Figma Shares Fall Despite Third-Quarter Earnings Beat and Raised Guidance
Figma reported third-quarter results that exceeded Wall Street expectations, with revenue reaching $391.4 million (up 43% year-over-year) and adjusted EPS of 10 cents against a 5-cent consensus. The company also significantly narrowed its net loss to $81.3 million compared to a $1.10 billion loss in the prior year. Despite these strong metrics and raised full-year revenue and margin guidance, shares fell 7% in extended trading. The stock decline follows a strategic shift where Figma is prioritizing long-term AI integration over immediate revenue maximization. Finance Chief Praveer Melwani noted that the company is providing more AI credits to customers to drive durable growth, even if it slows near-term revenue gains. This strategy aims to combat investor fears regarding AI's competitive threat to design software by embedding generative capabilities directly into the workflow.
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Topics: earnings beat guidance upgrade operating margin revenue growth
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