Salesforce.com 2011 Annual Report Download - page 50

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Fiscal Year Ended January 31,
2011 2010 2009
Revenues by geography:
Americas .................................................. 68% 71% 72%
Europe .................................................... 18 18 18
Asia Pacific ................................................ 14 11 10
100% 100% 100%
Fiscal Year Ended January 31,
2011 2010 2009
Stock-based expenses:
Cost of revenues ............................................. 1% 1% 1%
Research and development ..................................... 1 1 1
Marketing and sales .......................................... 3 3 3
General and administrative .................................... 2 2 2
Fiscal Years Ended January 31, 2011 and 2010
Revenues.
Fiscal Year Ended January 31, Variance
(In thousands) 2011 2010 Dollars Percent
Subscription and support ................................ $1,551,145 $1,209,472 $341,673 28%
Professional services and other ........................... 105,994 96,111 9,883 10%
Total revenues ........................................ $1,657,139 $1,305,583 $351,556 27%
Total revenues were $1.7 billion for fiscal 2011, compared to $1.3 billion during the same period a year ago, an
increase of $351.6 million, or 27 percent. Subscription and support revenues were $1.6 billion, or 94 percent of total
revenues, for fiscal 2011, compared to $1.2 billion, or 93 percent of total revenues, during the same period a year ago.
The increase in subscription and support revenues was due primarily to new customers, upgrades and additional
subscriptions from existing customers and improved renewal rates as compared to a year ago. The price per user per
month for our three primary offerings, Professional Edition, Enterprise Edition and Unlimited Edition, in fiscal 2011
has remained substantially consistent relative to fiscal 2010. Professional services and other revenues were $106.0
million, or 6 percent of total revenues, for fiscal 2011, compared to $96.1 million, or 7 percent of total revenues, for the
same period a year ago. The increase in professional services and other revenues was due primarily to the higher
demand for services from an increased number of customers.
Revenues in Europe and Asia Pacific accounted for $522.1 million, or 32 percent of total revenues, for fiscal
2011, compared to $381.8 million, or 29 percent of total revenues, during the same period a year ago, an increase
of $140.3 million, or 37 percent. The increase in revenues outside of the Americas was the result of the
increasing acceptance of our service, and our focus on marketing our service internationally. Additionally, the
value of the U.S. dollar relative to foreign currencies contributed to a slight decrease in U.S. dollar revenues
outside of the Americas for fiscal 2011 as compared to the same period a year ago. The foreign currency impact
had the effect of reducing our aggregate revenues by $7.6 million compared to the same period a year ago. As
part of our overall growth, we expect the percentage of our revenue generated outside of the Americas to
continue to increase as a percentage of our total revenues world wide.
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