Salesforce 2026 Q3 Earnings Record Net Income Surges 36.6%

Salesforce (CRM) reported fiscal 2026 Q3 earnings on Dec 3, 2025, delivering revenue growth and revised guidance. The company exceeded expectations with 8.6% year-over-year revenue growth and a 36.6% rise in net income. CFO Robin Washington raised FY26 revenue forecasts, reflecting confidence in organic growth and AI-driven platforms like Agentforce.

Revenue

Salesforce’s total revenue climbed to $10.26 billion in Q3 2026, up 8.6% from $9.44 billion in the prior year. Subscription and support services, the core revenue driver, accounted for $9.73 billion, while professional services and other segments contributed $533 million. The performance underscores robust demand for Salesforce’s AI-integrated solutions and cloud platforms.

Earnings/Net Income

Earnings per share (EPS) surged 37.5% to $2.20, outpacing the $1.60 recorded in Q3 2025. Net income hit a record $2.09 billion, a 36.6% increase from $1.53 billion, marking the highest Q3 net income in over two decades. The EPS growth and profitability expansion highlight effective cost management and strategic AI investments.

Price Action

Post-earnings, Salesforce’s stock edged up 1.43% in the latest trading day and 1.96% for the week, though it declined 8.33% month-to-date. The 30-day post-earnings trading strategy underperformed the market with a CAGR of 1.86%, trailing by 71.58 percentage points. Low volatility and a Sharpe ratio of 0.09 indicated modest returns despite minimal drawdowns.

CEO Commentary

Marc Benioff emphasized Salesforce’s Q3 success, including 9% revenue growth and a 35.5% non-GAAP operating margin. He highlighted Agentforce’s $540M ARR (330% YoY growth) and strategic integrations of Informatica and MuleSoft. Benioff expressed optimism about AI-driven productivity and the “agentic enterprise” trend, with 70% QoQ growth in Agentforce users.

Guidance

CFO Robin Washington provided FY26 revenue guidance of $41.15B–$41.25B organically (9% growth) and $41.45B–$41.55B with Informatica (9–10% growth). Constant currency growth is projected at 8–9%, with operating cash flow rising 13–14% annually to ~$15B. CRPO growth is expected at 11% YoY for Q4, with free cash flow growth raised to 13–14%.

Additional News

1. Revenue Forecast Raise: Salesforce increased FY26 revenue guidance to $41.45B–$41.55B, driven by strong AI adoption and Agentforce growth.

2. AWS Collaboration: The company partnered with Amazon Web Services to launch Agentforce 360, leveraging AWS’s infrastructure and Amazon Bedrock models for scalable AI deployment.

3. Institutional Selling: Invesco Ltd. cut its Salesforce stake by 15.3%, while insider sales totaled $12.8M, reflecting cautious investor positioning ahead of strategic AI expansions.

Image Caption: Salesforce’s AI-driven platforms, including Agentforce, are reshaping enterprise workflows, with AWS collaboration enhancing scalability and integration capabilities.

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