Salesforce Q3 2025 Earnings Report
Key Takeaways
Salesforce announced its Q3 fiscal year 2025 results, reporting $9.44 billion in revenue, up 8% year-over-year. The company's GAAP diluted net income per share was $1.58, and non-GAAP diluted net income per share was $2.41. Salesforce also raised its full-year fiscal 2025 revenue guidance to $37.8 billion to $38.0 billion.
Revenue reached $9.44 billion, an 8% increase year-over-year.
GAAP diluted net income per share was $1.58, while non-GAAP diluted net income per share was $2.41.
GAAP operating margin was 20.0%, and non-GAAP operating margin was 33.1%.
Current remaining performance obligation reached $26.4 billion, a 10% increase year-over-year.
Salesforce
Salesforce
Salesforce Revenue by Segment
Salesforce Revenue by Geographic Location
Forward Guidance
Salesforce anticipates continued growth and profitability in the next quarter.
Positive Outlook
- Q4 FY25 Revenue Guidance of $9.90 Billion - $10.10 Billion, up 7% - 9% Y/Y
- Full Year FY25 Revenue Guidance to $37.8 Billion to $38.0 Billion, up 8% - 9% Y/Y
- Maintains Full Year FY25 Subscription & Support Revenue Growth Guidance of Slightly Below 10% Y/Y & Approximately 10% in CC
- Raises Full Year FY25 GAAP Operating Margin Guidance to 19.8%
- Raises non-GAAP Operating Margin Guidance to 32.9%
Challenges Ahead
- Revenue FX impact of ($25M) Y/Y
- Current Remaining Performance Obligation Growth (Y/Y) Approximately 9%
- Current Remaining Performance Obligation FX Impact ($100M) Y/Y
- GAAP tax provision is expected to be approximately 26.0% for the three months ended January 31, 2025
- Impact of future gains or losses from the Company’s strategic investment portfolio could be material.
Revenue & Expenses
Visualization of income flow from segment revenue to net income