Akamai Reports Fourth Quarter 2025 and Full-Year 2025 Financial Results

About this update from Akamai Technologies, Inc.

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(NASDAQ: AKAM), the cybersecurity and cloud computing company that powers and protects business online, today reported financial results for the fourth quarter and full-year ended December 31, 2025.","length":286,"tagName":"p"},{"type":"text","content":"“Akamai delivered strong year-end performance, with better-than-expected results on the top and bottom lines. We were particularly pleased to achieve 36% year-over-year revenue growth in Q4 across our Guardicore Segmentation and API Security products, and 45% year-over-year revenue growth for Cloud Infrastructure Services (CIS),” said Dr. Tom Leighton, Akamai’s Chief Executive Officer. “These rapidly growing products are well-positioned to drive faster overall revenue growth for Akamai in the future, with Cloud Infrastructure Services growth, in particular, benefiting from strong customer interest in our new Akamai Inference Cloud and the overall growth of AI applications and agents in the marketplace.”","length":712,"tagName":"p"},{"type":"text","content":"Akamai delivered the following results for the fourth quarter and full-year ended December 31, 2025:","length":105,"tagName":"p"},{"type":"text","content":" Revenue: Revenue for the fourth quarter was $1.095 billion, a 7% increase over fourth quarter 2024 revenue of $1.020 billion and a 6% increase when adjusted for foreign exchange.* Total revenue for 2025 was $4.208 billion compared to $3.991 billion for 2024, up 5% year-over-year and when adjusted for foreign exchange.*","length":320,"tagName":"p"},{"type":"readMore"},{"type":"text","content":" Revenue by solution: ","length":20,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"Security revenue for the fourth quarter was $592 million, up 11% year-over-year and up 9% when adjusted for foreign exchange.* Security revenue for 2025 was $2.243 billion, up 10% year-over-year and up 9% when adjusted for foreign exchange.*","length":241,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"Guardicore Segmentation and API Security revenue for the fourth quarter was $90 million, up 36% year-over-year and up 34% when adjusted for foreign exchange.* Guardicore Segmentation and API Security revenue for 2025 was $293 million, up 43% year-over-year and when adjusted for foreign exchange.*","length":297,"tagName":"p"}]}],"tagName":"ul","bulletedList":true,"length":297,"olType":false}]},{"val":[{"type":"text","content":"Delivery revenue for the fourth quarter was $311 million, down 2% year-over-year and down 3% when adjusted for foreign exchange.* Delivery revenue for 2025 was $1.257 billion, down 5% year-over-year and when adjusted for foreign exchange.*","length":239,"tagName":"p"}]},{"val":[{"type":"text","content":"Cloud computing revenue for the fourth quarter was $191 million, up 14% year-over-year and when adjusted for foreign exchange.* Compute revenue for 2025 was $708 million, up 12% year-over-year and when adjusted for foreign exchange.*","length":233,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"Cloud Infrastructure Services** revenue for the fourth quarter was $94 million, up 45% year-over-year and up 44% when adjusted for foreign exchange.* Cloud Infrastructure Services revenue for 2025 was $314 million, up 36% year-over-year and when adjusted for foreign exchange.*","length":277,"tagName":"p"}]}],"tagName":"ul","bulletedList":true,"length":277,"olType":false}]}],"tagName":"ul","bulletedList":true,"length":1287,"olType":false},{"type":"text","content":" Revenue by geography: ","length":21,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"U.S. revenue for the fourth quarter was $553 million, up 4% year-over-year. U.S. revenue for 2025 was $2.139 billion, up 3% year-over-year.","length":139,"tagName":"p"}]}],"tagName":"ul","bulletedList":true,"length":139,"olType":false},{"type":"list","items":[{"val":[{"type":"text","content":"International revenue for the fourth quarter was $542 million, up 11% year-over-year and up 8% when adjusted for foreign exchange.* International revenue for 2025 was $2.069 billion, up 8% year-over-year and up 7% when adjusted for foreign exchange.