salesforce.com, inc. (NYSE:CRM) Q4 2020 Earnings Conference Call - Final Transcript

Feb 25, 2020 • 05:00 pm ET

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salesforce.com, inc. (NYSE:CRM) Q4 2020 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Ladies and gentlemen, thank you for standing by, and welcome to the Salesforce Fiscal 2020 Fourth Quarter Results Conference Call. [Operator Instructions]

And without further delay, I would like to hand over the conference to your speaker, Mr. Evan Goldstein, Senior Vice President of Investor Relations. Sir, you may begin.

Executive
Evan Goldstein

Thanks, Ian. Good afternoon, everyone, and thanks for joining us for our fiscal 2020 fourth quarter results conference call. I'm Evan Goldstein, Senior Vice President of Investor Relations. Our results press release, SEC filings and a replay of today's call can be found on our IR website at www.salesforce.com/investor. With me on the call today are Marc Benioff; Keith Block; Parker Harris, Co-Founder and CTO; Mark Hawkins, our CFO; Bret Taylor, our COO; and Amy Weaver, our Chief Legal Officer. As a reminder, our commentary today will primarily be in non-GAAP terms.

Reconciliations between our GAAP and non-GAAP results and guidance can be found in our earnings press release. Some of our comments today may contain forward-looking statements, which are subject to risks, uncertainties and assumptions. Should any of these materialize or should our assumptions prove to be incorrect, actual company results could differ materially from these forward-looking statements. A description of these risks, uncertainties and assumptions and other factors that could affect our financial results are included in our SEC filings, including our most recent report on Form 10-K.

With that, let me hand the call to Marc.

Executive
Marc Benioff

All right. Well, thank you, Evan, and congratulations on your promotion, Evan. We're thrilled for you.

Executive
Evan Goldstein

Thank you.

Executive
Marc Benioff

And thank you, everybody, for being on the call today. As you can see from our results, we had an incredible fourth quarter, capping off another record year for Salesforce. Revenue in the quarter rose to nearly $4.9 billion, up 34% in constant currency, truly amazing for a company of our size. And for the full year, we delivered $17.1 billion in revenue, up 29% in constant currency. Now based on our exceptional fiscal year 2020 results, we're raising our fiscal year 2021 revenue guidance to $21.1 billion at the high end of our range, representing about 23% projected growth year-over-year. And no other company of our size is growing at this rate. We're also reiterating our long-term revenue target for fiscal year '24 of $34 billion to $35 billion, and that's doubling our revenue again in four years making us the fastest enterprise software company to reach this milestone. And as we continue to deliver record revenue year in and year out, we're committed to balancing this growth with very strong cash flow and incremental operating margin improvement.

Now before I continue, I want to say a few words about Keith. Now as you've read by now, he's stepping down as Co-CEO. Keith is an incredible leader and close friend, who has helped position us as a global leader and deeply strengthened our company. We're surely going to miss Keith around here. Keith joined almost seven years ago, and together, we've grown Salesforce