Companies /Technology

Fastly Inc - Class A

NYSE: FSLY Software - Application
$20.77
▲ $0.34 (+1.67%) today
Markets open · 10:52am ET

Q4 2025 Earnings

Reported Feb 11, 2026, 4:06pm ET · SEC source
$0.12
Beat +109.06%
EPS · est. $0.06
$172.6M
Beat +6.97%
Revenue · est. $161.4M
+52.3%
Beating market
FSLY vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+30%+60%Feb 11Feb 12report 4:06pm ETearnings−1.7%+47.0%
0+30%+60%Feb 11Feb 12earnings−1.7%+47.0%
FSLY +47.0%S&P 500 −1.7%
0+30%+60%Feb 11Feb 12report 4:06pm ETearnings−2.1%+47.0%
0+30%+60%Feb 11Feb 12earnings−2.1%+47.0%
FSLY +47.0%NASDAQ −2.1%
−30%0+30%+60%Feb 10Feb 19report 4:06pm ETearnings−1.2%+50.8%
−30%0+30%+60%Feb 10Feb 19earnings−1.2%+50.8%
FSLY +50.8%S&P 500 −1.2%
−30%0+30%+60%Feb 10Feb 19report 4:06pm ETearnings−1.7%+50.8%
−30%0+30%+60%Feb 10Feb 19earnings−1.7%+50.8%
FSLY +50.8%NASDAQ −1.7%
+72.29%
Day of report
+13.84%
Next session
+12.72%
One week
+50.75%
30 days

S&P 500 over the same 30 days: −1.54%.

Did FSLY Beat Earnings? Q4 2025 Results

Fastly delivered what its CEO called an "inflection in Fastly's growth" in Q4 2025, posting a blowout quarter that beat on every major metric and signaled a genuine profitability turn for the edge cloud company. The company earned $0.12 per diluted share, more than doubling the $0.06 consensus estimate for a 115.44% EPS beat, while revenue climbed 22.8% year over year to $172.61 million against expectations of $161.37 million. The single most compelling driver was a dramatic margin expansion, with GAAP gross margin surging to 61.4% from 53.4% a year ago, helping swing non-GAAP operating income to a positive $21.23 million from a loss of $2.79 million in Q4 2024. Security revenue grew 32% year over year and remaining performance obligations hit a record $353.80 million, up 55%, providing unusually strong forward visibility. Several analysts raised price targets following the report, reflecting confidence in management's full-year 2026 revenue guidance of $700 million to $720 million. The results will sharpen competitive questions across the sector, as <a href="https://247wallst.com/investing/2026/02/10/live-earnings-will-cloudflare-rise-after-q4-earnings-tonight/">rival edge providers face scrutiny</a> over their own growth trajectories.

Key Takeaways
  • 23% year-over-year revenue growth driven by acceleration across all product lines
  • Security revenue grew 32% YoY and now represents 20% of total revenue
  • Record GAAP gross margin of 61.4% and non-GAAP gross margin of 64.0%
  • LTM net retention rate improved to 110% from 106% in Q3 2025
  • Top ten customers grew revenue 28% year-over-year
  • RPO grew 55% year-over-year to a record $353.8 million

“Our fourth quarter results mark an inflection in Fastly's growth as we achieved record revenue, gross margin, and operating profit.”

Fastly CEO, on the earnings call

Forward Guidance & Outlook

For Q1 2026, Fastly guides total revenue of $168.0–$174.0 million, non-GAAP operating income of $14.0–$18.0 million, and non-GAAP net income per diluted share of $0.07–$0.10. For full-year 2026, the company guides total revenue of $700.0–$720.0 million, non-GAAP operating income of $50.0–$60.0 million, and non-GAAP net income per diluted share of $0.23–$0.29 (assuming 175.4 million diluted shares in Q1 and 179.0 million for the full year). Management anticipates continued momentum with AI as an increasing tailwind for the business.

FSLY YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$60.0M$120.0M$180.0M$140.6M$172.6MRevenue$75.1M$106.0MGross Profit$-9,669,978$-15,090,000Operating Income$-10,143,932$-15,505,000Net Income
$0$60.0M$120.0M$180.0MRevenueGross ProfitOperating IncomeNet Income

FSLY Revenue by Segment

Network Services$130.8M+19.0%
Security$35.4M+32.0%
Other (Compute and Observability)$6.4M+78.0%

Figures from SEC filings and company reports. Not investment advice.