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Salesforce.com claims 300,000 subscribers
CRM of the crop
Online customer relationship management (CRM) provider Salesforce.com reported revenues of $71.9m for its second quarter, up 77 per cent year-over-year.
The company announced on Thursday that earnings per diluted share for its second fiscal quarter ended 31 July rose to $0.04, a 300 per cent increase compared to the $0.01 recorded for the same period a year ago.
Net income for the firm was $5m, up 15 per cent compared to the first quarter of 2005 and up 331 per cent year-over year.
Subscription and support revenues reached $65.6m, 82 per cent up on last year, and 13 per cent up on the previous quarter. Professional services and other revenues were $6.3m, up five per cent on the first quarter and up 38 per cent compared to the second quarter of 2004.
During the second quarter Salesforce.com added an additional 41,000 paying subscribers, up 15 per cent on the first three months of 2005. The company also gained an additional 1,400 customers. Overall, the number of paying subscribers grew 83 per cent over the past year to 308,000. The company also had approximately 16,900 customers by the end of July.
"Customers are really responding to the power of the industry's only complete on-demand platform. From large enterprises to small companies, customers are taking CRM to new levels of success with our customisable on-demand service," said Marc Benioff, chairman and CEO of Salesforce.com.
"It took us four years to reach our first hundred thousand subscribers, a year and a quarter to reach our second hundred thousand subscribers, and now only 3 quarters to reach our third hundred thousand subscribers," he added.
The company estimates that revenue for the third quarter of 2005 will be $78m-$80m with diluted earnings per share of $0.02 - $0.04.
It forecasts total revenues for the year to be in the range of $298m-$303m while diluted earnings per share for 2006 should reach $0.13 to $0.16.