Salesforce's Stellar Q2 Earnings: A $10 Billion Milestone
Highlights
- Revenue: $10.25 billion (+10% YoY)
- Net new bookings from deals over $1 million: +26% YoY
- Non-GAAP operating margin: 34.3%
- CRPO: $29.4 billion (+11% YoY)
- AI and data product line growth: +120% YoY
- Data Cloud customer growth: +140% YoY
- Rows accessed by Data Cloud's zero-copy integration: +326% YoY
Salesforce's second quarter fiscal 2026 results came in strong, signaling the company's successful strategic execution and its progressive transformation towards an "Agentic Enterprise."
Financial Performance
In the second quarter, Salesforce reported revenues of $10.25 billion, showcasing a robust 10% year-over-year growth. Key deals pushed net new bookings for transactions over $1 million up by a substantial 26% compared to the previous year. The company's non-GAAP operating margins strengthened further to 34.3%, maintaining its streak of ten consecutive quarters of operating margin growth.
Additionally, Salesforce witnessed a consistent rise in current remaining performance obligation (CRPO), which reached $29.4 billion, marking an 11% increase year over year. The company successfully capitalized on the growing demands for its AI and data segments, with these product lines jumping by a massive 120% year over year.
Strategic Growth Catalysts
Salesforce's Data Cloud emerged as a significant growth pillar, recording a 140% increase in customers and a dizzying 326% rise in rows accessed through zero-copy integration. The narrative around the Agentic Enterprise was clearly emphasized as Salesforce continues to integrate AI and automation across its portfolio, redefining business operations for scalability.
These results reflect Salesforce’s judicious capital allocation and fervent embrace of AI and data capabilities, which are expected to provide enduring value and expansion opportunities. Indeed, the company's strategic focus has greatly resonated across various sectors, particularly technology, communications, and media.
Conclusion
Overall, Salesforce's impressive Q2 performance underscores its capacity to innovate and leverage AI and data-driven solutions, setting a course for what it describes as the Agentic Enterprise future. Investors should take note of Salesforce's continued margin improvements and substantial shifts towards AI as key growth drivers moving forward.