Quarterly Revenue of $205.1 Million, Up 77% Year-Over-Year
Adjusted EBITDA of $70.7 Million, Up 84% Year-Over-Year
Operating Cash Flows of $49.0 Million Enabled Repayment of $40 Million of Debt
BOISE, Idaho — November 5, 2025 — Clearwater Analytics Holdings, Inc. (NYSE: CWAN) (“CWAN” or the “Company”), the most comprehensive technology platform for investment management, today announced its financial results for the quarter ended September 30, 2025.
“Q3 was our first quarter as an integrated company and we demonstrated strong execution and financial performance, with quarterly revenue of $205.1 million, up 77% year-over-year. Our single instance, single security master architecture allows Gen AI models and agents to learn very quickly, helping us drive very strong growth in unit economics. Non-GAAP gross margin for the combined business was 78.5%, reaching an important milestone meaningfully before our earlier expectations. Adjusted EBITDA was approximately $71 million, up 84% year-over-year,” said Sandeep Sahai, CEO at CWAN. “The integration continues to be ahead of schedule, and we have impressive proof points across all fronts. We secured marquee wins with insurance, hedge funds, asset management and asset owners globally that chose CWAN in competitive processes against legacy providers. Clients are enthusiastic about our ability to provide an open, modular platform and are genuinely excited about the transformative power of Gen AI that we can bring to them. Our clients are already experiencing transformative results using over 800 AI agents, including 90% reductions in manual reconciliation effort and 80% faster report generation. With Gen AI agents learning from our proprietary data, we expect to lead in insights and agentic reporting, significantly altering the efficiency of the investment management industry.”
Third Quarter 2025 Financial Results Summary
Third Quarter 2025 Key Metrics Summary
ARR is calculated at the end of a period by dividing the recurring revenue in the last month of such period by the number of days in the month and multiplying by 365.
Gross revenue retention rate represents annual contract value (“ACV”) at the beginning of the 12-month period ended on the reporting date less client attrition over the prior 12-month period, divided by ACV at the beginning of the 12-month period, expressed as a percentage. ACV is comprised of annualized recurring revenue plus contracted-not-billed revenue, which represents the estimated annual contracted revenue for new and existing client opportunities prior to revenue recognition.
Net revenue retention rate is the percentage of recurring revenue from clients on the platform for 12 months and includes changes from the addition, removal, or value of assets on our platform, contractual changes that have an impact to annualized recurring revenues and lost revenue from client attrition.
Recent Business Highlights
Consolidated Guidance for CWAN:
| Fourth Quarter 2025 | |
| Revenue | $216 million to $217 million |
| Year-over-Year Growth % | 71% to 72% |
| Adjusted EBITDA | $73 million |
| Adjusted EBITDA Margin % | 34% |
Consolidated Guidance for CWAN:
| Full Year 2025 | |
| Revenue | $730 million to $731 million |
| Year-over-Year Growth % | 62% |
| Adjusted EBITDA | $247 million |
| Adjusted EBITDA Margin % | 34% |
Certain components of the guidance given above are provided on a non-GAAP basis only without providing a reconciliation to guidance provided on a GAAP basis. Information is presented in this manner because the preparation of such a reconciliation could not be accomplished without “unreasonable efforts.” The Company does not have access to certain information that would be necessary to provide such a reconciliation, including non-recurring items that are not indicative of the Company’s ongoing operations. The Company does not believe that this information is likely to be significant to an assessment of the Company’s ongoing operations.
Conference Call Details
CWAN will hold a conference call and webcast on November 5, 2025, at 5:00 p.m. Eastern time to discuss third quarter 2025 financial results, provide a general business update, and respond to analyst questions.
A live webcast of the call will also be available on the Company’s investor relations website. Please visit investors.cwan.com at least fifteen minutes prior to the start of the event to register, download and install any necessary audio software.
If you are unable to participate live, a replay of the webcast will be available following the conference call on the Company’s investor relations website, along with the earnings press release, and related financial tables.
