Sign In  |  Register  |  About Menlo Park  |  Contact Us

Menlo Park, CA
September 01, 2020 1:28pm
7-Day Forecast | Traffic
  • Search Hotels in Menlo Park

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Procore Announces Fourth Quarter and Full Year 2023 Financial Results

Procore Technologies, Inc. (NYSE: PCOR), the leading global provider of construction management software, today announced financial results for the fourth quarter and full year ended December 31, 2023.

“2023 was a year of milestones at Procore as we surpassed $1B in total annual recurring revenue, reaffirmed our status as one of the best places to work in technology, and delivered numerous innovations on the platform,” said Tooey Courtemanche, Founder and CEO of Procore. “Our continued evolution leaves me optimistic about our ability to achieve our vision of improving the lives of everyone in construction.”

“Procore remains committed to continuously improving how we operate across all aspects of the business," said Howard Fu, CFO of Procore. "This resulted in significant margin improvement in 2023, setting a strong foundation for our next phase of efficient growth.”

Fourth Quarter 2023 Financial Highlights:

  • Revenue was $260 million, an increase of 29% year-over-year.
  • GAAP gross margin was 82% and non-GAAP gross margin was 85%.
  • GAAP operating margin was (14%) and non-GAAP operating margin was 7%.
  • Operating cash inflow for the fourth quarter was $41 million.
  • Free cash inflow for the fourth quarter was $29 million.

Full Year 2023 Financial Highlights:

  • Revenue was $950 million, an increase of 32% year-over-year.
  • GAAP gross margin was 82% and non-GAAP gross margin was 85%.
  • GAAP operating margin was (23%) and non-GAAP operating margin was 2%.
  • Operating cash inflow for 2023 was $92 million.
  • Free cash inflow for 2023 was $47 million.

The financial results included in this press release are preliminary and will not be final until Procore files its Annual Report on Form 10-K for the period. 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:

  • Number of organic customers contributing more than $100,000 of annual recurring revenue totaled 2,008 as of December 31, 2023, an increase of 27% year-over-year.
  • Number of organic customers contributing more than $1,000,000 of annual recurring revenue totaled 62 as of December 31, 2023, an increase of 32% year-over-year.
  • Added 300 net new organic customers in the fourth quarter, ending with a total of 16,367 organic customers.
  • Achieved a gross revenue retention rate of 95% for 2023.
  • Achieved a net revenue retention rate of 114% for 2023.
  • As of December 31, 2023, 74% of total annual recurring revenue was generated from customers using four or more products.
  • As of December 31, 2023, 45% of total annual recurring revenue was generated from customers using six or more products.
  • Ended 2023 with 3,694 full-time employees, an increase of 4% year-over-year.
  • Ranked #5 on Glassdoor’s 100 Best Places to Work in 2024.

Leadership Updates:

Procore announces the appointment of Larry Stack as Chief Revenue Officer. In this role, Stack will lead Procore’s Global Sales and Customer Success organizations and will be responsible for Procore’s revenue growth strategy. He will report to Procore Founder, President and CEO Tooey Courtemanche.

First Quarter and Full Year 2024 Outlook:

Procore is providing the following guidance for the first quarter and full year 2024:

  • First Quarter 2024 Outlook:
    • Revenue is expected to be in the range of $262 million to $264 million, representing year-over-year growth of 23% to 24%.
    • Non-GAAP operating margin is expected to be in the range of 7% to 8%.
  • Full Year 2024 Outlook:
    • Revenue is expected to be in the range of $1,137 million to $1,142 million, representing year-over-year growth of 20%.
    • Non-GAAP operating margin is expected to be in the range of 7% to 8%.

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 fourth quarter and full year results at 2:00 p.m., Pacific Time, on Thursday, February 15, 2024. A live audio webcast will be accessible on Procore's investor relations website at http://investors.procore.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, about Procore and its industry that involve substantial risks and uncertainties. All statements in this press release, other than statements of historical fact, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or future financial or operating performance, and may be identified by the use of words such as “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would,” or the negative of these words, or other similar terms or expressions that concern Procore’s expectations, strategy, plans, or intentions.

