Clear Secure (YOU) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached $229.2 million, up 16% year-over-year, with bookings of $260.1 million, and net income of $45.1 million (19.7% margin).

• Adjusted EBITDA was $70.1 million (30.6% margin), and operating income was $52.6 million (23% margin).

• Active CLEAR+ Members grew to 7.7 million, up 7.5% year-over-year, and total members reached 35.8 million, up 35.1%.

• Product innovation, including eGates and Clear Concierge, is driving improved member experience and operational efficiency, with international expansion underway.

• Clear One enterprise platform delivered its strongest quarter, signing a record number of enterprise customers.

Financial highlights

• Q3 2025 revenue: $229.2 million (+16% YoY); bookings: $260.1 million (+14.3% YoY); net income: $45.1 million (19.7% margin).

• Adjusted EBITDA: $70.1 million (30.6% margin); operating income: $52.6 million (23% margin).

• Free cash flow for Q3 2025: $(53.5) million, impacted by a $229 million annual payment to a credit card partner; nine-month free cash flow: $155.7 million.

• Cash and marketable securities at September 30, 2025: $75.8 million in cash and $454.9 million in marketable securities.

• Gross dollar retention: 86.9%, with a slight sequential decline.

Outlook and guidance

• Q4 2025 revenue guidance: $234–$237 million, bookings: $265–$270 million, representing 14.2% and 16.8% growth at the midpoint.

• Full-year 2025 free cash flow guidance increased to at least $320 million, reflecting incremental CapEx for eGates and cash tax benefits.

• Continued margin expansion expected for Adjusted EBITDA in 2025.

• Management expects sufficient liquidity for at least the next 12 months, including dividends, stock repurchases, and known commitments.