-=Salesforce (CRM) reported earnings on Tue 31 May 22 (a/h)

 

Salesforce beats by $0.04, reports revs in-line; guides Q2 EPS below consensus, revs below consensus; raises FY23 EPS guidance above consensus, raises non-GAAP operating margin guidance, lowers revenue guidance below consensus

• Reports Q1 (Apr) earnings of $0.98 per share, $0.04 better than the S&P Capital IQ Consensus of $0.94; revenues rose 24.3% year/year to $7.41 bln vs the $7.38 bln S&P Capital IQ Consensus.
• Remaining performance obligation ended the first quarter at approximately $42.0 billion, an increase of 20% year-over-year.
• First quarter non-GAAP operating margin was 17.6%.
• Co issues downside guidance for Q2, sees EPS of $1.01-$1.02 vs. $1.14 S&P Capital IQ Consensus; sees Q2 revs of $7.69-$7.70 bln vs. $7.77 bln S&P Capital IQ Consensus.
• Co updates guidance for FY23, sees EPS of $4.74-$4.76 vs. prior guidance of $4.62-$4.64, above the $4.66 S&P Capital IQ Consensus; sees FY23 revs of $31.7-$31.8 bln vs. prior guidance of $32.0-$32.10 bln, below the $32.06 bln S&P Capital IQ Consensus. Raises FY23 non-GAAP operating margin guidance to ~20.4% from approximately 20%.

Earnings this week : May 30 - June 3, 22 (wk 22)

Tuesday (May 31)

• Morning: BEKE
• Afternoon:  AMBA APPS HPQ CRM SPWH VSCO

Wednesday (Jun 1)

• Morning:  CPRI CONN DCI WB
• Afternoon:  AI  CHWY CRDO DSGX ESTC GME HPE MDB NCNO NTAP PSTG PVH SMTC S PATH VEEV

Thursday (Jun 2)

• Morning: CAE CIEN DBI HRL SCWX SPTN TTC
• Afternoon:  ASAN CVGW COO CRWD JOAN LULU OKTA PD PHR RH ZUMZ

-=Slack Technologies (WORK) to be acquired by Salesforce (CRM) for approx. $27.7 bln

 

Slack beats by $0.06, beats on revs; company to be acquired by Salesforce in cash and stock deal 

Reports Q3 (Oct) earnings of $0.01 per share, $0.06 better than the S&P Capital IQ Consensus of ($0.05); revenues rose 38.8% year/year to $234.5 mln vs the $224.43 mln S&P Capital IQ Consensus.

Calculated Billings was $252.4 million, an increase of 36% year-over-year.

Over 142,000 Paid Customers, up 35% year-over-year.

123% net dollar retention rate.

1,080 Paid Customers with greater than $100,000 in annual recurring revenue, up 32% year-over-year.

Co to be acquired by Salesforce (CRM) in cash and stock deal valued at approximately $27.7 bln.

 Salesforce beats by $0.99, beats on revs; guides Q4 revs above consensus; guides Q1 (Apr) revs above consensus; guides FY22 revs, announces acquisition of Slack 

Reports Q3 (Oct) earnings of $1.74 per share, $0.99 better than the S&P Capital IQ Consensus of $0.75; revenues increased 20% year/year to $5.42 bln vs the $5.25 bln S&P Capital IQ Consensus.

Current Remaining Performance Obligation of Approximately $15.3 Billion, up 20% Year-Over-Year, 19% in Constant Currency.

Third quarter non-GAAP operating margin was 19.8%.

Co issues upside guidance for Q4, sees Q4 revs of $5.665-$5.675 bln vs. $5.53 bln S&P Capital IQ Consensus.

Co issues upside guidance for Q1 (Apr), sees Q1 (Apr) revs of $5.680-$5.715 bln vs. $5.65 bln S&P Capital IQ Consensus.

