Fastly stock posts record Q3 revenue and lifts 2026 outlook

Published on 11/05/2026 at 03:28 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Fastly stock followed a record third quarter as revenue rose and margins reached new highs. The company raised its 2026 outlook.

Fastly expands while raising outlook

Third-quarter revenue grew 20 percent year over year to 190.2 million US dollars.
Security revenue increased faster than Network Services revenue during the quarter.
Fastly raised its full-year 2026 revenue and non-GAAP earnings guidance.

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Fastly reported record third-quarter revenue of 190.2 million US dollars for the period ended September 30, 2026, according to its Business Wire release published on Wednesday, November 4. Revenue increased 20 percent from a year earlier, while Security revenue grew 32 percent to 44.7 million US dollars.

The real-time quote of Fastly stock traded at 15.43 euros on Lang & Schwarz at 11:01 p.m. CET on Wednesday, November 4, 2026.

Margins and cash flow improve

GAAP gross margin reached 63.3 percent, up from 58.4 percent a year earlier. Non-GAAP gross margin rose to 65.8 percent from 62.8 percent. Fastly reported a GAAP operating loss of 11.3 million US dollars, compared with a loss of 28.8 million US dollars in the prior-year quarter.

On a non-GAAP basis, operating income increased to 31.2 million US dollars from 11.6 million US dollars. Non-GAAP net income reached 31.6 million US dollars, or 0.17 US dollars per diluted share, compared with 11.1 million US dollars, or 0.07 US dollars per diluted share, a year earlier. Free cash flow rose to 25.2 million US dollars from 18.1 million US dollars.

Guidance moves higher

Fastly forecast fourth-quarter revenue of 198.0 million to 202.0 million US dollars and non-GAAP diluted earnings per share of 0.16 to 0.18 US dollars. Full-year revenue guidance increased to 744.0 million to 748.0 million US dollars, while full-year non-GAAP diluted earnings per share guidance rose to 0.61 to 0.63 US dollars.

Remaining performance obligations stood at 334 million US dollars, up 24 percent year over year. Fastly also reported a last-twelve-month net retention rate of 119 percent and said 74 percent of its large customers used at least two product suites.

Fastly's edge cloud business

Fastly operates a programmable edge cloud platform covering content delivery, edge computing, security and observability. Its Network Services products support websites, applications, application programming interfaces and digital media, while its Security products protect those services and their users.

The company is expanding its platform with AI Runtime Control, AI Firewall and additional API Security capabilities. It also partners with Comcast and Ingram Micro on network delivery and AI-ready digital infrastructure initiatives.