Twilio Inc. (TWLO) stock — is it a good business?

Twilio Inc. (TWLO) stock — is it a good business? — InspectStocks

Just reported

Q3 2026 results

From Twilio's results release of October 29, 2026; its quarterly report has since been filed.

Revenue
Actual
$1.56B
+20% y/y
+4.0% q/q
Guided
$1.51B
midpoint
Above guide+3.3%
EPS, GAAP
Actual
$1.00
+335% y/y
-85% q/q
Guided
—
No guide given
Operating income, GAAP
Actual
$148.6M
+263% y/y
+76% q/q
Guided
—
No guide given

Company outlook

Q4 2026

Revenue$1.595B – $1.605B+17% y/y First given
EPS, adjusted$1.48 – $1.53First given
Operating income, adjusted$300M – $310MFirst given

Set against the company's own guidance and the same quarter a year earlier, not analysts' estimates, which we do not hold. Adjusted figures are the company's own non-GAAP measures, as stated in the release.

How it makes money

Messaging57%
Programmable Voice12%
Email10%
Segment6%

Shares of revenue are estimates for year ended 2025-12-31, not figures from a filing.

Competes with

SINCHSinch
BANDBandwidth
A
Size
$1.8B
Margin
1.0%
CRMSalesforce
A
Size
$179.3B
Margin
22.0%
BRZEBraze
A
Size
$5.3B
Margin
-13.6%
Infobip

What it sells6

Twilio Programmable Messaging
Software businesses use to send and receive customer messages, including short message service (SMS), multimedia messaging service (MMS), rich communication services (RCS), and messages through apps such as WhatsApp.
Twilio Programmable Voice
Software businesses use to make, manage, and receive phone calls through regular phone networks or the internet, with features such as call recording and automated voice menus.
Twilio SendGrid Email
Email delivery software for messages such as shipping notices, password resets, newsletters, and marketing campaigns.

Show 3 more

Twilio Verify
A service businesses use to confirm that users are who they claim to be, including with one-time codes, push notifications, and passkeys.
Twilio Segment
Software that brings customer information together from websites, apps, and other systems so businesses can build customer profiles and use that information in their business tools.
Twilio Conversations Layer
A set of tools for keeping context about customer conversations, coordinating communications, analyzing conversations, and connecting businesses' artificial intelligence (AI) agents to customers.

Who buys it4

Developers and smaller businesses that sign up themselves, pay in advance or by card, and are charged as they use communications products.
Larger businesses that buy directly from Twilio, often under contracts with minimum spending commitments.
Independent software vendors that build Twilio communications into their own products and may resell those products to their customers.
Nonprofits that buy Twilio products at reduced prices or receive donated products and grants.

What it stands on, and what could break it

What the business leans on

1Twilio relies on mobile carriers, other network providers, and internet service providers to deliver calls and messages; changes in their fees or service quality can affect delivery and costs.
2Twilio depends on cloud infrastructure providers to run its software and on network providers for communications services; in the second quarter of 2026, it wrote down prepaid services it could not use because of problems at two network providers.
3Its services depend on access to phone numbers and compliance with changing telecommunications, privacy, data protection, and communications rules in the countries where it operates.

What could go wrong

1Customers can reduce or stop using Twilio's products, and much of its revenue depends on customer usage; businesses may also choose competing communications or customer engagement software.
2Carrier fee increases, interruptions to network or internet services, and problems at service providers can affect message and call delivery, customer costs, and Twilio's ability to use prepaid services.
3Privacy or security failures, misuse of Twilio to send unwanted or fraudulent messages, and changes in telecommunications or email rules can lead to penalties, legal claims, or lost business.

Full financial statements →

About Twilio Inc.

Twilio sells software that businesses connect to their own apps and websites to communicate with customers by text, phone, email, and other channels. Its application programming interfaces (APIs) let developers add those features, while its other software helps businesses verify users, manage customer information, and coordinate customer conversations. Customers pay based on usage for many communications services, or pay subscriptions for products such as email and customer data software.

Head office: San Francisco, California, United States
Founded: 2008
Employees: 5,587 (December 31, 2025, high)
Listed on: NYSE
Financial year ends: December 31

Built from Twilio Inc.’s own filings with the U.S. Securities and Exchange Commission (SEC). Figures are as reported, with per-share history restated onto today’s share basis. This describes a business — it is not investment advice and not a recommendation to buy or sell anything.

Just reported

Q3 2026 results

From Twilio's results release of October 29, 2026; its quarterly report has since been filed.

Revenue
Actual
$1.56B
+20% y/y
+4.0% q/q
Guided
$1.51B
midpoint
Above guide+3.3%
EPS, GAAP
Actual
$1.00
+335% y/y
-85% q/q
Guided
—
No guide given
Operating income, GAAP
Actual
$148.6M
+263% y/y
+76% q/q
Guided
—
No guide given

Company outlook

Q4 2026

Revenue$1.595B – $1.605B+17% y/y First given
EPS, adjusted$1.48 – $1.53First given
Operating income, adjusted$300M – $310MFirst given

Keep exploring

The themes Twilio is part of, the highest-graded companies in its industry, and the companies in its sector whose grade rose recently.

