Twilio Inc. · NYSE:TWLO
Twilio — Q1 2025 Earnings Presentation
31 slides from Twilio's earnings presentation, May 1, 2025
Slide 1: Q1 2025 Earnings Results
Q1 2025 Earnings Results May 1, 2025 1
Slide 2: Legal Disclaimer
Legal Disclaimer This presentation and the accompanying conference call contain This presentation and the accompanying conference call also contain forward-looking statements within the meaning of the federal securities non-GAAP financial measures. The non-GAAP financial measures, laws, including stat
Slide 3: Financial Overview
€:) twilio Financial Overview
Slide 4: Total Company Results
Total Company Results Q1 2025 $1,172M 12% $602M 51.3% Total Y/Y Revenue Non-GAAP Gross Non-GAAP Gross Revenue Growth Profit Margin $213M $178M 107% 335,000+ Non-GAAP Income Free Cash Dollar-Based Net Active Customer from Operations Flow Expansion Rate Accounts Note: Non-GAAP gross profit, non-GAAP gro
Slide 5: Communications Results
Communications Results Q1 2025 $1,097M 13% $546M 49.8% Y/Y Communications Communications Communications Communications Non-GAAP Gross Non-GAAP Gross Revenue Revenue Growth Profit Margin $277M 25.3% 108% 328,000+ Communications Communications Communications Communications Non-GAAP Income Non-GAAP Doll
Slide 6: Segment Results
Segment Results Q1 2025 $76M 1% $56M 74.0% Segment Segment Y/Y Segment Non-GAAP Gross Non-GAAP Gross Segment Revenue Revenue Growth Profit Margin ($2M) (2.0%) 94% 7,200+ Segment Segment Segment Segment Non-GAAP Loss Non-GAAP Dollar-Based Net Active Customer from Operations Operating Margin Expansion
Slide 7: Q2 2025 & Full Year 2025 Guidance
Q2 2025 & Full Year 2025 Guidance Q2 2025 Guidance: ● Total revenue: $1.180 billion to $1.190 billion, up 9% to 10% year-over-year ● Non-GAAP income from operations: $195 million to $205 million ● Non-GAAP diluted earnings per share1: $0.99 - $1.04 ● Non-GAAP weighted average diluted shares outstand
Slide 8: Quarterly Revenue
Quarterly Revenue Q1’25 Total 12% Revenue Growth Y/Y Q1’25 13% Communications Revenue Growth Y/Y Q1’25 Segment 1% Revenue Growth Y/Y Note: Numbers are rounded to the nearest million (other than percentages). 8
Slide 9: Quarterly Organic Revenue Growth
Quarterly Organic Revenue Growth Q1’25 Organic 12% Revenue Growth Y/Y Note: Organic revenue is a non-GAAP financial measure. See Appendix for non-GAAP definitions and reconciliations. Note: As a full year has elapsed since Twilio’s 2023 divestitures, starting in the third quarter of 2024, reported and
Slide 10: Dollar-Based Net Expansion Rate
Dollar-Based Net Expansion Rate Note: See Appendix for our definition of Dollar-Based Net Expansion Rate. 10
Slide 11: Non-GAAP Gross Profit
Non-GAAP Gross Profit 51% Q1’25 Non-GAAP Gross Margin Note: Non-GAAP gross profit and non-GAAP gross margin are non-GAAP financial measures. See Appendix for non-GAAP definitions and reconciliations. 11
Slide 12: Non-GAAP Income from Operations
Non-GAAP Income from Operations 18% Q1’25 Non-GAAP Operating Margin Note: Non-GAAP income from operations and non-GAAP operating margin are non-GAAP financial measures. See Appendix for non-GAAP definitions and reconciliations. 12
Slide 13: GAAP Income from Operations
GAAP Income from Operations 2% Q1’25 GAAP Operating Margin 13
Slide 14: Stock-Based Compensation Expense
Stock-Based Compensation Expense Q1’25 12% Stock-Based Compensation as a % of Revenue 14
Slide 15: Free Cash Flow
Free Cash Flow 15% Q1’25 Free Cash Flow Margin Note: Free cash flow and free cash flow margin are non-GAAP financial measures. See Appendix for non-GAAP definitions and reconciliations. 15
Slide 16: Q1 2025: Representative Customer Wins
Q1 2025: Representative Customer Wins 16
Slide 17: Top Customer Wins from the Quarter
Top Customer Wins from the Quarter Communications: ● Sierra, which helps businesses create better, more human customer experiences using AI, has become a Twilio customer. They chose Twilio's voice platform to launch their groundbreaking AI agents to the world. ● During the quarter, Twilio signed an
Slide 18: Top Customer Wins from the Quarter (cont.)
