Skip to main content Beats Wall Street's Earnings Expectations  beats Wall Street's third-quarter expectations, but gives soft quarterly guidance.  (CRM) - Get, inc. Report beat Wall Street's third-quarter earnings forecasts Tuesday, but fell short of expectations in its quarterly guidance.

Shares of the San Francisco-based cloud-based software company were falling 4.49% to $230.75 in after hours trading. reported GAAP net income of $1.08 billion, or $1.15 per share, compared with a loss of $109 million, or 12 cents per share a year ago. Adjusted earnings came to $1.74 a share. 

Revenue rose 20% year-over-year to $5.42 billion. The FactSet consensus called for earnings of 75 cents per share and revenue of $5.25 billion.

Subscription and support revenues for the quarter were $5.09 billion, an increase of 20% year-over-year.

During the quarter Salesforce became one of the 30 companies in the Dow Jones Industrial Average.

Looking ahead, said it expects fourth-quarter earnings of 73 cents to 74 cents and revenue to range from $5.67 billion to $5.68 billion. FactSet's consensus calls for earnings of 86 cents a share and revenue of $5.51 billion.

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Full-year earnings are expected to range from $4.63 to $4.63 and revenue of $21.10 billion to $21.11 billion. Wall Street is looking for earnings of $3.75 per share on revenue of $20.78 billion.

First-quarter revenue is expected to range from $5.68 billion to $5.72 billion and full year 2022 revenue to expected to range from $25.45 billion to $25.55 billion.

The company’s chief financial officer, Mark Hawkins, will retire in January. Effective February 1, Amy Weaver, Salesforce’s current president and chief legal officer, will become president and CFO.

"We’re rapidly moving to an all-digital world, where work happens wherever people are. Our results are being driven by the success of our customers and the relevance of our Customer 360 Platform in this new normal," Marc Benioff, Chair & CEO, said in a statement.

Separately, the company announced it would acquire work messaging service Slack Technologies in a deal valued at about $27.7 billion.

Under the terms of the agreement, Slack shareholders will receive $26.79 in cash and 0.0776 shares of Salesforce common stock for each Slack share.

Salesforce previously paid $6.5 billion for MuleSoft in 2018 and $15.3 billion for data visualization company Tableau in 2019.