Added a record 28,000 net locations in 2024,
ending the year with approximately 134,000 Locations
Annualized recurring run-rate (ARR) increased
34% to over $1.6 billion as of December 31, 2024
Fourth quarter net income was $33 million and
Adjusted EBITDA was $111 million
Full year 2024 net income was $19 million and
Adjusted EBITDA was $373 million
Toast (NYSE: TOST), the all-in-one digital technology platform
built for restaurants, today reported financial results for the
fourth quarter and full year ended December 31, 2024.
“Toast had a strong close to 2024, capping off a
transformational year where we added a record 28,000 net locations,
grew our recurring gross profit streams1 34%, delivered Adjusted
EBITDA of $373 million, and achieved our first year of GAAP
profitability,” said Toast CEO and Co-Founder Aman Narang. “Our
record location adds show the momentum with our core customer base,
and the positive signals across our newer customer groups:
enterprise, international and food and beverage retail. In 2025,
we’ll accelerate our efforts across these new addressable markets
and continue to further differentiate our platform. We’re well on
our way to our ultimate goal: serving many multiples of the 134,000
locations we do today, and delivering durable growth and strong
profitability over the long term.”
Financial Highlights for the Fourth Quarter of 2024
- ARR as of December 31, 2024 was $1.6 billion, up 34% year over
year.
- Total Locations increased 26% year over year to approximately
134,000.
- Gross Payment Volume (GPV) increased 25% year over year to
$42.2 billion.
- GAAP subscription services and financial technology solutions
gross profit was up 40% year over year to $378 million. Non-GAAP
subscription services and financial technology solutions gross
profit grew 39% year over year to $392 million.
- GAAP income from operations was $32 million in Q4 2024 compared
to GAAP loss from operations of $(56) million in Q4 2023.
- GAAP net income was $33 million in Q4 2024 compared to GAAP net
loss of $(36) million in Q4 2023. Adjusted EBITDA was $111 million
in Q4 2024 compared to Adjusted EBITDA of $29 million in Q4
2023.
- Net cash provided by operating activities of $147 million and
Free Cash Flow of $134 million in Q4 2024, compared to net cash
provided by operating activities of $92 million and Free Cash Flow
of $81 million in Q4 2023.
Financial Highlights for the Full Year 2024
- GPV for the full year 2024 increased 26% year over year to
$159.1 billion.
- GAAP subscription services and financial technology solutions
gross profit was up 34% year over year to $1.4 billion. Non-GAAP
subscription services and financial technology solutions gross
profit grew 34% year over year to $1.4 billion.
- GAAP income from operations was $16 million in full year 2024
compared to GAAP loss from operations of $(287) million in full
year 2023.
- GAAP net income was $19 million in full year 2024 compared to
GAAP net loss of $(246) million in full year 2023. Adjusted EBITDA
was $373 million in full year 2024 compared to Adjusted EBITDA of
$61 million in full year 2023.
- Net cash provided by operating activities of $360 million and
Free Cash Flow of $306 million in full year 2024, compared to net
cash provided by operating activities of $135 million and Free Cash
Flow of $93 million in full year 2023.
Percentages may not tie due to rounding. For more information on
the non-GAAP financial measures and key metrics discussed in this
press release, please see the sections titled “Non-GAAP Financial
Measures” and “Key Business Metrics,” as well as the
reconciliations of non-GAAP financial measures to their nearest
comparable GAAP financial measures at the end of this press
release.
Outlook(2)
For the first quarter ending March 31, 2025, Toast expects to
report:
- Non-GAAP subscription services and financial technology
solutions gross profit in the range of $385 million to $395 million
(27-30% growth compared to Q1 2024)
- Adjusted EBITDA in the range of $100 million to $110
million
For the full year ending December 31, 2025, Toast expects to
report:
- Non-GAAP subscription services and financial technology
solutions gross profit in the range of $1,745 million to $1,765
million (23-25% growth compared to 2024)
- Adjusted EBITDA in the range of $510 million to $530
million
The outlook provided above constitutes forward-looking
information within the meaning of applicable securities laws and is
based on a number of assumptions and subject to a number of risks.
See cautionary note regarding “Forward-looking Statements” in this
press release.
Recent Business Highlights
- Toast announced an expanded partnership with Uber Technologies,
Inc. (NYSE: UBER), giving restaurants increased choice, and their
guests more food delivery options while helping restaurants reduce
costs and expand their reach by leveraging Uber’s extensive
delivery network.
