Twilio
TWLO NYSE Systems Software Financials FY2016–FY2025
Twilio's revenue rose 13.7% to $5.1 billion in fiscal 2025. Its operating margin was 3.1%, up from −1.2% a year earlier. Free cash flow was $997 million, up 40.6%. It paid out $869 million in dividends and buybacks, 87% of free cash flow. The diluted share count fell 3.7%.
About these figures. Twilio had no borrowings before it issued convertible notes in May 2018 (its 2017 10-K says it never drew on its credit line), so debt counts as zero in earlier years.
What Twilio does
Twilio sells tools that let businesses add messaging, voice, email and video to their own apps, and software that helps them manage how they talk to customers. Developers use its application programming interfaces (APIs), the code links that connect one program to another, to send texts, make calls and send email. It also sells products for contact centers, marketing campaigns, and user sign-in and identity checks, and a customer data product called Segment.
Twilio earns money from both usage-based and subscription fees. Messaging, Voice, and User Authentication and Identity revenue is mostly recognized by usage. Email and Segment revenue is mostly recognized by subscription. Revenue is seasonal, rising in the fourth quarter with more consumer activity. At the end of 2025 it had over 402,000 Active Customer Accounts, from small and medium-sized businesses to large enterprises. It says its growth has mostly come from winning new customers and from customers using its products more.
Twilio says its competitors are mainly other communications platform-as-a-service companies, regional network service providers, and customer relationship management and customer experience software vendors. At the end of 2025 it had 5,587 employees, 2,738 of them outside the United States.
- Legal name
- TWILIO INC.
- Fiscal year ends
- December 31, 2025
- Latest annual report
- 10-K · Feb 24, 2026
- Accession · CIK
- 0001447669-26-000021
0001447669
Revenue and margins
Twilio had $5.1B of revenue in fiscal 2025, up 13.7% on the year before.
Net income and earnings per share
Loss periods are shown in red.
Returns on capital
After-tax operating income as a share of the money invested in the business: debt plus equity, minus cash.
Cash flow
Free cash flow was $997M in fiscal 2025, 19.7% of revenue. Cash from operations minus capital spending.
Dividends, buybacks and share count
Twilio returned $869M to shareholders in fiscal 2025, 87% of free cash flow. The diluted share count fell 3.7%.
Value Twilio yourself
Change the assumptions and see what they imply per share. These are models, not forecasts or price targets — the answer depends entirely on what you put in.
Discounted cash flow
Value per share
—
Adds net cash of $1.5B and divides by 159.8M diluted shares. Ten years of cash flows plus a terminal value, discounted to today.
Earnings multiple
Value per share
—
Reference multiples: today 36.4x · peers 39.1x · sector 33.0x.
Balance sheet
Cash, debt and the ratios that show how comfortably Twilio can carry it.
| Fiscal year end | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Cash and short-term investments | $5.4B | $4.2B | $4.0B | $2.4B | $2.5B |
| Debt incl. finance leases | $1.0B | $1.0B | $1.0B | $991M | $992M |
| Net debt / EBITDA | — | — | — | −9.2x | −4.2x |
| Debt / equity | 0.1x | 0.1x | 0.1x | 0.1x | 0.1x |
| Interest coverage | −44.4x | −32.1x | −22.8x | −1.4x | 4.2x |
| Current ratio | 8.4x | 6.2x | 6.6x | 4.2x | 4.0x |
| Quick ratio | 8.4x | 6.2x | 6.6x | 4.2x | 4.0x |
| Total assets | $13.0B | $12.6B | $11.6B | $9.9B | $9.8B |
| Total liabilities | $2.0B | $2.0B | $1.9B | $1.9B | $1.9B |
| Shareholders' equity | $11.0B | $10.6B | $9.7B | $8.0B | $7.8B |
| Net debt (− = net cash) | −$4.3B | −$3.1B | −$3.0B | −$1.4B | −$1.5B |
Insider trades
Open-market purchases and sales by officers, directors and 10% owners, from Form 4 filings. 'Plan' marks trades under a pre-arranged Rule 10b5-1 plan.
