Figma reported third-quarter 2026 revenue of $391.4 million on Wednesday, beating Wall Street estimates and lifting its full-year forecast, though shares fell roughly 7% in extended trading as investors weighed the costs of the company’s artificial intelligence push.
The design software company posted adjusted earnings of 10 cents per share, double the 5 cents analysts expected, on revenue that grew 43% year over year. Net loss narrowed to $81.3 million, or 15 cents per share, compared with a loss of $1.10 billion, or $2.72 per share, a year earlier, CNBC reported. Figma now anticipates an 11% operating margin, up from 9% as of August.
AI Credits Drive Usage as Gross Margin Slips to 80%
Figma is bundling more AI credits into customer plans, and utilization of its repriced AI add-ons is up 40%. The share of work performed by Figma’s own AI model doubled during the quarter, and the rate at which users undo AI-generated work fell, the company said. Gross margin came in at 80%, below the 81% analysts expected, reflecting the computing costs of delivering AI features.
“If there are certain actions that we can power for our customers at lower latency, lower cost, or similar quality to third party, we’re open to that as well,” Melwani said.
Full-Year Revenue Outlook Raised to $1.5 Billion
Figma lifted its full-year 2026 revenue forecast to $1.497 billion to $1.499 billion, up from $1.463 billion to $1.467 billion previously, and raised its operating margin target to 11% from 9% as of August. Analysts surveyed by LSEG had expected $1.471 billion in revenue. The company projected fourth-quarter revenue growth of about 33%, above the 28% analysts predicted, CNBC reported.
As of Sept. 30, Figma had 16,566 paid customers with more than $10,000 in annual recurring revenue and 1,717 paid customers with more than $100,000 in ARR, Benzinga reported. The company ended the quarter with $1.7 billion in cash, cash equivalents and marketable securities, generating $48.4 million in net cash from operations and $41.5 million in free cash flow.
Shares Fall on AI Investment Costs
Figma shares tumbled 7% in extended trading after the report, CNBC reported, while MarketWatch recorded a 6% decline and Benzinga pegged the drop at 5.87% to $20.83. The stock has fallen about 41% so far in 2026, CNBC reported, while the S&P 500 has gained 12% over the same period.
The results come one day after rival design startup Canva announced it would cut 22% of its employees. Earlier this year, investors worried that AI models could threaten Figma’s business, but the company is positioning itself to benefit from rising AI adoption in website and app building. “As code becomes a commodity, value is moving up the stack to design — and our Q3 results reflect that,” CEO Dylan Field said in a statement reported by Benzinga.
Insider activity shows substantial net selling over the past 12 months, with insiders offloading $292.9 million worth of shares versus $36.5 million purchased, GuruFocus reported. The stock trades at a price-to-sales ratio of 8.49, below its historical median of approximately 11.3x, the outlet noted.
Questions Investors Are Asking About Figma’s AI Strategy
How many large customers is Figma serving?
The company reported 16,566 paid customers with over $10,000 in ARR and 1,717 with over $100,000 in ARR as of Sept. 30, according to Benzinga.
What is Figma’s cash position?
Figma ended the quarter with $1.7 billion in total cash, cash equivalents and marketable securities, Benzinga reported.
Executives are scheduled to discuss the results with analysts on a conference call starting at 5 p.m. ET Wednesday.
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