Salesforce stock rallies on earnings beat, raised outlook

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Salesforce stock rallies on earnings beat, raised outlook
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Salesforce shares rallied in the extended session after $CRM topped Wall Street estimates for the quarter and hiked its earnings forecast for the year while lowering its revenue guidance. Salesforce reported fiscal first-quarter net income of $28 million.

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Salesforce Inc. shares rallied in the extended session Tuesday after the cloud-based customer-relationship-management company topped Wall Street estimates for the quarter and hiked its earnings forecast for the year while lowering its revenue guidance.

The company reported fiscal first-quarter net income of $28 million, or 3 cents a share, compared with $469 million, or 50 cents a share, in the year-ago period. Adjusted earnings were 98 cents a share, compared with $1.21 a share in the year-ago period.Analysts surveyed by FactSet had estimated earnings of 94 cents a share on revenue of $7.38 billion, based on Salesforce’s forecast of 93 cents to 94 cents a share on revenue of $7.37 billion to $7.

Salesforce expects adjusted second-quarter earnings of $1.01 to $1.02 a share on revenue of $7.69 billion to $7.7 billion, while analysts surveyed by FactSet had forecast $1.14 a share on revenue of $7.77 billion.

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