- In 2024, Toast was proud to partner with more than one-third of
the 2024 James Beard award-winning restaurants and over half of
Michelin-rated U.S. restaurants.
- Toast has signed an agreement with Ascent Hospitality
Management to implement Toast Enterprise Solutions at Perkins and
Huddle House restaurants across an initial 500 locations,
representing Toast’s largest full service restaurant group to-date.
Additionally, Toast recently signed Mendocino Farms, a fast-casual
restaurant group with over 70 locations in California, who looked
to Toast as a strategic partner to help modernize store operations,
streamline staff trainings, and support future growth plans.
Conference Call Information
Toast will host a live conference call at 5:00 p.m. Eastern Time
on Wednesday, February 19, 2025. The live webcast of the conference
call can be accessed through Toast’s investor relations website at
http://investors.toasttab.com. A replay of the webcast will be
available for a period of 90 days after the call.
Toast has used, and intends to continue to use, its Investor
Relations website (http://investors.toasttab.com), as well as the
Toast Newsroom (https://pos.toasttab.com/news), as a means of
disclosing material non-public information and for complying with
its disclosure obligations under Regulation FD. Information on or
that can be accessed through Toast’s Investor Relations website, or
that is contained in any website to which a hyperlink is provided
herein is not part of this press release, and the inclusion of
Toast’s Investor Relations website address, and any hyperlinks are
only inactive textual references.
About Toast
Toast is a cloud-based, all-in-one digital technology platform
purpose-built for the entire restaurant community. Toast provides a
comprehensive platform of software as a service (SaaS) products and
financial technology solutions that give restaurants everything
they need to run their business across point of sale, payments,
operations, digital ordering and delivery, marketing and loyalty,
and team management. We serve as the restaurant operating system,
connecting front of house and back of house operations across
service models including dine-in, takeout, delivery, catering, and
retail. Toast helps restaurants streamline operations, increase
revenue and deliver amazing guest experiences. For more
information, visit www.toasttab.com.
Forward-looking Statements
This press release contains “forward-looking statements,” within
the meaning of Section 27A of the Securities Act of 1933, Section
21E of the Securities Exchange Act of 1934 and the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements may be identified by the context of the statement and
generally arise when Toast or its management is discussing its
beliefs, estimates or expectations. Such statements generally
include the words “believes,” “plans,” “intends,” “targets,” “may,”
“could,” “should,” “will,” “expects,” “estimates,” “suggests,”
“anticipates,” “outlook,” “continues,” or similar expressions.
These statements are not historical facts or guarantees of future
performance, but represent the beliefs of Toast and its management
at the time the statements were made regarding future events which
are subject to certain risks, uncertainties and other factors, many
of which are outside Toast’s control. Actual results and outcomes
may differ materially from what is expressed or forecast in such
forward-looking statements. Forward-looking statements include,
without limitation, statements about expected financial positions
or growth; results of operations and future operating results; cash
flows; guidance on financial results for the first fiscal quarter
and full year of 2025; the expectations of demand for Toast’s
products and growth of its business; the growth rates in the
markets in which Toast competes; Toast’s investments in technology
and infrastructure; arrangements between Toast and its customers,
including the planned and future implementation of the Toast
platform at such customers’ locations; Toast’s business
relationship with its partners; Toast’s ability to deliver
innovative solutions; Toast’s ability to attract and retain
customers; financing plans; business strategy; operating plans;
competitive positions; and growth opportunities for existing
products and new markets.
The forward-looking statements contained in this release are
also subject to other risks and uncertainties, including those more
fully described in Toast’s filings with the Securities and Exchange
Commission (“SEC”), including in the sections entitled “Risk
Factors” and “Management’s Discussion and Analysis of Financial
Condition and Results of Operations’’ in Toast’s Annual Report on
Form 10-K for the year ended December 31, 2023, Toast’s Annual
Report on Form 10-K for the year ended December 31, 2024 that will
be filed following this earnings release, and Toast’s subsequent
SEC filings. Toast can give no assurance that the plans,
intentions, expectations or strategies as reflected in or suggested
by those forward-looking statements will be attained or achieved.
The forward-looking statements in this release are based on
information available to Toast as of the date hereof, and Toast
disclaims any obligation to update any forward-looking statements,
except as required by law. These forward-looking statements should
not be relied upon as representing Toast’s views as of any date
subsequent to the date of this press release.
