Salesforce.com reported its second quarter earnings today, showing revenue growth at $732 million brought in, up 34% compared to last year. Earnings per share were 42 cents. The company beat analysts revenue estimates of $728 million.
Salesforce raised its outlook for the third quarter, and is expecting third quarter revenues between $773 million and $777 million, an increase of 32% to 33% year-over-year. The company also expects third quarter earnings of between 31 or 32 cents per share.
This revenue growth did not stop the company’s stock price from falling 5% in after hours trading, due to Salesforce’s mixed business outlook for the year. Salesforce has beaten analysts’ estimates in the last four quarters, a fact that again did not affect the stock price in after-hours trading.
Salesforce has been on an acquisition tear in the past quarter, buying co-browsing startup GoInstant for $76 million, ThinkFuse, and Buddy Media for a whopping $689 million. In terms of product, Chatter and Do.com both got upgrades, and the company recently debuted communities, a private social network for business customers.
Salesforce is an enterprise cloud computing company that provides business software on a subscription basis. The company is best known for its on-demand Customer Relationship Management (CRM) solutions. Salesforce was founded in 1999 by former Oracle executive Marc Benioff, and went public in June 2004. Salesforce has been a pioneer in developing enterprise platforms through its innovative AppExchange directory of on-demand applications, and its Force.com “Platform as a Service” (PaaS) API for extending Salesforce.