Salesforce restructured its revenue disaggregation effective Q1 fiscal 2027 to reflect its 'Agentic Enterprise' product architecture, now reporting subscription and support revenue under two categories: Agentforce Apps (Agentforce Sales, Service, Marketing, Commerce, Flex Credits, Slack) and Data 360, Headless Platform, and Other (Data 360, Headless Platform, Informatica, Agentforce Mulesoft, Agentforce Tableau, Other). In Q2, Agentforce Apps generated $7.2B (67% of subscription and support revenue, +8% YoY) and Data 360/Headless/Other generated $3.6B (33%, +20% YoY).
The company completed its April 2026 acquisition of Qualified.com (agentic AI marketing solutions) for approximately $1.2B, recording $954M of goodwill. It also agreed in May 2026 to acquire Contentful (composable content platform) for ~$1.5B and in June 2026 to acquire Intercom/Fin (autonomous AI service agents) for ~$3.6B, both expected to close in Q3 fiscal 2027 subject to regulatory approval. The November 2025 Informatica acquisition contributed approximately $456M to Q2 total revenue.
Restructuring charges were $94M in Q2 (vs. $4M in the prior-year quarter), primarily employee severance and benefits, as part of ongoing workforce reductions, data center exits, and office space reductions. The company disclosed approximately $170M–$190M in expected future cash payments for restructuring and stated it does not anticipate significant additional charges in the near term.
Q2 total revenue was $11.3B (+11% YoY); subscription and support revenue was $10.8B (+12% YoY). Attrition was approximately 8% (excluding Slack self-service, Informatica, and current-year acquisitions). Total remaining performance obligation was $66.3B (+11% YoY) and current RPO was $33.5B (+14% YoY). Income from operations was $2.3B (21% margin), flat in dollars versus the prior year's $2.3B at a 23% margin.
The strategic investment portfolio grew to $11.3B, with the Anthropic carrying value rising to approximately $5.1B, now representing ~45% of the total portfolio (vs. ~22% at January 31, 2026). Q2 net gains on strategic investments were $2.6B, including $2.7B of unrealized gains attributable to Anthropic, partially offset by $285M of impairments on privately held investments.
Cost of subscription and support revenue increased approximately one percentage point as a share of total revenue YoY, driven by higher hosting services and generative AI technology spend plus increased intangible asset amortization from acquisitions. The company stated it expects R&D to remain roughly consistent as a percentage of revenue while S&M and G&A may each decline as a percentage over time through self-serve channels, AI-driven sales productivity, and process efficiency initiatives.
(Filed on May 28, 2026)
+13.3%
76.9%
$8.9B
Completed the acquisition of Qualified.com, Inc. in April 2026 for approximately $1.2 billion (primarily $1.1 billion cash), a provider of agentic AI marketing solutions; recorded $954 million of goodwill and ~$290 million of intangible assets (developed technology and customer relationships, 5- and 8-year useful lives). Financial results of Qualified were not material to the quarter.
Total revenue reached $11.1 billion, up 13% year-over-year. Effective in Q1 FY2027, Salesforce revised its revenue disaggregation into two categories: Agentforce Apps ($6.9 billion, +9% YoY) and Data 360, Headless Platform, and Other ($3.7 billion, +25% YoY), reflecting its product architecture evolution toward the 'Agentic Enterprise.' The November 2025 Informatica acquisition contributed approximately $444 million to total revenue in the quarter and bolstered Data 360 growth. Attrition rate (excluding Slack self-service, Informatica, and current-year acquisitions) was approximately 8% as of April 30, 2026.
Recorded $80 million in restructuring charges (vs. $36 million in the prior-year quarter), primarily related to employee transitions, severance, and benefits. Management stated it does not expect significant additional restructuring charges in the near term and continues to pursue workforce reduction, office space, and data center exits to improve operating margins. Operating margin improved to approximately 21% from approximately 20% a year earlier. Total remaining performance obligation was $67.9 billion (+11% YoY), with current RPO of $33.6 billion (+14% YoY, ~1% of which was attributable to foreign currency).
In March 2026, Salesforce issued $25.0 billion in senior unsecured notes (maturities 2028–2066, rates 4.50%–6.70%) and entered a $6.0 billion five-year term loan (maturing March 2031) to refinance the Informatica credit agreements; the note proceeds funded a $25.0 billion accelerated share repurchase, under which approximately 103 million shares were initially delivered at an average price of $198.34 (~80% of expected total). The Board authorized a total $50.0 billion share repurchase program in February 2026, with $22.9 billion remaining as of April 30, 2026.
