Twilio is a cloud communications company based in San Francisco, California. Twilio allows software developers to programmatically make and receive phone calls and send and receive text messages using its web service APIs.
Twilio (NYSE:TWLO) reported a loss for the quarter, however it was able to top earnings per share estimates, reporting a loss of 8 cents per share, besting the consensus estimate of a 15 cent-per-share loss. Revenues climbed a whopping 70% year-over-year to $64.5 million.
As for expectations, the company guided for Q3 and full-year revenues of $63 million to $65 million and $253 million to $257 million, respectively. As it stands, analysts were looking for $61.14 million in sales for Q3 and $242.37 million for Twilio’s full-year.
Despite these numbers, shares climbed just 1.2% on the day, but that’s certainly what happens when the stock is up almost 200% from its IPO price a few months prior.
Big sales growth and industry-leading customers will help, but trading at 17x revenue is a rather large hurdle to clear. Case in point, the company expects to do about $255 million in sales this year. It’s market cap is ~$3.5 billion.
