Procore Technologies, Inc., the leading global provider of construction management software, announced financial results for the third quarter ended September 30, 2025.
“With this quarter’s strong results, I am pleased to be giving Ajei Gopal a strong foundation as he steps into the CEO role next week,” said Tooey Courtemanche, Founder, President, and CEO of Procore. “We are the clear market leader in one of the largest industries in the world, we have built an unrivaled platform that we believe is well-positioned to harness the power of AI for our customers, and our go-to-market model is yielding positive returns. And now, with Ajei’s proven operational expertise and leadership, we will be even better positioned to drive durable growth while unlocking further shareholder value.”
“Q3 represented another strong quarter, marked by consistent revenue growth and improved operating leverage,” said Howard Fu, CFO of Procore. “I am proud of the performance we delivered in the quarter and these results reinforce our ability to drive efficient growth and strong per share improvements over the long-term.”
Third Quarter 2025 Financial Highlights:
- Revenue was $339 million, an increase of 15% year-over-year.
- GAAP gross margin was 80% and non-GAAP gross margin was 84%.
- GAAP operating margin was (4%) and non-GAAP operating margin was 17%.
- Operating cash inflow for the third quarter was $88 million.
- Free cash inflow for the third quarter was $68 million, an increase of 194% year-over-year.
- Basic and diluted WASO used for GAAP net loss per share was 150,278,399, an increase of 1% year-over-year. Diluted WASO used for non-GAAP earnings per share was 153,555,556, an increase of 1% year-over-year.
A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables included in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”
Recent Business Highlights:
- Achieved a gross revenue retention rate of 95% in the third quarter.
- Number of organic customers contributing more than $100,000 of annual recurring revenue totaled 2,602 as of September 30, 2025, an increase of 15% year-over-year.
- Added 122 net new organic customers in the third quarter, ending with a total of 17,623 organic customers.
- Hosted Groundbreak 2025 and announced new AI innovations, including expanded features for Procore Assist and Open Beta release for Procore Agent Builder, among many more.
- Achieved Federal Risk and Authorization Management Program (FedRAMP®) “Moderate Equivalency” Designation.
- Announced Strategic Collaboration Agreement with AWS to accelerate AI product innovation and establish Procore availability in the AWS Marketplace.
Fourth Quarter and Full Year Outlook:
Procore is providing the following guidance for the fourth quarter 2025 and the full year 2025:
- Fourth Quarter 2025 Outlook:
- Revenue is expected to be in the range of $339 million to $341 million, representing year-over-year growth of 12% to 13%.
- Non-GAAP operating margin is expected to be 14.4%.
- Full Year 2025 Outlook:
- Revenue is expected to be in the range of $1,312 million to $1,314 million, representing year-over-year growth of 14%.
- Non-GAAP operating margin is expected to be 14%.
A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future and cannot be reasonably determined or predicted at this time, although it is important to note that these factors could be material to Procore’s future GAAP financial results.
Stock Repurchase Program
On October 29, 2024, Procore’s Board of Directors authorized its first stock purchase program; that stock repurchase program expired on October 29, 2025. On November 3, 2025, Procore’s Board of Directors authorized a new stock repurchase program to repurchase up to $300 million of Procore’s outstanding common stock. As with its first stock repurchase program, Procore intends to opportunistically repurchase shares based on market conditions through the open market (including via pre-set trading plans), or other transactions in accordance with applicable securities laws. The timing and actual number of shares repurchased will depend on a variety of factors, including price, general business and market conditions, and alternative investment opportunities. The new program does not obligate Procore to acquire any particular amount of common stock, and may be suspended or discontinued at any time at Procore’s discretion. The program will be funded using Procore’s working capital and will expire on November 3, 2026.
Quarterly Conference Call
Procore Technologies, Inc. will hold a conference call to discuss its third quarter results at 2:00 p.m., Pacific Time, on Wednesday, November 5, 2025. A live audio webcast will be accessible on Procore's investor relations website at http://investors.procore.com.