Co issues guidance for FY22, sees FY22 revs of $25.45-$25.55 bln. This includes approximately $600 mln related to the acquisition of Slack Technologies (WORK). The S&P Capital IQ Consensus is $24.5 bln.

***

SAN FRANCISCO — Salesforce said on Tuesday that it would buy the workplace software company Slack for $27.7 billion in cash and stock, the latest in a wave of deals as the coronavirus pandemic boosts demand for tools that enable people to work remotely.

If completed, the acquisition will end Slack’s brief run as an independent publicly traded company — it went public in mid-2019 — and cap an acquisitive streak by Salesforce with its largest deal since it was founded 21 years ago.

The deal is the biggest bet among a recent spate of acquisitions made by tech companies to capitalize on the shift to remote work. Adobe said last month that it planned to acquire the work force management software company Workfront for $1.5 billion. In July, Atlassian, which sells tools for developers and project management, said it would buy the enterprise services business Mindville for an undisclosed amount.

Other firms focused on workplace collaboration products, including Airtable, Asana, Box, DocuSign, Dropbox and Smartsheet, may also be potential targets as highly valued software companies look to roll up the fragmented market for collaboration tools.

Shareholders will get $26.79 in cash and 0.0776 shares of Salesforce stock in exchange for each share of Slack, according to Tuesday’s deal announcement. Salesforce said it planned to incorporate Slack’s communication software into every aspect of its cloud software offerings.

Slack, which was founded in 2010 by Mr. Butterfield, grew quickly and previously attracted — and rejected — takeover offers from the likes of Google, Microsoft and Amazon. Its valuation was about $19.5 billion when it went public last year, but its shares later sank.

Demand for Slack’s products, which allow people to communicate and collaborate with one another, has increased as people work from home during the pandemic. 

In July, Slack filed a complaint against Microsoft with the European Commission, claiming Microsoft had unfairly bundled Teams with its suite of Microsoft Office work products. Microsoft has offered the software alongside Office since Teams was released in 2017.

Salesforce, which provides marketing and sales software, among other products, has been highly acquisitive as it looks to grow. Under Mr. Benioff, Salesforce has bought at least 60 companies, including 27 in the last five years, according to S&P Capital IQ.

In February, Salesforce paid $1.3 billion for Vlocity, a mobile software provider. Last year, it bought Tableau, a data analytics provider, for $15.3 billion; in 2018, it bought MuleSoft, a data integration company, for $6.5 billion; and in 2016, it bought Demandware, an e-commerce software maker, for $2.8 billion. It also invested $250 million in the data warehousing company Snowflake just before it went public in September.

-=Salesforce (CRM) reported earnings on Tue 3 Dec 19 (a/h)

Salesforce beats by $0.09, beats on revs; guides Q4 EPS below consensus, revs above consensus; raises FY20 EPS and OCF; guides Q1 (Apr) revs in-line; reaffirms FY21 revs guidance

Reports Q3 (Oct) earnings of $0.75 per share, excluding non-recurring items, $0.09 better than the S&P Capital IQ Consensus of $0.66; revenues rose 33.0% year/year to $4.51 bln vs the $4.45 bln S&P Capital IQ Consensus; current RPO +28% vs. +24-25% guidance

Co issues mixed guidance for Q4, sees EPS of $0.54-0.55, excluding non-recurring items, vs. $0.61 S&P Capital IQ Consensus; sees Q4 revs of 4743-4753 vs. $4.73 bln S&P Capital IQ Consensus. 

Raises FY20 EPS to $2.89-2.90 from $2.8-2.84; reaffirms FY20 rev $16.9-17.00 bln (raised two weeks ago); raises OCF to +22-23% from +20-21%.

Co issues in-line guidance for Q1 (Apr), sees Q1 (Apr) revs of $4.80-4.835 bln vs. $4.83 bln S&P Capital IQ Consensus.

