Cloudflare, Inc.

cloudflare.com

What Do They Do?

Provides cloud-based security, performance and network services for businesses, and tools for developers to build applications on its network.

How Do They Make Money?

Businesses pay for subscriptions to access Cloudflare’s network and products, with contracted customers typically billed monthly or annually and web sign-ups paying monthly or annually. Developer services are charged by usage, and excess-bandwidth fees are charged in the period used.

FY2025 revenue

Who Are Their Customers?

Businesses of all sizes buy through direct sales teams or channel partners; smaller customers can sign up and manage plans themselves on Cloudflare’s website or through hosting partners.

Do Revenues Turn Into Profits?

Not on paper. It lost $102.3M in FY2025, but brought in more cash than it spent: $287.5M of free cash flow.

Operating income, FY2025

−10% of revenue

▲ +34% (Loss) vs FY2024 (−$154.8M, −9%)

Net income, FY2025

−5% of revenue

▲ +30% (Loss) vs FY2024 (−$78.8M, −5%)

Free cash flow, FY2025

13% of revenue

▲ +47% vs FY2024 ($195.4M, 12%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q2 FY2026, the three months to Jun 30, 2026

Revenue: ▲ +36%; vs $512.3M in Q2 FY2025
Net income: ▲ +237% (Loss); vs −$50.4M in Q2 FY2025

Aug 13, 2026 Cloudflare issued $2.50 billion of 0% convertible notes due 2031. The notes were issued under an indenture and may be converted into cash, shares, or both, at the company’s election.
May 7, 2026 Cloudflare announced a plan to cut its workforce by about 20%. The company expects $140 million to $150 million in related charges, with most in the second quarter of fiscal 2026.

Growing. Revenue grew 3.3x in 4 years, from $656.4M in FY2021 to $2.2B in FY2025, about 35% a year.

More AI and agent-focused services The latest report adds services for controlling AI crawlers and agents and describes customers building AI applications on Cloudflare’s network; the older report focused on security, performance, reliability, network services, and developer solutions.

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