Salesforce Inc (CRM.NE) Q1 2026 Earnings Report

Salesforce reported QQ1 2026 revenue of USD 9.829 billion, representing a 7.6% year-over-year increase and a sequential decline of 1.64%. The gross margin stood at 76.96%, with gross profit of USD 7.564 billion. Operating income was USD 1.942 billion, yielding an operating margin of 19.76%, while net income reached USD 1.541 billion and diluted EPS was USD 1.59 (USD 1.61 basic). Cash flow from operations totaled USD 6.476 billion and free cash flow was USD 6.297 billion, underscoring a robust liquidity position. Cash and cash equivalents plus short-term investments totaled USD 17.408 billion, against total debt of USD 11.369 billion, resulting in a net debt position of USD 0.441 billion and a strong balance sheet foundation. The company ended the period with total assets of USD 98.61 billion and total stockholders’ equity of USD 60.67 billion, signaling a solid capital base to support ongoing platform investments. The results reflect Salesforce’s enduring profitability and strong cash generation even as revenue growth modestly decelerates on a sequential basis. The pace of operating margin expansion and free cash flow generation provides management the flexibility to reinvest in platform enhancements (Sales, Service, Marketing, Commerce, Tableau, MuleSoft, Slack) and AI-driven capabilities while preserving substantial upside to ARR expansion through cross-sell and deepening customer relationships. Importantly, the company maintains a large net cash position and modest net debt, which supports ongoing M&A and strategic investments in ecosystem expansion. While there is no explicit forward guidance in the provided data, the earnings backdrop—healthy gross margins, meaningful profitability, and substantial FCF—suggests Salesforce is well-positioned to navigate near-term macro variability and to continue investing in its multi-product platform to drive long-term ARR growth and customer stickiness.