Co reaffirms guidance for FY21, sees FY21 revs of $20.80-20.90 bln vs. $20.89 bln S&P Capital IQ Consensus.

Tableau Software (DATA) to be acquired by Salesforce (CRM) for $15.7 bln in stock

 

** DATA **

Salesforce will acquire Tableau in an all-stock transaction, pursuant to which each share of Tableau Class A and Class B common stock will be exchanged for 1.103 shares of Salesforce common stock, representing an enterprise value of $15.7 billion (net of cash), based on the trailing 3-day volume weighted average price of Salesforce's shares as of June 7, 2019.

• Financial Impact to Salesforce of the Proposed Tableau Acquisition:
  • The transaction is expected to increase Salesforce's FY20 total revenue by approximately $350 million to $400 million. This estimate reflects a fair value adjustment to reduce unearned revenue and unbilled unearned revenue by approximately 30%, adjustments related to the combined customer base, and inter-company revenue elimination, as required by U.S. GAAP. FY20 Revenue is now expected to be $16.45 billion to $16.65 billion, an increase of 24% to 25% year-over-year.
  • The transaction is expected to decrease Salesforce's FY20 non-GAAP operating margin by approximately (75) basis points year-over-year.
  • Guidance updates for GAAP EPS for all periods discussed are not currently available and Salesforce expects to provide the applicable updates when the transaction has closed and the purchase accounting has been completed. The acquisition is expected to decrease FY20 non-GAAP diluted EPS by approximately ($0.37) to ($0.39). FY20 Non-GAAP EPS is now expected to be $2.51 to $2.53. This estimate assumes fully diluted share count of approximately 900 million, and a non-GAAP tax rate of 22.5%.
• The acquisition of Tableau is expected to be completed during Salesforce's fiscal third quarter ending October 31, 2019

** DATA  before **

** CRM before  **

=Salesforce (CRM) reported earnings on Tue 27 Nov 18 (a/h)

Salesforce beats by $0.11, reports revs in-line; guides Q4 EPS below consensus, revs above consensus (raises FY19 outlook); guides FY20 revs above consensus 

• Reports Q3 (Oct) earnings of $0.61 per share, excluding non-recurring items, $0.11 better than the S&P Capital IQ Consensus of $0.50; revenues rose 25.6% year/year to $3.39 bln vs the $3.37 bln S&P Capital IQ Consensus. 
• Unearned revenue +25% to $5.38 billion (26% in constant currency) vs. +20% guidance. Remaining performance obligation, representing future revenues that are under contract but have not yet been recognized, ended the third quarter at ~$21.2 billion, an increase of 34% year-over-year.
• Co issues guidance for Q4, sees EPS of $0.54-0.55, excluding non-recurring items, vs. $0.57 S&P Capital IQ Consensus; sees Q4 revs of $3.551-3.561 bln vs. $3.53 bln S&P Capital IQ Consensus.
• Raises FY19 non-GAAP EPS to $2.60-2.61 from $2.50-2.52; rev to $13.23-13.24 bln from $13.125-13.175 bln
• Co issues upside guidance for FY20, sees FY20 revs +20-21% to $15.9-16.0 bln vs. $15.85 bln S&P Capital IQ Consensus.

MuleSoft (MULE) to be acquired by Salesforce (CRM) for $6.5 billion

Mulesoft  (MULE) was acquired by Salesforce (CRM) for $6.5 billion in a cash and stock deal. (May 2, 2018)

  

• Mulesoft had one of the best opening IPO days of 2017 when it went public a year ago on the New York Stock Exchange. Prior to its public offering, Mulesoft raised money from Salesforce Ventures.
• MuleSoft’s  technology is used by customers to link their business apps, databases, and corporate IT infrastructure into a unified system. 
• MuleSoft says it currently has more than 1,000 customers worldwide. They include McDonalds (MCD), Coca-Cola (KO) and Netflix (NFLX).
• 4pm update: Salesforce will pay $44.89 per share for Mulesoft, a 36 percent premium — each Mulesoft share will equal $36 in cash and 0.0711 shares of Salesforce common stock, the companies said. The deal is expected to close by the end of July.
• It is the biggest acquisition in Salesforce's history.