Procore has based the forward-looking statements contained in this press release primarily on its current expectations and projections about future events and trends that Procore believes may affect its business, financial condition, and operating results. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, and other factors that could cause results to differ materially from Procore’s current expectations, including, but not limited to, our expectations regarding our financial performance (including revenues, expenses, and margins, and our ability to achieve or maintain future profitability), our ability to effectively manage our growth, anticipated performance, trends, growth rates, and challenges in our business and in the market in which we operate or anticipate entering into, economic and industry trends (in particular, the rate of adoption of construction management software and digitization of the construction industry, inflation, and challenging geopolitical conditions), our ability to attract new customers and retain and increase sales to existing customers, our ability to expand internationally, the effects of increased competition in our markets and our ability to compete effectively, our estimated total addressable market, and as set forth in Procore’s filings with the Securities and Exchange Commission. You should not place undue reliance on Procore’s forward-looking statements. Procore assumes no obligation to update any forward-looking statements to reflect events or circumstances that exist or change after the date on which they were made, except as required by law.

Non-GAAP Financial Measures

Procore believes that the use of certain non-GAAP financial measures as described below, when taken collectively, is helpful to investors because it provides consistency and comparability with past financial performance, and may assist in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their GAAP results. These non-GAAP financial measures are not prepared in accordance with U.S. generally accepted accounting principles, or GAAP.

Non-GAAP Gross Profit, Non-GAAP Gross Margin, Non-GAAP Operating Expenses, Non-GAAP Income (Loss) from Operations, Non-GAAP Operating Margin, Non-GAAP Net Income (Loss), and Non-GAAP Net Income (Loss) per Share: Procore defines these non-GAAP financial measures as the respective GAAP measures, excluding stock-based compensation expense, amortization of acquired intangible assets, employer payroll tax related to employee stock transactions, acquisition-related expenses, and the income tax effect of non-GAAP items. Non-GAAP gross margin is the ratio calculated by dividing non-GAAP gross profit by total revenue. Non-GAAP operating margin is the ratio calculated by dividing non-GAAP income (loss) from operations by total revenue. Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period. Non-GAAP diluted earnings per share is computed by giving effect to all potential weighted average dilutive common stock equivalents outstanding for the period, including options to purchase common stock, restricted stock units, and shares to be issued pursuant to the employee stock purchase plan. The dilutive effect of outstanding awards is reflected in non-GAAP diluted earnings per share by application of the treasury stock method.

Stock-based compensation expense includes the net effects of capitalization and amortization of stock-based compensation expense related to capitalized software and cloud-computing arrangement implementation costs. Stock-based compensation expense has been, and will continue to be for the foreseeable future, a significant recurring expense in our business and an important part of the compensation provided to our employees. Because of varying available valuation methodologies, subjective assumptions, and the variety of equity instruments that can impact a company’s non-cash expenses, we believe that providing non-GAAP financial measures that exclude stock-based compensation expense allows for meaningful comparisons between its operating results from period to period. The expense related to amortization of acquired intangible assets is dependent upon estimates and assumptions, which can vary significantly and are unique to each asset acquired; therefore, Procore believes non-GAAP measures that adjust for the amortization of acquired intangible assets provide investors a consistent basis for comparison across accounting periods. The amount of employer payroll tax-related items on employee stock transactions is dependent on restricted stock unit settlements, option exercises, related stock price, and other factors that are beyond Procore’s control and that do not correlate to the operation of the business. When evaluating the performance of its business and making operating plans, Procore does not consider these items (for example, when considering the impact of equity award grants, the company places a greater emphasis on overall stockholder dilution than the accounting charges associated with such grants). Additionally, acquisition-related expenses, such as transaction costs and retention payments, are expenses that are not necessarily reflective of operational performance during a period. Procore believes that the exclusion of acquisition-related expenses provides for a useful comparison of our operating results to prior periods and to its peer companies, which commonly exclude these expenses. Income tax expense relates to the change of valuation allowance as a result of acquisition-related deferred tax liabilities recorded related to available sources of income to realize our deferred tax assets. We exclude the income tax effect associated with certain of our non-GAAP financial measures because we believe that excluding this provides meaningful supplemental information regarding our operational performance. Overall, Procore believes it is useful to exclude these expenses in order to better understand the long-term performance of its core business and to facilitate comparison of its results period-over-period and to those of peer companies. All of these non-GAAP financial measures are important tools for financial and operational decision-making and for evaluating Procore's own operating results over different periods of time.

