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Salesforce.com Announces 25 Percent Year-over-year Increase in Revenue for Q2

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TMCnews Featured Article


August 19, 2010

Salesforce.com Announces 25 Percent Year-over-year Increase in Revenue for Q2

By Juliana Kenny, TMCnet Managing Editor


Rolling in with total revenue of $394 million, Salesforce.com (News - Alert) announced an increase over last year’s Q2 earnings by 25 percent. With operating cash flow of $76 million, 66 percent growth year-over-year, the cloud-computing CRM giant released its stunning Q2 numbers at 5pm ET, August 19th.


Mark Benioff, CEO of Salesforce.com stated that Q2’s revenue “rose at its fastest rate in six quarters” with non GAAP earnings per share coming in at $0.29, neither increasing nor decreasing.

Benioff cited the biggest news, and the reason for the company’s incredible growth this quarter which was the release of Chatter—a social media application for enterprise businesses. Obtaining 10,000 customers within the first week, Salesforce Chatter has been the most successful software release ever, according to Benioff, and the application “further differentiates our award-winning apps.”

Garnering 20,000 customers within the first month, Chatter has been termed “nothing short of amazing” from customers of Salesforce.com as it represents the “first enterprise-wide app.” Announcing 5100 net new customers for Q2, the total customer count for Salesforce.com is now 82,400, according to Benioff. With three main sources of sales deals: sales cloud, service cloud, and force.com, the company

The company enjoyed a 30 percent increase in customer base in Q2, and announced a raise in “our full fiscal year 2011 revenue guidance to a range of $1.595 billion to $1.6 billion.” This huge jump may have been inspired by the success of Chatter as Benioff suggests that Facebook (News - Alert) and Twitter have demonstrated that social media cloud computing is the new face of enterprise data management operations.


Juliana Kenny is a TMCnet reporter and editor. To read more of her articles, please visit her columnist page.

Edited by Juliana Kenny







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