Bought, 12 months
$0.0M
0 insiders
Sold, 12 months
$156M
4 insiders
Of sales under plans
13%
$20.7M
| Date | Insider | Trade | Shares | Price | Value | Filing |
|---|---|---|---|---|---|---|
| Oct 5, 2026 | Khozema ShipchandlerChief Executive Officer, Director | Sold plan | 14,442 | $291.03 | $4.2M | Form 4 |
| Sep 30, 2026 | Aidan ViggianoChief Financial Officer | Sold | 9,084 | $294.65 | $2.7M | Form 4 |
| Sep 30, 2026 | Khozema ShipchandlerChief Executive Officer, Director | Sold | 13,898 | $294.08 | $4.1M | Form 4 |
| Aug 17, 2026 | Aidan ViggianoChief Financial Officer | Sold | 1,394 | $234.48 | $0.3M | Form 4 |
| Aug 12, 2026 | Scott D. FergusonSee Footnotes | Sold | 500,000 | $247.08 | $124M | Form 4 |
| Aug 10, 2026 | Erika RottenbergDirector | Sold plan | 3,500 | $251.82 | $0.9M | Form 4 |
| Jul 6, 2026 | Khozema ShipchandlerChief Executive Officer, Director | Sold plan | 14,458 | $210.43 | $3.0M | Form 4 |
| Jul 2, 2026 | Aidan ViggianoChief Financial Officer | Sold plan | 8,528 | $205.43 | $1.8M | Form 4 |
| Jun 30, 2026 | Aidan ViggianoChief Financial Officer | Sold | 9,093 | $201.25 | $1.8M | Form 4 |
| Jun 30, 2026 | Khozema ShipchandlerChief Executive Officer, Director | Sold | 13,881 | $201.26 | $2.8M | Form 4 |
| Jun 4, 2026 | Khozema ShipchandlerChief Executive Officer, Director | Sold plan | 44,158 | $235.88 | $10.4M | Form 4 |
| Jun 1, 2026 | Erika RottenbergDirector | Sold plan | 2,000 | $199.01 | $0.4M | Form 4 |
Piotroski F-score
Nine pass/fail tests of profitability, funding and efficiency. 8–9 is strong, 0–2 weak.
| Test | FY23 | FY24 | FY25 |
|---|---|---|---|
| Net income is positive | ✕ | ✕ | ✓ |
| Cash from operations is positive | ✓ | ✓ | ✓ |
| Return on assets rose | ✓ | ✓ | ✓ |
| Cash from operations exceeds net income | ✓ | ✓ | ✓ |
| Debt fell relative to assets | ✕ | ✕ | ✕ |
| Current ratio rose | ✓ | ✕ | ✕ |
| Share count didn't rise | ✕ | ✓ | ✓ |
| Gross margin rose | ✓ | ✓ | ✕ |
| Revenue rose relative to assets | ✓ | ✓ | ✓ |
| F-score | 6 / 9 | 6 / 9 | 6 / 9 |
| Accruals ratio | −11.8% | −7.7% | −9.9% |
| Altman Z'' | 5.87 | 3.59 | 3.34 |
Similar companies
Each company's latest fiscal year. Fiscal years end in different months, so periods don't line up exactly.
| Company | Market cap | Growth | Op. margin | FCF margin | ROIC | P/E | F-score | |
|---|---|---|---|---|---|---|---|---|
| Twilio TWLO | $41.8B | 13.7% | 3.1% | 19.7% | 1.5% | 36.4x | 6 | |
| Gen Digital GEN | $15.0B | 27.1% | 42.4% | 30.5% | 13.7% | 14.6x | 7 | Compare → |
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| Fortinet FTNT | $133.2B | 14.2% | 30.7% | 32.7% | — | 63.6x | 5 | Compare → |
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10 years of figures
US$ millions unless stated. Hover a ratio's name for its definition.
