Tableau comes up short in the stealthy earnings report
- August 2, 2019
- Posted by: Isaac Atoyebi
- Category: Uncategorized
Tableau revenue fell below the expectation of Wall Street for the second quarter, a milestone period that included the announcement of its unsettled $15.7 billion purchase by Salesforce.
The data visualization company released the latest financial update Wednesday in an unfamiliar way, which may be down to the pending Salesforce acquisition. The result was released by the data giant in a quarterly 10Q report with the U.S. Securities and Exchange Commission, without details on the earnings and calls with investors.
The report by Tableau says the company’s revenue in the 2nd quarter amounts to $322.1 million a 14 per cent increase over the prior year, which was a little below the analyst expectation of $324 million in revenue.
Tableau losses grew more significant in the quarter to $35.5 million, which amounts to a 194 per cent increase over the year before.
Undoubtedly the most significant event in the company’s quarter was its acquisition by Salesforce. The all-stock settlement is expected to end in Salesforce’s third fiscal quarter, ending Oct. 31. Tableau’s results will then be absorbed into Salesforce’s financials when the deal is complete.
Tableau acknowledged in the filing, the existence of a trio shareholder lawsuits filed as a result of the merger. There is no comment yet, on the lawsuit from the company and the 10Q notes that Tableau has not filed responses in court again.
During the announcement, Marc Benioff the co-CEO of Salesforce said the acquisition would effectively turn Seattle into “Salesforce HQ2,” signalling plans to expand the company’s operations in the region further.