Klaviyo Reports Strong Q1 2025 Revenue Growth

Klaviyo, Inc. Class A ( (KVYO) ) has released its Q1 earnings. Here is a breakdown of the information Klaviyo, Inc. Class A presented to its investors.

Klaviyo, Inc., a leading CRM platform for consumer brands, specializes in marketing automation, analytics, and customer service, providing businesses with AI-powered tools to enhance customer relationships and drive growth. In its first quarter of 2025, Klaviyo reported a significant revenue increase of 33% year-over-year, reaching $279.8 million. The company also raised its full-year revenue guidance, projecting growth between 25% and 26%. This performance underscores Klaviyo’s strong market position and its ability to attract and retain a growing customer base, including notable brands like The Hershey Company and Belkin.

Key financial metrics from the quarter highlight Klaviyo’s robust growth trajectory. The company achieved a gross profit of $212.1 million with a gross margin of 76%, while its non-GAAP operating income stood at $32.4 million, reflecting a 12% non-GAAP operating margin. Despite an operating loss of $23.8 million, Klaviyo’s non-GAAP net income per share was $0.15, indicating strong operational efficiency. The company also reported a free cash flow of $6.6 million, showcasing its capability to generate cash even as it invests in growth initiatives.

Strategically, Klaviyo has expanded its customer base to over 169,000, with a notable increase in large customers generating over $50,000 in annual recurring revenue, which grew by 40% year-over-year. The introduction of new products like Marketing Analytics and Customer Hub further strengthens its CRM offering, positioning Klaviyo as a critical partner for brands seeking personalized consumer engagement.

Looking ahead, Klaviyo’s management remains optimistic about the company’s growth prospects, supported by its innovative product offerings and expanding customer base. The raised revenue guidance for fiscal year 2025 reflects confidence in sustaining its growth momentum and delivering value to its shareholders.