Salesforce.com on a doubling spree

During the period of recession, when most of the companies are reporting deficit, Salesforce. com has reported nearly double fourth quarter net income. The company has been able to achieve decent numbers due to higher demand for its online business applications. This has sent the company's shares up 5 percent in extended trade.

The results and outlook were a surprise for the investors, who had apprehensions that Salesforce would post weaker-than-expected results due to the slowdown in global technology spending.

The software maker helps to manage sales activities of various businesses. Chief Executive Marc Benioff declined to comment and pinpoint how much he expects the rate to rise this year.

Investors were also anxious that Salesforce would be forced to enhance discounts on its products due to the economic meltdown but the software maker proved them all wrong.

The San Francisco, Calif.-based Salesforce. com became the first online business software company to top $1 billion in revenue, with revenue coming in at $1.08 billion, up 44% from fiscal 2008.

However, Salesforce. com did lower its fiscal 2010 revenue forecast range. It clarified that the move was based on the current economic situation. 
 

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