Twilio Exceeds Q1 Earnings Expectations, Boosts 2025 Revenue Targets

Twilio reported strong first-quarter 2025 results, with adjusted earnings per share of $1.14 and revenues of $1.17 billion, both surpassing analyst expectations and marking a 12% year-over-year revenue increase. The company also raised its full-year 2025 guidance, now expecting organic revenue growth of 7.5% to 8.5% and free cash flow between $850 million and $875 million. Operating discipline and increased focus have contributed to Twilio's improved performance, as highlighted by its CEO. Following the positive earnings, Twilio's stock jumped over 8%, with analyst consensus maintaining an 'Outperform' rating and setting a one-year average price target of $123.71, suggesting significant upside potential. However, some valuation models, such as GuruFocus' GF Value, indicate the stock may be slightly overvalued at current prices. Twilio continues to demonstrate momentum with rising customer accounts and ongoing innovation while repurchasing shares to boost shareholder value.