Salesforce and Veeva Systems Are Set to Sever Ties. Here's What Investors Need to Know
Cloud software provider for the life sciences industry Veeva Systems (NYSE: VEEV) announced it's divorcing longtime partner Salesforce (NYSE: CRM) although Veeva hopes the two companies can remain friends.
The announcement was made concurrent with the company's third-quarter earnings update. Like Salesforce, Veeva has seen slowing growth amid global economic turmoil. Revenue rose 16% year-over-year in its latest quarter (ended October). For comparison, revenue was up 26% in the year ago period. So recent results represent a slowdown as pharmaceutical and biotech customers spend more cautiously heading into 2023.
Still, Veeva should have plenty of ways to grow for years to come as migration to the cloud continues at a brisk pace. But what does the split with Salesforce actually mean? And how will it affect Salesforce? Here are some things to consider.
Source Fool.com