____________________ 1 Toast considers Non-GAAP subscription
services and financial technology solutions gross profit to be its
recurring gross profit streams. 2 A reconciliation of these forward
looking Non-GAAP measures to the corresponding GAAP measure is not
available without unreasonable effort because of the inherent
difficulty of accurately forecasting the occurrence and financial
impact of the various adjusting items necessary for such
reconciliations that have not yet occurred, are out of our control,
or cannot be reasonably predicted, including but not limited to the
change in fair value of our warrant liability and stock-based
compensation. For the same reasons, the Company is unable to assess
the probable significance of the unavailable information, which
could have a material impact on its future GAAP financial
results.
TOAST, INC.
CONSOLIDATED STATEMENTS OF
OPERATIONS
(unaudited)
(in millions, except per share
amounts)
Three Months Ended
December 31,
Year Ended
December 31,
2024
2023
2024
2023
Revenue:
Subscription services
$
200
$
142
$
706
$
500
Financial technology solutions
1,090
851
4,053
3,189
Hardware and professional services
48
43
201
176
Total revenue
1,338
1,036
4,960
3,865
Costs of revenue:
Subscription services
60
48
219
166
Financial technology solutions
852
675
3,175
2,503
Hardware and professional services
92
86
371
357
Amortization of acquired intangible
assets
1
1
5
5
Total costs of revenue
1,005
810
3,770
3,031
Gross profit
333
226
1,190
834
Operating expenses:
Sales and marketing
130
102
470
401
Research and development
93
94
351
358
General and administrative
78
86
307
362
Restructuring expenses
—
—
46
—
Total operating expenses
301
282
1,174
1,121
Income (loss) from operations
32
(56
)
16
(287
)
Other income (expense):
Interest income, net
13
10
42
37
Change in fair value of warrant
liability
(11
)
8
(49
)
3
Other income (expense), net
(1
)
3
13
3
Income (loss) before taxes
33
(35
)
22
(244
)
Income tax (expense) benefit
—
(1
)
(3
)
(2
)
Net income (loss)
$
33
$
(36
)
$
19
$
(246
)
Net income (loss) per share attributable
to common stockholders:
Basic
$
0.06
$
(0.07
)
$
0.03
$
(0.46
)
Diluted
$
0.05
$
(0.07
)
$
0.03
$
(0.47
)
Weighted-average shares used in computing
net income (loss) per share:
Basic
569
541
559
532
Diluted
600
541
591
533
TOAST, INC.
CONSOLIDATED BALANCE
SHEETS
(unaudited)
(in millions, except for
number of shares and par value)
December 31,
2024
2023
Assets:
Current assets:
Cash and cash equivalents
$
903
$
605
Marketable securities
514
519
Accounts receivable, net
115
69
Inventories, net
118
118
Other current assets
325
259
Total current assets
1,975
1,570
Property and equipment, net
98
75
Operating lease right-of-use assets
25
36
Intangible assets, net
20
26
Goodwill
113
113
Restricted cash
59
55
Other non-current assets
118
83
Total non-current assets
433
388
Total assets
$
2,408
$
1,958
Liabilities and Stockholders’
Equity:
Current liabilities:
Accounts payable
$
37
$
32
Deferred revenue
59
39
Accrued expenses and other current
liabilities
715
592
Total current liabilities
811
663
Warrants to purchase common stock
22
64
Operating lease liabilities,
non-current
24
33
Other long-term liabilities
6
4
Total liabilities
863
764
Stockholders’ Equity:
Preferred stock - par value $0.000001; 100
million shares authorized, no shares issued or outstanding
—
—
Common stock, $0.000001 par value: Class A
- 7,000 million shares authorized, 491 million and 429 million
shares issued and outstanding as of December 31, 2024 and 2023,
respectively; Class B - 700 million shares authorized, 81 million
and 114 million shares issued and outstanding as of December 31,
2024 and 2023, respectively
—
—
Accumulated other comprehensive loss
(1
)
—
Additional paid-in capital
3,150
2,817
Accumulated deficit
(1,604
)
(1,623
)
Total stockholders’ equity
1,545
1,194
Total liabilities and stockholders’
equity
$
2,408
$
1,958
TOAST, INC.
