Salesforce, Inc. stock research
FY2026 Q3
Salesforce (CRM) Gross Margin — Quarter Ended Oct 31, 2025
Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Cost of revenue also rose over both periods, while gross margin weakened slightly from the prior quarter but improved from the year-ago quarter.
Gross margin takeaway
Quarter ended Oct 31, 2025 · FY2026 Q3
Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Cost of revenue also rose over both periods, while gross margin weakened slightly from the prior quarter but improved from the year-ago quarter.
- The strongest observable margin driver is the gross margin level, which remained above seventy-eight percent, showing stability despite a minor sequential decline.
- Compared to the immediately preceding quarter, gross margin was slightly lower, while compared to the same quarter one year earlier, gross margin was higher. Revenue and gross profit were higher in both comparisons.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
78.0%
Gross profit
$8.0B
Revenue
$10.3B
Cost of revenue
$2.3B
Quarter-over-quarter change
-0.1 pts
Year-over-year change
+0.3 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 |
|---|---|---|---|---|
| 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% |
| Oct 31, 2025 | $10.3B | $8.0B | $2.3B | 78.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jul 31, 2025
-0.1 pts
Year-over-year change
Oct 31, 2024
+0.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the gross margin level, which remained above seventy-eight percent, showing stability despite a minor sequential decline.
Compared to the immediately preceding quarter, gross margin was slightly lower, while compared to the same quarter one year earlier, gross margin was higher. Revenue and gross profit were higher in both comparisons.
Monitor the trend in cost of revenue relative to revenue, as it increased in both comparisons and may affect future gross margin.