Shares of Salesforce (NYSE: CRM) jumped more than 10% in after-hours trading following the release of the company’s third-quarter 2025 earnings report. The company beat revenue expectations, raised its full-year revenue outlook and highlighted progress in its artificial intelligence (AI) initiatives.
Shares are currently trading at US$366.30, up from US$331.76 at Tuesday’s close.
Salesforce is a leading cloud software company specializing in customer relationship management (CRM) solutions. The company has a market capitalization of approximately US$317 billion.
Quarterly performance
For the quarter ending October 31, 2024, Salesforce reported:
- Revenue: US$9.44 billion, an increase of 8% year-on-year, exceeding analysts’ expectations of US$9.35 billion.
- Net profit: $1.5 billion, an increase of 25% from the previous year.
- Adjusted earnings per share: US$2.41, slightly lower than analysts’ forecasts of US$2.44.
The company’s current outstanding performance obligations (CRPO), a key indicator of future earnings, increased 10% to $26.4 billion, beating estimates of $26.1 billion.
Directions and perspectives
Salesforce forecasts fourth-quarter 2025 revenue in the range of $9.9 billion to $10.1 billion, with full-year tax revenue expected to range from $37.8 billion to $38 billion. This slightly raises the lower end of the company’s previous forecast and exceeds analysts’ expectations of $37.86 billion.
AI initiatives spark optimism
The company has demonstrated the importance it continues to attach to artificial intelligence, particularly through its “Agentforce” platform.
Agentforce enables businesses to develop and deploy autonomous AI agents across various functions, including sales, service, marketing, and commerce. Agents can handle tasks like resolving customer inquiries, evaluating potential leads, and managing marketing campaigns without human intervention.
Notable AI-related developments during the quarter include:
- The launch of the Agentforce Partner Network, allowing businesses to integrate external data sources and third-party AI tools.
- Acquisitions of Israeli startup Zoomin Software and cloud data specialist Own Co, aimed at enhancing Salesforce’s AI capabilities.
CEO Marc Benioff called Agentforce “the heart of a revolutionary transformation.” Its financial impact should materialize more significantly during the next financial year.
Salesforce shares have gained 29.4% year to date.
