Toast
🇺🇸 NYSE:TOST
•
Dec 31, 2024
Toast Q4 2024 Earnings Report
Toast reported strong financial performance in Q4 2024, achieving GAAP profitability for the first time.
Key Takeaways
Toast reported its first GAAP-profitable year, with revenue growing significantly year-over-year. The company added a record number of new locations and saw strong growth in subscription services and financial technology solutions.
Achieved first GAAP-profitable year with $33M in net income for Q4.
Revenue increased to $1.34 billion, up from $1.04 billion in Q4 2023.
Adjusted EBITDA grew to $111M from $29M in the prior year quarter.
Added a record 28,000 net new locations, ending the year with approximately 134,000 locations.
Toast Revenue
Toast EPS
Toast Revenue by Segment
Forward Guidance
Toast expects continued growth in 2025, with strong expansion in enterprise and international markets.
Positive Outlook
- Non-GAAP gross profit for Q1 2025 expected to be between $385M and $395M.
- Adjusted EBITDA guidance for Q1 2025 is $100M to $110M.
- Full-year 2025 adjusted EBITDA expected to reach $510M to $530M.
- Toast expanded its partnership with Uber, enhancing delivery capabilities.
- Increased adoption of Toast Enterprise Solutions with large restaurant chains.
Challenges Ahead
- Potential macroeconomic headwinds affecting restaurant industry spending.
- Competitive pressures from other restaurant technology providers.
- Operational challenges in scaling international expansion.
- Higher costs associated with customer acquisition in new segments.
- Ongoing technology investments may impact near-term profitability.
Revenue & Expenses
Visualization of income flow from segment revenue to net income