Non-GAAP financial measures may not provide information that is directly comparable to information provided by other companies in Procore's industry, as other companies in the industry may calculate non-GAAP financial measures differently. In addition, there are limitations in using non-GAAP financial measures because non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies, and exclude expenses that may have a material impact on Procore's reported financial results. Further, stock-based compensation expense has been, and will continue to be for the foreseeable future, a significant recurring expense in Procore's business and an important part of the compensation provided to its employees. The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Investors should review the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures included below, and not rely on any single financial measure to evaluate Procore's business.

Free Cash Flow: Procore defines free cash flow as net cash provided by (used in) operating activities, less purchases of property and equipment and capitalized software development costs. Procore believes free cash flow is an important liquidity measure of the cash (if any) that is available, after our operating activities and capital expenditures. Procore uses free cash flow in conjunction with traditional GAAP measures to assess its liquidity and evaluate the effectiveness of its business strategies. Once Procore’s business needs and obligations are met, cash can be used to maintain a strong balance sheet and invest in future growth.

Other Metrics

Customer Count: The aforementioned customer count excludes customers acquired from Levelset and Esticom that do not have standard Procore annual contracts.

About Procore

Procore Technologies, Inc. (NYSE: PCOR) creates software for people who build the world. With a focus on providing timely and accurate data for all, Procore transforms the construction industry one project at a time - from hospitals and skyscrapers to airports and stadiums. Beyond its connected, innovative technology, Procore empowers the industry and its communities through Procore.org. For more information, visit www.procore.com.

PROCORE-IR

Category: Earnings

Procore Technologies, Inc.

Condensed Consolidated Statements of Operations (unaudited)

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands, except share and per share amounts)

Revenue

$

260,041

 

 

$

202,053

 

 

$

950,010

 

 

$

720,203

 

Cost of revenue(1)(2)(3)

 

47,831

 

 

 

40,570

 

 

 

174,462

 

 

 

148,416

 

Gross profit

 

212,210

 

 

 

161,483

 

 

 

775,548

 

 

 

571,787

 

Operating expenses

 

 

 

 

 

 

 

Sales and marketing(1)(2)(3)(4)

 

122,511

 

 

 

118,170

 

 

 

494,908

 

 

 

424,976

 

Research and development(1)(2)(3)(4)

 

74,611

 

 

 

75,413

 

 

 

300,571

 

 

 

270,982

 

General and administrative(1)(3)(4)

 

52,422

 

 

 

43,102

 

 

 

195,746

 

 

 

166,283

 

Total operating expenses

 

249,544

 

 

 

236,685

 

 

 

991,225

 

 

 

862,241

 

Loss from operations

 

(37,334

)

 

 

(75,202

)

 

 

(215,677

)

 

 

(290,454

)

Interest income

 

5,167

 

 

 

3,152

 

 

 

19,779

 

 

 

5,826

 

Interest expense

 

(480

)

 

 

(499

)

 

 

(1,957

)

 

 

(2,135

)

Accretion income, net

 

3,179

 

 

 

1,369

 

 

 

9,794

 

 

 

2,035

 

Other income (expense), net

 

649

 

 

 

(247

)

 

 

(360

)

 

 

(1,737

)

Loss before provision for (benefit from) income taxes

 

(28,819

)

 

 

(71,427

)

 

 

(188,421

)

 

 

(286,465

)

Provision for (benefit from) income taxes

 

700

 

 

 

(243

)

 

 

