Q2 26 EPS Adjusted
$1.47
BEAT +11.06%
Est. $1.32
Q2 26 Revenue
$1.50B
BEAT +4.82%
Est. $1.43B
Market Reaction
Did TWLO Beat Earnings? Q2 2026 Results
Twilio posted a standout second quarter for fiscal 2026, beating Wall Street on both the top and bottom lines and raising its full-year outlook in a sign that its growth acceleration is holding. The company reported adjusted EPS of $1.47, beating the… Read more Twilio posted a standout second quarter for fiscal 2026, beating Wall Street on both the top and bottom lines and raising its full-year outlook in a sign that its growth acceleration is holding. The company reported adjusted EPS of $1.47, beating the $1.32 consensus by 11.06%, extending its streak of consensus EPS beats to five consecutive quarters. Revenue came in at $1.50 billion, up 22.0% year-over-year and 4.82% ahead of estimates, with organic growth of 17% representing a meaningful step up from the high-single-digit to low-double-digit organic rates Twilio had been tracking in prior periods. Free cash flow surged to $352.64 million, or a 24% margin, while the Dollar-Based Net Expansion Rate climbed to 116% from 108% a year ago, reflecting healthy customer upsell momentum. Looking ahead, Twilio raised its full-year reported revenue growth outlook to 18%-18.5% from a prior 14%-15%, and lifted its non-GAAP operating income target to $1.14-$1.16 billion, signaling that management sees the stronger growth trajectory as durable rather than a one-quarter anomaly.
Key Takeaways
- • Organic revenue growth accelerated to 17% year-over-year
- • Dollar-Based Net Expansion Rate improved to 116% from 108% a year ago
- • Non-GAAP operating margin expanded to 19% from 18% year-over-year
- • Free cash flow margin improved to 24% from 21% year-over-year
- • Stock-based compensation as a percentage of revenue declined to 9.5% from 12.1%
TWLO Forward Guidance & Outlook
For Q3 2026, Twilio guided revenue of $1.505–$1.515 billion (16%–16.5% reported growth, 11%–12% organic growth YoY), non-GAAP operating income of $285–$295 million, and non-GAAP diluted EPS of $1.42–$1.47 based on 160 million diluted shares. For full-year 2026, Twilio raised its outlook: reported revenue growth of 18%–18.5% (up from 14%–15%), organic revenue growth of 13%–13.5% (up from 9.5%–10.5%), non-GAAP operating income of $1.135–$1.155 billion (up from $1.08–$1.10 billion), and free cash flow of $1.135–$1.155 billion (up from $1.08–$1.10 billion). Non-GAAP gross profit growth is expected to track similar to organic revenue growth.
TWLO YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
TWLO Revenue by Segment
With YoY comparisons, source: SEC Filings
“We are in a powerful new chapter at Twilio, marked by another quarter of organic growth acceleration as well as record profitability and free cash flow.”
— Khozema Shipchandler, Q2 2026 Earnings Press Release
TWLO Earnings Trends
TWLO vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
TWLO EPS Trend
Earnings per share: estimate vs actual
TWLO Revenue Trend
Quarterly revenue: estimate vs actual
TWLO Quarterly Results
7 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT | $1.32 | $1.47 | +11.06% | $1.50B | +4.82% |
| Q1 26 BEAT | $1.27 | $1.50 | +17.82% | $1.41B | +4.54% |
| Q4 25 BEAT FY | $1.23 | $1.33 | +8.15% | $1.37B | +3.72% |
| FY Full Year | $4.79 | $4.89 | +2.04% | $5.07B | +0.97% |
| Q3 25 BEAT | $1.07 | $1.25 | +17.00% | $1.30B | +3.83% |
| Q2 25 BEAT | $1.05 | $1.19 | +13.26% | $1.23B | +3.54% |
| Q1 25 BEAT | $0.96 | $1.14 | +18.59% | $1.17B | +2.98% |
| Q4 24 MISS FY | $1.03 | $1.00 | -3.21% | $1.19B | +1.07% |
| FY Full Year | $3.69 | $3.67 | -0.51% | $4.46B | +0.33% |