Salesforce.com, a US-based provider of enterprise cloud computing solutions, issued solid financials for its fiscal 2016 third quarter ended October 31. Revenues increased 24% y-o-y to $1.71 bn, in line with expectations, driven by higher demand for the company’s web-based sales and marketing software from all the major regions around the globe. Subscription and support revenues were $1.60 bn, while professional services and other revenues were $112 mn. Unbilled deferred revenues – a critical but off-balance-sheet measure of contracts closed with business customers – grew 24% y-o-y to $6.7 bn as of October 31. Adjusted operating income jumped 48% to $227 mn, and operating margin advanced 220 basis points to 13.3%. Adjusted earnings per share surged 52% to 21 cents topping analysts’ average projection of 19 cents. Salesforce raised its revenue forecast for the year ending January 2016 to $6.64-6.65 bn from $6.60-6.63 bn. This implies an increase of 24% y-o-y. Adjusted earnings per share forecast was improved to 75 cents. Revenues for the company's fiscal year 2017 are projected to be approximately $8.0-8.1 bn, an increase of 20-22% y-o-y. My outlook for Salesforce remains optimistic, as more businesses in the world choose cheaper and easier cloud software services. To remind, the company provides its services online, with no software directly installed on PCs. This approach, in particular, allows Salesforce to add new features and functionality to its software very quickly and thus attract new business clients, including really big companies such as General Motors and Anheuser-Busch InBev. Salesforce’s shares are currently approaching the $79.5 resistance level. I'd by on breaking it, with medium-term aim at $85. $CRM, Salesforce, Inc. / 1440