Salesforce is on cloud nine. The company, which makes cloud software, reported annual revenue of over $5bn for the first time, as its fourth quarter earnings arrived bang on expectations.
The news sparked a huge lift for shares, which rose ten per cent in after-hours trading; around a $4bn boost to the company’s valuation.
Sales boomed in the three months to the end of January, rising 26 per cent to $1.4bn. This meant a drop in net losses, which fell 44 per cent to $66m (10 cents a share). For the full year, revenues of $5.4bn, up 32 per cent year on year.
It also raised its sales forcast, saying it expected sales to come in between $6.48bn and $6.52bn, a jump from previous expectations of between $6.45bn and $6.5bn.
CEO Marc Benioff said:
Salesforce reached $5 billion in annual revenue faster than any other enterprise software company and now it's our goal to be the fastest to reach $10 billion.