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Twilio (TWLO) guidance and outlook
Twilio (TWLO) raised its guidance on Oct 29, 2026: Revenue $1.6B for Q4 2026; Revenue +17% to +17.5% for Q4 2026; Operating income $300M–$310M for Q4 2026; EPS $1.48–$1.53 for Q4 2026. Twilio's 10-Q filed Oct 30, 2026 makes 12 forward-looking statements.
Guidance and outlook
Latest guidance
| Metric | Period | Range | Change |
|---|---|---|---|
| Revenue | Q4 2026 | $1.6B | initiated |
| Revenue | Q4 2026 | +17% to +17.5% | initiated |
| Revenue | Q4 2026 | +11% to +12% | initiated |
| Operating income | Q4 2026 | $300M–$310M | initiated |
| EPS | Q4 2026 | $1.48–$1.53 | new |
| Revenue | FY2026 | +20% | raised |
| Revenue | FY2026 | +15% | raised |
| Operating income | FY2026 | $1.2B | raised |
| Free cash flow | FY2026 | $1.2B | raised |
From the earnings release filed Oct 29, 2026 (8-K on EDGAR).
Forward-looking statements, 10-Q filed Oct 30, 2026
- We offer highly customizable communications APIs that enable developers to embed numerous forms of messaging, voice, email, and video interactions into their customer-facing applications, as well as software products that target specific engagement needs, including our digital engagement centers, marketing campaigns, and user authentication and identity solutions.
- To increase revenue and grow market share, we intend to drive product innovation, leverage predictive and generative AI, further enhance our independent software vendor (“ISV”), reseller and other partner relationships, improve our self-service capabilities, cross-sell our products, and expand internationally.
- We also intend to optimize our business and take measures to reduce costs, including simplifying and further automating our business processes, modernizing our infrastructure, leveraging AI, enacting certain workforce planning initiatives, optimizing utilization of our distributed workforce and implementing other initiatives targeted at improving efficiencies in our business.
- Our revenue is primarily derived from usage-based fees, which can lead to variability in our results of operations and at times create differences between our forecasts and actual results.
- Impairment loss on prepaid assets consists of certain losses related to network services we prepaid in prior periods that we will be unable to consume due to operational and financial challenges experienced by two network service providers.
- The period-to-period comparison of our historical results are not indicative of the results that may be expected in the future.
- There can be no assurance that additional credit lines or financing instruments will be available in amounts or on terms acceptable to us, if at all.
- However, our belief may prove to be incorrect, and we could utilize our available financial resources sooner than we currently expect.
- In making that assessment, we consider both positive and negative evidence related to the likelihood of realization of the deferred tax assets to determine, based on the weight of all available evidence, whether it is more-likely-than-not that some or all of our deferred tax assets will be realized.
- We have demonstrated sustained profitability in the U.S. over a cumulative period of three years based on the U.S. pre-tax book income adjusted for permanent book-tax differences, and we expect to continue to sustain this profitability position in the U.S. for the annual period ended December 31, 2026.
- Based on our analysis of all available positive and negative evidence, including the objective and verifiable positive evidence as described above, and anticipated future earnings, in the prior quarter we concluded that it is more likely than not that the majority of our U.S. deferred tax assets were realizable.
- We will continue to maintain a valuation allowance against deferred tax assets where we believe that it is more likely than not that they will not be realized.
Twilio's latest quarter
Twilio, Q3 2026: revenue $1.6B (+20% year over year), operating margin 9.5%, net earnings $161M, operating cash flow $389M. The chart follows the revenue to costs, profit and cash.
Questions
Did Twilio raise or lower its guidance?
Twilio (TWLO) raised its guidance on Oct 29, 2026: Revenue $1.6B for Q4 2026; Revenue +17% to +17.5% for Q4 2026; Operating income $300M–$310M for Q4 2026; EPS $1.48–$1.53 for Q4 2026.
What does Twilio expect?
We offer highly customizable communications APIs that enable developers to embed numerous forms of messaging, voice, email, and video interactions into their customer-facing applications, as well as software products that target specific engagement needs, including our digital engagement centers, marketing campaigns, and user authentication and identity solutions. To increase revenue and grow market share, we intend to drive product innovation, leverage predictive and generative AI, further enhance our independent software vendor (“ISV”), reseller and other partner relationships, improve our s
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.