About CWAN
CWAN (NYSE: CWAN) is transforming investment management with the industry’s most comprehensive cloud-native platform for institutional investors across global public and private markets. While legacy systems create risk, inefficiency, and data fragmentation, CWAN’s single-instance, multi-tenant architecture delivers real-time data and AI-driven insights throughout the investment lifecycle. The platform eliminates information silos by integrating portfolio management, trading, investment accounting, reconciliation, regulatory reporting, performance, compliance, and risk analytics in one unified system. Serving leading insurers, asset managers, hedge funds, banks, corporations, and governments, CWAN supports over $10 trillion in assets globally. Learn more at www.cwan.com.
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Investor Contact:
Kamil Mielczarek | +1 208-510-6856 | investors@cwan.com
Media Contact:
Claudia Cahill | +1 703-728-1221 | press@cwan.com
Use of non-GAAP Information
This press release contains certain non-GAAP measures, including non-GAAP gross profit, non-GAAP gross margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP effective tax rate, diluted non-GAAP share count and free cash flow.
The non-GAAP measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies. However, the Company believes that this non-GAAP information is useful as an additional means for investors to evaluate its operating performance, when reviewed in conjunction with its GAAP financial statements. These measures should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP, and because these amounts are not determined in accordance with GAAP, they should not be used exclusively in evaluating the Company’s business and operations. In addition, undue reliance should not be placed upon non-GAAP or operating information because this information is neither standardized across companies nor subjected to the same control activities and audit procedures that produce the Company’s GAAP financial results.
The Company’s non-GAAP statement of operations measures, including non-GAAP gross profit, non-GAAP gross margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP effective tax rate, diluted non-GAAP share count and free cash flow, are adjusted to exclude the impact of certain costs, expenses, gains and losses and other specified items that management believes are not indicative of its ongoing operations. These adjusted measures exclude the impact of share-based compensation and eliminate potential differences in results of operations between periods caused by factors such as financing and capital structures, taxation positions or regimes, restructuring, transaction expenses, impairment and other charges. Please refer to the reconciliations of these measures below to what the Company believes are the most directly comparable measures evaluated in accordance with GAAP.
Use of Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s beliefs and assumptions and on information currently available to management. Forward-looking statements include information concerning the Company’s possible or assumed future results of operations, business strategies, technology developments, financing and investment plans, dividend policy, competitive position, industry, economic and regulatory environment, potential growth opportunities and the effects of competition. Forward-looking statements include statements that are not historical facts and can be identified by terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “aim,” “may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “will,” “would” or similar expressions and the negatives of those terms, but are not the exclusive means of identifying such statements.
Forward-looking statements involve known and unknown risks, uncertainties, and other factors, many of which are beyond the Company’s control, that may cause the Company’s actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks and uncertainties may cause actual results to differ materially from CWAN’s current expectations and include, but are not limited to, the Company’s ability to successfully integrate the operations and technology of its acquisitions of Enfusion, Beacon and Bistro (the “Acquisitions”) with those of the Company and to obtain third party data rights, retain and incentivize the employees of the Acquisitions following the close of the Acquisitions, retain the Acquisitions’ clients, repay debt incurred in connection with the Acquisitions and meet financial covenants to be imposed in connection with such debt, risks that synergies and growth from the Acquisitions may not be fully realized or may take longer to realize than expected, the Company’s ability to keep pace with rapid technological change and market developments, including artificial intelligence, competitors in its industry, the possibility that market volatility, a downturn in economic conditions or other factors may cause negative trends or fluctuations in the value of the assets on the Company’s platform, the Company’s ability to manage growth, the Company’s ability to attract and retain skilled employees, the possibility that the Company’s solutions fail to perform properly, disruptions and failures in the Company’s and third parties’ computer equipment, cloud-based services, electronic delivery systems, networks and telecommunications systems and infrastructure, the failure to protect the Company, its customers’ and/or its vendors’ confidential information and/or intellectual property, claims of infringement of others’ intellectual property, factors related to the Company’s ownership structure as well as other risks and uncertainties detailed in CWAN’s periodic public filings with the U.S. Securities and Exchange Commission (the “SEC”), including but not limited to those discussed under “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 filed on February 26, 2025 (as amended by Amendment No. 1 thereto, filed with the SEC on March 7, 2025), and in other periodic reports filed by the Company with the SEC. These filings are available at www.sec.gov and on the Company’s website.
