Five9, Inc. (FIVN) Earnings History

Five9, Inc. - Q4 2025 EarningsBeat

Filed at: Feb 19, 2026, 4:07 PM EST|Read from source

EXECUTIVE SUMMARY

Five9 reported strong full-year 2025 results with record revenue and improved profitability, driven by robust subscription and AI revenue growth. The company is well-positioned to capitalize on AI-driven transformations in the CX market, with a new CEO expressing confidence in future growth and profitability.

POSITIVE HIGHLIGHTS

  • •

    Full year 2025 revenue increased 10% to a record $1,149.1 million, up from $1,041.9 million in 2024.

    positive
  • •

    Q4 2025 revenue increased 8% to a record $300.3 million, compared to $278.7 million in Q4 2024.

    positive
  • •

    Q4 2025 Adjusted EBITDA margin was 25.7%, a significant improvement from 23.1% in Q4 2024.

    positive
  • •

    Full year 2025 Adjusted EBITDA margin improved to 23.5% from 18.8% in 2024.

    positive
  • •

    GAAP operating cash flow for 2025 was $226.2 million, a substantial increase from $143.2 million in 2024.

    positive
  • •

    Q4 2025 GAAP operating cash flow was $83.6 million, up from $49.8 million in Q4 2024.

    positive
  • •

    Full year 2025 GAAP net income was $39.4 million, a significant turnaround from a GAAP net loss of $(12.8) million in 2024.

    positive
  • •

    Q4 2025 GAAP net income was $19.7 million, or $0.23 per diluted share, compared to $11.6 million, or $0.13 per diluted share, in Q4 2024.

    positive

CONCERNS & RISKS

  • •

    GAAP gross margin slightly decreased to 55.4% in Q4 2025 from 56.0% in Q4 2024.

    attention
  • •

    Adjusted gross margin slightly decreased to 63.1% in Q4 2025 from 63.5% in Q4 2024.

    attention
  • •

    Non-GAAP net income per diluted share for Q4 2025 was $0.80, a slight decrease from $0.79 in Q4 2024, despite revenue growth.

    attention
  • •

    Full year 2026 revenue guidance range of $1.247 to $1.261 billion implies a growth rate of approximately 8.5% to 9.7%, which is a deceleration from the 10% growth achieved in FY2025.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$300.28M
+7.8%
Prior year: $278.66M
Annual (YTD)
$1.15B
N/A
Prior year: $1.04B
Net Income
Quarterly
$19.71M
+70.3%
Prior year: $11.58M
Annual (YTD)
$39.42M
N/A
Prior year: $-12.79M
EPS (Diluted)
Quarterly
$0.23
+76.9%
Prior year: $0.13
Operating Income
Quarterly
$19.80M
+373.6%
Prior year: $4.18M
Annual (YTD)
$28.85M
N/A
Prior year: $-51.30M
EPS (Basic)
Quarterly
N/A
N/A

MARGIN ANALYSIS

Gross Margin
Current Quarter
55.4%
Prior Year
56.0%
YoY Change
-60 bps
Operating Margin
Current Quarter
6.6%
Prior Year
1.5%
YoY Change
+509 bps
Net Margin
Current Quarter
6.6%
Prior Year
4.2%
YoY Change
+241 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

MANAGEMENT GUIDANCE

FY2026

revenue
$1247000.0B—$1261000.0B
Mid-point: $1254000.0B
GAAP net income per share
$0.86—$0.95
Mid-point: $0.91
Non-GAAP net income per share
$3.15—$3.21
Mid-point: $3.18

Q1 2026

revenue
$296500.0B—$302500.0B
Mid-point: $299500.0B
GAAP net income per share
$0.10—$0.17
Mid-point: $0.14
Non-GAAP net income per share
$0.66—$0.70
Mid-point: $0.68

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

SPECIAL ITEMS & ADJUSTMENTS

FY2025
Gain on early extinguishment of debt
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
FY2025
Impairment charge related to closure of operating lease facilities
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
FY2025
Costs related to reduction in force plans
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
+$8.169M
FY2025
One-time expenses related to strategic consulting services for operational review
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
+$1.265M
FY2025
Other cost-reduction and productivity initiatives
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
+$4.553M
FY2025
Legal fees related to the securities class action
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
+$1.774M
FY2025
Office closure lease termination costs
This item was removed from GAAP net income to arrive at Adjusted EBITDA.
+$0.095M
Total Impact
+$15.856M

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

Five9's end-to-end platform positions us well to lead this new era of AI-powered CX.

— Five9, Inc., Q4 2025 2025 Earnings Call

I'm extremely confident in Amit's leadership as we execute on this opportunity.

— Five9, Inc., Q4 2025 2025 Earnings Call

I look forward to executing our strategy to drive growth, increase profitability, and deliver long-term shareholder value.

— Five9, Inc., Q4 2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Enterprise AI Revenue Growth
50
%
Subscription Revenue Growth
12
%

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.