Figma Shares Soar After $1.2 Billion IPO Amid Strong Q3 Results

NEW YORK, New York — Figma Inc., a design software maker, saw its shares surge as much as 229% following a successful IPO that raised $1.2 billion on July 31, 2025. This trading jump values the company significantly above the $20 billion it was set to receive from a now-scrapped merger with Adobe Inc.

Dylan Field, co-founder and CEO of Figma, led the company’s debut on the New York Stock Exchange, pricing shares at $33 each. The stock closed at $44.01 on Wednesday, marking a gain of 33%.

In its most recent quarterly report, Figma exceeded expectations with its third-quarter revenue growth of 38% year-over-year, coupled with forecasts projecting fourth-quarter revenue between $292 million and $294 million, surpassing analyst expectations. However, the company reported a net loss of $1.10 billion, up from a loss of $15.6 million a year prior.

Field noted during a CNBC interview that Figma’s growth is largely driven by the adoption of Figma Make, a product leveraging generative models for app design. Approximately 30% of clients spending over $100,000 annually use this tool. The company recorded a net dollar retention rate of 131% for clients spending at least $10,000 yearly, an increase from 129% in the second quarter.

Figma’s client base is also expanding, with 1,262 organizations now spending over $100,000 annually, marking a 13% increase since June. The adoption of Figma’s products continues to grow, with a significant portion of customers using multiple offerings.

Despite some concerns regarding stock-based compensation expenses affecting adjusted earnings, analysts are optimistic about Figma’s trajectory, particularly in light of its investments in AI technology.

Figma’s rise in the market comes as its primary competitor, Adobe, faces challenges in capitalizing on the growing AI market.

The company’s executives are scheduled to discuss the results in a conference call at 5 p.m. ET.