Salesforce, Inc. stock research
FY2026 Q2
Salesforce (CRM) Gross Margin — Quarter Ended Jul 31, 2025
Revenue, gross profit, and gross margin all increased compared to both the prior quarter and the same quarter last year. Cost of revenue was lower than the prior quarter but unchanged from a year ago.
Gross margin takeaway
Quarter ended Jul 31, 2025 · FY2026 Q2
Revenue, gross profit, and gross margin all increased compared to both the prior quarter and the same quarter last year. Cost of revenue was lower than the prior quarter but unchanged from a year ago.
- The strongest observable margin driver is the improvement in gross margin, which reached a higher level than both the preceding quarter and the year-ago quarter.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, while cost of revenue was lower, leading to an improved gross margin. Versus the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was stable, and gross margin strengthened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
78.1%
Gross profit
$8.0B
Revenue
$10.2B
Cost of revenue
$2.2B
Quarter-over-quarter change
+1.1 pts
Year-over-year change
+1.2 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jul 31, 2024 | $9.3B | $7.2B | $2.2B | 76.8% |
| Oct 31, 2024 | $9.4B | $7.3B | $2.1B | 77.7% |
| Apr 30, 2025 | $9.8B | $7.6B | $2.3B | 77.0% |
| Jul 31, 2025 | $10.2B | $8.0B | $2.2B | 78.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Apr 30, 2025
+1.1 pts
Year-over-year change
Jul 31, 2024
+1.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the improvement in gross margin, which reached a higher level than both the preceding quarter and the year-ago quarter.
Compared to the immediately preceding quarter, revenue and gross profit were higher, while cost of revenue was lower, leading to an improved gross margin. Versus the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was stable, and gross margin strengthened.
Monitor whether cost of revenue remains stable or changes in future quarters, as it was unchanged year-over-year despite higher revenue.