Salesforce Exceeds Analysts’ Revenue Expectations

Channel partners aligned with Salesforce surely are doing the happy dance this week. On June 1, the customer relationship management giant posted higher-than-expected first-quarter results. Salesforce reported $7.4 billion in revenue, a 24% increase from the same period in 2021. Analysts were looking for $7.38 billion.

Overall, the numbers show that Salesforce “is continuing to fire on all cylinders,” wrote Futurum Research analysts Daniel Newman and Todd R. Weiss in a June 2 blog.

To that point, the CRM provider’s subscription and support revenue reached $6.85 billion, up nearly 24% from last year. Meantime, professional services and other, unspecified, revenue hit $555 million. That’s a 30% jump.

“Salesforce has transformed itself from a disruptive SaaS growth company into a successful, substantial hybrid of growth and value in the marketplace,” Newman and Weiss wrote. “This shift is a byproduct of maturing into a category incumbent leader. However, it is still an innovator that is breaking its own revenue records, but it is also a robust recurring revenue machine that is making big bets in its products, services and acquisitions. In the end, we believe that it would be hard to think these bets will not pay off.”