Procore Technologies, Inc., a leading global provider of construction management software, announced financial results for the first quarter ended March 31, 2023.
“I’m proud of the team’s hard work in delivering our first quarter results,” said Tooey Courtemanche, founder, president and CEO of Procore. “Looking ahead, our focus remains on solving the biggest challenges for construction and delivering a platform that helps our customers build better, safer and more efficiently.”
“Our first quarter results reflect durable growth and improved operating leverage,” said Paul Lyandres, CFO of Procore. “I’m excited to officially welcome Howard Fu as CFO effective next week, and look forward to starting my new role at Procore as President of Fintech to help unlock further value for our customers.”
First Quarter 2023 Financial Highlights:
- Revenue was $214 million, an increase of 34% year-over-year.
- GAAP gross margin was 81% and non-GAAP gross margin was 85%.
- GAAP operating margin was (32%) and non-GAAP operating margin was (2%).
- Operating cash inflow for the first quarter was $29 million.
- Free cash inflow for the first quarter was $19 million.
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:
- Added 601 net new organic customers in the first quarter, ending with a total of 15,089 organic customers.
- Announced Procore Risk Advisors, a modern construction brokerage offering enhanced insurance solutions.
- Recognized as a 2023 Best Place to Work by Glassdoor.
Second Quarter and Full Year 2023 Outlook:
Procore is providing the following guidance for the second quarter and full year 2023:
- Second Quarter 2023 Outlook:
- Revenue is expected to be in the range of $216 million to $218 million, representing year-over-year growth of 25% to 27%.
- Non-GAAP operating margin is expected to be in the range of (7.5%) to (8.5%).
- Full Year 2023 Outlook:
- Revenue is expected to be in the range of $908 million to $912 million, representing year-over-year growth of 26% to 27%.
- Non-GAAP operating margin is expected to be in the range of (5.5%) to (6.5%).
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.
Quarterly Conference Call
Procore Technologies, Inc. will hold a conference call to discuss its first quarter results at 2:00 p.m., Pacific Time, on Wednesday, May 3, 2023. A live audio webcast will be accessible on Procore's investor relations website at http://investors.procore.com.
