Fastly, Inc. Reports Record Revenue and Positive Cash Flow

Fastly, Inc ( (FSLY) ) has released its Q1 earnings. Here is a breakdown of the information Fastly, Inc presented to its investors.

Fastly, Inc. is a prominent player in the global edge cloud platform industry, providing solutions that enhance the performance, security, and observability of digital experiences for major brands worldwide. The company recently reported its financial results for the first quarter of 2025, showcasing a record revenue of $144.5 million, which exceeded its guidance range and marked an 8% year-over-year growth. Fastly also achieved positive free cash flow of $8.2 million, a significant improvement from the negative cash flow in the same period last year.

Key financial metrics from the report include a GAAP gross margin of 53.2% and a non-GAAP gross margin of 57.3%, both slightly lower than the previous year. The company’s GAAP operating loss was reduced to $38.2 million from $46.3 million, while the non-GAAP operating loss improved to $5.8 million from $8.5 million. Fastly’s net loss per share also saw a reduction, with GAAP net loss per share at $0.27 compared to $0.32 last year.

Strategically, Fastly made significant strides in its product offerings, with new releases in security and compute, contributing to a diversified revenue mix. The company reported a 7% growth in both network services and security revenues, while other revenue categories saw a substantial 64% increase. Fastly’s enterprise customer base expanded to 595, and the top ten customers accounted for a smaller percentage of total revenue, indicating a broadening customer base.

Looking ahead, Fastly has raised its financial guidance for 2025, anticipating continued improvements in financial performance driven by recent platform enhancements. The company remains focused on delivering lasting shareholder returns through strategic growth and innovation in its product offerings.