Salesforce climbs after reporting Q1 earnings
Salesforce reported earnings that topped expectations, reporting revenue of $5.96B, topping the estimated $5.89B. Yahoo Finance's Jared Blikre joined Yahoo Finance to break down the key metrics.
Video transcript
ADAM SHAPIRO: Let's get to Jared Blikre because Salesforce is out, and investors seem to like what they see regarding full year guidance.
JARED BLIKRE: Yeah, that's right. We've got a little bit of a pop here. And I'll tell you what. It was a modest beat and a raise. So let's take out the first quarter results first. That's revenue came in at $5.96 billion, up 22% per year, year over year. And that beats the estimate by just a little bit of $5.89 billion. Adjusted EPS coming in $1.21 per share. That's versus $0.70 a year ago, and nicely-- nicely above the estimate of $0.88 per share.
And then the guidance, the second quarter forecast, they are seeing revenue of $6.22 billion to $6.23 billion. And the estimate was for lower $6.16 billion, so positive step right there. And then finally, the full year forecasts are saying adjusted EPS of $3.79 to $3.81. And the estimate was for quite a bit lower at $3.45, also beating on their revenue projections. And then a couple of other notes here. There, you can see the Slack closing date at the end of the second quarter. So that's going to be literally in one month if all goes according to plan.
And you know there's going to be a lot of calls-- talk about that on the calls and questions because some people are saying it's a bit of an albatross right now, not knowing exactly how it's going to be-- excuse me-- integrated. So they'll get some details on that. And then, finally, a remaining performance obligation they have of $35 billion at the end of the first quarter. That is up 19% year over year. So modest beat and a raise here. Investors seem to like it.
SEANA SMITH: All right, Jared Blikre, thank you so much, and again, shares moving to the upside, up just around 3%.
