TLDR
- Figma (FIG) stock climbed ~15% after hours Wednesday after Q4 results and 2026 guidance beat analyst estimates.
- Q4 revenue of $303.8M rose 40% year over year, topping the $293.15M consensus.
- Q1 2026 revenue guidance of $315–$317M exceeded the $292M Wall Street estimate.
- Net Dollar Retention improved to 136% from 131% in Q3.
- Monthly AI credit limits take effect in March, creating a new revenue stream.
Figma shares climbed roughly 15% in after-hours trading Wednesday, driven by fourth-quarter results and forward guidance that outpaced what analysts had penciled in.
Q4 revenue came in at $303.8 million, a 40% year-over-year increase and above the $293.15 million LSEG consensus. Adjusted EPS hit $0.08, clearing the $0.07 estimate.
The quarter carried a GAAP net loss of $226.6 million, or $0.44 per share, a sharp reversal from net income of $33.1 million in Q4 2024. Adjusted free cash flow remained positive at $38.5 million, representing a 13% margin.
2026 Guidance Clears the Bar
Q1 2026 revenue guidance landed at $315–$317 million, implying 38% growth and well ahead of the $292 million consensus.
For the full year, Figma projects revenue of $1.366–$1.374 billion against an analyst estimate of $1.29 billion. Adjusted operating income is expected between $100 million and $110 million.
Net Dollar Retention from customers with at least $10,000 in annual recurring revenue rose to 136%, up from 131% in Q3, beating the company’s own internal targets. Figma closed the quarter with 13,861 customers in that bracket, including 1,405 above $100K ARR and 67 exceeding $1 million.
AI Tool Adoption Driving Platform Growth
Figma Make, the company’s AI-powered app prototyping tool, saw weekly active users grow more than 70% quarter over quarter. Adjusted gross margin held firm at 86% through the period, with infrastructure optimizations helping keep per-user costs in check.
More than half of customers spending above $100,000 annually had staff using Figma Make on a weekly basis during Q4.
Starting in March, Figma will begin enforcing monthly AI credit limits across account tiers. Users will either pay based on usage or subscribe for AI credits.
CFO Praveer Melwani described the usage pattern as a “power law distribution,” with a concentrated group of users consuming the bulk of AI credits — a dynamic the company views as an upsell opportunity.
CEO Dylan Field said AI is not a headwind for software demand. “If you look at software, not only is it not going away. There’s going to be way more of it than ever before,” he said, adding the market is “potentially increasingly competitive.”
Analyst Take
RBC analyst Rishi Jaluria, who holds a neutral-equivalent rating, highlighted “positive commentary around both Figma Make and Figma Design, indicating increased adoption of AI workflows across Figma’s platform.”
FIG shares were still down around 35% year to date as of Wednesday’s close, even after the after-hours move.
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