1,273

 

 

 

466

 

Net loss

$

(29,519

)

 

$

(71,184

)

 

$

(189,694

)

 

$

(286,931

)

Net loss per share attributable to common stockholders, basic and diluted

$

(0.20

)

 

$

(0.51

)

 

$

(1.34

)

 

$

(2.10

)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted

144,074,303

 

 

 

138,415,280

 

 

 

141,961,467

 

 

 

 

136,525,728

 

 

(1)

Includes stock-based compensation expense and amortization of capitalized stock-based compensation as follows:

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Cost of revenue

$

3,134

 

$

1,914

 

$

11,491

 

$

7,253

Sales and marketing

 

13,198

 

 

15,046

 

 

55,162

 

 

53,397

Research and development

 

15,874

 

 

19,352

 

 

68,275

 

 

63,262

General and administrative

 

11,769

 

 

10,693

 

 

44,406

 

 

38,974

Total stock-based compensation expense*

$

43,975

 

$

47,005

 

$

179,334

 

$

162,886

*Includes amortization of capitalized stock-based compensation of $1.4 million and $4.5 million, respectively, for the three and twelve months ended December 31, 2023 which was initially capitalized as capitalized software and cloud-computing arrangement implementation costs.

(2)

Includes amortization of acquired intangible assets as follows:

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Cost of revenue

$

5,904

 

$

5,493

 

$

22,396

 

$

22,428

Sales and marketing

 

3,106

 

 

3,107

 

 

12,425

 

 

12,425

Research and development

 

670

 

 

854

 

 

2,757

 

 

3,528

Total amortization of acquired intangible assets

$

9,680

 

$

9,454

 

$

37,578

 

$

38,381

(3)

Includes employer payroll tax on employee stock transactions as follows:

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Cost of revenue

$

101

 

$

60

 

$

540

 

$

308

Sales and marketing

 

383

 

 

348

 

 

2,766

 

 

1,955

Research and development

 

332

 

 

286

 

 

3,217

 

 

2,474

General and administrative

 

274

 

 

171

 

 

1,910

 

 

1,202

Total employer payroll tax on employee stock transactions

$

1,090

 

$

865

 

$

8,433

 

$

5,939

(4)

Includes acquisition-related expenses as follows:

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Sales and marketing

$

481

 

$

655

 

$

2,483

 

$

1,725

Research and development

 

46

 

 

1,679

 

 

6,370

 

 

5,549

General and administrative

 

16

 

 

6

 

 

35

 

 

2,128

Total acquisition-related expenses

$

543

 

$

2,340

 

$

8,888

 

$

9,402

Procore Technologies, Inc.

Condensed Consolidated Balance Sheets (unaudited)

 

 

December 31,

 

2023

 

2022

 

(in thousands)

Assets

 

 

 

Current assets

 

 

 

Cash and cash equivalents

$

357,790

 

 

$

296,712

 

Marketable securities

 

320,161

 

 

 

285,493

 

Accounts receivable, net

 

206,644

 

 

 

148,683

 

Contract cost asset, current

 

28,718

 

 

 

23,600

 

Prepaid expenses and other current assets

 

42,421

 

 

 

44,731

 

Total current assets

 

955,734

 

 

 

799,219

 

Capitalized software development costs, net

 

83,045

 

 

 

58,577

 

Property and equipment, net

 

36,258

 

 

 

39,193

 

Right of use assets - finance leases

 

34,375

 

 

 

37,026

 

Right of use assets - operating leases

 

44,141

 

 

 

41,934

 

Contract cost asset, non-current

 

44,564

 

 

 

40,477

 

Intangible assets, net

 

137,546

 

 

 

162,953

 

Goodwill

 

539,354

 

 

 

539,128

 

Other assets

 

18,551

 

 

 

21,903

 

Total assets

$

1,893,568

 

 

$

1,740,410

 

Liabilities and Stockholders’ Equity

 

 

 

Current liabilities

 

 

 

Accounts payable

$

13,177

 

 

$

14,282

 

Accrued expenses

 