Top Customer Wins from the Quarter (cont.) Communications (continued): ● Textus, a SMS engagement company, signed a deal to consolidate all of their messaging traffic onto Twilio while seeking better quality and deliverability. ● Yext is the leading digital presence platform for multi-location brands,
Slide 19: Top Customer Wins from the Quarter (cont.)
Top Customer Wins from the Quarter (cont.) Segment: ● RSG Group, a global fitness company, signed a new multi year deal with Twilio's Segment to improve customer support and marketing by unifying customer profiles into a single source of truth. ● Hargreaves Lansdown, a leading provider of investment s
Slide 20: Thank You
THANK YOU 20
Slide 21: Forward-Looking Statements
Forward-Looking Statements This presentation and the accompanying conference call contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can
Slide 22: Operating Metrics
Operating Metrics We review a number of operational and financial metrics, including Active Customer Accounts and Dollar-Based Net Expansion Rate, to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans and make strategic decisions. These met
Slide 23: Operating Metrics
Operating Metrics Dollar-Based Net Expansion Rate. Our Dollar-Based Net Expansion Rate compares the total revenue from all Active Customer Accounts and customer accounts from Zipwhip in a quarter to the same quarter in the prior year. To calculate the Dollar-Based Net Expansion Rate, we first identif
Slide 24: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to financial information presented in accordance with U.S. generally accepted accounting principles (“GAAP”), this presentation and the accompanying conference call include certain non-GAAP financial measures, including non-GAAP gross profit, non-GAAP gross margi
Slide 25: Non-GAAP Financial Measures
Non-GAAP Financial Measures Non‑GAAP Net Income Attributable to Common Stockholders and Non‑GAAP Net Income Per Share Attributable to Common Stockholders. For the periods presented, we define non-GAAP net income attributable to common stockholders and non‑GAAP net income per share attributable to com
Slide 26: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation (Dollars in thousands, unaudited) Non-GAAP gross profit and Non-GAAP gross margin Revenue GAAP gross profit GAAP gross profit growth (Y/Y) GAAP gross margin Non-GAAP adjustments: Stock-based compensation Amortization of acquired intangibles Payroll taxes re
Slide 27: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation lars in thousands, unaudited) Three Months Ended March 31, June 30, September 30, December 31, March 31, 2024 2024 2024 2024 2025 Non-GAAP income from operations and Non-GAAP operating margin Revenue 1,047,050 1,082,502 1,133,649 1,194,835 1,172,463 GAAP gr
Slide 28: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation (Dollars in thousands, unaudited) Three Months Ended March 31, June 30, September 30, December 31, March 31, 2024 2024 2024 2024 2025 Organic revenue Total revenue BI $ 53 Organic revenue 1,172,463 Revenue growth Organic revenue growth * Q1'23 organic reven
Slide 29: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation (Dollars in thousands, unaudited) Three Months Ended June 30, Free cash flow and free cash flow margin Net cash provided by operating activities 190,123 213,343 Operating cash flow margin 18.2% 19.7% Non-GAAP adjustments: Capitalized software development co
Slide 30: Non-GAAP Financial Measures Reconciliation
Non-GAAP Financial Measures Reconciliation sin tho Three Months Ended March 31, December 31, March 31, 2024 2024 2025 Communications Non-GAAP gross profit and Non-GAAP gross margin Revenue 972,005 $ 1,120,782 1,096,806 Communications GAAP gross profit 488,001 547,988 527,319 Communications GAAP gros
Slide 31: Operating Results by Segment
Operating Results by Segment (Dollars in thousands, unaudited) Operating Results by Segment Revenue Cost of revenue attributable to segments Operating expenses attributable to segments Segment non-GAAP income (loss) from operations Non-GAAP operating margin: Reconciliation of total segment non-GAAP