Given these uncertainties, you should not place undue reliance on forward-looking statements. Also, forward-looking statements represent management’s beliefs and assumptions only as of the date of this press release and should not be relied upon as representing the Company’s expectations or beliefs as of any date subsequent to the time they are made. The Company does not undertake to and specifically declines any obligation to update any forward-looking statements that may be made from time to time by or on behalf of the Company.
###
Clearwater Analytics Holdings, Inc.
Consolidated Balance Sheets
(In thousands, except share amounts and per share amounts, unaudited)
| September 30 | December 31 | ||
| 2025 | 2024 | ||
| Assets | |||
| Current assets: | |||
| Cash and cash equivalents | $60,750 | $177,350 | |
| Short-term investments | 3,398 | 78,139 | |
| Accounts receivable, net | 152,791 | 106,151 | |
| Prepaid expenses and other current assets | 33,871 | 23,006 | |
| Total current assets | 250,810 | 384,646 | |
| Property, equipment and software, net | 26,262 | 14,797 | |
| Operating lease right-of-use assets, net | 40,315 | 24,797 | |
| Deferred contract costs, non-current | 9,551 | 7,013 | |
| Debt issuance costs – line of credit | 3,670 | 339 | |
| Deferred tax assets, net | 671,801 | 602,500 | |
| Intangible assets, net | 714,118 | 30,868 | |
| Goodwill | 1,267,108 | 70,971 | |
| Long-term investments | — | 30,301 | |
| Other non-current assets | 6,877 | 3,340 | |
| Total assets | $2,990,512 | $1,169,572 | |
| Liabilities and Stockholders’ Equity | |||
| Current liabilities: | |||
| Accounts payable | $3,316 | $2,934 | |
| Accrued expenses and other current liabilities | 83,610 | 55,654 | |
| Deferred revenue | 17,152 | 7,329 | |
| Notes payable, current portion | 8,000 | 2,750 | |
| Operating lease liability, current portion | 15,537 | 8,350 | |
| Tax receivable agreement liability | — | 35 | |
| Total current liabilities | 127,615 | 77,052 | |
| Notes payable, less current maturities and unamortized debt issuance costs | 830,869 | 43,164 | |
| Operating lease liability, less current portion | 28,448 | 17,655 | |
| Other long-term liabilities | 2,029 | 1,470 | |
| Total liabilities | 988,961 | 139,341 | |
| Stockholders’ Equity | |||
| Class A common stock, par value $0.001 per share; 1,500,000,000 shares authorized, 288,280,392 shares issued and outstanding as of September 30, 2025, 212,857,580 shares issued and outstanding as of December 31, 2024 | 288 | 213 | |
| Class B common stock, par value $0.001 per share; 500,000,000 shares authorized, 4,506,422 share issued and outstanding as of September 30, 2025; and no share issued and outstanding as of December 31, 2024 | 5 | — | |
| Class C common stock, par value $0.001 per share; 452,622,413 shares authorized, no share issued and outstanding as of September 30, 2025; and 500,000,000 shares authorized, 12,542,110 shares issued and outstanding December 31, 2024 | — | 13 | |
| Class D common stock, par value $0.001 per share; 369,916,245 shares authorized, no share issued and outstanding as of September 30, 2025; 500,000,000 shares authorized, 22,243,668 shares issued and outstanding as of December 31, 2024 | — | 22 | |
| Additional paid-in-capital | 1,712,800 | 725,174 | |
| Accumulated other comprehensive income (loss) | 7,448 | (1,113) | |
| Retained earnings | 261,009 | 283,946 | |
| Total stockholders’ equity attributable to Clearwater Analytics Holdings, Inc. | 1,981,550 | 1,981,550 | 1,008,255 |
| Non-controlling interests | 20,001 | 21,976 | |
| Total stockholders’ equity | 2,001,551 | 2,001,551 | 1,030,231 |
| Total liabilities and stockholders’ equity | $2,990,512 | $1,169,572 |
Clearwater Analytics Holdings, Inc.