| Fiscal year | FY16 | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Income statement | ||||||||||
| Revenue | $277M | $399M | $650M | $1.1B | $1.8B | $2.8B | $3.8B | $4.2B | $4.5B | $5.1B |
| Gross profit | $157M | $216M | $349M | $609M | $916M | $1.4B | $1.8B | $2.0B | $2.3B | $2.5B |
| Research and development | $77.9M | $121M | $171M | $391M | $531M | $789M | $1.1B | $943M | $1.0B | $1.0B |
| Operating income | −$41.3M | −$66.1M | −$115M | −$370M | −$493M | −$916M | −$1.2B | −$877M | −$53.7M | $158M |
| Interest expense | — | — | — | — | — | $20.6M | $37.5M | $38.4M | $37.9M | $37.6M |
| Pretax income | −$41.0M | −$63.0M | −$121M | −$362M | −$504M | −$961M | −$1.2B | −$997M | −$88.6M | $55.1M |
| Income tax | $0.3M | $0.7M | $0.8M | −$55.2M | −$13.4M | −$11.0M | $12.5M | $18.7M | $20.8M | $21.3M |
| Net income | −$41.3M | −$63.7M | −$122M | −$307M | −$491M | −$950M | −$1.3B | −$1.0B | −$109M | $33.8M |
| Diluted EPS | −$0.78 | −$0.70 | −$1.26 | −$2.36 | −$3.35 | −$5.45 | −$6.86 | −$5.54 | −$0.66 | $0.21 |
| Diluted shares | 0.05B | 0.09B | 0.10B | 0.13B | 0.15B | 0.17B | 0.18B | 0.18B | 0.17B | 0.16B |
| Cash flow | ||||||||||
| Cash from operations | $10.1M | −$3.3M | $8.0M | $14.0M | $32.7M | −$58.2M | −$254M | $415M | $716M | $1.0B |
| Capital expenditure | $14.2M | $9.2M | $5.1M | $45.4M | $25.8M | $46.0M | $34.4M | $11.3M | $7.0M | $5.8M |
| Free cash flow | −$4.1M | −$12.5M | $2.9M | −$31.3M | $6.9M | −$104M | −$289M | $403M | $709M | $997M |
| Depreciation and amortization | $8.3M | $18.8M | $26.1M | $110M | $150M | $258M | $279M | $284M | $206M | $195M |
| Stock-based compensation | $24.2M | $49.6M | $93.3M | $264M | $361M | $632M | $799M | $676M | $617M | $600M |
| Acquisitions | $8.5M | $22.6M | $30.6M | $123M | $334M | $492M | $37.4M | $5.8M | $0.0M | $61.5M |
| Share buybacks | $0.0M | $0.1M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $669M | $2.3B | $869M |
| Dividends paid | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M |
| Dividends and buybacks | $0.0M | $0.1M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $669M | $2.3B | $869M |
| Balance sheet | ||||||||||
| Cash and short-term investments | $306M | $291M | $748M | $1.9B | $3.0B | $5.4B | $4.2B | $4.0B | $2.4B | $2.5B |
| Total debt | $0.0M | $0.0M | $435M | $458M | $302M | $986M | $987M | $989M | $991M | $992M |
| Finance lease liabilities | $0.0M | $0.0M | $0.0M | $15.7M | $26.9M | $37.5M | $33.2M | $17.7M | $0.0M | $0.0M |
| Current assets | $353M | $353M | $873M | $2.1B | $3.4B | $5.9B | $5.0B | $4.9B | $3.4B | $3.6B |
| Current liabilities | $73.7M | $78.5M | $138M | $247M | $448M | $704M | $808M | $738M | $820M | $887M |
| Inventory | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M | $0.0M |
| Property and equipment, net | $37.6M | $50.5M | $63.5M | $141M | $183M | $255M | $264M | $210M | $191M | $177M |
