Fastly, Inc. Q3 2025 Earnings Recap

Fastly delivered a stellar Q3 2025, outperforming revenue and operating profit expectations while achieving record free cash flow, showcasing significant progress in its growth and profitability strategy.

Key Takeaways

• Q3 revenue reached $158.2 million, exceeding guidance and representing a 15% year-over-year growth.
• Gross margin improved to 62.8%, a 380 basis point sequential increase, driven by operational leverage.
• Record operating income of $11.6 million, significantly above the guidance midpoint of $1 million.
• Security revenue surged by 30% year-over-year, buoyed by cross-sell initiatives and strategic multi-product wins.
• Free cash flow achieved a record of $18 million, reflecting disciplined financial management and operational efficiency.