Consolidated Statements of Operations
(In thousands, except share amounts and per share amounts, unaudited)
| Three Months Ended September 30, |
Nine Months Ended September 30, |
||||||
| 2025 | 2024 | 2025 | 2024 | ||||
| Revenue | $205,110 | $115,828 | $513,911 | $325,338 | |||
| Cost of revenue(1) | 70,638 | 31,357 | 167,984 | 89,426 | |||
| Gross profit | 134,472 | 84,471 | 345,927 | 235,912 | |||
| Operating expenses: | |||||||
| Research and development(1) | 52,065 | 36,618 | 139,219 | 109,654 | |||
| Sales and marketing(1) | 44,471 | 17,889 | 103,323 | 49,369 | |||
| General and administrative(1) | 31,382 | 22,626 | 104,328 | 65,873 | |||
| Total operating expenses | 127,918 | 77,133 | 346,870 | 224,896 | |||
| Income (loss) from operations | 6,554 | 7,338 | (943) | 11,016 | |||
| Interest expense | 16,119 | 1,076 | 30,502 | 3,256 | |||
| Tax receivable agreement expense | — | 5,344 | — | 11,545 | |||
| Other (income) expense, net | 439 | (3,365) | (3,429) | (10,560) | |||
| Income (loss) before income taxes | (10,004) | 4,283 | (28,016) | 6,775 | |||
| Provision for (benefit from) income taxes | 510 | (486) | (287) | (505) | |||
| Net income (loss) | (10,514) | 4,769 | (27,729) | 7,280 | |||
| Less: Net income (loss) attributable to non-controlling interests | (179) | 1,140 | (988) | 2,184 | |||
| Net income (loss) attributable to Clearwater Analytics Holdings, Inc. | $(10,335) | $3,629 | $(26,741) | $5,096 | |||
| Net income (loss) per share attributable to Class A and Class D common stockholders stock: | |||||||
| Basic | $(0.04) | $0.02 | $(0.10) | $0.02 | |||
| Diluted | $(0.04) | $0.02 | $(0.10) | $0.02 | |||
| Weighted average shares of Class A and Class D common stock outstanding: | |||||||
| Basic | 287,979,411 | 219,009,124 | 265,498,307 | 216,880,515 | |||
| Diluted | 287,979,411 | 231,467,214 | 265,498,307 | 227,768,434 | |||
(1) Amounts include equity-based compensation as follows:
| Cost of revenue | $4,398 | $3,460 | $12,480 | $9,879 | |||
| Operating expenses: | |||||||
| Research and development | 7,097 | 8,674 | 24,588 | 26,767 | |||
| Sales and marketing | 12,680 | 3,905 | 26,870 | 10,418 | |||
| General and administrative | 9,295 | 9,937 | 30,792 | 27,995 | |||
| Total equity-based compensation expense | $33,470 | $25,976 | $94,730 | $75,059 |
Clearwater Analytics Holdings, Inc.