CONSOLIDATED STATEMENTS OF
CASH FLOWS
(unaudited)
(in millions)
Three Months Ended
December 31,
Year Ended
December 31,
2024
2023
2024
2023
Cash flows from operating
activities:
Net income (loss)
$
33
$
(36
)
$
19
$
(246
)
Adjustments to reconcile net income (loss)
to net cash provided by (used in) operating activities:
Depreciation and amortization
11
10
46
32
Stock-based compensation expense
60
71
253
277
Amortization of deferred contract
acquisition costs
23
18
82
62
Change in fair value of warrant
liability
11
(8
)
49
(3
)
Credit loss expense
20
20
70
64
Stock-based charitable contribution
expense
—
—
5
10
Asset impairments
3
—
5
15
Gain on warrant extinguishment
—
—
(14
)
—
Other non-cash items
(2
)
(3
)
(7
)
(17
)
Changes in operating assets and
liabilities:
Accounts receivable, net
(18
)
21
(72
)
(3
)
Other current assets
(4
)
(5
)
(15
)
(12
)
Deferred contract acquisition costs
(35
)
(30
)
(130
)
(107
)
Inventories, net
(12
)
(20
)
—
(7
)
Accounts payable
6
4
5
1
Accrued expenses and other current
liabilities
55
64
48
81
Deferred revenue
—
(11
)
23
(5
)
Operating lease right-of-use assets and
operating lease liabilities, net
(3
)
1
(4
)
1
Other assets and liabilities
(1
)
(4
)
(3
)
(8
)
Net cash provided by operating
activities
147
92
360
135
Cash flows from investing
activities:
Cash paid for acquisition, net of cash
acquired
—
—
—
(9
)
Capital expenditures
(13
)
(11
)
(54
)
(42
)
Purchases of marketable securities
(120
)
(144
)
(473
)
(623
)
Proceeds from the sale of marketable
securities
46
12
126
35
Maturities of marketable securities
72
142
362
556
Other investing activities
—
—
—
(3
)
Net cash used in investing activities
(15
)
(1
)
(39
)
(86
)
Cash flows from financing
activities:
Proceeds from issuance of common stock
15
5
99
36
Change in customer funds obligations,
net
(4
)
—
36
27
Warrant repurchase
—
—
(61
)
—
Repurchases of Class A common stock
—
—
(56
)
—
Net cash provided by financing
activities
11
5
18
63
Effect of exchange rate changes on cash
and cash equivalents and restricted cash
(2
)
1
(1
)
—
Net increase (decrease) in cash, cash
equivalents, cash held on behalf of customers and restricted
cash
141
97
338
112
Cash, cash equivalents, cash held on
behalf of customers and restricted cash at beginning of period
944
650
747
635
Cash, cash equivalents, cash held on
behalf of customers and restricted cash at end of period
$
1,085
$
747
$
1,085
$
747
Reconciliation of cash, cash
equivalents, cash held on behalf of customers and restricted
cash
Cash and cash equivalents
$
903
$
605
$
903
$
605
Cash held on behalf of customers
123
87
123
87
Restricted cash
59
55
59
55
Total cash, cash equivalents, cash held on
behalf of customers and restricted cash
$
1,085
$
747
$
1,085
$
747
Non-GAAP Financial Measures
In this press release, Toast refers to non-GAAP financial
measures that are derived on the basis of methodologies other than
in accordance with United States generally accepted accounting
principles (“GAAP”). Toast uses certain non-GAAP financial
measures, as described below, to understand and evaluate its core
operating performance. These non-GAAP financial measures, which may
be different than similarly-titled measures used by other
companies, are presented to enhance investors’ overall
understanding of Toast’s financial performance and should not be
considered substitutes for, or superior to, the financial
information prepared and presented in accordance with GAAP. Toast
believes that these non-GAAP financial measures provide useful
information about its financial performance, enhance the overall
understanding of its past performance and future prospects, and
allow for greater transparency with respect to important metrics
used by Toast’s management for financial and operational
decision-making.
In the tables below, Toast has provided reconciliations of these
non-GAAP financial measures to the most directly comparable
financial measures calculated and presented in accordance with
GAAP. These non-GAAP financial measures should not be considered
substitutes for financial measures calculated in accordance with
GAAP, and the financial results that Toast calculates and presents
in the table in accordance with GAAP, as well as the corresponding
reconciliations from those results, should be carefully
evaluated.