100,075

 

 

 

99,182

 

Deferred revenue, current

 

501,903

 

 

 

396,535

 

Other current liabilities

 

27,275

 

 

 

21,639

 

Total current liabilities

 

642,430

 

 

 

531,638

 

Deferred revenue, non-current

 

7,692

 

 

5,278

 

Finance lease liabilities, non-current

 

43,581

 

 

 

45,578

 

Operating lease liabilities, non-current

 

37,923

 

 

 

38,087

 

Other liabilities, non-current

 

6,332

 

 

 

3,049

 

Total liabilities

 

737,958

 

 

 

623,630

 

Stockholders’ equity

 

 

 

Common stock

 

15

 

 

 

14

 

Additional paid-in capital

 

2,295,807

 

 

 

2,068,225

 

Accumulated other comprehensive loss

 

(1,375

)

 

 

(2,316

)

Accumulated deficit

 

(1,138,837

)

 

 

(949,143

)

Total stockholders’ equity

 

1,155,610

 

 

 

1,116,780

 

Total liabilities and stockholders’ equity

$

1,893,568

 

 

$

1,740,410

 

Remaining performance obligation:

The following table presents our current and non-current remaining performance obligations at the end of each period:

 

December 31,

 

Change

 

2023

 

2022

 

Dollar

 

Percent

 

(dollars in thousands)

Remaining performance obligations

 

 

 

 

 

 

 

Current

$

698,284

 

$

561,200

 

$

137,084

 

24

%

Non-current

 

302,215

 

 

236,300

 

 

65,915

 

28

%

Total remaining performance obligations

$

1,000,499

 

$

797,500

 

$

202,999

 

25

%

Procore Technologies, Inc.

Condensed Consolidated Statements of Cash Flows (unaudited)

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Operating activities

 

 

 

 

 

 

 

Net loss

$

(29,519

)

 

$

(71,184

)

 

$

(189,694

)

 

$

(286,931

)

Adjustments to reconcile net loss to net cash provided by operating activities

 

 

 

 

 

 

 

Stock-based compensation

 

42,601

 

 

 

47,005

 

 

 

174,835

 

 

 

162,886

 

Depreciation and amortization

 

19,690

 

 

 

16,586

 

 

 

71,633

 

 

 

63,039

 

Accretion of discounts on marketable debt securities, net

 

(3,175

)

 

 

(1,359

)

 

 

(9,790

)

 

 

(2,009

)

Abandonment of long-lived assets

 

676

 

 

 

280

 

 

 

1,488

 

 

 

1,344

 

Noncash operating lease expense

 

5,160

 

 

 

2,611

 

 

 

13,092

 

 

 

10,170

 

Unrealized foreign currency gain, net

 

(1,263

)

 

 

(1,232

)

 

 

(524

)

 

 

(351

)

Deferred income taxes

 

(776

)

 

 

67

 

 

 

(769

)

 

 

(283

)

Provision for credit losses

 

1,170

 

 

 

1,247

 

 

 

8,052

 

 

 

2,584

 

Decrease in fair value of strategic investments

 

132

 

 

 

519

 

 

 

287

 

 

 

483

 

Changes in operating assets and liabilities, net of effect of asset acquisitions and business combinations

 

 

 

 

 

 

 

Accounts receivable

 

(60,636

)

 

 

(42,196

)

 

 

(57,492

)

 

 

(35,817

)

Deferred contract cost assets

 

(4,207

)

 

 

(9,385

)

 

 

(9,306

)

 

 

(21,974

)

Prepaid expenses and other assets

 

(4,490

)

 

 

4,456

 

 

 

(6,368

)

 

 

(3,754

)

Accounts payable

 

(3,196

)

 

 

(1,682

)

 

 

(938

)

 

 

459

 

Accrued expenses and other liabilities

 

6,734

 

 

 

11,559

 

 

 

4,759

 

 

 

34,623

 

Deferred revenue

 

77,510

 

 

 

67,180

 

 

 

106,590

 

 

 

97,029

 

