Klaviyo Lifts Fiscal 2026 Revenue Outlook After 25% Growth

The Tip Desk · November 11, 2026 · 3 min read

Third-quarter revenue was $387.2 million, and the company now sees full-year sales of $1.537 billion to $1.541 billion, about 25% year-over-year.

Klaviyo (KVYO), the autonomous B2C CRM, reported third-quarter revenue of $387.2 million, up 25% from a year earlier, and raised its fiscal 2026 revenue outlook to $1.537 billion to $1.541 billion, for year-over-year growth of about 25%.

That full-year range sits above the $1.526 billion to $1.534 billion outlook the company issued after the second quarter, when it had projected 24% growth. Growth had been 26% in the second quarter and 28% in the first.

The company said growth was broad-based, with strength in its largest customer cohorts and more customers landing with multiple products from day one. Customers exceeded 211,000 as of September 30, 2026, up from more than 205,000 at the end of the second quarter. Large customers outpaced total company growth: 4,725 customers generated more than $50,000 of ARR, up 33% year-over-year; 390 generated more than $250,000 of ARR, up 49%; and 105 generated $500,000 of ARR, up 57%.

Dollar-based net revenue retention was 108%, which the company said was driven by customer expansions, cross-sell and strong retention. That rate was 109% in the second quarter and 110% in the first. Revenue outside the Americas grew 32% year-over-year. Twenty-two percent of ARR came from customers using three or more products.

Gross profit was $287.4 million, a 74% margin; non-GAAP gross profit was $289.9 million, or 75%. GAAP operating loss narrowed to $4.5 million, or a 1% operating margin, from a $15.0 million loss in the second quarter. Non-GAAP operating income was $56.9 million, a 15% margin. Non-GAAP net income was $0.22 a share, matching the first quarter and above $0.19 in the second.

Cash from operating activities was $52.7 million. Free cash flow was $24.8 million, and adjusted free cash flow was $40.1 million. Cash and cash equivalents were $705.4 million at September 30.

The company released a newer version of Composer, announced Klaviyo Headless so customers can access Klaviyo data from systems including Claude and ChatGPT, and launched embedded apps in Shopify and Wix. Co-founder and co-CEO Andrew Bialecki said agents are only as good as the context behind them and that Klaviyo provides the engine that fuels customers’ growth. Chief Financial Officer Erica Smith said the company continues to drive growth with disciplined investments.

For the fourth quarter, Klaviyo guides revenue to $421 million to $425 million, for year-over-year growth of about 21%. Fiscal 2026 non-GAAP operating income is guided to $233 million to $236 million, above the $212 million to $218 million range issued after the second quarter.

The board authorized a new $300 million share repurchase program after completing a prior $500 million authorization in October. Smith said the new authorization reflects conviction in the strategy and intrinsic value of the shares at current levels, and that the company’s cash balance and cash generation allow it to prioritize organic investments.