Friends & Family Capital is pleased to share the Q3 2025 edition of “Seven Weeks in Seven Minutes.”

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This resource is a summary of condensed and actionable insights on what you need to know from the last seven weeks of earnings announcements.

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It is intended for our Founders, CFOs, and friends in the community.

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See below for the overview slides from the quarter. The full presentation is available for download here.

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We welcome your feedback to help shape the relevance for your business in future quarters.

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Key theme for the quarter: “Optimism in Search of Acceleration”

• Macro uncertainty has reduced in dialogue as compared to prior years of earnings calls
• Sales capacity expands as companies see opportunity to grow topline with new AI capabilities
• Revenue stabilizes or decelerates across majority of coverage universe, reversing last quarter’s trend
• Cybersecurity continues to be the exclusive software vertical where revenue acceleration is consistent
• 86% of companies both beat estimates and had analysts raise estimates on revenue and EPS

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Our public company universe includes 49 companies. We selected these businesses as leading business-to-business software companies plus the technology stalwarts. The customers served by these companies are also relevant for the Founders we help as they build companies in the private markets.

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Market price moved up or down by 10% or more across several companies following their earnings.

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Below are the top ten movers and bottom ten movers in the Q3 earnings season based on one-day share price reaction following their earnings announcement.

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Sales & Marketing investments were notable in prepared remarks and Q&A discussion during earnings calls. Q3 2025 had highlights of continued excitement in AI opportunities, and how companies seek to capture new customers and expansions.

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Cybersecurity companies continue to see strong demand for their products with revenue acceleration across a number of firms in the coverage universe. The increase in cyber attacks, bolstered by AI, are driving customers to seek additional security protection.

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Palantir is a notable winner over the recent AI cycle based on accelerating revenue growth. Due to Palantir’s unique Forward Deployed Engineering model, other incumbent software firms are experimenting with this model to see if it may enhance revenue growth or increase adoption of new AI capabilities by their customers.

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