The theme it is part of

Highest-graded in Software Infrastructure

Graded A or B and worth $2B or more: A first, then the largest.

All 158 graded companies in its industry

Grade rose recently in Technology

Rose to A or B on a filing in the last 90 days, worth $2B or more: largest first.

All grade rises

How it makes money

Messaging57%
Programmable Voice12%
Email10%
Segment6%

Shares of revenue are estimates for year ended 2025-12-31, not figures from a filing.

Competes with

SINCHSinch
BANDBandwidth
A
Size
$1.8B
Margin
1.0%
CRMSalesforce
A
Size
$179.3B
Margin
22.0%
BRZEBraze
A
Size
$5.3B
Margin
-13.6%
Infobip

What it sells6

Twilio Programmable Messaging
Software businesses use to send and receive customer messages, including short message service (SMS), multimedia messaging service (MMS), rich communication services (RCS), and messages through apps such as WhatsApp.
Twilio Programmable Voice
Software businesses use to make, manage, and receive phone calls through regular phone networks or the internet, with features such as call recording and automated voice menus.
Twilio SendGrid Email
Email delivery software for messages such as shipping notices, password resets, newsletters, and marketing campaigns.

Show 3 more

Twilio Verify
A service businesses use to confirm that users are who they claim to be, including with one-time codes, push notifications, and passkeys.
Twilio Segment
Software that brings customer information together from websites, apps, and other systems so businesses can build customer profiles and use that information in their business tools.
Twilio Conversations Layer
A set of tools for keeping context about customer conversations, coordinating communications, analyzing conversations, and connecting businesses' artificial intelligence (AI) agents to customers.

Who buys it4

Developers and smaller businesses that sign up themselves, pay in advance or by card, and are charged as they use communications products.
Larger businesses that buy directly from Twilio, often under contracts with minimum spending commitments.
Independent software vendors that build Twilio communications into their own products and may resell those products to their customers.
Nonprofits that buy Twilio products at reduced prices or receive donated products and grants.

What it stands on, and what could break it

What the business leans on

1Twilio relies on mobile carriers, other network providers, and internet service providers to deliver calls and messages; changes in their fees or service quality can affect delivery and costs.
2Twilio depends on cloud infrastructure providers to run its software and on network providers for communications services; in the second quarter of 2026, it wrote down prepaid services it could not use because of problems at two network providers.
3Its services depend on access to phone numbers and compliance with changing telecommunications, privacy, data protection, and communications rules in the countries where it operates.

What could go wrong

1Customers can reduce or stop using Twilio's products, and much of its revenue depends on customer usage; businesses may also choose competing communications or customer engagement software.
2Carrier fee increases, interruptions to network or internet services, and problems at service providers can affect message and call delivery, customer costs, and Twilio's ability to use prepaid services.
3Privacy or security failures, misuse of Twilio to send unwanted or fraudulent messages, and changes in telecommunications or email rules can lead to penalties, legal claims, or lost business.

Full financial statements →

About Twilio Inc.

Head office: San Francisco, California, United States
Founded: 2008
Employees: 5,587 (December 31, 2025, high)
Listed on: NYSE
Financial year ends: December 31

Q3 2026 results

Revenue

EPS, GAAP

Operating income, GAAP

Company outlook

How it makes money

Competes with

What it sells6

Who buys it4

What it stands on, and what could break it

What the business leans on

What could go wrong

About Twilio Inc.

Q3 2026 results

Revenue

EPS, GAAP

Operating income, GAAP

Company outlook

Keep exploring

The theme it is part of

Highest-graded in Software Infrastructure

Grade rose recently in Technology

How it makes money

Competes with

What it sells6

Who buys it4

What it stands on, and what could break it

What the business leans on

What could go wrong

About Twilio Inc.

Keep exploring

The theme it is part of

Highest-graded in Software Infrastructure

Grade rose recently in Technology

Data & AI software

Twilio Inc.

Earnings & book value — 4 of 5

Business trend

Share price and grade over time

Q3 2026 results

Revenue

EPS, GAAP

Operating income, GAAP

Company outlook

How it makes money

Competes with

What it sells6

Who buys it4

What it stands on, and what could break it

What the business leans on

What could go wrong

About Twilio Inc.

Q3 2026 results

Revenue

EPS, GAAP

Operating income, GAAP

Company outlook

Keep exploring

The theme it is part of

Highest-graded in Software Infrastructure

Grade rose recently in Technology

How it makes money

Competes with

What it sells6

Who buys it4

What it stands on, and what could break it

What the business leans on

What could go wrong

About Twilio Inc.

Keep exploring

The theme it is part of

Highest-graded in Software Infrastructure

Grade rose recently in Technology

Data & AI software

Twilio Inc.

Past performance

Earnings & book value — 4 of 5

Business trend

Share price and grade over time