Australia’s design powerhouse is on the rise, creating wealth for employees and positioning itself as a formidable Adobe rival.
Fortune reports that Canva’s recent employee stock offering hints at a 2026 IPO.
Summary: Canva has reached $3.3 billion in annual recurring revenue with a valuation of $42 billion, emerging as a top SaaS/B2B IPO prospect for 2026. With 240 million monthly active users and 27 million paying users, its AI innovations drive 800 million interactions each month, revolutionizing global design accessibility.
The future of B2B IPOs, including leaders like Canva, Databricks, and Stripe, looks promising. The journey is just beginning.
Core Metrics
The figures speak volumes:
Revenue Highlights:
- $3.3 billion ARR (over 50% growth in a year)
- 27 million paid users
- 240 million monthly active users
- 20% of revenue from enterprise clients
- 8 continuous years of profitability
Valuation Progress:
- October 2024: valued at $32 billion
- August 2025: valuation rose to $42 billion (a 31% increase in 10 months)
- Current revenue multiple: 12.7x ARR
In comparison, Adobe’s forward revenue multiple is 12.5x, and Figma’s stands at 35x ARR. Canva is well-positioned, not overly priced, with significant potential if it captures Adobe’s market share.
AI Strategy Insights
Canva’s design software has been fundamentally reimagined with AI.
The Phoenix Approach:
- $370 million acquisition of Leonardo AI for proprietary model development
- 800 million AI interactions monthly (700% year-over-year increase)
- Native AI tools like Magic Write, Magic Design, Magic Edit
- Over 120 specialized AI plugins for tasks like avatar creation to video editing
Canva’s AI solutions save users about 4 hours weekly, with 77% of marketers acknowledging enhanced creativity. It’s not just about efficiency; it’s about amplifying creativity.
Enterprise Adoption Growth: Canva Teams witnessed an average contract value increase of 66% in 2025. AI features that start as free add-ons are becoming essential for enterprises, driving product-led growth at scale.
Figma vs. Canva: A Potential Overachiever
Figma’s significant IPO success provides a roadmap to assess Canva’s prospects. The data highlights Canva’s larger scale and strong market position:
Figma Reality Check: Scott Chou from ESO Fund noted that “Canva’s tender values the company just above Figma’s current public valuation,” despite Canva having four times the revenue at a 3.4 times lower multiple, exemplifying relative value.
Distinct Advantages:
- Scale Superiority: Canva’s 240 million users far exceed Figma’s 13 million, suggesting wider appeal
- Revenue Efficiency: Despite a lower multiple, Canva’s revenue is 4x that of Figma
- Valuation Discrepancy: Canva’s valuation is at 12.7x revenue compared to Figma’s 43.2x, making Canva appear inexpensive
- AI Prowess: Canva has integrated AI at its core, unlike Figma’s additional features
- Market Diversity: While Figma dominates UI/UX design, Canva covers all visual communication fields
Valuation Potential: If Canva achieves half of Figma’s current revenue multiple (21.6x), it could reach a $71 billion valuation. Even at Adobe’s conservative 12.5x multiple, it parallels the current private market price with public liquidity.
Market Position: The Underdog’s Advantage