Operating lease liabilities

 

(5,668

)

 

 

(1,780

)

 

 

(13,840

)

 

 

(8,890

)

Net cash provided by operating activities

 

40,743

 

 

 

22,692

 

 

 

92,015

 

 

 

12,608

 

Investing activities

 

 

 

 

 

 

 

Purchases of property and equipment

 

(2,252

)

 

 

(2,112

)

 

 

(10,325

)

 

 

(15,782

)

Capitalized software development costs

 

(9,498

)

 

 

(8,865

)

 

 

(34,685

)

 

 

(33,648

)

Purchases of strategic investments

 

(238

)

 

 

(306

)

 

 

(764

)

 

 

(3,959

)

Purchases of marketable securities

 

(93,142

)

 

 

(76,128

)

 

 

(402,424

)

 

 

(369,206

)

Maturities of marketable securities

 

84,620

 

 

 

85,632

 

 

 

372,240

 

 

 

85,632

 

Sales of marketable securities

 

 

 

 

 

 

 

5,452

 

 

 

 

Originations of materials financing

 

(387

)

 

 

(6,739

)

 

 

(23,972

)

 

 

(23,489

)

Customer repayments of materials financing

 

5,189

 

 

 

6,688

 

 

 

26,242

 

 

 

18,685

 

Asset acquisitions, net of cash acquired

 

(1,814

)

 

 

 

 

 

(7,825

)

 

 

 

Settlement of post-close working capital adjustments from business combinations

 

 

 

 

 

 

 

 

 

 

1,291

 

Net cash used in investing activities

$

(17,522

)

 

$

(1,830

)

 

$

(76,061

)

 

$

(340,476

)

Procore Technologies, Inc.

Condensed Consolidated Statements of Cash Flows (unaudited)

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Financing activities

 

 

 

 

 

 

 

Proceeds from stock option exercises

$

2,524

 

 

$

3,019

 

 

$

17,618

 

 

$

22,364

 

Proceeds from employee stock purchase plan

 

12,394

 

 

 

10,620

 

 

 

25,400

 

 

 

22,133

 

Payments of deferred offering costs

 

 

 

 

 

 

 

 

 

 

(270

)

Payments of deferred business acquisition consideration

 

 

 

 

(3,870

)

 

 

 

 

 

(3,870

)

Principal payments under finance lease agreements, net of proceeds from lease incentives

 

(403

)

 

 

(375

)

 

 

(1,853

)

 

 

(1,705

)

Net cash provided by financing activities

 

14,515

 

 

 

9,394

 

 

 

41,165

 

 

 

38,652

 

Net increase (decrease) in cash, cash equivalents and restricted cash

 

37,736

 

 

 

30,256

 

 

 

57,119

 

 

 

(289,216

)

Effect of exchange rate changes on cash

 

1,736

 

 

 

1,834

 

 

 

855

 

 

 

(180

)

Cash, cash equivalents and restricted cash, beginning of period

 

318,318

 

 

 

267,726

 

 

 

299,816

 

 

 

589,212

 

Cash, cash equivalents and restricted cash, end of period

$

357,790

 

 

$

299,816

 

 

$

357,790

 

 

$

299,816

 

Procore Technologies, Inc.

Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited)

 

 

 

 

 

Reconciliation of gross profit and gross margin to non-GAAP gross profit and non-GAAP gross margin:

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(dollars in thousands)

Revenue

$

260,041

 

 

$

202,053

 

 

$

950,010

 

 

$

720,203

 

Gross profit

 

212,210

 

 

 

161,483

 

 

 

775,548

 

 

 

571,787

 

Stock-based compensation expense

 

3,134

 

 

 

1,914

 

 

 

11,491

 

 

 

7,253

 

Amortization of acquired technology intangible assets

 

5,904

 

 

 

5,493

 

 

 

22,396

 

 

 

22,428

 

Employer payroll tax on employee stock transactions

 

101

 

 

 

60

 

 

 

540

 

 

 

308

 

Non-GAAP gross profit

$

221,349

 