Consolidated Statements of Cash Flows
(In thousands, unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||
| 2025 | 2024 | 2025 | 2024 | ||||
| OPERATING ACTIVITIES | |||||||
| Net income (loss) | $(10,514) | $4,769 | $(27,729) | $7,280 | |||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||
| Depreciation and amortization | 29,300 | 3,239 | 56,052 | 8,730 | |||
| Noncash operating lease cost | 5,281 | 2,345 | 12,299 | 6,900 | |||
| Equity-based compensation | 33,470 | 25,976 | 94,730 | 75,059 | |||
| Amortization of deferred contract acquisition costs | 3,338 | 1,160 | 7,125 | 3,573 | |||
| Amortization of debt issuance costs, included in interest expense | 977 | 70 | 1,793 | 209 | |||
| Debt extinguishment cost | — | — | 419 | — | |||
| Deferred tax benefit | (2,239) | (1,084) | (2,730) | (3,076) | |||
| Accretion of discount on investments | — | (556) | (284) | (1,732) | |||
| Realized (gain) loss on investments | — | — | (112) | 24 | |||
| Changes in operating assets and liabilities, net of acquisitions: | |||||||
| Accounts receivable, net | (4,771) | (3,157) | 5,574 | (7,875) | |||
| Prepaid expenses and other assets | 2,802 | 3,654 | (8,620) | 2,561 | |||
| Deferred contract acquisition costs | (4,671) | (1,645) | (8,711) | (3,416) | |||
| Accounts payable | (2,815) | 1,306 | (1,965) | 1,586 | |||
| Accrued expenses and other liabilities | (1,101) | 8,001 | (6,150) | 3,763 | |||
| Tax receivable agreement liability | — | 5,579 | (35) | 9,934 | |||
| Other long-term liabilities | (73) | — | (1,091) | — | |||
| Net cash provided by operating activities | 48,984 | 49,657 | 120,565 | 103,520 | |||
| INVESTING ACTIVITIES | |||||||
| Purchases of property, equipment and software | (4,057) | (1,546) | (8,512) | (4,437) | |||
| Purchases of intangible assets | (55) | — | (239) | — | |||
| Purchase of held to maturity investments | — | — | (4,686) | (3,009) | |||
| Purchases of available-for-sale investments | — | (26,578) | — | (93,968) | |||
| Proceeds from sale of available-for-sale investments | — | — | 89,479 | — | |||
| Proceeds from maturities of investments | — | 27,025 | 20,375 | 86,867 | |||
| Acquisition of businesses, net of cash acquired | — | — | (1,074,783) | (40,121) | |||
| Payment of asset acquisition holdback liability | — | — | (10,000) | — | |||
| Payment of initial direct costs for operating leases | — | — | (89) | (104) | |||
| Net cash used in investing activities | (4,112) | (1,099) | (988,455) | (54,772) | |||
| FINANCING ACTIVITIES | |||||||
| Proceeds from exercise of options | — | 101 | 168 | 210 | |||
| Taxes paid related to net share settlement of equity awards | (2,893) | (9,582) | (32,232) | (42,663) | |||
| Repurchase of common stock | (8,503) | — | (8,503) | — | |||
| Proceeds from borrowings, net of payment of debt issuance costs | — | — | 924,475 | — | |||
| Repayments of borrowings | (40,000) | (1,375) | (137,063) | (2,062) | |||
| Payment of business acquisition holdback liability | — | — | — | (780) | |||
| Proceeds from employee stock purchase plan | — | — | 3,316 | 2,795 | |||
| Payment of tax distributions | — | (17) | — | (25) | |||
| Net cash provided by (used in) financing activities | (51,396) | (10,873) | 750,161 | (42,525) | |||
| Effect of exchange rate changes on cash and cash equivalents | (1,130) | 914 | 1,129 | 706 | |||
| Change in cash and cash equivalents during the period | (7,654) | 38,599 | (116,600) | 6,929 | |||
| Cash and cash equivalents, beginning of period | 68,404 | 190,095 | 177,350 | 221,765 | |||
| Cash and cash equivalents, end of period | $60,750 | $228,694 | $60,750 | $228,694 | |||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | |||||||
| Cash paid for interest | $15,137 | $865 | $16,892 | $2,627 | |||
| Cash paid for income taxes | $310 | $589 | $1,166 | $1,179 | |||
| NON-CASH INVESTING AND FINANCING ACTIVITIES | |||||||
| Purchase of property, equipment and software included in accounts payable and accrued expense | $54 | $25 | $54 | $25 | |||
| Acquisition of Bistro intangible assets paid in common stock | $— | $— | $102,729 | $— | |||
| Repurchase of common stock included in accrued expenses and other liabilities | $360 | $— | $360 | $— | |||
| Business acquisition liability included in accrued expenses and other liabilities | $62 | $— | $62 | $— | |||
| Tax distributions payable to Continuing Equity Owners included in accrued expenses | $2 | $3,889 | $2 | $3,889 | |||
Clearwater Analytics Holdings, Inc.
