Salesforce 2026 Q2 Earnings Surpasses Expectations with Record Net Income

Salesforce (CRM), ranked 45th by market capitalization, reported its fiscal 2026 Q2 earnings on September 4, 2025. The company surpassed expectations with double-digit revenue growth, a strong EPS increase, and a new net income record. In addition, Salesforce raised full-year guidance and announced an expanded share repurchase program, signaling confidence in its long-term prospects. Salesforce’s total revenue increased by 9.8% year-over-year to $10.24 billion in 2026 Q2, exceeding $10 billion for the first time in the quarter. Revenue was driven by its core Subscription and Support segment, which accounted for the vast majority of the company’s income. This segment reported $9.69 billion, while Professional Services and Other contributed $546 million, together totaling $10.24 billion in overall revenue. The performance highlights the company’s strong demand for enterprise cloud solutions and its ability to retain and expand its customer base. Salesforce's earnings per share (EPS) surged 33.1% year-over-year to $1.97 in 2026 Q2 from $1.48 in the same period in 2025. The company’s net income also reached a record high of $1.89 billion in the quarter, a 32.1% increase from $1.43 billion in the prior year. This marks one of the strongest net income performances in the company’s over 20-year history, reflecting disciplined cost management and continued scalability of its business model. The stock price of Salesforce edged up 1.65% during the latest trading day, but faced downward pressure in the following sessions, dropping 2.46% during the most recent full trading week and 3.29% month-to-date. The mixed post-earnings price action reflects investor optimism about the company’s performance, tempered by broader market volatility and macroeconomic concerns. Following the earnings release, CEO Marc Benioff emphasized Salesforce’s strong Q2 results, with revenue of $10.25 billion, representing 10% year-over-year growth. He highlighted a non-GAAP operating margin of 34.3%, as well as robust growth in AI and Data Cloud, which saw a 120% year-over-year increase. Benioff also pointed to key client wins, including deals with Dell, Marriott, and the U.S. Army. He introduced the concept of the “agentic enterprise,” where AI agents work alongside human teams to boost productivity and enhance customer experience. Benioff expressed strong confidence in Salesforce’s leadership in AI-driven transformation and reiterated the company’s commitment to accelerating data and AI adoption, operational efficiency, and capital allocation. Salesforce raised its fiscal 2026 revenue guidance to $41.1–$41.3 billion, reflecting 8.5–9% year-over-year growth. The company also lifted its non-GAAP operating margin target to 34.1% and projected 12–13% growth in operating cash flow. For Q3, revenue is expected to reach $10.24–$10.29 billion, representing 8–9% year-over-year growth. In addition, Salesforce announced a $20 billion expansion of its share repurchase program and expects to return $2.6 billion to shareholders in Q2. Additional News In the weeks following Salesforce’s earnings release, the company expanded its capital return strategy with a new $20 billion share repurchase authorization, reinforcing its commitment to shareholder value. Meanwhile, Salesforce also announced a new partnership with a major AI platform, aiming to integrate advanced generative AI capabilities into its customer relationship management (CRM) ecosystem. Additionally, the company unveiled a new sustainability initiative, pledging to achieve carbon neutrality across its global operations by 2027. These developments underscore Salesforce’s focus on long-term value creation through both financial returns and strategic innovation.