Akamai reported Q3 2025 revenue of $1,054.63 million, up 4.97% year-over-year and 1.07% quarter-over-quarter, underscoring the company’s resilient demand for its cloud-based content delivery, web performance and security services. Gross profit was $625.10 million with a margin of 59.27%, while operating income reached $166.02 million, yielding an operating margin of 15.74% and net income of $140.17 million (net margin 13.29%). EPS stood at $0.97, up 155.26% year-over-year and 34.72% quarter-over-quarter. Operating cash flow per share was $3.03 and free cash flow per share was $1.69, with cash per share of $7.67, signaling strong cash generation even as the company continues to invest in product development and go-to-market efforts.
The quarterly results reflect a sustainable blend of subscription-like revenue, embedded security services, and edge delivery capabilities. While EBITDA is reported negative in the dataset (likely due to presentation conventions around depreciation/amortization in the figures provided), positive operating income and robust net income point to healthy core profitability and strong cash flow conversion. The balance sheet remains solid, with a current ratio of 2.28 and a debt profile that supports ongoing strategic investments. Management commentary (not provided in the dataset) would typically emphasize growth drivers such as security, performance, and edge compute adoption, along with disciplined capital allocation. Absence of explicit forward guidance in the data means investors should weigh the solid near-term cadence against longer-term market competition and platform evolution risks.
Key Performance Indicators
Revenue
Increasing
1.05B
QoQ: 1.07% | YoY: 4.97%
Gross Profit
Increasing
625.10M
59.27% margin
QoQ: 1.32% | YoY: 4.90%
Operating Income
Increasing
166.02M
QoQ: 9.62% | YoY: 135.04%
Net Income
Increasing
140.17M
QoQ: 35.28% | YoY: 142.06%
EPS
Increasing
0.97
QoQ: 34.72% | YoY: 155.26%
Revenue Trend
Margin Analysis
Financial Highlights
Revenue: $1,054,630,000; YoY +4.97%; QoQ +1.07%
Gross Profit: $625,098,000; Gross Margin 59.27%; YoY +4.90%; QoQ +1.32%
Operating Income: $166,024,000; Operating Margin 15.74%; YoY +135.04%; QoQ +9.62%
Net Income: $140,170,000; Net Margin 13.29%; YoY +142.06%; QoQ +35.28%
EPS (diluted): $0.97; YoY +155.26%; QoQ +34.72%
Cash Flow: Operating Cash Flow per Share $3.03; Free Cash Flow per Share $1.69; Cash per Share $7.67
Liquidity/Leverage: Current ratio 2.28; Debt ratio 0.483; Debt to equity 1.105; Long-term debt to capitalization 0.511; Total debt to capitalization 0.525
Return/Efficiency: ROA 1.29%; ROE 2.96%; ROCE 1.68%
Valuation Snapshots: P/B 2.33x; P/S 10.47x; P/E 19.70x; P/FCF 44.75x; Dividend yield 0% (no dividends declared); Operating cash flow yield ~0. Spots in enterprise value metrics appear distorted in the provided data (EV multiple negative), which may reflect data presentation or model inputs rather than an economic signal.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
1.05B
4.97%
1.07%
Gross Profit
625.10M
4.90%
1.32%
Operating Income
166.02M
135.04%
9.62%
Net Income
140.17M
142.06%
35.28%
EPS
0.97
155.26%
34.72%
Key Financial Ratios
Gross Profit Margin
Good
59.30%
Gross profit margin is healthy and competitive within industry standards
Operating Profit Margin
Good
15.70%
Operating margin is healthy and competitive within industry standards
Net Profit Margin
Good
13.30%
Net profit margin is healthy and competitive within industry standards
Return on Assets
Weak
1.29%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
2.96%
Return on equity suggests inefficient capital allocation
Current Ratio
Healthy
2.28
Current ratio shows adequate liquidity to meet short-term obligations
Debt to Equity
High Risk
1.11
Debt-to-equity indicates high leverage and elevated financial risk
P/E Ratio
Fair Value
19.70x
P/E ratio in line with market averages
Price to Book
Fair Value
2.33x
Price-to-book ratio reasonable for profitable companies
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