"Cloudflare posted Q3 revenue of $562 million, beating expectations of $544.9 million and marking 30.7% year-over-year growth. What matters most: this is the second quarter in a row where growth has accelerated. In Q2, the company grew 23% year-over-year. That sequential acceleration signals demand is strengthening, not softening. Gross profit climbed 24.4% to $415.7 million, with gross margin holding steady around 74% of revenue."
"Non-GAAP EPS came in at $0.27, beating the $0.23 consensus estimate by 17%. More importantly, GAAP net loss narrowed dramatically to just $1.3 million from a $15.3 million loss in the prior year. That's a 91.6% improvement on the bottom line. Operating margin on a non-GAAP basis reached 15.3%, a critical threshold for a company that was burning cash just a few years ago. Free cash flow jumped 59.6% year-over-year to $75 million, with a 13% margin on revenue. I'd watch this metric closely."
Cloudflare reported Q3 revenue of $562 million, up 30.7% year-over-year and marking the second consecutive quarter of accelerating growth following 23% in Q2. Gross profit increased 24.4% to $415.7 million with gross margin near 74%. Non-GAAP EPS was $0.27, beating estimates, and GAAP net loss narrowed to $1.3 million from $15.3 million a year earlier. Non-GAAP operating margin reached 15.3%. Free cash flow rose 59.6% to $75 million, a 13% margin, with $4 billion in cash on hand. Q4 revenue guidance is about $588.5–$589.5 million and full-year 2025 revenue guidance sits at $2.142 billion.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]