Reconciliation of Net Income (Loss) to Adjusted EBITDA
(In thousands, unaudited)
| Three Months Ended September 30, | |||||||
| 2025 | 2024 | ||||||
| (in thousands, except percentages) | |||||||
| Net income (loss) | $(10,514) | (5%) | $4,769 | 4% | |||
| Adjustments: | |||||||
| Interest expense | 16,119 | 8% | 1,076 | 1% | |||
| Depreciation and amortization | 29,300 | 14% | 3,239 | 3% | |||
| Equity-based compensation expense and related payroll taxes | 34,330 | 17% | 26,907 | 23% | |||
| Tax receivable agreement expense | — | —% | 5,344 | 5% | |||
| Transaction expenses(1) | 549 | 0% | 248 | 0% | |||
| Amortization of prepaid management fees and reimbursable expenses | — | —% | 608 | 0% | |||
| Provision for (benefit from) income tax expense | 510 | 0% | (486) | 0% | |||
| Other (income) expense, net | 439 | 0% | (3,365) | (3%) | |||
| Adjusted EBITDA | $70,733 | 34% | $38,340 | 33% | |||
| Revenue | $205,110 | 100% | $115,828 | 100% | |||
| Nine Months Ended September 30, | |||||||
| 2025 | 2024 | ||||||
| (in thousands, except percentages) | |||||||
| Net income (loss) | $(27,729) | (5%) | $7,280 | 2% | |||
| Adjustments: | |||||||
| Interest expense | 30,502 | 6% | 3,256 | 1% | |||
| Depreciation and amortization | 56,052 | 11% | 8,730 | 3% | |||
| Equity-based compensation expense and related payroll taxes | 100,735 | 20% | 80,540 | 25% | |||
| Tax receivable agreement expense | — | —% | 11,545 | 3% | |||
| Transaction expenses(1) | 18,263 | 3% | 1,926 | 1% | |||
| Amortization of prepaid management fees and reimbursable expenses | 10 | 0% | 1,780 | 0% | |||
| Provision for (benefit from) income tax expense | (287) | 0% | (505) | 0% | |||
| Other (income) expense, net | (3,429) | (1%) | (10,560) | (3%) | |||
| Adjusted EBITDA | $174,117 | 34% | $103,992 | 32% | |||
| Revenue | $513,911 | 100% | $325,338 | 100% | |||
(1) Transaction expenses primarily consist of severance costs, transaction related bonuses, professional & legal fees and administrative costs for closed acquisitions.
Clearwater Analytics Holdings, Inc.
Reconciliation of Free Cash Flow
(In thousands, unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||
| 2025 | 2024 | 2025 | 2024 | ||||
| Net cash provided by operating activities | $48,984 | $49,657 | $120,565 | $103,520 | |||
| Less: Purchases of property, equipment and software | 4,057 | 1,546 | 8,512 | 4,437 | |||
| Free Cash Flow | $44,927 | $48,111 | $112,053 | $99,083 | |||
Clearwater Analytics Holdings, Inc.