The following are the non-GAAP financial measures referenced in
this press release and presented in the tables below:
- Adjusted EBITDA is defined as net income (loss), adjusted to
exclude stock-based compensation expense and related payroll tax
expense, depreciation and amortization expense, interest income,
net, income taxes and certain other items that are not considered
to reflect our operating activities and performance within the
ordinary course of business, such as restructuring and
restructuring-related expenses, acquisition expenses, fair value
adjustments on warrant liabilities, gain on warrant extinguishment,
expenses related to early termination of leases (which includes
associated asset impairments) and stock-based charitable
contribution expense, as applicable.
- Non-GAAP Subscription Services and Financial Technology
Solutions Gross Profit is defined as subscription services gross
profit and financial technology solutions gross profit, adjusted to
exclude stock-based compensation expense and related payroll tax
expense, and depreciation and amortization expense.
- Non-GAAP Costs of Revenue are defined as costs of revenue
excluding stock-based compensation expense and related payroll tax
expense, and depreciation and amortization expense.
- Non-GAAP Gross Profit is defined as gross profit excluding
stock-based compensation expense and related payroll tax expense,
and depreciation and amortization expense.
- Non-GAAP Subscription Services Gross Profit is defined as
subscription services gross profit excluding stock-based
compensation expense and related payroll tax expense, and
depreciation and amortization expense.
- Non-GAAP Financial Technology Solutions Gross Profit is defined
as financial technology solutions gross profit excluding
stock-based compensation expense and related payroll tax expense,
and depreciation and amortization expense.
- Non-GAAP Hardware and Professional Services Gross Profit is
defined as hardware and professional services gross profit
excluding stock-based compensation expense and related payroll tax
expense, and depreciation and amortization expense.
- Non-GAAP Non-Payments Financial Technology Solutions Gross
Profit is defined as financial technology gross profit excluding
payments financial technology gross profit.
- Non-GAAP Sales and Marketing Expenses are defined as sales and
marketing expenses excluding stock-based compensation expense and
related payroll tax expense, and depreciation and amortization
expense.
- Non-GAAP Research and Development Expenses are defined as
research and development expenses excluding stock-based
compensation expense and related payroll tax expense, and
depreciation and amortization expense.
- Non-GAAP General and Administrative Expenses are defined as
general and administrative expenses excluding stock-based
compensation expense and related payroll tax expense, depreciation
and amortization expense, acquisition expenses, expenses associated
with early termination of leases (which includes associated asset
impairments), and stock-based charitable contribution expense.
- Free Cash Flow is defined as net cash provided by (used in)
operating activities reduced by purchases of property and equipment
and capitalization of internal-use software costs (referred to as
capital expenditures).
Adjusted EBITDA, Non-GAAP Subscription Services and Financial
Technology Solutions Gross Profit, Non-GAAP Costs of Revenue,
Non-GAAP Gross Profit, Non-GAAP Subscription Services Gross Profit,
Non-GAAP Financial Technology Gross Profit, Non-GAAP Hardware and
Professional Services Gross Profit, Non-GAAP Non-Payments Financial
Technology Solutions Gross Profit, Non-GAAP Sales and Marketing
Expenses, Non-GAAP Research and Development Expenses, Non-GAAP
General and Administrative Expenses, and Free Cash Flow do not
purport to represent profitability and liquidity measures as
defined in accordance with GAAP. These measures are provided to
investors and others to improve the quarter-to-quarter and
year-to-year comparability of Toast’s financial results and to
ensure that investors understand the information Toast uses to
evaluate the performance of its businesses.
Our definitions may differ from the definitions used by other
companies and therefore comparability may be limited. In addition,
other companies may not publish these or similar metrics. Further,
these metrics have certain limitations since they do not include
the impact of certain expenses and cash flows that are reflected in
our Consolidated Statements of Operations and Consolidated
Statements of Cash Flows. Thus, our Adjusted EBITDA, Non-GAAP
Subscription Services and Financial Technology Solutions Gross
Profit, Non-GAAP Costs of Revenue, Non-GAAP Gross Profit, Non-GAAP
Subscription Services Gross Profit, Non-GAAP Financial Technology
Gross Profit, Non-GAAP Hardware and Professional Services Gross
Profit, Non-GAAP Non-Payments Financial Technology Solutions Gross
Profit, Non-GAAP Sales and Marketing Expenses, Non-GAAP Research
and Development Expenses, Non-GAAP General and Administrative
Expenses, and Free Cash Flow should be considered in addition to,
not as substitutes for, or in isolation from, measures prepared in
accordance with GAAP.
