ anticipated a top line of $887.3 million on the same basis. GAAP reported sales were 28% higher than the prior-year quarter's $695.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.10. The 37 earnings estimates compiled by S&P Capital IQ predicted $0.10 per share. Non-GAAP EPS of $0.10 for Q1 were 11% higher than the prior-year quarter's $0.09 per share. GAAP EPS were -$0.12 for Q1 compared to -$0.04 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 76.6%, 160 basis points worse than the prior-year quarter. Operating margin was -5.0%, 180 basis points worse than the prior-year quarter. Net margin was -7.6%, 480 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $935.4 million. On the bottom line, the average EPS estimate is $0.12.
Next year's average estimate for revenue is $3.87 billion. The average EPS estimate is $0.50.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on salesforce.com, inc is outperform, with an average price target of $48.21.
Software and computerized services are being consumed in radically different ways, on new and increasingly mobile devices. Many old leaders will be left behind. Whether or not salesforce.com, inc makes the coming cut, you should check out the company that Motley Fool analysts expect to lead the pack in "The Next Trillion-dollar Revolution." Click here for instant access to this free report.
Add salesforce.com, inc to My Watchlist.
The article salesforce.com, inc Hits Estimates in Solid Quarter originally appeared on Fool.com.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends Salesforce.com. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.