Cloud computing giant Salesforce (CRM) has reported mixed third-quarter financial results.
The San Francisco-based company announced earnings per share (EPS) of $3.25 U.S., which topped the $2.86 U.S. expected among analysts.
Revenue in the July through September period totaled $10.26 billion U.S., which was slightly below the $10.27 billion U.S. forecast on Wall Street. Sales were up 8.6% from a year ago.
Annualized revenue from Agentforce, which automates sales and customer service workflows, jumped 330% from a year earlier to $500 million U.S.
Salesforce said it has won more than 9,500 paid deals to date, up from about 6,000 at the end of September this year.
The company’s free cash flow grew 22% to $2.18 billion U.S. in the third quarter, but the total was below the consensus forecast of $2.24 billion U.S.
Looking ahead, Salesforce said that it expects earnings of $3.02 U.S. to $3.04 U.S. per share for the current fourth quarter and $11.13 billion U.S. to $11.23 billion U.S. in revenue.
Analysts had $3.04 U.S. in earnings and sales of $10.90 billion U.S. penciled in for the company. The guidance implies Q4 revenue growth of between 11% and 12%.
Informatica, the data management company Salesforce acquired for $8 billion U.S. in November, is expected to contribute about three percentage points of that growth.
Salesforce’s stock has underperformed the technology sector this year due largely to concerns about the potential of artificial intelligence (A.I.) to replace some of its products.
So far in 2025, CRM stock is down 28% and trading at $238.72 U.S. per share.
