Twilio Stock Plunges 12.67% on Weak Q3 Outlook

On August 8, 2025, Twilio's stock experienced a significant drop of 12.67% in pre-market trading.

Twilio's recent financial performance has been a mix of positive and negative developments. The company reported a 13% year-over-year increase in revenue for the second quarter, reaching $1.23 billion, which surpassed the estimated $1.19 billion. However, the projected revenue for the third quarter of 2025, ranging from $1.245 billion to $1.255 billion, fell short of market expectations, leading to a decline in the stock price.

Despite the revenue growth, Twilio's adjusted earnings forecast for the third quarter was weaker than anticipated, contributing to the stock's decline. The company's active customer accounts continue to grow, with over 349,000 accounts reported in the second quarter. Additionally, Twilio has raised its 2025 organic growth outlook to 9-10%, driven by momentum in AI-driven products.