{
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  "docSlug": "50564f2f1fa5c7922e9c860bacd8e2b7",
  "documentTitle": "Starboard Value | Activist Presentation Deck | 14 slides",
  "authorId": "starboard-value",
  "authorName": "Starboard Value",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "activist_investor",
  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2024-10-01 00:00:00",
  "orientation": "landscape",
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  "pageNumber": 5,
  "pageCount": 14,
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  "slideType": "before_after",
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  "density": "balanced",
  "nDataPoints": 9,
  "notes": "The slide uses a dashed green oval to emphasize the margin expansion delta.",
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  "slideHref": "/slides/019de077-4b92-70ac-96aa-98977f661f33/5",
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  "deckAnchorHref": "/decks/019de077-4b92-70ac-96aa-98977f661f33#slide-5",
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      "kind": "callout",
      "text": "1,000bp+ increase in margins! (3)",
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      "kind": "chart",
      "text": "Salesforce Adjusted Operating Margin (FY2017-FY2025E)",
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      "kind": "disclaimer",
      "text": "Source: Company filings, Capital IQ. Note: Fiscal Year ends January 31. Prior consensus estimates reflect consensus estimates as of October 17, 2022. (1) Represents restated FY2017 results reflecting change to accounting standards under ASC 606. (2) Excludes $166 million loss on settlement of Salesforce.org reseller agreement. (3) Represents increases vs. 22.5% (FY2023 Historical).",
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      "text": "Historical, Guidance, Prior Consensus Estimates (Oct-2022)",
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      "kind": "paragraph",
      "text": "Over the last few years, Salesforce has significantly expanded operating margins, increasing profitability by more than 1,000bps since FY2023.",
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        "x": 0.04,
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      "kind": "title",
      "text": "Since Then, Salesforce Has Undergone a Remarkable Transformation to Increase Its Operating Margins",
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  "metrics": [],
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  "frameworks": [
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      "evidence": "Compares historical performance to recent guidance/estimates to show improvement.",
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      "beatId": "9b30556b-03ef-45ee-b9ca-9de66f333e73",
      "arcName": "The Consultant's Gambit",
      "arcSlug": "consultants-gambit",
      "beatName": "Problem & Complication",
      "beatSlug": "consultants-gambit-problem-complication",
      "evidence": "Slides 4-5 highlight the problem/complication of Salesforce's low operating margins",
      "position": 1,
      "confidence": 0.8,
      "parentBeatName": "Complication",
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      "evidence": "Slides 4-6 present benchmarking data to highlight the gap between Salesforce and its peers",
      "position": 0,
      "objective": "Can Salesforce improve its operational efficiency?",
      "structure": "Our Performance -> Industry Average -> Best-in-Class -> The Gap = The Opportunity",
      "confidence": 0.7,
      "description": "Compare performance against best-in-class to quantify the opportunity"
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      "evidence": "Slides 5-7 show the before-and-after effects of Salesforce's transformation",
      "position": 1,
      "objective": "Has Salesforce made progress in improving its operating margins?",
      "structure": "The Old Way (Pain) -> The Moment of Change -> The New Way (Glory) -> The Measurable Delta",
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      "description": "Show the dramatic contrast between the old way and the new way through side-by-side comparison"
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