Operating Profit Margin
since 2005
Calculation
Salesforce Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Income (loss) from operations1 | ÷ | Revenues1 | |
|---|---|---|---|---|---|---|---|
| Jan 31, 2026 | 20.06% | = | 100 | × | 8,331) | ÷ | 41,525) |
| Jan 31, 2025 | 19.01% | = | 100 | × | 7,205) | ÷ | 37,895) |
| Jan 31, 2024 | 14.38% | = | 100 | × | 5,011) | ÷ | 34,857) |
| Jan 31, 2023 | 3.29% | = | 100 | × | 1,030) | ÷ | 31,352) |
| Jan 31, 2022 | 2.07% | = | 100 | × | 548) | ÷ | 26,492) |
| Jan 31, 2021 | 2.14% | = | 100 | × | 455) | ÷ | 21,252) |
| Jan 31, 2020 | 1.74% | = | 100 | × | 297) | ÷ | 17,098) |
| Jan 31, 2019 | 4.03% | = | 100 | × | 535) | ÷ | 13,282) |
| Jan 31, 2018 | 2.25% | = | 100 | × | 236) | ÷ | 10,480) |
| Jan 31, 2017 | 0.77% | = | 100 | × | 64) | ÷ | 8,392) |
| Jan 31, 2016 | 1.72% | = | 100 | × | 115) | ÷ | 6,667) |
| Jan 31, 2015 | -2.71% | = | 100 | × | (146) | ÷ | 5,374) |
| Jan 31, 2014 | -7.03% | = | 100 | × | (286) | ÷ | 4,071) |
| Jan 31, 2013 | -3.63% | = | 100 | × | (111) | ÷ | 3,050) |
| Jan 31, 2012 | -1.55% | = | 100 | × | (35) | ÷ | 2,267) |
| Jan 31, 2011 | 5.88% | = | 100 | × | 97) | ÷ | 1,657) |
| Jan 31, 2010 | 8.83% | = | 100 | × | 115) | ÷ | 1,306) |
| Jan 31, 2009 | 5.92% | = | 100 | × | 64) | ÷ | 1,077) |
| Jan 31, 2008 | 2.71% | = | 100 | × | 20) | ÷ | 749) |
| Jan 31, 2007 | -0.72% | = | 100 | × | (4) | ÷ | 497) |
| Jan 31, 2006 | 6.49% | = | 100 | × | 20) | ÷ | 310) |
| Jan 31, 2005 | 3.70% | = | 100 | × | 7) | ÷ | 176) |
Based on: 10-K (reporting date: 2026-01-31), 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-01-31), 10-K (reporting date: 2018-01-31), 10-K (reporting date: 2017-01-31), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-01-31), 10-K (reporting date: 2013-01-31), 10-K (reporting date: 2012-01-31), 10-K (reporting date: 2011-01-31), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-01-31), 10-K (reporting date: 2008-01-31), 10-K (reporting date: 2007-01-31), 10-K (reporting date: 2006-01-31), 10-K (reporting date: 2005-01-31).
1 US$ in millions
The income from operations exhibited significant volatility between 2005 and 2026. Initial profitability was observed, followed by a loss in 2007, and then a period of increasing operational income through 2010. Subsequent years saw renewed periods of losses, particularly in 2012 and 2013, before returning to positive income in 2015. From 2015 onwards, income from operations generally increased, with substantial growth observed from 2022 onwards.
Revenues demonstrated a consistent upward trend throughout the analyzed period. Growth accelerated from 2010, with particularly strong revenue increases occurring after 2015. This consistent revenue growth contrasts with the fluctuating income from operations, suggesting potential shifts in cost structures or investment strategies.
- Operating Profit Margin – Overall Trend
- The operating profit margin experienced considerable fluctuation. It began at 3.70% in 2005, increased to a peak of 8.83% in 2010, then declined significantly, reaching a low of -7.03% in 2014. Following 2014, the margin gradually improved, but remained relatively modest until 2022. A substantial increase in the operating profit margin is evident from 2022, reaching 14.38% in 2023, 19.01% in 2024, and 20.06% in 2025.
- Operating Profit Margin – Early Years (2005-2010)
- During this period, the operating profit margin demonstrated initial growth, peaking in 2010. This suggests a period of successful scaling and efficient operations. However, the negative margin in 2007 indicates a temporary setback, potentially due to increased investment or unforeseen expenses.
- Operating Profit Margin – Period of Volatility (2011-2014)
- The years 2011 through 2014 were characterized by significant volatility and generally negative operating profit margins. This suggests challenges in maintaining profitability despite increasing revenues, potentially stemming from rising costs, aggressive expansion strategies, or market pressures. The substantial loss in 2013 and 2014 warrants further investigation.
- Operating Profit Margin – Recent Improvement (2015-2026)
- From 2015, the operating profit margin began a recovery, albeit at a slow pace initially. The dramatic increase in margin observed from 2022 onwards indicates a significant improvement in operational efficiency, potentially driven by economies of scale, successful cost management initiatives, or a shift towards higher-margin products or services. The sustained high margins in the latest years suggest a strengthening competitive position and improved profitability.
The divergence between revenue growth and operating profit margin, particularly in the earlier years, highlights the importance of analyzing both top-line and bottom-line performance. The recent convergence of strong revenue growth and significantly improved operating profit margins suggests a positive trajectory for the business.