Report of Salesforce takeover talks

3/20/18 : (Reuters) - Salesforce.com Inc is in advanced discussions to acquire U.S. software maker MuleSoft Inc, people familiar with the matter said on Wednesday.

A deal could be announced as soon as this week, the sources said, cautioning that negotiations had not been finalized and that an agreement was not certain.

The sources asked not to be identified because the negotiations are confidential. Salesforce and MuleSoft did not immediately respond to requests for comment.

 

=Salesforce.com (CRM) reported earnings on Thur 11/17/16 (a/h)

Salesforce.com beats by $0.03, beats on revs; guides Q4 EPS in-line, revs above consensus; guides FY18 revs above consensus  :

• Reports Q3 (Oct) earnings of $0.24 per share, excluding non-recurring items, $0.03 better than the Capital IQ Consensus of $0.21; revenues rose 25.3% year/year to $2.14 bln vs the $2.12 bln Capital IQ Consensus.
  • Subscription and support revenues were $1.98 billion, an increase of 24% year-over-year. Professional services and other revenues were $161 million, an increase of 39% year-over-year.
  • Deferred revenue on the balance sheet as of October 31, 2016 was $3.50 billion, an increase of 23% year-over-year, and 25% in constant currency. Unbilled deferred revenue, representing business that is contracted but unbilled and off balance sheet, ended the third quarter at approximately $8.6 billion, up 28% year-over-year.
• Co issues guidance for Q4, sees EPS of $0.24-0.25, excluding non-recurring items, vs. $0.25 Capital IQ Consensus Estimate; sees Q4 revs of $2.267-2.277 bln vs. $2.24 bln Capital IQ Consensus Estimate.
• Co issues upside guidance for FY18, sees FY18 revs of $10.10-10.15 bln vs. $10.07 bln Capital IQ Consensus Estimate.

=Salesforce.com (CRM) reported earnings on Wed 31 Aug 2016 (a/h)

Salesforce.com beats by $0.02, reports revs in-line; guides Q3 EPS below consensus, revs below consensus; reaffirms FY17 EPS guidance, guides FY17 revs below consensus :

• Reports Q2 (Jul) earnings of $0.24 per share, excluding non-recurring items, $0.02 better than the Capital IQ Consensus of $0.22; revenues rose 25.0% year/year to $2.04 bln vs the $2.02 bln Capital IQ Consensus.
  • Subscription and support revenues were $1.89 billion, an increase of 24% y/y.
  • Professional services and other revenues were $151 million, an increase of 33% y/y.
  • Cash generated from operations was $251 million, a decrease of 18% y/y. Total cash, cash equivalents and marketable securities finished the quarter at $1.72 billion.
  • Deferred revenue on the balance sheet as of July 31, 2016 was $3.82 billion, an increase of 26% y/y, and 27% in constant currency. Unbilled deferred revenue, representing business that is contracted but unbilled and off balance sheet, ended the second quarter at approximately $8.0 billion, up 29% y/y. This includes approximately $300 million related to unbilled deferred revenue from the Demandware acquisition.
• Issues downside guidance for Q3, sees EPS of $0.20-0.21, excluding non-recurring items, vs. $0.24 Capital IQ Consensus Estimate; sees Q3 revs of $2.11-2.12 bln vs. $2.13 bln Capital IQ Consensus Estimate.
• Co issues guidance for FY17, reaffirms EPS of $0.93-0.95, excluding non-recurring items, vs. $0.95 Capital IQ Consensus Estimate; raises FY17 revs to $8.275-8.325 bln (prior $8.26-8.32 bln) but still below $8.35 bln Capital IQ Consensus Estimate.

