As I reflect on the third quarter, I am proud to share that it was the strongest in Yubico’s history. Following a slower start to the year, our team delivered with focus and discipline, and I am grateful to our customers and partners for making these results possible.
A quarter built on strong relationships
Growth this quarter was broad-based. E-commerce performed particularly well, and several impactful enterprise orders came together after extended sales cycles. The high-tech sector was our largest contributor, with public sector and financial services customers also playing a strong role. Focused execution and the cost savings program we completed earlier this year continued to support profitability.
Large orders amplified our performance this quarter, and while this should not be seen as a new baseline, the momentum encourages me. Excluding large orders, bookings grew 40 percent, reflecting the strength of our customer relationships and our continued progress in winning new business. Our subscription business also continued to grow as a share of total bookings.
Setting our long-term targets
Today, our Board of Directors adopted updated long-term financial targets for the period 2027–2031. These targets reflect our confidence in the market opportunities while balancing growth with the investments needed to capture them. We aim to expand our product portfolio, strengthen our geographic presence and reach more customers through direct sales, channel partners and global system integrators. Our focus is on building predictable, profitable growth.
Extending our leadership into digital identity
As AI reshapes security needs, securing digital identity must extend beyond authentication. This week at YubiNation, our inaugural user conference, we introduced YubiID, a new identity lifecycle platform including identity verification, and our next-generation, PQC-ready YubiKey. As I discussed in my YubiNation blog, trust must be established and maintained throughout the entire identity lifecycle.
We’re rolling out both innovations in stages, guided by customer feedback and Yubico’s standards of quality and reliability. Together, these innovations will deepen customer relationships and expand our market reach.
Looking ahead
I look forward to sharing how these opportunities translate into our long-term strategy at our Capital Markets Day in Stockholm on November 19, where we will outline our product roadmap, investment priorities and financial targets.
Thank you to our Yubico team, customers and partners for your continued trust and shared commitment to a safer digital future.
