{"id":304918,"date":"2024-12-04T11:20:28","date_gmt":"2024-12-04T19:20:28","guid":{"rendered":"https:\/\/www.saastr.com\/?p=304918"},"modified":"2024-12-04T11:29:33","modified_gmt":"2024-12-04T19:29:33","slug":"5-interesting-learnings-from-twilio-at-4-5-billion-in-arr","status":"publish","type":"post","link":"https:\/\/www.saastr.com\/5-interesting-learnings-from-twilio-at-4-5-billion-in-arr\/","title":{"rendered":"5 Interesting Learnings from Twilio at $4.5 Billion in ARR"},"content":{"rendered":"<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-full wp-image-304921 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil.webp?resize=980%2C551&#038;quality=65&#038;ssl=1\" alt=\"\" width=\"980\" height=\"551\" data-srcset=\"https:\/\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil.webp 980w, https:\/\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil-480x270.webp 480w\" data-sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) 980px, 100vw\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 980px; --smush-placeholder-aspect-ratio: 980\/551;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-full wp-image-304921\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil.webp?resize=980%2C551&#038;quality=65&#038;ssl=1\" alt=\"\" width=\"980\" height=\"551\" srcset=\"https:\/\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil.webp 980w, https:\/\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil-480x270.webp 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) 980px, 100vw\" \/><\/noscript><\/p>\n<p>So Twilio has been on a crazy rollercoaster journey since IPO.\u00a0 It started off with hyper growth, then had a Covid Boost, and then growth radically slowed thereafter.<\/p>\n<h3><strong>And now?\u00a0 Growth at Twilio is re-accelerating again.\u00a0 And the stock is up a super impressive 51% this year!\u00a0 <\/strong><\/h3>\n<h3><strong>It&#8217;s not the Go-Go Days of years past, but Twilio is back.\u00a0 SaaS is back.<\/strong><\/h3>\n<p><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304919 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1080%2C1071&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"1071\" data-srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1089%2C1080&amp;quality=70&amp;ssl=1 1089w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=600%2C595&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=150%2C150&amp;quality=70&amp;ssl=1 150w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=768%2C762&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1080%2C1071&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1280%2C1269&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=980%2C972&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=480%2C476&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=60%2C60&amp;quality=70&amp;ssl=1 60w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" data-sizes=\"(max-width: 1080px) 100vw, 1080px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 1080px; --smush-placeholder-aspect-ratio: 1080\/1071;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304919\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1080%2C1071&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"1071\" srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1089%2C1080&amp;quality=70&amp;ssl=1 1089w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=600%2C595&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=150%2C150&amp;quality=70&amp;ssl=1 150w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=768%2C762&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1080%2C1071&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=1280%2C1269&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=980%2C972&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=480%2C476&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?resize=60%2C60&amp;quality=70&amp;ssl=1 60w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.16.47%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/noscript><\/p>\n<h3><strong>Today Twilio is at:<\/strong><\/h3>\n<ul>\n<li>$4.5 Billion in ARR<\/li>\n<li>Back to 10%+ Growth<\/li>\n<li>NRR Up, Back to 105%<\/li>\n<li>9% Non-GAAP Proft Margins and 17% Free Cash Flow Margins<\/li>\n<\/ul>\n<h3><strong>5 Interesting Learnings:<\/strong><\/h3>\n<h3><strong>#1.\u00a0 Growth Has Bounced Back to 10%<\/strong><\/h3>\n<p>A big rebound for Twilio here, driven in part by a big increase in NRR.\u00a0 This isn&#8217;t easy at scale.<\/p>\n<p><a href=\"https:\/\/investors.twilio.com\/static-files\/abedd779-7837-4be2-b4bd-a1295dc6ff99\"><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter wp-image-304920 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=671%2C462&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"671\" height=\"462\" data-srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1569%2C1080&amp;quality=70&amp;ssl=1 1569w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=600%2C413&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=768%2C529&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1536%2C1057&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1080%2C744&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1280%2C881&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=980%2C675&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=480%2C330&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" data-sizes=\"(max-width: 671px) 100vw, 671px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 671px; --smush-placeholder-aspect-ratio: 671\/462;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter wp-image-304920\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=671%2C462&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"671\" height=\"462\" srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1569%2C1080&amp;quality=70&amp;ssl=1 1569w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=600%2C413&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=768%2C529&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1536%2C1057&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1080%2C744&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=1280%2C881&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=980%2C675&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?resize=480%2C330&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.18.49%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" sizes=\"(max-width: 671px) 100vw, 671px\" \/><\/noscript><\/a><\/p>\n<h3><strong>#2.