Cloud software maker Salesforce adj profit beats estimates

Reuters News
Posted: Nov 18, 2015 4:36 PM

(Reuters) - Inc reported a quarterly adjusted profit above market expectations, driven by higher demand for its web-based sales and marketing software.

Shares of the world's largest maker of online sales software were up nearly 4 percent in extended trading on Wednesday.

San Francisco-based Salesforce has been benefiting as more businesses choose cheaper and easier cloud software services. The company provides its services online, with no software directly installed on PCs.

Salesforce raised its revenue forecast for the year ending January 2016, for the fourth time, to $6.64 billion-$6.65 billion from $6.60 billion-$6.63 billion.

The company's net loss narrowed to $25.2 million, or 4 cents per share, in the third quarter ended Oct. 31, from $38.9 million, or 6 cents per share, a year earlier.

Excluding items, Salesforce earned 21 cents per share, beating analysts' average estimate of 19 cents per share, according to Thomson Reuters I/B/E/S.

Revenue rose 23.7 percent to $1.71 billion. Analysts on average had expected $1.70 billion.

(Reporting by Abhirup Roy in Bengaluru; Editing by Sriraj Kalluvila and Don Sebastian)