Fastly Inc (NYSE:FSLY) shares surged nearly 64% on Thursday after the edge cloud company reported fourth quarter results and issued guidance that topped Wall Street expectations.
For the fourth quarter of 2025, Fastly reported adjusted earnings of $0.12 per share, beating the consensus estimate of $0.06.
Revenue totaled $172.61 million, which was up 23% year-over-year and above analysts’ expectations of $161.36 million.
Fastly also reported remaining performance obligations (RPO) of about $354 million, up 55% from a year earlier, indicating growth in contracted future revenue.
Enterprise customer count rose to 628, up from the prior year, and the company reported a last-12-month net retention rate of 110%.
"Our fourth quarter results mark an inflection in Fastly’s growth as we achieved record revenue, gross margin, and operating profit,” Fastly CEO Kip Compton said in a statement.
“In 2025 we made significant progress on Fastly’s transformation and delivered great results. As we look toward 2026, we anticipate continued momentum, with AI as an increasing tailwind for our business.”
For the current quarter ending in March, Fastly said it expects adjusted earnings in a range of $0.07 to $0.10 per share on revenue of $168 million to $174 million. Analysts had been looking for adjusted earnings of $0.06 per share on revenue of about $166.6 million.
Fastly also provided full-year 2026 revenue guidance of $700 million to $720 million and adjusted net income per share of $0.23 to $0.29.