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$CRM commented it expects to grow the company organically to more than $20Bil by FY22. The company added that it is increasing its investment in international go-to-market resources. $CRM also increased its international headcount nearly 30% annually since FY14 and YTD nearly 40% of new hires were made outside the Americas.
For 4Q18, $CRM expects revenue in the range of $2.801-2.811Bil, up 22-23% YoY, while diluted EPS is projected to be in the range of $0.03-0.04. Adjusted EPS is expected in the range of $0.32-0.33 per share. For FY18, $CRM's diluted EPS expectation is of $0.12-0.13, while adjusted EPS is projected in the range of $1.32-1.33.
Cloud services provider $CRM, which recently announced a partnership with $GOOGL integrating its core platform with Alphabet's G Suite, swung to 3Q18 profit on strong revenue growth, driven by strong growth from its subscription and support services segment. Profit was $51.3MM or $0.07 per share as against a loss of $37.3MM or $0.05 a year earlier.
$CRM initiated FY19 revenue guidance of $12.45-12.5Bil, for YoY revenue growth of 20% at the high end of the guided range. The expected growth rate is based on FY18 revenue guidance of $10.4Bil at high end of guidance provided on Aug. 22, 2017 of $10.35-10.40Bil.
$CRM signed a partnership with $GOOGL to support its growing global customer base. The company would use $GOOG's cloud platform G Suite, to support its growing customer base. Additionally, $GOOG will also offer eligible $CRM customers G Suite licenses for a year at no additional cost. The partnership will also integrate $CRM with Google Analytics.
With customers like $BAC and $T, $ORCL is confident of taking market share across the applications ecosystem. Oracle's app business grew 17% in 1Q18 with large marquee customer wins across Cloud portfolio. Oracle said its app business growth rate in the Cloud is higher than other players and sells double of what $CRM sells in absolute dollars.
$CRM said it is making more investments in international go-to-market resources and its operations and infrastructure for its global customers. The company added that more than 40% of its new hires year-to-date were outside the United States. In 2Q17, the company went live on $AMZN's cloud infrastructure in Canada.
The cloud computing giant $CRM said its revenue for 2Q18 surged 26% to $2.56Bil, pushed by significant contribution from subscription and support revenue as in previous quarters. Deferred revenue, which consists of billings or payments received in advance of revenue recognition from subscription services, also jumped 26% YoY to $4.82Bil.
$CRM, which went on an acquisition spree a year earlier and is betting big on its CRM AI platform Einstein, reported a plunge in its earnings, despite a jump in its 2Q18 revenue. Higher expenses took the toll on its profits, which nosedived 92% to $17.7MM or $0.02 per share. Adjusted EPS, however, jumped 37% YonY to $0.33 per share.
$ORCL nears halfway to achieving its annual cloud revenue target of $10Bil, as it posted revenue of $4.5Bil for FY17. The software giant had earlier proclaimed it will challenge $CRM in a race to $10Bil in annual cloud-software revenue. For 4Q17, the company posted 58% rise in its cloud revenue to $1.4Bil.
For 2Q18, $CRM expects revenue to be $2.51-2.52Bil and non-GAAP diluted EPS to be $0.31-0.32. Deferred revenue growth is expected to be about 22% year-over-year, reflecting the increasing seasonality. $CRM does not expect the accounting changes to have any impact on its operating cash flow results upon the adoption in FY19.