Overview
Design platform's Q4 revenue grew 40% yr/yr, beating analyst expectations
Company's net dollar retention rate rose to 136%
Company forecasts 38% yr/yr revenue growth for Q1 2026
Outlook
Figma expects Q1 2026 revenue between $315 mln and $317 mln
Company forecasts full-year 2026 revenue between $1.366 bln and $1.374 bln
Figma projects non-GAAP operating income of $100 mln to $110 mln for 2026
Result Drivers
PLATFORM AND AI ADOPTION - Figma attributed its 40% year-over-year revenue growth to increased platform and AI adoption
CUSTOMER EXPANSION - Net Dollar Retention Rate rose to 136%, indicating strong customer retention and expansion
INTERNATIONAL AND ENTERPRISE GROWTH - Platform-led adoption across enterprise and international customers powered durable growth
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Beat | $303.78 mln | $293.15 mln (9 Analysts) |
Q4 Adjusted Net Income | $43 mln | ||
Q4 Gross Profit | $249.47 mln | ||
Q4 Income From Operations | -$195.50 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for Figma Inc is $48.00, about 107.8% above its February 17 closing price of $23.10
The stock recently traded at 96 times the next 12-month earnings vs. a P/E of 222 three months ago
Press Release: ID:nBw7hybM4a
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)