Review|CRM 1Q25: Modest Raise on FX Tailwinds, Agentforce Still in Early Stages
Largely In Line With Our Preview
We published our CRM Preview ahead of CRM's earnings release, and CRM's performance was largely in line with our Preview.
Takeaways
Our prior estimates didn’t fully account for FX, which explains part of the gap—but overall, the quarter wasn’t particularly impressive.
Q1 revenue and cRPO both beat consensus by ~1% on a constant currency (cc) basis. FCF reached $6.3B, $400M ahead of expectations.
Q2 revenue guidance of +8–9% YoY (+7–8% cc) and cRPO growth of +10% YoY (+9% cc) came in slightly below street expectations.
FY26 full-year revenue guidance was raised by $450M, with ~$400M attributed to FX benefits. Adjusted for Q1 upside, the raise appears quite conservative.
Agentforce: Limited Traction in Q1
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