JFrog (FROG) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached $136.9 million, up 26% year-over-year, with cloud revenue growing 50% to $63.4 million and now 46% of total revenue.

• Enterprise Plus subscriptions contributed 56% of total revenue in Q3 2025, up from 50% a year ago.

• Large customer base expanded: 71 customers with ARR over $1 million (up 54% YoY), and 1,121 customers with ARR over $100K.

• Net dollar retention rate was 118% for the trailing four quarters, reflecting strong expansion within the customer base.

• Major wins included multi-year contracts with UK and US government agencies, a top energy corporation, and strategic partnerships with NVIDIA and GitHub.

Financial highlights

• GAAP gross profit for Q3 2025 was $106.0 million (gross margin 77.4%); non-GAAP gross profit was $114.9 million (gross margin 83.9%).

• Operating profit was $25.6 million (18.7% margin) non-GAAP; GAAP operating loss was $21.6 million.

• Free cash flow for Q3 was $28.8 million; for the nine months ended September 30, 2025, it was $92.4 million.

• Cash, cash equivalents, and short-term investments totaled $651.1 million as of September 30, 2025.

• Remaining performance obligations (RPO) stood at $508 million, up 47% year-over-year.

Outlook and guidance

• Q4 2025 revenue guidance: $136.5–$138.5 million; non-GAAP operating income: $21–$22 million; non-GAAP EPS: $0.18–$0.20.

• FY2025 revenue guidance: $523–$525 million (22.3% growth at midpoint); non-GAAP operating income: $87.3–$88.3 million; non-GAAP EPS: $0.78–$0.80.

• Baseline cloud growth for FY2025 guided at 40%–42%, excluding usage above minimum commitments.

• Net dollar retention expected above 116% for 2025.

• FY27 revenue target: $775–$825 million; free cash flow margin expected to reach 26–29% by FY27.