| Total assets | $413M | $450M | $1.0B | $5.2B | $9.5B | $13.0B | $12.6B | $11.6B | $9.9B | $9.8B |
| Total liabilities | $83.2M | $89.9M | $591M | $871M | $1.0B | $2.0B | $2.0B | $1.9B | $1.9B | $1.9B |
| Shareholders' equity | $329M | $360M | $438M | $4.3B | $8.5B | $11.0B | $10.6B | $9.7B | $8.0B | $7.8B |
| Margins | ||||||||||
| Gross margin | 56.5% | 54.2% | 53.7% | 53.7% | 52.0% | 48.9% | 47.4% | 49.2% | 51.1% | 48.9% |
| Operating margin | −14.9% | −16.6% | −17.7% | −32.6% | −28.0% | −32.2% | −31.5% | −21.1% | −1.2% | 3.1% |
| EBITDA margin | −11.9% | −11.9% | −13.7% | −22.9% | −19.5% | −23.1% | −24.2% | −14.3% | 3.4% | 7.0% |
| Net margin | −14.9% | −16.0% | −18.8% | −27.1% | −27.9% | −33.4% | −32.8% | −24.5% | −2.5% | 0.7% |
| FCF margin | −1.5% | −3.1% | 0.4% | −2.8% | 0.4% | −3.7% | −7.6% | 9.7% | 15.9% | 19.7% |
| Returns | ||||||||||
| Return on capital | — | −112.6% | −94.2% | −19.3% | −9.0% | −11.6% | −13.5% | −9.8% | −0.6% | 1.5% |
| Return on capital employed | −18.1% | −18.6% | −18.3% | −12.8% | −7.1% | −8.6% | −10.0% | −7.8% | −0.5% | 1.8% |
| Return on equity | −18.5% | −18.5% | −30.6% | −13.0% | −7.7% | −9.8% | −11.6% | −10.0% | −1.2% | 0.4% |
| Return on assets | −14.5% | −14.8% | −16.5% | −9.9% | −6.7% | −8.5% | −9.8% | −8.4% | −1.0% | 0.3% |
| Growth | ||||||||||
| Revenue growth | 66.2% | 43.9% | 62.9% | 74.5% | 55.3% | 61.3% | 34.6% | 8.6% | 7.3% | 13.7% |
| FCF growth | — | — | — | −1,189.8% | — | −1,622.0% | — | — | 75.8% | 40.6% |
| Share count change | 199.3% | 71.7% | 6.5% | 33.9% | 12.8% | 18.7% | 5.1% | 0.2% | −9.5% | −3.7% |
| Financial health | ||||||||||
| Net debt / EBITDA | — | — | — | — | — | — | — | — | −9.2x | −4.2x |
| Debt / equity | 0.0x | 0.0x | 1.0x | 0.1x | 0.0x | 0.1x | 0.1x | 0.1x | 0.1x | 0.1x |
| Interest coverage | — | — | — | — | — | −44.4x | −32.1x | −22.8x | −1.4x | 4.2x |
| Current ratio | 4.8x | 4.5x | 6.3x | 8.3x | 7.5x | 8.4x | 6.2x | 6.6x | 4.2x | 4.0x |
| Quick ratio | 4.8x | 4.5x | 6.3x | 8.3x | 7.5x | 8.4x | 6.2x | 6.6x | 4.2x | 4.0x |
| Capital allocation | ||||||||||
| Capex / revenue | 5.1% | 2.3% | 0.8% | 4.0% | 1.5% | 1.6% | 0.9% | 0.3% | 0.2% | 0.1% |
| Stock comp / revenue | 8.7% | 12.4% | 14.4% | 23.3% | 20.5% | 22.3% | 20.9% | 16.3% | 13.8% | 11.9% |
| Payouts / FCF | — | — | 0.0% | — | 0.0% | — | — | 165.8% | 329.1% | 87.1% |
| Quality scores | ||||||||||
| Piotroski F-score | — | 2.0 | 4.0 | 4.0 | 4.0 | 2.0 | 3.0 | 6.0 | 6.0 | 6.0 |
| Altman Z'' | 6.5 | 5.4 | 3.5 | 6.6 | 9.9 | 7.5 | 6.2 | 5.9 | 3.6 | 3.3 |
| Accruals ratio | −18.0% | −14.0% | −17.6% | −10.4% | −7.2% | −7.9% | −7.8% | −11.8% | −7.7% | −9.9% |
Source: SEC EDGAR XBRL filings (CIK 0001447669). Data updated October 9, 2026. Quarterly fourth quarters are the full year minus the first nine months. For information only — not investment advice. Check the original filings before relying on any figure.