May 18 (Reuters) - Salesforce.com Inc, a marketing-and-sales software provider for 17 years, may be joining the ranks of the technology old-guard, but the 27 percent first-quarter revenue growth it posted on Wednesday still showed some startup zip. The company also provided a rosy outlook, raising its full-year revenue forecast and predicting that technology like artificial intelligence would drive future growth. Shares of Salesforce, seen as a barometer for the cloud-computing sector, rose 5.9 percent in after-hours trading. Cloud-delivered software, provided online on a subscription basis, has gained popularity with businesses due to its flexibility and cost benefits. Salesforce, founded in 1999, has won market share from more traditional software providers such as Oracle Corp and SAP AG, Chief Executive Marc Benioff reminded analysts on a conference call after the company reported its earnings.
Rackspace Hosting Inc. RAX -0.96 % reported Monday that profit climbed 26% in the second quarter, though the cloud-computing company released dour revenue guidance for the current quarter and lowered annual expectations. The quarterly update follows a report last week by The Wall Street Journal that Rackspace is nearing a sale to a private-equity firm. The company didn't address the report in its earnings news release. Shares of the San Antonio, company fell 1.1% to 28.31 in recent after-hours trading. Rackspace is a provider of cloud services, which allow users to tap remote servers for storage and expanded computing power.
HP Inc. HPQ -1.17 % 's revenue and earnings shrank in its most recent quarter, but the company showed signs of stabilizing its declining personal-computer business, its largest revenue generator. The Palo Alto, Calif.-based company said its personal-systems revenue was flat in the latest quarter after five quarters of declines, with unit PC sales up 4%. Revenue fell 14% in its printing business--which generates most of HP's profits--reflecting greater use of email and file sharing rather than printing documents. Shares fell 5.4% to 13.63 in after-hours trading on a profit outlook for the current quarter that was below analysts' expectations. HP pointed to signs of improvement in the printer business, and the company's overall revenue and profit topped analyst expectations.
The Canadian company, which has shifted focus from its once-dominant smartphones to the software that companies and governments need to manage their devices, said it expects to post an adjusted annual loss of around 15 cents per share. Analysts, on average, expected a loss of 8 cents a share on revenue of 470.9 million, according to Thomson Reuters I/B/E/S. The Waterloo, Ontario-based company reported a net loss of 670 million, or 1.28 cents a share, as it ran up costs to restructure operations and wrote down the value of some assets. BlackBerry said the net loss reflected a 501 million impairment charge, a 57 million goodwill impairment charge, and a 41 million writedown of inventory and other charges.
Marvell Technology Group Ltd. MRVL -0.54 % swung to a profit in the latest quarter, though revenue slid more than expected, and the company offered a mixed outlook for the current period. The Silicon Valley chip maker anticipates third-quarter earnings of 8 cents to 13 cents a share, below analyst estimates for 14 cents, according to Thomson Reuters. Revenue is projected to come in flat to down 4%, better than analyst estimates for down 5%. "We experienced a seasonally strong second quarter, driven by solid demand from customers across storage, networking, and wireless end markets," said Chief Executive Matt Murphy, who took the helm in June. "We are also beginning to see the benefits of improved focus on product cost as well as a more disciplined approach to spending, which resulted in better than expected earnings per share."