*","length":250,"tagName":"p"}]}],"tagName":"ul","bulletedList":true,"length":250,"olType":false},{"type":"text","content":" Restructuring charge: Fourth quarter 2025 GAAP income from operations, GAAP net income, and GAAP EPS in the paragraphs below were affected by the $55 million restructuring charge recognized in the fourth quarter of 2025. This charge primarily related to severance costs in connection with a workforce reduction and impairments of certain intangible assets as the Company continues to strategically align its investments and organizational structure with long-term growth priorities.","length":482,"tagName":"p"},{"type":"text","content":" Income from operations: GAAP income from operations for the fourth quarter was $95 million, a 36% decrease from fourth quarter 2024 income from operations of $148 million. GAAP operating margin for the fourth quarter was 9%, down 6 percentage points from the same period last year. GAAP income from operations for 2025 was $567 million, a 6% increase from the prior year's GAAP income from operations of $533 million. Full-year GAAP operating margin was 13%, flat from the same period last year.","length":499,"tagName":"p"},{"type":"text","content":"Non-GAAP income from operations* for the fourth quarter was $316 million, a 6% increase from fourth quarter 2024 non-GAAP income from operations* of $298 million. Non-GAAP operating margin* for the fourth quarter was 29%, flat from the same period last year. Non-GAAP income from operations* for 2025 was $1.254 billion, a 7% increase from the prior year's non-GAAP income from operations* of $1.167 billion. Full-year non-GAAP operating margin* was 30%, up 1 percentage point from the same period last year.","length":512,"tagName":"p"},{"type":"text","content":" Net income: GAAP net income for the fourth quarter was $85 million, a 39% decrease from fourth quarter 2024 GAAP net income of $140 million. GAAP net income for 2025 was $452 million, a 10% decrease from the prior year's GAAP net income of $505 million.","length":257,"tagName":"p"},{"type":"text","content":"Non-GAAP net income* for the fourth quarter was $270 million, a 6% increase from fourth quarter 2024 non-GAAP net income* of $254 million. Non-GAAP net income* for 2025 was $1,046 million, a 5% increase from the prior year's non-GAAP net income* of $996 million.","length":266,"tagName":"p"},{"type":"text","content":" EPS: GAAP net income per diluted share for the fourth quarter was $0.58, a 36% decrease from fourth quarter 2024 GAAP net income per diluted share of $0.91 and when adjusted for foreign exchange.* GAAP net income per diluted share for 2025 was $3.07, a 6% decrease from the prior year's GAAP net income per diluted share of $3.27 and a 5% decrease when adjusted for foreign exchange.*","length":388,"tagName":"p"},{"type":"text","content":"Non-GAAP net income per diluted share* for the fourth quarter was $1.84, an 11% increase from fourth quarter 2024 non-GAAP net income per diluted share* of $1.66 and when adjusted for foreign exchange.* Non-GAAP net income per diluted share* for 2025 was $7.12, a 10% increase from the prior year's non-GAAP net income per diluted share* of $6.48 and when adjusted for foreign exchange.*","length":391,"tagName":"p"},{"type":"text","content":" Adjusted EBITDA*: Adjusted EBITDA* for the fourth quarter was $458 million, a 7% increase from fourth quarter 2024 Adjusted EBITDA* of $429 million. Adjusted EBITDA* for 2025 was $1.802 billion, a 7% increase from the prior year's Adjusted EBITDA* of $1.682 billion.","length":270,"tagName":"p"},{"type":"text","content":" Supplemental cash information: Cash from operations for the fourth quarter was $367 million, or 33% of revenue. Cash from operations for 2025 was $1.519 billion, or 36% of revenue. Cash, cash equivalents and marketable securities was $1.920 billion as of December 31, 2025.","length":278,"tagName":"p"},{"type":"text","content":" Share repurchases: The Company did not repurchase shares of its common stock in the fourth quarter of 2025. For the full-year 2025, the Company spent $800 million to repurchase 10.0 million shares of its common stock at an average price of $79.77 per share. The Company had 145 million shares of common stock outstanding as of December 31, 2025.","length":350,"tagName":"p"},{"type":"text","content":" Financial guidance: The Company reports the following financial guidance for the first quarter and full year 2026:","length":114,"tagName":"p"},{"type":"table","headerItems":[],"items":[{"val":[{"style":"vertical-align:bottom;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]},{"colspan":"7","style":"border-bottom:solid black 1pt;text-align:center;vertical-align:middle;vertical-align:bottom;","val":[{"type":"text","content":"Three Months Ending March 31, 2026","length":34,"tagName":"p","attribs":{}}]},{"style":"vertical-align:bottom;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]},{"colspan":"7","style":"border-bottom:solid black 1pt;text-align:center;vertical-align:middle;vertical-align:bottom;","val":[{"type":"text","content":"Year Ending December 31, 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