Thursday, August 26, 2021

Salesforce Q2 FY 2022 Earnings Call Highlights

  • Salesforce (NYSE: CRM)
  • Slack acquisition has been closed.  
  • The company's first $6 billion in revenue in a single quarter.
  • 23% year-over-year (y-o-y) revenue growth with a total of $6.34 billion in revenue for the quarter.
  • Operating margin of 20.4%. It's an improvement of 20 basis points year-over-year.   
  • "I'm very excited that 5 out of the last 5 quarters that we've had that 20% or greater revenue growth. And that 3 of the last 5 quarters, we're having greater than 20% operating margin." - Marc Benioff, CEO.  
  • Sales Cloud grew at 15% y-o-y.  
  • Service Cloud is now a $6 billion business.
  • Service Cloud grew at 23% y-o-y.
  • Marketing & Commerce Cloud grew at 28% y-o-y.  
  • "And every one of these digital transformations is also a data transformation, which is driving the unprecedented success we're seeing in Tableau and MuleSoft. Tableau is within 9 of our top 10 deals this quarter, and MuleSoft is within 8 of our top 10 deals." - Bret Taylor, COO, Salesforce.  
  • Industry Cloud grew at 58% y-o-y.  
  • Salesforce is aggressively launching a "Slack-first" customer 360 project. All Salesforce products will be integrated with Slack.  
  • Slack's revenue grew by 39% y-o-y.    

(Source: Salesforce)

Exhibit: Marc Benioff - CEO Salesforce.  
(Source: Salesforce)

Published: August 26, 2021.


Friday, August 13, 2021

Metrics in the Home Health, Hospice, and Personal Care Industry

Amedisys (NASDAQ: AMED) is one of the companies serving in the home health, hospice, and personal care industry. Here are some of the metrics in the industry:

Length of Stay (LoS)

Length of stay (LOS) is an important measure for hospice care because it represents
the time available to provide appropriate and needed services near the end-of-life.

Average Daily Census (ADC)

ADC or Average Daily Census = Total patient days in a period/number of period days.

(Source: Amedisys)

Tuesday, August 10, 2021

MongoDB: Number of $100,000 or greater ARR Customers

Here's how MongoDB (NASDAQ: MDB) defines Annualized Recurring Revenue (ARR):

"We define ARR as the subscription revenue we would contractually expect to receive from customers over the following 12 months assuming no increases or reductions in their subscriptions."

Number of  $100,000 ARR Customers each year:
  • 2016: 164
  • 2017: 246
  • 2018: 354
  • 2019: 557
  • 2020: 751
  • 2021: 975
42.8% Compound Annual Growth Rate in $100K or greater ARR customers.  

The company also closely monitors ARR expansion rate and here's is what they have to say how that:

"We also examine the rate at which our customers increase their spend with us, which we call net ARR expansion rate. We calculate net ARR expansion rate by dividing the ARR at the close of a given period (the “measurement period”), from customers who were also customers at the close of the same period in the prior year (the “base period”), by the ARR from all customers at the close of the base period, including those who churned or reduced their subscriptions. For Direct Sales Customers included in the base period, measurement period or both such periods that were self-serve customers in any such period, we also include annualized MRR from those customers in the calculation of the net ARR expansion rate. Our net ARR expansion rate has consistently been over 120%."

The ARR expansion rate is another critical metric for software subscription companies. It shows whether the customer is willing to buy more of the product and/or expand its use within the company.  

Paccar: Peak Demand For Trucks

 Paccar ( PCAR ) produced 185,900 trucks in 2022 and is on track for another record year in 2023. The company has experienced good revenue ...