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Salesforce CRM Operating margin

Operating margin at other companies

Microsoft logo
MicrosoftMSFT
46.8%+1.6pp
Adobe logo
AdobeADBE
36.1%-0.3pp
Fair Isaac logo
Fair IsaacFICO
50.4%+6.2pp
PTC logo
PTCPTC
38.7%+11.9pp
MicroStrategy logo
MicroStrategyMSTR
518.9%
Oracle logo
OracleORCL
30.6%-0.4pp

Other financials

Income statement

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Revenue$11.1B+13.3%
Gross profit$8.6B+13.2%
Operating income$2.3B+20.8%
Net income$2.1B+36.7%
EPS (diluted)$2.42+52.2%

Balance sheet

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Cash & equivalents$8.9B-18.2%
Total debt$42.5B+254%
Total equity$34.2B-43.6%
Total assets$106.68B+8.2%

Cash flow

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Operating cash flow$6.7B+3.5%
CapEx$145.0M-19.0%
Free cash flow$6.6B+4.1%

Valuation

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Market cap$126.96B-43.1%
Enterprise value$160.57B-30.2%
P/E15.8×-20.2×
P/S-2.8×

Profitability

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Gross margin77.6%+0.3pp
Net margin18.7%+2.7pp

Returns & leverage

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Return on equity16.9%+6.6pp
Debt / equity1.2×+1.0×
Current ratio0.8×-0.3×

Where this comes from

Calculated from Salesforce’s reported figures.

Based on trailing twelve months.

The official record: Salesforce’s 10-Q, filed May 28, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Salesforce's operating margin?
Salesforce (CRM) reported operating margin of 20.4% in Q1 2026.
How has Salesforce's operating margin changed year-over-year?
Salesforce's operating margin increased by 5.8% year-over-year, from 19.3% to 20.4%.
What is the long-term trend for Salesforce's operating margin?
Over 2 years (2024 to 2026), Salesforce's operating margin has grown at a 45.2% compound annual growth rate (CAGR), from 38% to 80.1%.
What does operating margin mean?
The profit left from core operations for every dollar of sales, before interest and taxes.
How do you interpret operating margin?
Expanding operating margin shows operating leverage — revenue growing faster than the cost base. Compression points to rising overhead, pricing pressure, or investment ahead of revenue.
How does operating margin compare across companies?
Strong cross-company signal within a sector. Capital-light businesses sustain higher operating margins than capital-intensive ones.