Salesforce Q3'15 Review: YoY Sales Growth Slows; Provides Softer FY16 Guidance

Quarterly revenues for Q3FY15 stood at $1.383 billion, higher than its earlier guidance of $1.365 billion-$1.37 billion. However, the growth rate slipped during the quarter, declining from 37% in Q3FY14 to 30% in Q3FY15. Although a part of the slowdown is attributable to Salesforce's sheer size and scale, which makes it difficult to maintain a growth rate over 35%, we believe company-specific factors also contributed to a possible slowdown during the quarter.