Twilio

TWLO Q3 2025 Earnings

Reported Oct 30, 2025 at 4:09 PM ET · SEC Source

Q3 25 EPS

$1.25

BEAT +17.00%

Est. $1.07

Q3 25 Revenue

$1.30B

BEAT +3.83%

Est. $1.25B

vs S&P Since Q3 25

+45.9%

BEATING MARKET

TWLO +51.5% vs S&P +5.7%

Market Reaction

Did TWLO Beat Earnings? Q3 2025 Results

Twilio closed out Q3 2025 with a record-setting quarter, delivering non-GAAP diluted EPS of $1.25 against a consensus estimate of $1.07, a 17.00% beat, while revenue of $1.30 billion topped expectations by 3.83% and grew 14.7% year-over-year. The hea… Read more Twilio closed out Q3 2025 with a record-setting quarter, delivering non-GAAP diluted EPS of $1.25 against a consensus estimate of $1.07, a 17.00% beat, while revenue of $1.30 billion topped expectations by 3.83% and grew 14.7% year-over-year. The headline driver behind the outperformance was broad-based customer growth, with active accounts surging to over 392,000 from 320,000 a year earlier, and a Dollar-Based Net Expansion Rate improving to 109%, signaling that existing customers are spending meaningfully more on the platform. The company also swung to GAAP operating profitability, posting $40.95 million in income from operations, a $46.00 million swing from the year-ago loss, while free cash flow reached $247.52 million at a 19% margin. Morgan Stanley maintained its Buy rating following the results, reflecting growing institutional confidence in Twilio's trajectory. Looking ahead, the company raised its full-year 2025 revenue growth guidance to 12.4%-12.6% and lifted non-GAAP operating income guidance to $900-$910 million, underscoring management's confidence in sustained demand across its communications platform.

Key Takeaways

  • Broad-based strength across customer segments including startups, enterprises, and ISVs
  • Dollar-Based Net Expansion Rate improved to 109% from 105% year-over-year
  • Active Customer Accounts grew to over 392,000 from 320,000 year-over-year
  • Organic revenue growth of 13% year-over-year
  • Non-GAAP operating margin expansion to 18.0% from 16.1% year-over-year
24/7 Wall St

TWLO YoY Financials

Q3 2025 vs Q3 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 record quarter of revenue and non-GAAP income from operations and as a result, we've raised our revenue, profitability and free cash flow targets for the full year.”

— Khozema Shipchandler, Q3 2025 Earnings Press Release