Key Business Metrics
In addition, Toast also uses the following key business metrics
to help it evaluate its business, identify trends affecting its
business, formulate business plans, and make strategic
decisions:
- Gross Payment Volume (“GPV”) is defined as the sum of total
dollars processed through the Toast payments platform across Toast
Processing Locations in a given period. GPV is a key measure of the
scale of Toast’s platform, which in turn drives our financial
performance. As Toast customers generate more sales and therefore
more GPV, Toast generally sees higher financial technology
solutions revenue.
- Annualized Recurring Run-Rate (“ARR”) is defined as a key
operational measure of the scale of Toast’s subscription and
payment processing services for both new and existing customers. To
calculate ARR, Toast first calculates recurring run-rate on a
monthly basis. Monthly Recurring Run-Rate (“MRR”), is measured on
the final day of each month as the sum of (i) Toast’s monthly
billings of subscription services fees, which we refer to as the
subscription component of MRR, and (ii) Toast’s in-month adjusted
payments services fees, exclusive of estimated transaction-based
costs, which we refer to as the payments component of MRR. MRR does
not include fees derived from Toast Capital or related costs. MRR
is also not burdened by the impact of SaaS credits offered. The MRR
calculation includes all locations on the Toast platform and
locations on legacy solutions, which have a negligible impact on
ARR. ARR is determined by taking the sum of (i) twelve times the
subscription component of MRR and (ii) four times the
trailing-three-month cumulative payments component of MRR. Toast
believes this approach provides an indication of its scale, while
also controlling for short-term fluctuations in payments volume.
ARR may decline or fluctuate as a result of a number of factors,
including customers’ satisfaction with the Toast platform, pricing,
competitive offerings, economic conditions, or overall changes in
Toast’s customers’ and their guests’ spending levels. ARR is an
operational measure, does not reflect Toast’s revenue or gross
profit determined in accordance with GAAP, and should be viewed
independently of, and not combined with or substituted for, Toast’s
revenue, gross profit, and other financial information determined
in accordance with GAAP. Further, ARR is not a forecast of future
revenue and investors should not place undue reliance on ARR as an
indicator of Toast’s future or expected results.
Locations
We define a live location, or Location, as a unique location
that has used Toast Point of Sale to record transaction volumes
above a minimum threshold, and has not been marked as a churned
location as of the date of determination. A Location can use Toast
payment services, which we refer to as a Toast Processing Location,
or for select enterprise customers, not use Toast’s payment
services, which we refer to as a Non-Toast Processing Location.
Customers of legacy solutions provided by companies that we have
acquired, that do not use Toast Point of Sale, are not included in
our Location count.
Summary of Key Business
Metrics and Non-GAAP Results
(unaudited)
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in billions)
2024
2023
% Growth
2024
2023
% Growth
Gross Payment Volume (GPV)
$
42.2
$
33.7
25
%
$
159.1
$
126.1
26
%
As of December 31,
(dollars in millions)
2024
2023
% Growth
Payments Annualized Recurring Run-Rate
$
794
$
589
35
%
Subscription Annualized Recurring
Run-Rate
$
832
$
629
32
%
Total Annualized Recurring Run-Rate
(ARR)
$
1,626
$
1,218
34
%
Adjusted EBITDA
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Net Income (Loss)
$
33
$
(36
)
$
19
$
(246
)
Stock-based compensation expense and
related payroll tax
64
72
256
288
Depreciation and amortization
13
10
46
32
Interest income, net
(13
)
(10
)
(42
)
(37
)
Gain on warrant extinguishment
—
—
(14
)
—
Change in fair value of warrant
liability
11
(8
)
49
(3
)
Termination of leases
3
—
5
14
Stock-based charitable contribution
expense
—
—
5
10
Restructuring and restructuring-related
expenses(1)
—
—
46
—
Acquisition expenses
—
—
—
1
Income tax expense
—
1
3
2
Adjusted EBITDA
$
111
$
29
$
373
$
61
(1) Restructuring and restructuring-related expenses for the
fiscal year ended December 31, 2024 include $32 million of
severance benefits, $12 million of stock-based compensation
expense, and $2 million of accelerated amortization related to
facilities.
