Salesforce.com, Inc. (NYSE:CRM) is set to report its first quarter 2024 earnings after the market close on Wednesday, May 31, and investors will be on the lookout for more details of its moves into generative AI technology as well as another revenue and earnings beat.
The cloud software company has already flagged revenue of $8.16 billion to $8.18 billion for the quarter, and non-GAAP earnings per share of $1.60 - $1.61. Wall Street analysts are betting that it comes in at the top end of its guidance.
The San Franciso-based company beat forecasts with its fourth-quarter 2023 results, posting revenue of $8.38 billion, up 14% year-over-year and ahead of Street expectations of $7.99 billion.
Adjusted earnings were $1.68, compared to analyst projections of $1.37. Subscription and support revenues were $7.79 billion, a 14% increase.
It’s not just the last quarter that Salesforce has produced earnings ahead of analysts’ expectations: it beat consensus every for every quarter of its 2023 financial year, with a 41% upside surprise in the July quarter, according to Zacks Investment Research.
Meanwhile, the market will be looking for more details on Slack GPT, the company’s new conversational AI experience natively integrated into Slack that is aimed at transforming how work gets done.
The company announced on May 4 that Slack GPT will give users the ability to use generative AI app integrations, different language models, and the power to tap into secure customer data insights from the Customer 360 and Data Cloud.
It follows the March 2023 launch of Einstein GPT, which was billed as the world’s first generative AI CRM (customer relationship management) technology, delivering AI-created content across every sales, service, marketing, commerce, and IT interaction.
Contact the author at stephen.gunnion@proactiveinvestors.com