salesforce.com, inc. (NYSE:CRM) reported better-than-expected results for its second quarter and issued strong guidance for the third quarter.
The company, based in San Francisco, revealed Thursday total second quarter revenue was $4.0 billion, an increase of 22% year-over-year, and 23% in constant currency. Subscription and support revenues were $3.75 billion, an increase of 22% year-over-year. Professional services and other revenues were $252 million, an increase of 14% year-over-year.
Second quarter GAAP diluted earnings per share was $0.11, and non-GAAP diluted earnings per share was $0.66. GAAP and non-GAAP diluted earnings per share were negatively impacted by the loss on the settlement of the Salesforce.org reseller agreement by $0.16.
Mark-to-market accounting of the company's strategic investments benefited GAAP diluted earnings per share by $0.10 based on the U.S. tax rate of 25% and non-GAAP diluted earnings per share by $0.11 based on a non-GAAP tax rate of 22.5%.
As of August 22, 2019 the company is initiating revenue, earnings per share and current remaining performance obligation growth guidance for its third quarter of fiscal year 2020.
For the full fiscal year 2020, the company is raising its revenue and non-GAAP earnings per share guidance, and maintaining its operating cash flow guidance, previously provided on June 10, 2019, as amended on June 12, 2019.
Cash generated from operations for the second quarter was $436 million, a decrease of 5% year-over-year. Total cash, cash equivalents and marketable securities ended the second quarter at $6.04 billion.
Shares leaped $8.69, or 5.9%, to $157.02
