Press Release: Q4 Earnings and Full Year 2016 Results

• Q4 Total Revenue of $82.0 million, up 60% year-over-year
• Q4 Base Revenue of $75.2 million, up 73% year-over-year
• Q4 Dollar-Based Net Expansion Rate of 155%

SAN FRANCISCO--(BUSINESS WIRE)-- Twilio Inc. (NYSE: TWLO), the leading Cloud Communications Platform company, today reported financial results for its fourth quarter and full year ended December 31, 2016.

“Our fourth quarter and full year results demonstrate the power of our platform business model that starts with developers and extends to some of the largest enterprises in the world,” said Jeff Lawson, Twilio’s Co-Founder and Chief Executive Officer. “As we look into 2017, we will continue to invest in innovation and growth with the goal of powering the software-based future of communications.”

Fourth Quarter 2016 Financial Highlights

- Total revenue of $82.0 million for the fourth quarter of 2016, up 60% from the fourth quarter of 2015 and 15% sequentially from the third quarter of 2016.

- Base revenue of $75.2 million for the fourth quarter of 2016, up 73% from the fourth quarter of 2015 and 17% sequentially from the third quarter of 2016.

- GAAP loss from operations of $12.8 million for the fourth quarter of 2016, compared with GAAP loss from operations of $8.2 million for the fourth quarter of 2015. Non-GAAP income from operations of $0.1 million for the fourth quarter of 2016, compared with non-GAAP loss from operations of $5.0 million for the fourth quarter of 2015.

- GAAP net loss per share attributable to common stockholders of $0.15 based on 86.1 million weighted average shares outstanding in the fourth quarter of 2016, compared with GAAP net loss per share attributable to common stockholders of $0.48 based on 17.0 million weighted average shares outstanding in the fourth quarter of 2015.

- Non-GAAP net income per share attributable to common stockholders of $0.00 based on 100.2 million non-GAAP weighted average diluted shares outstanding in the fourth quarter of 2016, compared with non-GAAP net loss per share attributable to common stockholders of $0.07 based on 70.9 million non-GAAP weighted average diluted shares outstanding in the fourth quarter of 2015.

Full Year 2016 Financial Highlights

- Total revenue of $277.3 million for the full year 2016, up 66% from the full year 2015.

- Base revenue of $245.5 million for the full year 2016, up 79% from the full year 2015.

- GAAP loss from operations of $41.3 million for the full year 2016, compared with GAAP loss from operations of $35.4 million for the full year 2015. Non-GAAP loss from operations of $12.2 million for the full year 2016, compared with non-GAAP loss from operations of $22.9 million for the full year 2015.

- GAAP net loss per share attributable to common stockholders of $0.78 based on 53.1 million weighted average shares outstanding for the full year 2016, compared with GAAP net loss per share attributable to common stockholders of $2.19 based on 17.7 million weighted average shares outstanding for the full year 2015.

- Non-GAAP net loss per share attributable to common stockholders of $0.16 based on 78.6 million non-GAAP weighted average diluted shares outstanding for the full year 2016, compared with non-GAAP net loss per share attributable to common stockholders of $0.34 based on 67.8 million non-GAAP weighted average diluted shares outstanding for the full year 2015.

Key Metrics and Recent Business Highlights

- 36,606 Active Customer Accounts as of December 31, 2016, compared to 25,347 Active Customer Accounts as of December 31, 2015.

- Dollar-Based Net Expansion Rate was 155% for the fourth quarter of 2016, compared to 172% for the fourth quarter of 2015.

- Released dual-channel recording, enabling high accuracy call transcription for sales and call center use cases.

- Extended Twilio Interconnect to support Twilio Client, allowing customers to use private network connections to Twilio for WebRTC based calling.

- Introduced the Twilio Porting API, making it easier for customers to port their existing phone numbers to our platform.

- Announced a SIP Registration API, allowing SIP-enabled devices or softphones to connect directly to our Programmable Voice offerings.

- Acquired Beepsend, a Sweden-based Application to Person (A2P) messaging provider, to enhance the capabilities of the Twilio Super Network.

- Awarded ISO 27001 certification, a widely recognized and internationally accepted information security standard.

Conference Call Information

Twilio will host a conference call today, February 7, 2017, to discuss fourth quarter and full year 2016 financial results at 2 p.m. Pacific Time, 5 p.m. Eastern Time. A live webcast of the conference call, as well as a replay of the call, will be available at investors.twilio.com. The conference call can also be accessed by dialing (877) 201-0168, or +1 (647) 788-4901 (outside the U.S. and Canada). The conference ID is 44789907. Following the completion of the call through 11:59 PM Eastern Time on February 14, 2017, a replay will be available by dialing (855) 859-2056 or +1 (404) 537-3406 (outside the U.S. and Canada) and entering passcode 44789907. Twilio has used, and intends to continue to use, its investor relations website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD.

For more information regarding Outlook and the forward-looking statements contained in the release, please visit our Investor Relations page: https://investors.twilio.com/news/all-news/press-release-details/2017/Tw...

Source: Twilio Inc.