Toast Hits $6.5B Run Rate With 22% Growth and GAAP Profit
Toast reached a $6.5 billion revenue run rate, crossed 1% monetization of GPV, and reported $126 million in net income according to SaaStr.
Toast reported a ~$6.5 billion revenue run rate, reflecting 22% year-over-year growth. Software revenue reached $2.2 billion and grew 26%. The company added roughly 7,000 net new locations in the quarter, bringing the total to approximately 171,000 live locations.
Profitability and Margin Expansion
Toast crossed into durable GAAP profitability. Net income more than doubled to $126 million. Free cash flow reached $115 million. Software gross margins hit 81% for the first time. Blended margins stood at 27%, with software margins near 80%.
Monetization Milestone
Toast processed $51.3 billion in gross payment volume. Total monetization across SaaS and fintech exceeded 1% of GPV for the first time, according to SaaStr. Payments take rate rose to 51 bps and fintech net take rate reached 61 bps. Non-payment fintech contributed $51 million in gross profit.
Enterprise Expansion and AI Usage
Enterprise bookings in one quarter exceeded the entire prior year's customer count. Recent wins include Applebee’s, Alinea, and Preferred Hotels. Toast IQ reached 40,000 weekly active locations out of 171,000 total locations.
The company continues adding locations at a record pace while maintaining 22% growth without deceleration, according to SaaStr.
