...January 31, 2025 Salesforce's EBITDA expansion and strong free operating cash flow (FOCF) generation provide material flexibility for shareholder returns and tuck-in business acquisitions. Given Salesforce's recurring subscription software revenue base and modest capital expenditures, FOCF growth will continue to support sustainable shareholder returns, including increased repurchases and cash dividends, while preserving a strong balance sheet at the `A+' rating level. We expect Salesforce will generate about $12 billion of annual FOCF in fiscal 2025 and about $15 billion in fiscal 2026. The company has operated at or near a net cash position over the past few years. Salesforce's capital allocation policies focused on shareholder returns will likely consume most of its annual FOCF. The company completed about $19.4 billion of share buybacks under its existing $30 billion authorization as of the third quarter of fiscal 2025 (ending January 2025). In addition to buybacks, Salesforce paid...
