Why did Salesforce stock fall after the earnings release?

The stock declined because backlog (cRPO) grew only 10% to $26.4 billion, missing the $26.8 billion consensus.

What is Salesforce's guidance for Q2 2026?

Salesforce expects Q2 revenue of $9.55B-$9.60B and raised its full-year revenue guidance to $39.0B-$39.2B.

What is cRPO in Salesforce's results?

cRPO (Current Remaining Performance Obligations) measures future contracted revenue not yet recognized, indicating expected revenue in coming quarters.

Salesforce Stock Slides on Mixed Q1 Results, Backlog Miss

Salesforce reported better-than-expected Q1 2026 results, but its backlog growth disappointed investors, causing the stock to decline.

By: Wrqti Editorial

May 28, 2026

2 min read

Source: Barrons.com

Key Numbers

revenue

9.45B

eps

2.54

backlog

26.4B

Salesforce (CRM) reported fiscal first-quarter 2026 results that topped Wall Street estimates for revenue and earnings, but the stock slid in after-hours trading as the company's backlog grew less than anticipated.

Key Financial Results

Metric	Q1 2026	Consensus
Revenue	$9.45B	$9.30B
Non-GAAP EPS	$2.54	$2.48
Current Remaining Performance Obligations (cRPO)	$26.4B	$26.8B

Highlights from the Release

The company reported 11% year-over-year revenue growth, driven by demand for AI solutions and its Data Cloud platform. However, cRPO, a key indicator of future revenue, grew only 10% to $26.4 billion, missing the $26.8 billion consensus.

Guidance

For the second quarter, Salesforce expects revenue between $9.55B and $9.60B, compared to the $9.58B consensus. It raised its full-year revenue guidance to a range of $39.0B to $39.2B.

Impact on the Stock

Shares fell approximately 4% in after-hours trading as investors focused on the slower backlog growth despite the headline beats.

What This Means for Investors

The results show Salesforce continues to deliver solid revenue growth, but the backlog miss suggests potential softening in future demand. The key will be whether the company can convert its AI investments into long-term contracts.

Frequently Asked Questions

Salesforce reported revenue of $9.45 billion (above $9.30B consensus) and non-GAAP EPS of $2.54 (above $2.48 consensus).

Found this useful? Share it

This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.