(Filed on March 2, 2026)
+12.1%
77.6%
$7.3B
Q4 completed event: Salesforce closed its acquisition of Informatica in November 2025 for approximately $9.6 billion in cash consideration, adding an AI-powered enterprise data management platform (data integration, governance, master data, metadata management, and catalog services) to its portfolio. The preliminary purchase price allocation includes $5.3 billion of goodwill and $3.8 billion of identifiable intangibles (developed technology $1.6B over 3–7 years; customer relationships $1.8B over 10 years). Salesforce drew the full $6.0 billion under new unsecured Informatica Credit Agreements ($4.0B 364-day term, $2.0B three-year term) to fund the deal. Informatica contributed approximately $399 million in revenue and $24 million in pretax income from the acquisition date through January 31, 2026, and added roughly $2.2 billion to total remaining performance obligation.
Annual context (fiscal year ended January 31, 2026): Total revenue was $41.5 billion, up 10% year-over-year, with subscription and support revenue at $39.4 billion (95% of total). The Agentforce 360 Platform now unifies all service offerings, and Data 360 operates as the hyperscale data engine providing context to AI agents across the platform. Service offerings were renamed to reference Agentforce in Q3 of fiscal 2026. As of January 31, 2026, the company employed 83,334 people; attrition (excluding Slack self-service and current-year acquisitions) was approximately 8%; total remaining performance obligation was $72.4 billion (+14% YoY) and current RPO was $35.1 billion (+16% YoY).
Annual context: Salesforce recorded $586 million in restructuring charges during fiscal 2026 (versus $461 million in fiscal 2025), primarily for workforce reductions, select data center exits, and office space reductions in certain markets. The company expects approximately $220 million to $250 million in remaining cash payments, mostly severance, and stated it does not anticipate significant additional restructuring charges in the near term. Management indicated it will continue to evaluate programs to drive operational efficiencies, optimize management structure, and increase cost optimization.
Q4 legal development: The federal Slack securities class action (Dennee v. Slack Technologies) concluded on November 10, 2025, when the district court entered judgment for the defendants following the Ninth Circuit's February 2025 reversal of the earlier denial of dismissal and the U.S. Supreme Court's October 2025 denial of certiorari. The consolidated state court Slack shareholder action was un-stayed on November 7, 2025, solely to permit plaintiffs to conduct limited discovery and, if they choose, file a renewed motion for class certification; that action remains pending.
(Filed on December 4, 2025)
+8.6%
78.0%
$9B
Salesforce introduced Agentforce during Q3 FY2025, a new platform layer enabling companies to build and deploy autonomous AI agents across sales, service, marketing, and commerce; the company simultaneously renamed its five service offerings to reference Agentforce (Agentforce Sales, Service, 360 Platform/Slack and Other, Marketing and Commerce, and Integration and Analytics) with no change in revenue allocation. Agentforce 360 Platform, Slack and Other revenue grew 19% YoY to $2.18B, the fastest-growing offering, while total subscription and support revenue rose 10% to $9.73B.
In October 2025, Salesforce completed the acquisition of Regrello Corp., an AI-native business process automation developer, for approximately $818 million (primarily $815M cash), recording $704M in goodwill and ~$140M in developed-technology intangibles. Regrello's financial results were not material. In November 2025 (subsequent to quarter-end), Salesforce acquired Informatica, an AI-powered enterprise cloud data management platform, for approximately $9.6B (~$9.5B cash), drawing the full $6.0B under pre-arranged Informatica Credit Agreements; management described both acquisitions as accelerating its agentic AI roadmap.
Salesforce recognized $260M in restructuring charges in Q3 FY2025 (vs. $56M in the prior-year quarter), primarily for workforce reductions including severance, employee transition, benefits, and stock-based compensation; nine-month charges totaled $300M. The company stated it continues to evaluate further operational-efficiency programs and office-space reductions, with approximately $160M–$180M in future cash payments expected for remaining restructuring obligations.
Q3 total revenue was $10.26B, up 9% YoY; operating margin expanded to 21% (vs. 20% prior year), and net income was $2.09B (diluted EPS $2.19 vs. $1.58). Total remaining performance obligation was $59.5B, up 12% YoY, with current RPO at $29.4B (+11% YoY). Attrition (excluding Slack self-service) was approximately 8% as of October 31, 2025.
The Board authorized an additional $20B in share repurchases in September 2025, bringing total authorization to $50B; Salesforce repurchased 15M shares for $3.81B in Q3 at an average price of $246.33, leaving $21.9B of remaining authorization as of quarter-end. Total cash, cash equivalents, and marketable securities were $11.3B.
