Salesforce, Inc. · NYSE:CRM
Salesforce — Salesforce COM — Shareholder Meeting (May 2018)
17 slides from Salesforce's shareholder meeting presentation, May 21, 2018
Slide 1: Salesforce Proxy Supplement Spring 2018
Salesforce Proxy Supplement Spring 2018
Slide 2: 2018 Proxy Statement Highlights
2018 Proxy Statement Highlights Changed the timing of our annual equity award cycle to better align with the Company’s fiscal year. This resulted in a one-time pay anomaly for FY18. CEO salary and bonus target remained flat for third year in a row (no increase since FY15). Continued stockholder enga
Slide 3: Company Overview: The global leader in CRM
Company Overview The global leader in CRM Founded in 1999, public listing (NYSE: CRM) 2004. #1 CRM provider for the fifth year in a row. Fastest growing top five enterprise software company with $10.48B in revenue FY18 (25% Y/Y). Doubled operating cash flow ($1.2B—$2.7B) over the past three years (F
Slide 4: The Most Complete CRM Platform
The Most Complete CRM Platform Cloud-based applications for sales, service, marketing, and more COMMUNITIES Customer, partner, and employee experiences SALES SERVICE Transform sales from Drive service transformations lead to cash to loyalty COMMERCE COLLABORATION Intelligent, unified shopper Quip te
Slide 5: Salesforce #1 in CRM
Salesforce #1 in CRM Worldwide CRM applications 2017 market share by IDC 19.6% 7.1% 6.5% 4.0% 3.2% 2013 2014 2015 2016 2017 Source: IDC Worldwide Semiannual Software Tracker, April 2018. CRM Applications market includes the following IDC-defined functional markets: Sales, Customer Service, Contact C
Slide 6: FY18 Financial Results
FY18 Financial Results Consistent top-line revenue and cash flow growth Revenue $10,480M Operating Cash Flow $8,392M $2,738M $6,667M $2,162M $5,374M $1,672M $1,181M % % % % % % % % FY15 FY16 FY17 FY18 FY15 FY16 FY17 FY18 Operating Margin Non-GAAP Operating Margin1 1Non-GAAP operating margin excludes
Slide 7: Return to Stockholders
Return to Stockholders Salesforce has a track record of delivering significant total stockholder returns $300 NASDAQ Computer: $277 Five-Year Cumulative Total Return Salesforce: $265 $250 NASDAQ 100: $254 $200 S&P 500 Index: $188 $150 $100 $50 $0 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 6
Slide 8: Board of Directors
Board of Directors Ongoing and proactive board refreshment Diverse and Dynamic Experience 10 Public Company Board Marc Benioff Keith Craig Alan Neelie Colin 8 International (CEO) Block Conway Hassenfeld Kroes Powell 7 Entrepreneurship/VC 7 Public or Large Company CEO/Executive Sanford John Bernard R
Slide 9: Compensation Program Framework
Compensation Program Framework Align executive compensation with the interests of our stockholders Objective: Attract and retain the right talent to lead our Company in a dynamic, innovative and competitive environment Philosophy: Tie a significant portion of compensation to the performance of our c
Slide 10: Equity Grant Cycle Timing Change
Equity Grant Cycle Timing Change No grants in FY18 No grants in FY18 due to equity grant cycle timing change 16 Months Caused one-time reduction to FY18 CEO and NEO total pay Not a reflection of company or individual Old New performance grant date grant date Equity grants now made shortly after end
Slide 11: CEO Compensation
CEO Compensation FY18 total CEO pay artificially low due to grant cycle timing change $22.1M $31.3M $39.9M $33.4M $184 $265 $100 FY13 FY14 FY15 FY16 FY17 FY18 CEO Pay Indexed TSR $24.1M Avg. Pay 10
Slide 12: CEO Equity Grants
CEO Equity Grants No equity grant in FY18 and equity grant in FY19 reflects 16-month delay FY19 grant reflects FY18 performance and 16-month period between grants (FY 2019 equity grants cover a period of 1.33 years versus the typical period of one year). $19.9M Average Grant (FY14-FY19) $19.3M Avera
Slide 13: Management Proposal: Amend Certificate of Incorporation
Management Proposal: Amend Certificate of Incorporation Amendment enables stockholders to call special meeting at 15% threshold The Board recommends a vote FOR amendment and restatement of the Certificate of Incorporation to implement a stockholder special meeting right. ü The Board is seeking stock
Slide 14: Sustainability, Equality, and Philanthropy at Salesforce
Sustainability, Equality, and Philanthropy at Salesforce The business of business is improving the state of the world Environment Equality Philanthropy ü Achieved net-zero greenhouse gas emissions ü Ongoing initiatives to advance: ü Pioneered 1-1-1 integrated philanthropy model, which leverages 1% o
Slide 15: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 14
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes information about non-GAAP income from operations (“non-GAAP financial measures”). These non-GAAP financial measures are measurements of financial performance that are not prepared in accordance with U.S. generally accepted accounting principles
Slide 17: Thank You
THANK YOU