Cloud computing giant Salesforce (CRM) has announced better-than-expected second-quarter financial results and that its chief financial officer (CFO) is stepping down.
The San Francisco-based company reported earnings per share (EPS) of $2.56 U.S. compared to $2.36 U.S. that was the consensus expectation on Wall Street.
Revenue in the quarter totaled $9.33 billion U.S., which bested the $9.23 billion U.S. that was forecast among analysts who track the company’s progress. Sales grew 8% from a year earlier.
Along with the strong financial results, Salesforce also announced that its current CFO Amy Weaver is stepping down. She will remain CFO until a successor is chosen and will then serve as an advisor to the company.
Weaver had served as the CFO of Salesforce since joining the company in 2013.
During its earnings call with analysts and media, management at Salesforce talked up the company’s artificial intelligence (A.I.) products.
This autumn, Salesforce plans to begin testing a new A.I. platform for merchants called “Einstein Copilot” that can compose product pages and promotions with only a few word prompts.
As for guidance, Salesforce said that it expects full-year earnings of $10.03 U.S. to $10.11 U.S. per share, with $37.70 billion U.S. to $38 billion U.S. in revenue.
The latest guidance implies year-over-year revenue growth of 8% to 9%.
Analysts had been calling for full-year earnings of $9.89 U.S. per share and $37.84 billion U.S. in revenue.
Earlier in August, activist investors Starboard and ValueAct disclosed positions in Salesforce stock and have been agitating for change at the company.
Prior to today (Aug. 29), the stock of Salesforce had increased 1% so far this year and was trading at $258.90 U.S. per share.
