Klaviyo (NYSE:KVYO) Releases Quarterly Earnings Results, Beats Estimates By $0.05 EPS

Key Points

• Klaviyo reported EPS of $0.22, beating estimates by $0.05, while revenue of $387.2 million topped forecasts and rose 24.5% year over year.
• Management raised its 2026 revenue and operating income outlook. Enterprise customers with at least $500,000 in ARR grew 57% to 105, and multi-product deals made up 43% of new ARR.
• Management cited potential headwinds: profile enforcement may weigh on retention through Q1, and a higher seasonal share of text messaging is expected to pressure Q4 gross margin.

Klaviyo (NYSE:KVYO - Get Free Report) announced its quarterly earnings data on Wednesday. The company reported $0.22 EPS for the quarter, beating the consensus estimate of $0.17 by $0.05, FiscalAI reports. The firm had revenue of $387.21 million during the quarter, compared to analyst estimates of $380.02 million. Klaviyo had a net margin of 0.49% and a return on equity of 5.67%. Klaviyo's revenue was up 24.5% on a year-over-year basis. During the same period last year, the firm posted $0.18 EPS.

Here are the key takeaways from Klaviyo's conference call:

• Klaviyo reported Q3 revenue of $387.2 million, up 25% year over year, and raised its 2026 revenue and operating income outlook. Q4 revenue guidance implies 21% growth at the midpoint.
• Enterprise and multi-product momentum strengthened: customers with at least $500,000 in ARR grew 57% year over year to 105, and multi-product deals accounted for 43% of new ARR. International revenue outside the Americas rose 32%.
• Composer usage rose sharply after its latest release, but adoption remains early, with daily active accounts using it around 5% of Klaviyo’s total. Management is prioritizing broader adoption and workflow automation before focusing on monetization.
• Net revenue retention was 108%, with profile enforcement expected to remain a headwind through Q1 and more customers landing with multiple products potentially reducing later expansion. Management also expects Q4 gross margin to step down as text messaging becomes a larger seasonal mix.

Klaviyo Price Performance

NYSE:KVYO traded down $0.10 during mid-day trading on Wednesday, hitting $21.23. The company's stock had a trading volume of 7,829,321 shares, compared to its average volume of 5,154,837. Klaviyo has a 1 year low of $12.53 and a 1 year high of $33.35. The stock has a market cap of $6.05 billion, a price-to-earnings ratio of 106.65 and a beta of 0.50. The business's fifty day moving average is $18.02 and its two-hundred day moving average is $18.00.

Insider Activity at Klaviyo

In other news, Director Susan St. Ledger sold 2,328 shares of the company's stock in a transaction dated Friday, September 11th. The stock was sold at an average price of $15.93, for a total value of $37,085.04. Following the sale, the director owned 23,433 shares in the company, valued at $373,287.69. This represents a 9.04% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Landon Edmond sold 8,103 shares of the company's stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $20.44, for a total value of $165,625.32. Following the completion of the sale, the insider owned 477,866 shares in the company, valued at $9,767,581.04. The trade was a 1.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 5,275,468 shares of company stock worth $93,822,653 in the last three months. Company insiders own 37.42% of the company's stock.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on KVYO shares. Piper Sandler dropped their target price on shares of Klaviyo from $26.00 to $23.00 and set an "overweight" rating on the stock in a research report on Thursday, August 6th. Barclays lowered their price objective on shares of Klaviyo from $25.00 to $22.00 and set an "overweight" rating for the company in a research note on Thursday, August 6th. Citigroup boosted their price objective on shares of Klaviyo from $36.00 to $38.00 and gave the company a "buy" rating in a report on Wednesday, October 28th. Wall Street Zen downgraded Klaviyo from a "buy" rating to a "hold" rating in a research report on Saturday, August 8th. Finally, Benchmark lowered Klaviyo from a "buy" rating to a "hold" rating in a research note on Thursday, August 6th. Seventeen research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $27.05.

About Klaviyo

Klaviyo, Inc NYSE: KVYO provides a customer data and marketing automation platform designed primarily for businesses that sell online. Its software helps organizations collect, organize and analyze customer information, then use those insights to create personalized marketing and customer engagement campaigns.

The company's platform supports communication across channels including email, SMS and mobile push notifications. Its products provide tools for audience segmentation, campaign orchestration, automation, analytics and reporting, with capabilities intended to help businesses improve customer acquisition, engagement and retention.

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