Salesforce Q1 revenue rose 13% as Agentforce ARR crossed $1 billion. Guidance implies 10-11% growth in Q2, backed by $33.6B in RPO. Alpha Score 58.
Salesforce reported fiscal first-quarter results that showed revenue rising 13% year over year, with its Agentforce AI platform crossing $1 billion in annual recurring revenue. The company posted $11.31 billion in revenue at the midpoint of its fiscal second-quarter guidance, implying 10% to 11% year-over-year growth, and said it expects full-year fiscal 2027 revenue growth of 11%.
CEO Marc Benioff told investors agentic AI represents "the biggest growth opportunity for our customers." The company said it delivered 3.8 billion Agentic Work Units in the quarter, a 111% sequential increase. Agentforce and Data 360 annual recurring revenue surged more than 200% year over year.
Earnings per share rose 52% year over year in the quarter, the company reported. The stock has fallen about 25% from its 52-week high earlier this year but has recouped roughly 20% of that decline over the past month. At a price-to-earnings ratio of 21, the valuation has compressed from above 40 a year ago.
Current remaining performance obligations, a measure of contracted future revenue, totaled $33.6 billion, up 14% year over year. Salesforce said the backlog supports its growth targets.
The results underscore how the company is using AI to deepen customer relationships rather than losing ground to new entrants, as some investors had feared. Salesforce touts itself as the No. 1 agentic CRM, citing the $1 billion Agentforce ARR milestone.
Salesforce carries an Alpha Score of 58 out of 100, a Moderate rating, reflecting the mixed signals of strong AI adoption and a still-reduced valuation.
The company's current remaining performance obligations stood at $33.6 billion, up 14% year over year.
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