\u00a0 NRR Up to 105%, From 101%<\/strong><\/h3>\n<p>Mathematically. a big part of Twilo&#8217;s reacceleration is from increasing NRR.<\/p>\n<p><a href=\"https:\/\/investors.twilio.com\/static-files\/abedd779-7837-4be2-b4bd-a1295dc6ff99\"><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304926 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1080%2C630&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"630\" data-srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1851%2C1080&amp;quality=70&amp;ssl=1 1851w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=600%2C350&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=768%2C448&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1536%2C896&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1080%2C630&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1280%2C747&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=980%2C572&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=480%2C280&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" data-sizes=\"(max-width: 1080px) 100vw, 1080px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 1080px; --smush-placeholder-aspect-ratio: 1080\/630;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304926\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1080%2C630&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"630\" srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1851%2C1080&amp;quality=70&amp;ssl=1 1851w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=600%2C350&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=768%2C448&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1536%2C896&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1080%2C630&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=1280%2C747&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=980%2C572&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?resize=480%2C280&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.21.09%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/noscript><\/a><\/p>\n<h3><strong>#3.\u00a0 Top 10 Customers Steady at 10% of Revenue<\/strong><\/h3>\n<p>Revenue concentration has always been a small issue at Twilio.\u00a0 Before the IPO it lost its largest customer, Uber.\u00a0 But it bounced right back.\u00a0 A bigger issue for Twilio and similar vendors is their largest customers often push hard on margins and pricing.\u00a0 Net net, the story here is &#8212; The Same as It&#8217;s Always Been<\/p>\n<p><a href=\"https:\/\/investors.twilio.com\/static-files\/abedd779-7837-4be2-b4bd-a1295dc6ff99\"><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304927 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1080%2C585&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"585\" data-srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1920%2C1040&amp;quality=70&amp;ssl=1 1920w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=600%2C325&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=768%2C416&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1536%2C832&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=2048%2C1109&amp;quality=70&amp;ssl=1 2048w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1080%2C585&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1280%2C693&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=980%2C531&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=480%2C260&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" data-sizes=\"(max-width: 1080px) 100vw, 1080px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 1080px; --smush-placeholder-aspect-ratio: 1080\/585;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304927\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1080%2C585&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"585\" srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1920%2C1040&amp;quality=70&amp;ssl=1 1920w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=600%2C325&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=768%2C416&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1536%2C832&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=2048%2C1109&amp;quality=70&amp;ssl=1 2048w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1080%2C585&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=1280%2C693&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=980%2C531&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?resize=480%2C260&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.22.52%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/noscript><\/a><\/p>\n<h3><strong>#4. Still Non-GAAP Profitable and Strong Free Cash Flow, But Not Increasing Profitability<\/strong><\/h3>\n<p>Twilio is non-GAAP Profitable and has 17%+ free cash flow margins.\u00a0 But it&#8217;s not pushing hard to get to epic levels of profitability.\u00a0 Instead, it&#8217;s pushed to re-ignite growth.\u00a0 And it&#8217;s worked.\u00a0 The stock is up 50%+ as growth re-accelerated.<\/p>\n<p><a href=\"https:\/\/investors.twilio.com\/static-files\/abedd779-7837-4be2-b4bd-a1295dc6ff99\"><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304929 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1080%2C765&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"765\" data-srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1524%2C1080&amp;quality=70&amp;ssl=1 1524w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=600%2C425&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=768%2C544&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1536%2C1089&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=400%2C284&amp;quality=70&amp;ssl=1 400w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1080%2C765&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1280%2C907&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=980%2C695&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=480%2C340&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" data-sizes=\"(max-width: 1080px) 100vw, 1080px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 1080px; --smush-placeholder-aspect-ratio: 1080\/765;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-large