Twilio

TWLO Q1 2025 Earnings

Reported May 1, 2025 at 4:09 PM ET · SEC Source

Q1 25 EPS

$1.14

BEAT +18.59%

Est. $0.96

Q1 25 Revenue

$1.17B

BEAT +2.98%

Est. $1.14B

vs S&P Since Q1 25

+44.6%

BEATING MARKET

TWLO +71.7% vs S&P +27.2%

Market Reaction

Did TWLO Beat Earnings? Q1 2025 Results

Twilio kicked off 2025 with a decisive beat on both top and bottom lines, reinforcing the narrative that its push toward operational discipline is beginning to pay off. The cloud communications company posted first-quarter revenue of $1.17 billion, u… Read more Twilio kicked off 2025 with a decisive beat on both top and bottom lines, reinforcing the narrative that its push toward operational discipline is beginning to pay off. The cloud communications company posted first-quarter revenue of $1.17 billion, up 12% year-over-year and ahead of the $1.14 billion consensus estimate by 2.98%, while non-GAAP diluted EPS of $1.14 cleared the $0.96 consensus by 18.59%, helped in large part by the Communications segment, which alone generated $1.10 billion in revenue, up 13% year-over-year. The quarter also marked a meaningful profitability milestone, with GAAP operating income swinging to $23.08 million from a loss a year earlier. Active customer accounts grew to over 335,000, and the Dollar-Based Net Expansion Rate climbed to 107% from 102%, signaling healthier retention and upsell momentum. Buoyed by the results, Twilio raised its full-year organic revenue growth outlook to 7.5%–8.5% and lifted its free cash flow guidance to $850–$875 million, while guiding Q2 revenue to $1.18–$1.19 billion.

Key Takeaways

  • Revenue growth acceleration to 12% YoY driven by Communications segment growing 13%
  • Dollar-Based Net Expansion Rate improved to 107% from 102% YoY
  • Active Customer Accounts grew to over 335,000 from 313,000 YoY
  • Non-GAAP operating margin expanded to 18.2% from 15.2% YoY
  • Operational discipline, rigor, and focus driving improved profitability
24/7 Wall St

TWLO YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

TWLO Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 24 Q1 25

“Twilio saw another quarter of revenue growth acceleration and double-digit growth, illustrating that our commitment to operating with more discipline, rigor, and focus is paying off. I'm encouraged by the momentum we've established to start the year. Going forward, we'll continue to focus on what's in our control and will deliver further innovation on behalf of our customers who rely on Twilio to drive amazing experiences for their end users.”

— Khozema Shipchandler, Q1 2025 Earnings Press Release