Companies /Technology

Cloudflare Inc - Class A

NYSE: NET Software - Infrastructure
$300.88
▼ $7.35 (−2.38%) today
Markets open · 3:36pm ET

Q3 2025 Earnings

Reported Oct 30, 2025, 4:16pm ET · SEC source
$0.27
Beat +15.34%
EPS · est. $0.23
$562.0M
Beat +3.13%
Revenue · est. $544.9M
−19.6%
Trailing market
NET vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+5%+10%Oct 30Oct 31report 4:16pm ETearnings−0.1%+12.4%
0+5%+10%Oct 30Oct 31earnings−0.1%+12.4%
NET +12.4%S&P 500 −0.1%
0+5%+10%Oct 30Oct 31report 4:16pm ETearnings−0.1%+12.4%
0+5%+10%Oct 30Oct 31earnings−0.1%+12.4%
NET +12.4%NASDAQ −0.1%
−5%0+5%Oct 29Nov 7report 4:16pm ETearnings−1.8%−2.5%
−5%0+5%Oct 29Nov 7earnings−1.8%−2.5%
NET −2.5%S&P 500 −1.8%
−5%0+5%Oct 29Nov 7report 4:16pm ETearnings−3.4%−2.5%
−5%0+5%Oct 29Nov 7earnings−3.4%−2.5%
NET −2.5%NASDAQ −3.4%
+13.84%
Day of report
−2.05%
Next session
−8.09%
One week
−19.32%
30 days

S&P 500 over the same 30 days: +0.27%.

Did NET Beat Earnings? Q3 2025 Results

Cloudflare delivered a strong third quarter, posting non-GAAP EPS of $0.27 against a consensus estimate of $0.23, a beat of 15.34%, while revenue climbed 30.7% year-over-year to $562.03 million, ahead of the $544.95 million Wall Street had expected. The <a href="https://247wallst.com/investing/2025/10/30/cloudflare-net-accelerates-revenue-growth-as-losses-vanish-2/">second consecutive quarter of accelerating growth</a> was underpinned by surging demand signals, with remaining performance obligations expanding 43% year-over-year, a figure that points to a deepening pipeline of contracted future revenue and suggests the momentum is unlikely to fade quickly. Non-GAAP operating margin ticked up to 15.3% from 14.8% a year ago, and GAAP net loss narrowed sharply to just $1.29 million from $15.33 million, reflecting meaningful operating leverage even as stock-based compensation totaled $119.70 million in the period. Looking ahead, Cloudflare guided Q4 revenue to approximately $589 million and raised its full-year 2025 revenue outlook to roughly $2.14 billion, with full-year non-GAAP EPS of $0.91, signaling continued confidence in sustained double-digit growth.

Key Takeaways
  • Revenue growth accelerated for the second consecutive quarter to 31% year-over-year
  • RPO year-over-year growth of 43%
  • Current RPO year-over-year growth of 30%
  • Non-GAAP operating margin expanded to 15.3% from 14.8% year-over-year
  • Free cash flow margin improved to 13% from 11% year-over-year
  • Operating cash flow increased to $167.1 million from $104.7 million year-over-year

“Our excellent third quarter results clearly demonstrate our increasing momentum, with revenue growth accelerating for the second consecutive quarter to 31 percent year-over-year. Great companies innovate and execute, and we continue to deliver on both.”

Cloudflare CEO, on the earnings call

Forward Guidance & Outlook

For Q4 2025, Cloudflare expects revenue of $588.5 to $589.5 million, non-GAAP income from operations of $83.0 to $84.0 million, and non-GAAP net income per share of $0.27 on approximately 377 million diluted shares. For full year 2025, the company expects revenue of $2,142.0 to $2,143.0 million, non-GAAP income from operations of $297.0 to $298.0 million, and non-GAAP net income per share of $0.91 on approximately 370 million diluted shares.

NET YoY Financials

Q3 2025 vs Q3 2024 · SEC filings Q3 2024 Q3 2025
$0$200.0M$400.0M$600.0M$430.1M$562.0MRevenue$334.1M$415.7MGross Profit$-48,001,025$-37,460,000Operating Income$-673,313$-1,290,000Net Income
$0$200.0M$400.0M$600.0MRevenueGross ProfitOperating IncomeNet Income

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