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Operating

Increase (Decrease) In Capitalized Contract Costs

Salesforce Increase (Decrease) In Capitalized Contract Costs decreased by 65.9% to $509M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 39.5%, from $365M to $509M. Over 4 years (FY 2022 to FY 2026), Increase (Decrease) In Capitalized Contract Costs shows an upward trend with a 5.3% CAGR.

Analysis

StatementCash Flow Statement
SectionOperating
CategoryGrowth
SignalContext dependent
VolatilityModerate
First reportedQ1 2019
Last reportedQ1 2027May 28, 2026

How to read this metric

An increase represents aggressive sales growth and high customer acquisition, while a decrease may signal a slowdown in new bookings.

Detailed definition

This measures the cash outflow associated with the deferral of incremental costs to obtain revenue contracts, primarily...

Peer comparison

Standard metric for subscription-based businesses with high customer acquisition costs.

Metric ID: operating_increase_decrease_in_capitalized_contract_costs

Historical Data

21 periods
 Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26Q3 '26Q4 '26Q1 '27
Value$355M$463M$405M$1.06B$399M$505M$375M$1.07B$275M$331M$300M$966M$248M$427M$430M$1.02B$365M$406M$548M$1.49B$509M
QoQ Change+30.4%-12.5%+161.7%-62.4%+26.6%-25.7%+184.3%-74.2%+20.4%-9.4%+222.0%-74.3%+72.2%+0.7%+136.3%-64.1%+11.2%+35.0%+172.3%-65.9%
YoY Change+12.4%+9.1%-7.4%+0.6%-31.1%-34.5%-20.0%-9.4%-9.8%+29.0%+43.3%+5.2%+47.2%-4.9%+27.4%+46.9%+39.5%
Range$248M$1.49B
CAGR+7.5%
Avg YoY Growth+8.4%
Median YoY Growth+5.2%

Frequently Asked Questions

What is Salesforce's increase (decrease) in capitalized contract costs?
Salesforce (CRM) reported increase (decrease) in capitalized contract costs of $509M in Q1 2026.
How has Salesforce's increase (decrease) in capitalized contract costs changed year-over-year?
Salesforce's increase (decrease) in capitalized contract costs increased by 39.5% year-over-year, from $365M to $509M.
What is the long-term trend for Salesforce's increase (decrease) in capitalized contract costs?
Over 4 years (2022 to 2026), Salesforce's increase (decrease) in capitalized contract costs has grown at a 5.3% compound annual growth rate (CAGR), from $2.28B to $2.81B.
What does increase (decrease) in capitalized contract costs mean?
The cash spent on sales commissions and other costs to win new contracts that are recorded as assets.