Shares of Five9 (NASDAQ: FIVN) surged 6.78% in Friday's trading session following the cloud software provider's impressive third-quarter 2025 financial results, announcement of a share repurchase program, and raised full-year guidance.
Five9 reported Q3 revenue of $285.8 million, slightly beating analysts' expectations of $285 million and representing an 8.2% increase from the same period last year. The company's adjusted EBITDA reached a record 25.1% of revenue, up from 19.8% in the previous year. Investors were particularly encouraged by Five9's strong performance in its Enterprise AI segment, which saw revenue growth of 41% year-over-year, contributing significantly to the overall revenue growth.
Adding to the positive sentiment, Five9 announced a $150 million share repurchase program, signaling confidence in its financial position and commitment to delivering shareholder value. The company also raised its full-year 2025 earnings per share guidance to $2.92-$2.96, up from the previous range of $2.86-$2.90, surpassing the consensus estimate of $2.89. While Five9 slightly narrowed its full-year revenue outlook to $1.1435-$1.1495 billion, the guidance still demonstrates continued growth expectations despite economic uncertainties.