Amplitude Reports 14% Revenue Growth in Q2 2025, Despite Increased Net Loss

Amplitude, Inc. reported its financial results for the second quarter of 2025, revealing a revenue increase of 14% year-over-year, reaching $83.3 million compared to $73.3 million in the same period of 2024. For the first half of 2025, the company generated $163.2 million in revenue, a 12% increase from $145.9 million in the first half of 2024. Despite this growth, Amplitude recorded a net loss of $24.7 million for the quarter, slightly higher than the $23.4 million loss reported in the prior year. The loss for the first half of 2025 totaled $46.9 million, compared to $44.9 million in the same period last year.

The company’s operating expenses also increased, totaling $87.6 million for the second quarter, up from $81.0 million a year earlier. This rise was driven by higher costs in research and development, sales and marketing, and general and administrative expenses. Research and development expenses rose by 14% to $24.1 million, while sales and marketing expenses increased by 6% to $47.0 million. General and administrative expenses saw a 5% increase to $16.5 million. The gross margin remained stable at 73% for both the second quarter of 2025 and 2024.

In terms of operational metrics, Amplitude reported a total of 634 customers with annual recurring revenue (ARR) of $100,000 or more, reflecting a 16% increase from 547 customers in the previous year. The company’s dollar-based net retention rate for the trailing twelve months was 99%, indicating strong customer retention, although it was slightly lower than the previous year’s rate of 98%. The company also noted that 39% of its revenue was generated outside the United States, highlighting its international presence.

Strategically, Amplitude has been active in expanding its capabilities through acquisitions. In June 2025, the company acquired certain assets from a privately-held company for $0.5 million, which will enhance its digital analytics platform. Additionally, in July 2025, Amplitude acquired Kraftful, Inc. for $3.7 million, aiming to integrate AI-powered solutions into its offerings. The company continues to invest in product development and marketing to drive customer acquisition and retention, with plans to expand its workforce and international presence.

Looking ahead, Amplitude anticipates continued growth driven by its investments in product innovation and customer engagement strategies. The company remains focused on enhancing its platform capabilities and expanding its customer base, while also navigating the challenges posed by market conditions and competition. Amplitude's management believes that its current cash and cash equivalents, totaling approximately $119.7 million, along with marketable securities of $167.9 million, will be sufficient to support its operations and growth initiatives in the near term.