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Salesforce Drops Slightly After Inline Q3 Results

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Salesforce Drops Slightly After Inline Q3 Results

Investors seem to be slightly disappointed in Salesforce.com's (NYSE: CRM) inline results.

The company reported a Q3 EPS of $0.09 -- exactly what Wall Street anticipated.

Earnings per share were up 13 percent from the year-ago period.

Revenue arrived at $1.08 billion versus the Street estimate of $1.05 billion. Sales were up 37 percent year-over-year.

"Salesforce.com is the first enterprise cloud computing company to deliver a $1 billion quarter, with outstanding third quarter revenue growth at 36%," Marc Benioff, Chairman and CEO of Salesforce.com, said in a company release. "Given the strong customer response to our next generation social and mobile cloud technologies, I'm delighted to announce that we expect to deliver our first $5 billion year during our fiscal year 2015."

Salesforce expects its fourth quarter EPS to be slightly below Wall Street's estimate of $0.07. The company is projecting an EPS of $0.05 or $0.06.

Sales are expected to be inline (or slightly higher) at $1.12 billion or $1.13 billion versus the Street estimate of $1.12 billion.

Looking ahead to full-year 2014, Salesforce believes that it will report sales between $4.05 billion and $4.06 billion versus the Street estimate of $4.03 billion.

For 2015, Salesforce's full-year sales estimate is between $5.15 billion and $5.20 billion versus the Street estimate of $5.19 billion.

Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.

Louis Bedigian is the Senior Tech Analyst and Features Writer of Benzinga. You can reach him at louis(at)benzingapro(dot)com. Follow him @LouisBedigianBZ

 

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Posted-In: Salesforce Drops Slightly After Inline Q3 ResultsEarnings News Management Tech

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