Non-GAAP Subscription Services and
Financial Technology Solutions Gross Profit (Non-GAAP)
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Gross profit (GAAP):
Subscription services
$
140
$
94
$
487
$
334
Financial technology solutions
238
176
878
686
Adjustments:
Stock-based compensation expense and
related payroll tax
5
5
20
20
Depreciation and amortization
9
6
32
17
Non-GAAP subscription services and
financial technology solutions gross profit (Non-GAAP)
$
392
$
281
$
1,417
$
1,057
Non-GAAP Costs of Revenue
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Costs of revenue
$
1,005
$
810
$
3,770
$
3,031
Stock-based compensation expense and
related payroll tax
(11
)
(12
)
(44
)
(46
)
Depreciation and amortization
(10
)
(7
)
(37
)
(23
)
Non-GAAP costs of revenue
$
984
$
791
$
3,689
$
2,962
Non-GAAP Gross Profit
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Gross profit
$
333
$
226
$
1,190
$
834
Stock-based compensation expense and
related payroll tax
11
12
44
46
Depreciation and amortization
10
7
37
23
Non-GAAP gross profit
$
354
$
245
$
1,271
$
903
Non-GAAP Subscription Services Gross
Profit
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Subscription services gross profit
$
140
$
94
$
487
$
334
Stock-based compensation expense and
related payroll tax
5
5
20
20
Depreciation and amortization
9
6
32
17
Non-GAAP subscription services gross
profit
$
154
$
105
$
539
$
371
Non-GAAP Financial Technology Solutions
Gross Profit
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Financial technology solutions gross
profit
$
238
$
176
$
878
$
686
Stock-based compensation expense and
related payroll tax
—
—
—
—
Depreciation and amortization
—
—
—
—
Non-GAAP financial technology solutions
gross profit
$
238
$
176
$
878
$
686
Non-GAAP Hardware and Professional
Services Gross Profit
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Hardware and professional services gross
profit
$
(44
)
$
(43
)
$
(170
)
$
(181
)
Stock-based compensation expense and
related payroll tax
6
7
23
26
Depreciation and amortization
—
—
2
1
Non-GAAP hardware and professional
services gross profit
$
(38
)
$
(36
)
$
(145
)
$
(154
)
Non-GAAP Non-Payments Financial
Technology Solutions Gross Profit
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Financial technology solutions gross
profit
$
238
$
176
$
878
$
686
Payments financial technology solutions
gross profit
(195
)
(142
)
(726
)
(561
)
Non-GAAP non-payments financial technology
solutions gross profit
$
43
$
34
$
152
$
125
Non-GAAP Sales and Marketing
Expenses
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Sales and marketing expenses
$
130
$
102
$
470
$
401
Stock-based compensation expense and
related payroll tax
(15
)
(15
)
(58
)
(61
)
Depreciation and amortization
(1
)
(1
)
(3
)
(3
)
Non-GAAP sales and marketing expenses
$
114
$
86
$
409
$
337
Non-GAAP Research and Development
Expenses
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Research and development expenses
$
93
$
94
$
351
$
358
Stock-based compensation expense and
related payroll tax
(23
)
(25
)
(88
)
(97
)
Depreciation and amortization
(1
)
(1
)
(4
)
(4
)
Non-GAAP research and development
expenses
$
69
$
68
$
259
$
257
Non-GAAP General and Administrative
Expenses
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
General and administrative expenses
$
78
$
86
$
307
$
362
Stock-based compensation expense and
related payroll tax
(15
)
(20
)
(66
)
(84
)
Depreciation and amortization
(1
)
(1
)
(2
)
(2
)
Acquisition expenses
—
—
—
(1
)
Termination of leases
(3
)
—
(5
)
(14
)
Stock-based charitable contribution
expense
—
—
(5
)
(10
)
Non-GAAP general and administrative
expenses
$
59
$
65
$
229
$
251
Free Cash Flow
Three Months Ended
December 31,
Year Ended
December 31,
(dollars in millions)
2024
2023
2024
2023
Net cash provided by operating
activities
$
147
$
92
$
360
$
135
Capital expenditures
(13
)
(11
)
(54
)
(42
)
Free cash flow
$
134
$
81
$
306
$
93
Sums may not equal totals due to rounding.
TOST-FIN
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Grafico Azioni Toast (NYSE:TOST)
Storico
Da Gen 2025 a Feb 2025
Grafico Azioni Toast (NYSE:TOST)
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Da Feb 2024 a Feb 2025
