(Reuters) – Salesforce projected third-quarter revenue above Wall Street estimates on Wednesday as it benefits from a recent price hike and resilient demand for its cloud and business software offerings in an uncertain economy.
The company said it expects revenue to be between $8.70 billion and $8.72 billion in the current quarter, compared with estimates of $8.66 billion, according to Refinitiv data.
Shares of the San Francisco-based company rose 6.4% in after-hours trading.
The results fan optimism about a recovery in technology spending in the second half of 2023 after earnings from major cloud players including Amazon.com and Alphabet-owned Google suggested that the slowdown was at an end.
Salesforce has also tried to buttress demand by rolling out artificial intelligence offerings such as Tableau and Slack, after it invested billions of dollars over the past few years in developing such tools.
(Reporting by Zaheer Kachwala in Bengaluru; Editing by Maju Samuel)
