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Twilio TWLO Contract Liabilities

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Other financials

Income statement

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Revenue$1.5B+22.0%
Gross profit$725.9M+20.4%
Operating income$84.5M+129%
Net income$1.1B+4,659%
EPS (diluted)$6.68+4,671%

Balance sheet

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Cash & equivalents$823.3M-16.1%
Total debt$1.1B-3.4%
Total equity$9.0B+11.6%
Total assets$10.8B+10.1%

Cash flow

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Operating cash flow$153.2M-19.8%
CapEx$17.9M-16.7%
Free cash flow-$133.6M-97.7%

Valuation

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Market cap$29.33B+47.5%
Enterprise value$29.57B+47.8%
P/E24.1×
P/S5.3×+1.1×

Profitability

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Gross margin48.5%-1.4pp
Operating margin5.2%
Net margin1.4%+0.7pp
FCF margin-7.6%-10.9pp

Returns & leverage

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Return on equity0.8%+0.4pp
Debt / equity0.1×0.0×
Current ratio4.6×-0.3×

Where this comes from

Reported directly by Twilio in its filing.

Tagged under the XBRL concept us-gaap:ContractWithCustomerLiability.

The source filing: Twilio’s 10-Q, filed May 1, 2026.

Filed
May 1, 2026, 4:11 PM EDT
Fiscal quarter
Q1 FY2026
Calendar quarter
Q1 2026
Accession
0001447669-26-000049

As of March 31, 2026, and December 31, 2025, the Company recorded $159.6 million and $158.7 million as its deferred revenue and customer deposits, respectively, that are included in deferred revenue and customer deposits in the accompanying unaudited condensed consolidated balance sheets. During the three months ended March 31, 2026 and 2025, the Company recognized $76.8 million and $70.1 million of revenue, respectively, that was included in the deferred revenue and customer deposits balances as of the end of the previous year.

Item 1. Financial Statements (unaudited)

FAQ

What is Twilio's contract liabilities?
Twilio (TWLO) reported contract liabilities of $159.6M in Q1 2026.
How has Twilio's contract liabilities changed year-over-year?
Twilio's contract liabilities increased by 3.6% year-over-year, from $154M to $159.6M.
What is the long-term trend for Twilio's contract liabilities?
Over 4 years (2021 to 2025), Twilio's contract liabilities has grown at a 2.9% compound annual growth rate (CAGR), from $141.5M to $158.7M.
What does contract liabilities mean?
Revenue collected or billed in advance of performance — deferred revenue under ASC 606 terminology, representing future revenue obligations.

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