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Ryan McQueeney

Salesforce (CRM) Stock Soars on Impressive Q3 Earnings Results

CRM

Trades from $3

Salesforce.com (CRM - Free Report) just released its third-quarter earnings results, posting adjusted earnings of $0.03 per share and revenue of $2.14 billion.  

CRM was up 5.31% to $79.18 in after-hours trading shortly after its earnings report was released.

Currently, CRM has a Zacks Rank #3 (Hold), but it is subject to change following the release of the company’s latest earnings report. Here are 5 key statistics from this just announced report below.

Salesforce:                                             

Matched earnings estimates. The company posted adjusted earnings of $0.03 cents per share (excluding eight cents from non-recurring items), matching our Zacks Consensus Estimate of $0.03. In its report, Salesforce reported a GAAP loss of 5 cents per share and a non-GAAP profit of 24 cents per share. Analysts expected non-GAAP earnings of 21 cents per share, which makes today’s results an earnings beat by some definitions.

Beat revenue estimates. The company saw revenue figures of $2.14 billion, beating our estimate of $2.12 billion.

Cash generated from operations was $154 million, a decrease of 5% year-over-year. Total cash, cash equivalents and marketable securities came in at $1.75 billion.

Fourth-quarter revenue is expected to be approximately $2.267 billion to $2.277 billion, while GAAP loss per share is projected to be ($0.10) to ($0.09), and non-GAAP diluted EPS is projected to be $0.24 to $0.25.

“Salesforce delivered an exceptional quarter with year-over-year revenue growth of 25% in dollars and 27% in constant currency, said Salesforce CEO Marc Benioff.

Here’s a graph that looks at Salesforce’s recent earnings performance:

SALESFORCE.COM Price, Consensus and EPS Surprise

SALESFORCE.COM Price, Consensus and EPS Surprise | SALESFORCE.COM Quote

Salesforce.com is the market and technology leader in on-demand business services. The company's Salesforce suite of on-demand CRM applications allows customers to manage and share all of their sales, support, marketing and partner information on-demand. The Salesforce Platform, the world's first on- demand platform, enables customers, developers and partners to build powerful new on-demand applications that extend beyond CRM to deliver the benefits of multi-tenancy and The Business Web across the enterprise.

Check back later for our full analysis onSalesforce’s quarterly earnings report!

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