image

Software is so central to the functioning of our technology it’s impossible to imagine the modern world without all those lines of code instructing machines (and increasingly humans) what to do when, and often how.

Because software is computer code, it can be reproduced at negligible marginal cost. And software applications are more useful when they’re widely used, making the industry especially prone to large network effects.

As a result, the largest software suppliers have enviable revenue and profit margins. The industry-wide shift to cloud computing and the software-as-a-service subscription model has given many leading software suppliers a large base of recurring revenue.

Software is now so pervasive it can be hard to tell what constitutes a software company. For this list of the 10 largest software suppliers by revenue, we drew the line by including the payments company Block, Inc. (SQ), while excluding rides platforms Didi Global Inc. (DIDI) and Uber Technologies Inc. (UBER) as well as Coinbase Global Inc. (COIN), the cryptocurrency exchange.

This list is limited to companies with stocks publicly traded in the U.S. or Canada, either directly or through ADRs. Some companies outside the U.S. report profits semi-annually instead of quarterly, and their 12-month trailing data may be older than that for companies making quarterly reports. Data is courtesy of YCharts.com, as of May 23, 2022.

  • Revenue (TTM): $192.6 billion
  • Net Income (TTM): $72.5 billion
  • Market Cap: $1.94 trillion
  • 1-Year Trailing Total Return: 3.3%
  • Exchange: NASDAQ

Microsoft provides the Windows computer operating systems software, Office applications suite, and the Azure cloud computing service. The largest software company in the world also develops server applications, as well as tablets and video game consoles.

  • Revenue (TTM): $41.8 billion
  • Net Income (TTM): $7.6 billion
  • Market Cap: $186.6 billion
  • 1-Year Trailing Total Return: -11.5%
  • Exchange: New York Stock Exchange

Oracle supplies cloud infrastructure and enterprise software applications, including the database software that drove its success. It also provides server and storage hardware, and distributes Java programming tools. Oracle develops software for use in sales, service, marketing, finance, human resources, logistics, and manufacturing.

  • Revenue (TTM): $33.2 billion
  • Net Income (TTM): $5.8 billion
  • Market Cap: $117.7 billion
  • 1-Year Trailing Total Return: -28.6%
  • Exchange: New York Stock Exchange

SAP is a Germany-based multinational software company specializing in enterprise applications. SAP provides management and e-commerce software, as well as a range of services that includes training and consulting on software management and integrations.

  • Revenue (TTM): $26.5 billion
  • Net Income (TTM): $1.4 billion
  • Market Cap: $158.9 billion
  • 1-Year Trailing Total Return: -28.7%
  • Exchange: New York Stock Exchange

Salesforce is a leading provider of customer relationship management software and services for business clients. It offers tools for marketing automation, customer service, operations, sales, and more. It also owns Slack, the workplace collaboration messaging service. Salesforce also operates a cloud platform that allows customers and developers to create and run business-related applications.

  • Revenue (TTM): $16.6 billion
  • Net Income (TTM): -$76.9 million
  • Market Cap: $48.4 billion
  • 1-Year Trailing Total Return: -59.3%
  • Exchange: New York Stock Exchange

Block (formerly Square) is a payments software company, and its CashApp is a popular peer-to-peer payments service. The company also provides point-of-sale software and hardware as well as software tools for digital receipts, sales reports, and inventory analysis.

  • Revenue (TTM): $16.1 billion
  • Net Income (TTM): $4.8 billion
  • Market Cap: $192.3 billion
  • 1-Year Trailing Total Return: -18.8%
  • Exchange: NASDAQ

Adobe sells the popular Illustrator graphic design software as well as the Acrobat document editing and Photoshop photo editing tools, among other multimedia, creativity, and digital marketing product offerings.

  • Revenue (TTM): $12.9 billion
  • Net Income (TTM): $1.8 billion
  • Market Cap: $50.3 billion
  • 1-Year Trailing Total Return: -28.8%
  • Exchange: New York Stock Exchange

VMware is a cloud computing and virtualization software company specializing in computer technology management products. Its software allows users to emulate personal computer operating environments on servers or desktop processors.

In May 2022, VMWare was reportedly engaged in talks to be acquired by chipmaker Broadcom Inc. (AVGO).

  • Revenue (TTM): $11.4 billion
  • Net Income (TTM): $2.2 billion
  • Market Cap: $105 billion
  • 1-Year Trailing Total Return: -15.1%
  • Exchange: NASDAQ

Business and financial software provider Intuit is best known for its QuickBooks accounting software and TurboTax tax preparation offering. The company markets its products to consumers, small businesses, and accountants.

  • Revenue (TTM): $6.7 billion
  • Net Income (TTM): -$469.7 million
  • Market Cap: $2.5 billion
  • 1-Year Trailing Total Return: -61.6%
  • Exchange: New York Stock Exchange

Compass is an online real estate platform with an integrated suite of marketing and customer relationship management software.

  • Revenue (TTM): $6.3 billion
  • Net Income (TTM): $223 million
  • Market Cap: $86.2 billion
  • 1-Year Trailing Total Return: -8.1%
  • Exchange: New York Stock Exchange

ServiceNow is a cloud computing platform focused on optimizing digital workflows and providing IT services management for enterprise clients.

Leave a Reply

Your email address will not be published. Required fields are marked *

Check Also