wp-image-304929\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1080%2C765&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1080\" height=\"765\" srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1524%2C1080&amp;quality=70&amp;ssl=1 1524w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=600%2C425&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=768%2C544&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1536%2C1089&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=400%2C284&amp;quality=70&amp;ssl=1 400w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1080%2C765&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=1280%2C907&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=980%2C695&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?resize=480%2C340&amp;quality=70&amp;ssl=1 480w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.23.31%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/noscript><\/a><\/p>\n<h3><strong>#5. NRR For Segment Product 91%, Growth 0%<\/strong><\/h3>\n<p>Twilio has looked at spinning out its Segment acquisition, but for now it&#8217;s retained the product.\u00a0 It&#8217;s ended up being a tough road, with 91% revenue retention and 0% growth.\u00a0 Twilio made some big M&amp;A bets, some worked, and quite a few didn&#8217;t.<\/p>\n<p><a href=\"https:\/\/www.fool.com\/earnings\/call-transcripts\/2024\/10\/31\/twilio-twlo-q3-2024-earnings-call-transcript\/\"><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-full wp-image-304932 lazyload\" data-src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1000%2C263&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1000\" height=\"263\" data-srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=600%2C158&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=768%2C202&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1536%2C404&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1080%2C284&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1280%2C337&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=980%2C258&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=480%2C126&amp;quality=70&amp;ssl=1 480w\" data-sizes=\"(max-width: 1000px) 100vw, 1000px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 1000px; --smush-placeholder-aspect-ratio: 1000\/263;\" \/><noscript><img data-recalc-dims=\"1\" decoding=\"async\" class=\"aligncenter size-full wp-image-304932\" src=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1000%2C263&#038;quality=70&#038;ssl=1\" alt=\"\" width=\"1000\" height=\"263\" srcset=\"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?w=1000&amp;quality=70&amp;ssl=1 1000w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=600%2C158&amp;quality=70&amp;ssl=1 600w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=768%2C202&amp;quality=70&amp;ssl=1 768w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1536%2C404&amp;quality=70&amp;ssl=1 1536w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1080%2C284&amp;quality=70&amp;ssl=1 1080w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=1280%2C337&amp;quality=70&amp;ssl=1 1280w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=980%2C258&amp;quality=70&amp;ssl=1 980w, https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/Screenshot-2024-12-04-at-11.28.36%E2%80%AFAM.png?resize=480%2C126&amp;quality=70&amp;ssl=1 480w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><\/noscript><\/a><\/p>\n<h3><strong>And a great look at the earlier days at Twilio in the run-up to IPO with founder Jeff Lawson here:<\/strong><\/h3>\n<p><iframe title=\"Twilio: The Inside Story with Jeff Lawson, CEO\/Co-Founder\" width=\"1080\" height=\"608\" data-src=\"https:\/\/www.youtube.com\/embed\/h6KtHq2-6F0?feature=oembed&#038;enablejsapi=1&#038;origin=https:\/\/www.saastr.com\"  allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" class=\"lazyload\" data-load-mode=\"1\"><\/iframe><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>So Twilio has been on a crazy rollercoaster journey since IPO.\u00a0 It started off with hyper growth, then had a Covid Boost, and then growth radically slowed thereafter. And now?\u00a0 Growth at Twilio is re-accelerating again.\u00a0 And the stock is up a super impressive 51% this year!\u00a0 It&#8217;s not the Go-Go Days of years past,&#8230; <br \/><a class=\"more-link fade\" href=\"https:\/\/www.saastr.com\/5-interesting-learnings-from-twilio-at-4-5-billion-in-arr\/\">Continue Reading<\/a><\/p>\n","protected":false},"author":19,"featured_media":304921,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","om_disable_all_campaigns":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_wpscp_schedule_draft_date":"","_wpscp_schedule_republish_date":"","_wpscppro_advance_schedule":false,"_wpscppro_advance_schedule_date":"","_wpscppro_custom_social_share_image":0,"_facebook_share_type":"","_twitter_share_type":"","_linkedin_share_type":"","_pinterest_share_type":"","_linkedin_share_type_page":"","_instagram_share_type":"","_medium_share_type":"","_threads_share_type":"","_selected_social_profile":[]},"categories":[23926,31,28],"tags":[],"class_list":["post-304918","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-5-interesting-things","category-blog-posts","category-scale"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil.webp?fit=980%2C551&quality=65&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5oib2-1hk2","jetpack_sharing_enabled":true,"fifu_image_url":"https:\/\/www.saastr.com\/wp-content\/uploads\/2024\/12\/twil.webp","_links":{"self":[{"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/posts\/304918","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/users\/19"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/comments?post=304918"}],"version-history":[{"count":5,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/posts\/304918\/revisions"}],"predecessor-version":[{"id":304933,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/posts\/304918\/revisions\/304933"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/media\/304921"}],"wp:attachment":[{"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/media?parent=304918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/categories?post=304918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saastr.com\/wp-json\/wp\/v2\/tags?post=304918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}