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The guidance arrives at a delicate moment, with shares down about 37% over the past 12 months as investors debate whether AI could erode pricing leverage or make it easier to build competing tools. The stock fell roughly 5% in extended trading after closing at $191.75 in New York. Still, Chief Executive Marc Benioff reiterated that the company is well on our way to $63 billion in annual revenue in fiscal 2030, ahead of the $60.3 billion analysts are currently projecting, and said management expects organic growth re-acceleration in the second half.
Fourth-quarter results offered some evidence of resilience, even if certain segments came in just shy of expectations. Revenue increased 12% to $11.2 billion in the period ended Jan. 31, marking the company’s most rapid expansion in years, though $399 million of that total came from the recently completed Informatica acquisition. In constant currency terms, revenue in the core sales and service clouds rose 8% and 7%, respectively, both slightly below Wall Street estimates. Adjusted earnings of $3.81 per share topped projections. Against that backdrop, Salesforce pointed to traction in Agentforce, its AI tool capable of completing tasks such as sales development and customer service without human supervision, with annual recurring revenue surpassing $800 million in the fiscal fourth quarter, up from $500 million in the preceding period.
Management also underscored forward visibility and capital allocation as signals of confidence. Remaining performance obligations reached $72.4 billion in the fiscal fourth quarter, a record level that executives cited as evidence that customer commitments remain intact despite broader debate about the durability of software-as-a-service growth. Benioff said newer offerings in IT service management and life sciences are winning major customers from competitors including ServiceNow and Veeva Systems. The company also authorized a new $50 billion share repurchase program and raised its quarterly dividend to 44 cents per share, steps that could reinforce its commitment to shareholder returns as investors weigh how AI may reshape the competitive landscape.
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