By Katherine Hamilton

Salesforce expects revenue to grow in the current fiscal year at about the same rate as it did the year before, as investors worry about AI's threat to software.

The customer-relationship-management company on Wednesday posted a profit of $1.87 billion, or $2.07 a share, in the quarter-ended Jan. 31, compared with $1.82 billion, or $1.75 a share, a year earlier.

Stripping out certain one-time items, adjusted per-share earnings were $3.81, ahead of the $3.05 anticipated by analysts, according to FactSet.

Revenue rose 12% to $11.20 billion. Analysts surveyed by FactSet forecast revenue of $11.19 billion.

Salesforce also authorized a $50 billion share buyback program, replacing all previously unused authorizations.

Salesforce is among many companies that investors have focused on in recent weeks amid concerns that artificial-intelligence models will eventually replace software companies. Salesforce's stock shed 16% in the past month.

Annual recurring revenue from Salesforce's AI product Agentforce reached $800 million in the quarter, up from $540 million the quarter before. Salesforce said it closed 29,000 deals during the quarter, a 50% jump from the third quarter. Agentforce made its debut in the fall of 2024.

In the new fiscal year, Salesforce expects annual revenue to be $45.8 billion to $46.2 billion, while analysts were projecting $46.11 billion. The company expects adjusted earnings per share to be $13.11 to $13.19, while the consensus estimate from Wall Street was $13.15.

At the midpoint, the full-year revenue guidance would represent roughly 10% growth, in line with the 10% sales increase Salesforce logged in the just-ended fiscal year.

About 3 percentage points of the projected growth range will come from contributions from Informatica, which Salesforce acquired in November 2025.

Even before February's software selloff, investors have been questioning Salesforce's ability to stay relevant in the age of AI. Agentforce has been growing but some investors worry it isn't catching on fast enough. Despite consistently beating estimates with its financial results last year, Salesforce shares have lost 38% of their value in the past 12 months.

In the current quarter, Salesforce anticipates revenue of $11.03 billion to $11.08 billion, ahead of the $11.0 billion analysts expected. Adjusted earnings per share are set to be $3.11 to $3.13, also ahead of Street estimates of $3.01.

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

February 25, 2026 16:57 ET (21:57 GMT)

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