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Comparison to Competitors
Salesforce Inc., operating profit margin, long-term trends, comparison to competitors
| Salesforce Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Datadog Inc. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Jan 31, 2026 | 20.06% | — | — | — | — | -6.10% | — | — | — | — | — | — | — | — | 7.55% |
| Jan 31, 2025 | 19.01% | 14.68% | 36.63% | 75.75% | 28.17% | -3.05% | -1.29% | 26.14% | 45.62% | 30.80% | 31.59% | 13.48% | 13.74% | 12.97% | 4.91% |
| Jan 31, 2024 | 14.38% | 14.79% | 31.35% | 39.78% | 29.10% | -0.07% | 2.02% | 22.29% | 44.64% | 28.99% | 10.83% | 8.52% | 12.42% | 22.13% | 2.52% |
| Jan 31, 2023 | 3.29% | 13.74% | 34.26% | 19.74% | 30.59% | -8.48% | -1.57% | 21.86% | 41.77% | 26.21% | 5.39% | 5.62% | 8.49% | 21.72% | -3.57% |
| Jan 31, 2022 | 2.07% | 15.21% | 34.64% | -1.70% | 30.15% | -9.82% | -3.50% | 20.20% | 42.06% | 25.74% | -8.46% | -3.43% | 4.90% | 22.87% | -2.27% |
| Jan 31, 2021 | 2.14% | 15.08% | 36.76% | 5.37% | 26.07% | -10.58% | -1.86% | 25.95% | 41.59% | 37.58% | -26.66% | -7.15% | 4.36% | 17.48% | -5.76% |
| Jan 31, 2020 | 1.74% | 14.69% | 32.93% | — | 24.06% | -30.34% | -2.28% | 28.34% | 37.03% | 35.57% | -107.41% | -5.25% | 4.40% | 16.83% | -13.85% |
| Jan 31, 2019 | 4.03% | 14.59% | 29.25% | — | 21.05% | — | -5.55% | 27.33% | 34.14% | 34.26% | — | -1.87% | 1.22% | 15.48% | -16.42% |
| Jan 31, 2018 | 2.25% | 14.04% | 31.45% | — | 18.53% | — | — | 25.10% | 31.77% | 34.34% | — | -5.68% | -1.63% | 11.54% | -14.15% |
| Jan 31, 2017 | 0.77% | 12.60% | 29.69% | — | 16.67% | — | — | 26.95% | 24.82% | 33.69% | — | -10.21% | -5.25% | 12.76% | -24.00% |
| Jan 31, 2016 | 1.72% | 13.82% | 25.51% | — | 13.49% | — | — | 26.46% | 23.65% | 34.02% | — | -13.79% | -30.41% | 13.10% | -22.77% |
| Jan 31, 2015 | -2.71% | 13.48% | 18.83% | — | 16.77% | — | — | 17.60% | 19.41% | 36.29% | — | -14.39% | -16.55% | 11.88% | -27.38% |
| Jan 31, 2014 | -7.03% | 13.49% | 9.95% | — | 13.07% | — | — | 29.16% | 31.97% | 38.56% | — | -36.00% | -22.24% | 12.09% | -32.69% |
| Jan 31, 2013 | -3.63% | 14.27% | 10.42% | — | 12.94% | — | — | 29.56% | 34.38% | 39.49% | — | -4.70% | -15.61% | 12.56% | -43.07% |
| Jan 31, 2012 | -1.55% | 13.00% | 26.80% | — | 15.96% | — | — | 28.35% | 29.52% | 36.92% | — | 1.53% | -15.42% | 10.82% | — |
| Jan 31, 2011 | 5.88% | 12.69% | 26.07% | — | 10.47% | — | — | 26.15% | 38.83% | 33.78% | — | — | — | 13.86% | — |
| Jan 31, 2010 | 8.83% | 12.62% | 26.13% | — | -3.09% | — | — | 24.98% | 38.57% | 33.79% | — | — | — | 13.33% | — |
| Jan 31, 2009 | 5.92% | 11.41% | 23.44% | — | -14.50% | — | — | 21.43% | 34.85% | 35.79% | — | — | — | 15.31% | — |
| Jan 31, 2008 | 2.71% | 11.90% | 28.72% | — | -151.48% | — | — | 21.19% | 37.23% | 34.97% | — | — | — | 16.39% | — |
| Jan 31, 2007 | -0.72% | 11.62% | 27.16% | — | 19.68% | — | — | 23.85% | 36.23% | 33.20% | — | — | — | 9.74% | — |
| Jan 31, 2006 | 6.49% | 10.10% | 21.41% | — | 15.14% | — | — | 23.89% | 37.20% | 32.93% | — | — | — | 2.69% | — |
| Jan 31, 2005 | 3.70% | 12.35% | 37.05% | — | 8.94% | — | — | 25.72% | 36.60% | 34.09% | — | — | — | -5.34% | — |
Based on: 10-K (reporting date: 2026-01-31), 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-01-31), 10-K (reporting date: 2018-01-31), 10-K (reporting date: 2017-01-31), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-01-31), 10-K (reporting date: 2013-01-31), 10-K (reporting date: 2012-01-31), 10-K (reporting date: 2011-01-31), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-01-31), 10-K (reporting date: 2008-01-31), 10-K (reporting date: 2007-01-31), 10-K (reporting date: 2006-01-31), 10-K (reporting date: 2005-01-31).