Reconciliation of Non-GAAP Information
(In thousands, except share amounts and per share amounts, unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||
| 2025 | 2024 | 2025 | 2024 | ||||
| Revenue | $205,110 | $115,828 | $513,911 | $325,338 | |||
| Gross profit | $134,472 | $84,471 | $345,927 | $235,912 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 4,646 | 3,743 | 13,817 | 10,583 | |||
| Depreciation and amortization | 21,873 | 2,702 | 42,115 | 7,298 | |||
| Gross profit, non-GAAP | $160,991 | $90,916 | $401,859 | $253,793 | |||
| As a percentage of revenue, non-GAAP | 78% | 78% | 78% | 78% | |||
| Cost of Revenue | $70,638 | $31,357 | $167,984 | $89,426 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 4,646 | 3,743 | 13,817 | 10,583 | |||
| Depreciation and amortization | 21,873 | 2,702 | 42,115 | 7,298 | |||
| Cost of revenue, non-GAAP | $44,119 | $24,912 | $112,052 | $71,545 | |||
| As a percentage of revenue, non-GAAP | 22% | 22% | 22% | 22% | |||
| Research and development | $52,065 | $36,618 | $139,219 | $109,654 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 7,426 | 9,085 | 26,237 | 30,265 | |||
| Depreciation and amortization | 472 | 215 | 986 | 580 | |||
| Research and development, non-GAAP | $44,167 | $27,318 | $111,996 | $78,809 | |||
| As a percentage of revenue, non-GAAP | 22% | 24% | 22% | 24% | |||
| Sales and marketing | $44,471 | $17,889 | $103,323 | $49,369 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 12,806 | 4,052 | 28,121 | 10,994 | |||
| Depreciation and amortization | 6,054 | 174 | 11,123 | 464 | |||
| Sales and marketing, non-GAAP | $25,611 | $13,663 | $64,079 | $37,911 | |||
| As a percentage of revenue, non-GAAP | 12% | 12% | 12% | 12% | |||
| General and administrative | $31,382 | $22,626 | $104,328 | $65,873 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 9,452 | 10,027 | 32,560 | 28,698 | |||
| Depreciation and amortization | 901 | 148 | 1,828 | 388 | |||
| Amortization of prepaid management fees and reimbursable expenses | — | 608 | 10 | 1,780 | |||
| Transaction expenses | 549 | 248 | 18,263 | 1,926 | |||
| General and administrative, non-GAAP | $20,480 | $11,595 | $51,667 | $33,081 | |||
| As a percentage of revenue, non-GAAP | 10% | 10% | 10% | 10% | |||
| Income (loss) from operations | $6,554 | $7,338 | $(943) | $11,016 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 34,330 | 26,907 | 100,735 | 80,540 | |||
| Depreciation and amortization | 29,300 | 3,239 | 56,052 | 8,730 | |||
| Amortization of prepaid management fees and reimbursable expenses | — | 608 | 10 | 1,780 | |||
| Transaction expenses | 549 | 248 | 18,263 | 1,926 | |||
| Income from operations, non-GAAP | $70,733 | $38,340 | $174,117 | $103,992 | |||
| As a percentage of revenue, non-GAAP | 34% | 33% | 34% | 32% | |||
| Net income (loss) | $(10,514) | $4,769 | $(27,729) | $7,280 | |||
| Adjustments: | |||||||
| Equity-based compensation expense and related payroll taxes | 34,330 | 26,907 | 100,735 | 80,540 | |||
| Depreciation and amortization | 29,300 | 3,239 | 56,052 | 8,730 | |||
| Tax receivable agreement expense | — | 5,344 | — | 11,545 | |||
| Amortization of prepaid management fees and reimbursable expenses | — | 608 | 10 | 1,780 | |||
| Transaction expenses | 549 | 248 | 18,263 | 1,926 | |||
| Tax impacts of adjustments to net income (loss) (1) | (13,034) | (10,157) | (37,048) | (27,824) | |||
| Net income, non-GAAP | $40,631 | $30,958 | $110,283 | $83,977 | |||
| As a percentage of revenue, non-GAAP | 20% | 27% | 21% | 26% | |||
| Net income per share – basic, non-GAAP | $0.14 | $0.14 | $0.42 | $0.39 | |||
| Net income per share – diluted, non-GAAP | $0.14 | $0.12 | $0.39 | $0.33 | |||
| Weighted average common shares outstanding – basic | 287,979,411 | 219,009,124 | 265,498,307 | 216,880,515 | |||
| Weighted average common shares outstanding – diluted | 299,021,144 | 258,965,226 | 282,426,706 | 255,291,333 | |||
(1) The non-GAAP effective tax rate was 25% for the three and nine months ended September 30, 2025 and 2024, respectively, and has been used to adjust the provision for income taxes for non-GAAP net income and non-GAAP basic and diluted net income per share.