Salesforce misses on revenue, issues disappointing guidance

Core Insights - Salesforce reported weaker-than-expected quarterly revenue and issued a forecast that fell short of analysts' estimates, leading to a 6% decline in stock price during extended trading [1] Financial Performance - Revenue increased by 7.6% year-over-year for the quarter ending January 31, totaling $9.99 billion, while net income rose to $1.71 billion or $1.75 per share compared to $1.45 billion or $1.47 per share a year earlier [1][5] - Revenue from customer service products was $2.33 billion, up about 8%, but below the $2.37 billion consensus [2] - In the sales category, revenue was $2.13 billion, also up 8%, but trailing the $2.17 billion consensus [2] Future Guidance - For the fiscal first quarter, the company projected adjusted earnings per share of $2.53 to $2.55, with revenue expected between $9.71 billion and $9.76 billion, while analysts had anticipated $2.61 per share and $9.9 billion in revenue [3] - For the 2026 fiscal year, Salesforce targets adjusted earnings per share of $11.09 to $11.17 on revenue of $40.5 billion to $40.9 billion, implying a growth rate of 7.4% [4] Product Development - The company introduced its second-generation Agentforce AI technology, which has been involved in over 3,000 paid deals and 380,000 conversations, with human intervention in only 2% of cases [2][3]