Figma raises annual revenue forecast as AI drives strong design demand

By Zaheer Kachwala

May 14 (Reuters) - ‌Figma raised its ​annual ​revenue forecast on Thursday, as growing adoption of its artificial intelligence tools helped convert more users to paid plans and grow ‌the use of its design software across large corporate customers, ⁠sending its shares up 15% in extended trading.

The company now expects 2026 revenue between $1.42 billion ‌and $1.43 billion, compared with its ‌prior forecast of $1.36 billion to $1.37 billion.

Figma's offerings have strongly resonated with customers, which range from Fortune 500 companies to freelancers, as its browser-based ​platform allows users to go from creating simple sketches to coding and shipping.

The company has embraced AI, embedding the technology into its offerings ⁠and developing tools around it, hoping this will make designing a simpler process and open up its ​products to more customers.

Over 75% of "Org" and "Enterprise" users who had previously exceeded AI credit limits continued to use AI credits ​in April, the company said.

Figma in March ‌began enforcing credit limits, selling add-ons to users that went past the credits included in their plan, in an ⁠attempt to further monetize its AI tools.

Figma also faces the threat of AI disruption, as many fear that the rise of agentic tools from leading frontier model ⁠developers will upend traditional software.

"When you talk about a Claude design... you can't dismiss them, ​their ability to train first party models and couple those with their own products is something that we definitely are paying attention to," Figma CFO Praveer Melwani told ‌Reuters.

Last month, Anthropic unveiled Claude Design that allows users to explore designs, interactive prototypes, and pitch decks and presentations.

Figma ‌forecast second-quarter revenue of between $348 million and $350 million, compared with analysts' estimate of $327 ⁠million, according to data compiled ‌by LSEG.

Revenue for the ​first quarter ended March 31 came in at $333.4 million, beating estimates of $313.2 million.

(Reporting by Zaheer Kachwala in Bengaluru; Editing by ‌Shailesh Kuber)

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