Salesforce Posts Record Revenue In Q2, Net Income Drops
Salesforce just released Q2 financial results today, posting record revenue of $394 million, an increase of 25% on a year-over-year basis. Q2 GAAP diluted earnings per share decreased 35% year-over-year to $0.11, and non-GAAP diluted earnings per share was flat year-over-year at $0.29. Net Income came in at $14.7 million, down from $21.1 million in the same quarter in 2009.
The company added 5,100 paying customers during the quarter, 500 of which came through the acquisition of Jigsaw earlier this year. Salesforce says that it currently has 82,400 paying customers in total.
CEO Marc Benioff said that the company will be focusing on hiring in sales and engineering as well as opening up a data center in Japan. Benioff says that the company’s annual customer conference Dreamforce will include a cameo from former U.S. President Bill Clinton as well as music star Stevie Wonder.
Subscription and support revenues were $369 million, an increase of 26% on a year-over-year basis. Professional services and other revenues were $25 million, an increase of 12% on a year-over-year basis. Cash from operations for the fiscal second quarter was approximately $76 million, up 66% year-over-year.
The past few months have clearly been bittersweet for the company. Salesforce was slapped with a patent lawsuit by Microsoft, which was eventually settled. But the company publicly launched its social product Chatter, to the enterprise world and is seeing traction.
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