After delivering mixed results in the first half, Salesforce, Inc. (NYSE: CRM) looks poised to report strong numbers when it publishes third-quarter results next week. The Customer relationship management platform recently introduced its Agentforce AI platform to bring the benefits of artificial intelligence to its customers.
Considering the positive response to Agentforce, which has also elicited fresh customer interest in the company’s core offerings, the market will be closely following the upcoming earnings event. Shares of Salesforce have grown around 25% in the past six months and set a new record this week. Given the ongoing uptrend in the enterprise software industry, driven mainly by the growing shift to subscription-based services and AI adoption, Salesforce will continue to be a favorite among investors.
The tech firm has constantly increased its profitability, with quarterly earnings beating estimates consistently over the past several years. The trend is expected to continue in the third quarter, for which analysts forecast revenues of $9.35 billion, up about 7% from the prior-year quarter. The consensus earnings forecast is $2.45 per share, adjusted for one-off items, compared to $2.11 per share last year. The Q3 report is slated for release on Tuesday, December 3, at 4:00 pm ET.
In a recent statement, the Salesforce leadership said it expected third-quarter earnings to be between $2.42 per share and $2.44 per share, which is slightly below experts’ estimates. The company expects revenue to be in the range of $9.31 billion to $9.36 billion for the quarter.
In the three months ended July 2024, Salesforce’s profit and the top line surpassed expectations. At $9.33 billion, Q2 revenue was up 8% year-over-year. That translated into a 21% year-over-year increase in adjusted earnings to $2.56 per share. On an unadjusted basis, net profit was $1.43 billion or $1.47 per share for Q2. Remaining performance obligation, a key metric that represents the total amount of revenue expected to earn from existing contracts with customers that have not yet been fulfilled, increased by 10%.
While Salesforce has been steadily expanding its generative AI services, a clear picture of its returns will emerge only once the company begins monetizing those investments. Agentforce is an AI platform within Salesforce, designed to help customers create autonomous, intelligent agents that can handle tasks like customer service inquiries, sales lead qualification, and marketing campaign optimization.
“…there’s nothing more transformational than agents on the technology horizon that I can see, and Salesforce is going to be the first company at scale to deploy enterprise agents and not just any enterprise agents, the highest quality, most accurate agents in the world. Now, all of this with our continued focus on trust with customer success with innovation is driving the results that you see today,” Salesforce’s CEO Marc Russell Benioff said at the Q2 earnings call.
The stock traded near $340 on Monday afternoon, after gaining 32% since the beginning of 2024. It is worth noting that the average price for the last 52 weeks is $273.87.
The post Agentforce in focus as Salesforce (CRM) gets ready for Q3 2025 earnings first appeared on AlphaStreet.
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