GitLab Inc
GTLB
$37.35 -0.43%
Exchange: NASDAQ | Sector: Technology | Industry: Software Application
Q3 2025
Published: Dec 6, 2024

Earnings Highlights

  • Revenue of $196.05M up 31% year-over-year
  • EPS of $0.19 increased by 109.8% from previous year
  • Gross margin of 88.7%
  • Net income of 29.57M
  • "We anticipate the next evolution in AI will be agentic, where AI will be autonomous and proactive rather than pump based and reactive. Agentic AI is the foundation of GitLab Duo workflow." - Sid Sijbrandij
GTLB
Company GTLB

Executive Summary

GitLab reported a strong QQ3 2025 quarter, delivering 31% year-over-year revenue growth to $196.0 million and a record non-GAAP operating margin of 13.2%, supported by sustained enterprise demand and the rapid expansion of the Ultimate/SaaS mix. Management highlighted ongoing AI-driven momentum through GitLab Duo Pro and Duo Enterprise, with notable customer wins and a growing ecosystem of AI-enabled workflows across the software development lifecycle. The company reaffirmed its multi-pronged growth thesis, anchored by an end-to-end DevSecOps platform, a broad AI roadmap (including agentic AI and self-hosted models), and strategic partnerships (notably AWS) to accelerate adoption across enterprises and regulated industries.

Financially, GitLab generated a GAAP net income of $29.6 million in Q3, but reported negative cash flow from operations (-$177.0 million) driven by one-time APA-related cash outlays and a Dutch tax payment. On a non-GAAP basis, gross margin remained best-in-class at 91% with SaaS accounting for 29% of revenue and continued leverage in operating expenses, resulting in a record non-GAAP operating margin of 13.2% and non-GAAP net income per share of $0.22–$0.23 for Q4 FY25 guidance and $0.63–$0.64 for the full year. The company also disclosed ongoing JiHu expenses with a plan to deconsolidate, implying a potential FY25 impact of roughly $14 million vs $18 million in the prior year.

Looking ahead, GitLab is guiding Q4 revenue of $205–$206 million (approximately 25–26% YoY growth) and full-year revenue of $753–$754 million, underscoring a disciplined approach to profitable growth amid AI-driven product expansion, security/compliance integration, and platform-wide adoption. The management team framed AI evolution as agentic, with the end-to-end platform as a clear differentiator, and signaled a measured path to monetization of AI-enabled workflows as the mix broadens across customers and geographies.

Key Performance Indicators

Revenue
Increasing
196.05M
QoQ: 7.37% | YoY: 30.99%
Gross Profit
Increasing
173.92M
88.71% margin
QoQ: 7.88% | YoY: 29.23%
Operating Income
Increasing
-28.73M
QoQ: 29.93% | YoY: 28.65%
Net Income
Increasing
29.57M
QoQ: 128.32% | YoY: 110.37%
EPS
Increasing
0.18
QoQ: 121.95% | YoY: 109.78%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q3 2026 244.35 -0.04 +24.6% View
Q2 2026 235.96 -0.06 +29.2% View
Q1 2026 214.51 -0.22 +26.8% View
Q4 2025 211.43 0.03 +29.1% View
Q3 2025 196.05 0.19 +31.0% View