What didn’t drive Q4 revenue at Salesforce.com Inc.?

The provider of Internet-hosted technology and services for managing sales staffs and customer data generated $1.81 billion in sales in the fourth quarter of its 2016 fiscal year, up 25.7% from $1.44 billion a year ago.

Salesforce attributed part of its growth to expanded or new relationships with companies including: consumer goods manufacturer Unilever; financial services firm Charles Schwab Corp.; electrical distributor Schneider Electric; and ABB Group, an automotive and robotics manufacturer.

The company’s revenue increased across each of its main software lines for managing sales, services and marketing: Sales Cloud increased 12%; Service Cloud 35%; and Marketing Cloud, 31%. In addition, revenue increased 43% from companies using the Salesforce1 technology platform to build customized business applications, such as mobile apps for sharing contract information between sales reps and customers.

“Our growth strategy is really built on having a full portfolio of products,” CEO Marc Benioff told investors in a Q4 earnings call on Wednesday, according to a transcript from Seeking Alpha. “We offer Sales, Service, Marketing, Community and Analytics, Apps and Internet of Things. We have a full portfolio of geographies, including: the United States, Japan, Europe, Australia, Canada; and we do business with enterprises and as well as small and medium-sized businesses.”

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CivicSolar Inc., a distributor of solar panels and supplies, is also scheduled to deploy Salesforce’s marketing and enterprise resource planning, or ERP, software in March. Companies use ERP systems to organize their inventory and manage finances.

In Q4, Salesforce acquired SteelBrick, an online contract management and billing company, for $360 million in stock and the assumption of SteelBrick stock options and equity awards. The deal is scheduled to be completed in Salesforce’s fiscal first quarter ending April 30, 2016.

Geographically, the Americas region represented 74% of Q4 sales; Europe, 17%; and Asia-Pacific, 9%.

For its Q4 ended Jan. 31, 2016, Salesforce reported:

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  • Net revenue of $1.81 billion, up 25.7% from $1.44 billion a year earlier;
  • Subscription and support revenue of $1.68 billion, up 24.4% from $1.35 billion;
  • Professional services revenue of $129.74 million, up 30.7% from $99.25 million;
  • Operating expenses of $1.35 billion, up 20.5% from $1.12 billion;
  • A net loss of $21.51 million, compared with a year-earlier net loss of $65.77 million.

For the 2016 fiscal year ended Jan. 31, Salesforce reported:

  • Net revenue of $6.67 billion, up 24.2% from $5.37 billion
  • Subscription and support revenue of $6.21 billion, up 24.0% from $5.01 billion;
  • Professional services revenue of $461.62 million, up 28.3% from $359.82 million;
  • Operating expenses of $4.90 billion, up 15.8% from $4.23 billion;
  • A net loss of $47.43 million, compared with a year-earlier net loss of $262.69 million.

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