==Salesforce.com (CRM) reported earnings Wed 18 Nov 2015 (after close)

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** charts after earnings **

Salesforce.com beats by $0.02, reports revs in-line; guides Q4 EPS in-line, revs above consensus; guides FY16 EPS above consensus, revs above consensus; guides FY17 revs above consensus :

• Reports Q3 (Oct) earnings of $0.21 per share, $0.02 better than the Capital IQ Consensus of $0.19; revenues rose 23.7% year/year to $1.71 bln vs the $1.7 bln Capital IQ Consensus.
  • Cash generated from operations for the third quarter was $118 million, a decrease of 4% year-over-year.
  • Deferred revenue on the balance sheet as of October 31, 2015 was $2.85 billion, an increase of 28% year-over-year, and 30% in constant currency. Unbilled deferred revenue, representing business that is contracted but unbilled and off balance sheet, ended the quarter at approximately $6.7 billion, up 24% year-over-year.
  • Expanding non-GAAP operating margin by 221 basis points.
• Co issues guidance for Q4, sees EPS of 0.18-0.19, excluding non-recurring items, vs. $0.19 Capital IQ Consensus Estimate; sees Q4 revs of $1.782-1.792 bln vs. $1.78 bln Capital IQ Consensus Estimate.
• Co issues upside guidance for FY16, sees EPS of $0.74-0.75 (Prior $0.70-0.72), excluding non-recurring items, vs. $0.73 Capital IQ Consensus Estimate; sees FY16 revs of $6.64-6.65 bln (Prior $6.000-6.625 bln) vs. $6.62 bln Capital IQ Consensus Estimate.
• Co issues upside guidance for FY17, sees FY17 revs of $8.0-8.1 bln vs. $7.99 bln Capital IQ Consensus Estimate.

Options trade idea : Salesforce.com (CRM)

• earnings today after close (Wed 11/19)
• buying puts that expire this Friday:  $61 put  $1.88,  $58 put  $0.76  (Acorn Wealth)
• hoping for a gap down

** daily before earnings **

** daily before earnings **

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*** 11/20/14 : after earnings ***

The world's biggest maker of online sales software said it expected revenue of $6.45 billion to $6.5 billion for the year ending January 2016, missing analysts' average estimate of $6.66 billion.

bot yesterday:            $61 put  paid $1.88,  $58 put  paid $0.76
today's (11/20) bids:  $61 put          $2.30,  $58 put          $0.43

Fri 11/21/14 : 2nd day after earnings; expiration day

bot before earnings:            $61 put  paid $1.88,  $58 put  paid $0.76
today's (11/21) bids:           $61 put          $3.25,   -->  $1.37 gain (+73%)
                                            $58 put          $0.16   -->  -79%

Great long trade : Salesforce.com (CRM) reported earnings on 29 August 2013

CRM (49.74 +13.95%): Beat quarterly EPS by $0.02 ($0.09 vs $0.07 estimate), revs rose 30.7% yoy to $957 mln vs $938.8 mln; sees Q3 EPS of $0.08-0.09 vs $0.08 estimate, revs of $1.05-1.055 bln vs $1.04 bln estimate; sees FY14 EPS of $0.32-0.34 vs $0.32 estimate, revs of $4.00-4.025 vs $3.99 bln estimate; target raised at JP Morgan, Susquehanna, UBS, JMP Securities, Credit Suisse, Stifel, and Canaccord Genuity 

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Salesforce.com (CRM) reported earnings Thur 23 Aug 2012

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** charts after earnings **
Shares of Salesforce.com fell after hours as the business-software maker reported second-quarter deferred-revenue growth--a critical measure of performance for its subscription-based business model--was slower than the first quarter. Its fiscal second-quarter loss widened as it recorded an increase in operating costs and other expenses. Shares were off 5.6% to $138.50 after hours.

** next day **