Figma (FIG) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 46% year-over-year to $333.4 million, driven by paid customer expansion, enterprise adoption, and new product launches.

• Net Dollar Retention Rate reached 139%, the highest in over two years, reflecting strong customer expansion and retention.

• Raised full-year revenue and non-GAAP operating income guidance due to outperformance, AI tailwinds, and robust seat growth.

• Significant investments in AI integration, product expansion, and rapid AI feature uptake, including new offerings and AI credit monetization launched March 18.

• Net loss was $142.4 million, primarily due to increased stock-based compensation and operating expenses post-IPO.

Financial highlights

• Revenue: $333.4 million, up 46% year-over-year, exceeding guidance.

• Gross profit: $275 million non-GAAP (82% margin); GAAP gross profit: $264.8 million (79% margin).

• Non-GAAP operating income: $52.1 million (16% margin); GAAP operating loss: $(137.4) million.

• Free cash flow: $88.6 million (27% margin); operating cash flow: $97.3 million (29% margin).

• Cash, cash equivalents, and marketable securities: $1.6 billion as of March 31, 2026.

Outlook and guidance

• Q2 2026 revenue guidance: $348–$350 million, implying 40% year-over-year growth at midpoint.

• Full-year 2026 revenue guidance: $1.422–$1.428 billion, 35% growth at midpoint.

• Full-year non-GAAP operating income guidance: $125–$135 million, 9% margin at midpoint.

• Management expects continued investment in AI and product development to impact margins in the near term.

• Sufficient liquidity to fund operations for at least the next twelve months.