Salesforce Inc (NYSE:CRM) stock rose 2.77% (As on December 4, 11:30:53 AM UTC-4, Source: Google Finance) after the company reported better-than-expected earnings and topped Wall Street estimates with its revenue guidance for the fourth quarter. Net income increased to $2.09 billion, or $2.19 per share, from $1.53 billion, or $1.58 per share, in the same quarter last year, boosted by a $263 million gain from strategic investments. During the fiscal third quarter, Salesforce acquired startups Regrello, whose AI software performs tasks, and Waii, which uses AI to compose code for running queries on data based on a few words of human input. The company also introduced Agentforce AI software for managing IT service requests, and issued a $60 billion fiscal 2030 revenue target, surpassing analysts’ projections.

Moreover, Annualized revenue from Agentforce, which automates sales and customer service workflows, jumped 330% from a year earlier to over $500 million. Salesforce said it has won over 9,500 paid deals to date, up from over 6,000 as of September. Free cash flow grew 22% to $2.18 billion, but the total was below StreetAccount’s $2.24 billion consensus. In the third quarter, operating cash flow was a whopping $2.3 billion, up 17% year over year.

CRM in the third quarter of FY26 has reported the adjusted earnings per share of $3.25, beating the analysts’ estimates for the adjusted earnings per share of $2.86, according to LSEG consensus. The company had reported the adjusted revenue growth of 8.6 percent to $10.26 billion in the third quarter of FY26, missing the analysts’ estimates for revenue of $10.27 billion.

For the fiscal fourth quarter, Salesforce called for $3.02 to $3.04 in adjusted earnings per share on $11.13 billion to $11.23 billion in revenue. Analysts polled by LSEG had expected $3.04 per share and $10.9 billion in revenue. The guidance implies revenue growth of between 11% and 12%, with about 3 points coming from Informatica, the data management company Salesforce acquired for around $8 billion in November. At the same time, the guidance factors in the continued shift to the cloud for MuleSoft and Tableau, as well as ongoing weakness from marketing and commerce products.

Salesforce provided a revenue guidance range of $41.45 billion to $41.55 billion for fiscal year 2026, anticipating a 9-10% growth. The company aims to re-accelerate revenue growth over the next 12-18 months while maintaining a non-GAAP operating margin guidance of 34.1%.