 

$

168,950

 

 

$

809,975

 

 

$

601,776

 

Gross margin

 

82

%

 

 

80

%

 

 

82

%

 

 

79

%

Non-GAAP gross margin

 

85

%

 

 

84

%

 

 

85

%

 

 

84

%

Reconciliation of operating expenses to non-GAAP operating expenses:

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(dollars in thousands)

Revenue

$

260,041

 

 

$

202,053

 

 

$

950,010

 

 

$

720,203

 

GAAP sales and marketing

 

122,511

 

 

 

118,170

 

 

 

494,908

 

 

 

424,976

 

Stock-based compensation expense

 

(13,198

)

 

 

(15,046

)

 

 

(55,162

)

 

 

(53,397

)

Amortization of acquired intangible assets

 

(3,106

)

 

 

(3,107

)

 

 

(12,425

)

 

 

(12,425

)

Employer payroll tax on employee stock transactions

 

(383

)

 

 

(348

)

 

 

(2,766

)

 

 

(1,955

)

Acquisition-related expenses

 

(481

)

 

 

(655

)

 

 

(2,483

)

 

 

(1,725

)

Non-GAAP sales and marketing

$

105,343

 

 

$

99,014

 

 

$

422,072

 

 

$

355,474

 

GAAP sales and marketing as a percentage of revenue

 

47

%

 

 

58

%

 

 

52

%

 

 

59

%

Non-GAAP sales and marketing as a percentage of revenue

 

41

%

 

 

49

%

 

 

44

%

 

 

49

%

 

 

 

 

 

 

 

 

GAAP research and development

$

74,611

 

 

$

75,413

 

 

$

300,571

 

 

$

270,982

 

Stock-based compensation expense

 

(15,874

)

 

 

(19,352

)

 

 

(68,275

)

 

 

(63,262

)

Amortization of acquired intangible assets

 

(670

)

 

 

(854

)

 

 

(2,757

)

 

 

(3,528

)

Employer payroll tax on employee stock transactions

 

(332

)

 

 

(286

)

 

 

(3,217

)

 

 

(2,474

)

Acquisition-related expenses

 

(46

)

 

 

(1,679

)

 

 

(6,370

)

 

 

(5,549

)

Non-GAAP research and development

$

57,689

 

 

$

53,242

 

 

$

219,952

 

 

$

196,169

 

GAAP research and development as a percentage of revenue

 

29

%

 

 

37

%

 

 

32

%

 

 

38

%

Non-GAAP research and development as a percentage of revenue

 

22

%

 

 

26

%

 

 

23

%

 

 

27

%

 

 

 

 

 

 

 

 

GAAP general and administrative

$

52,422

 

 

$

43,102

 

 

$

195,746

 

 

$

166,283

 

Stock-based compensation expense

 

(11,769

)

 

 

(10,693

)

 

 

(44,406

)

 

 

(38,974

)

Employer payroll tax on employee stock transactions

 

(274

)

 

 

(171

)

 

 

(1,910

)

 

 

(1,202

)

Acquisition-related expenses

 

(16

)

 

 

(6

)

 

 

(35

)

 

 

(2,128

)

Non-GAAP general and administrative

$

40,363

 

 

$

32,232

 

 

$

149,395

 

 

$

123,979

 

GAAP general and administrative as a percentage of revenue

 

20

%

 

 

21

%

 

 

21

%

 

 

23

%

Non-GAAP general and administrative as a percentage of revenue

16

%

 

 

16

%

 

 

16

%

17

%

Reconciliation of loss from operations and operating margin to non-GAAP income (loss) from operations and non-GAAP operating margin:

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(dollars in thousands)

Revenue

$

260,041

 

 

$

202,053

 

 

$

950,010

 

 

$

720,203

 

Loss from operations

 

(37,334

)

 

 

(75,202

)

 

 

(215,677

)

 

 

(290,454

)

Stock-based compensation expense

 

43,975

 

 

 

47,005

 

 

 

179,334

 

 

 

162,886

 

Amortization of acquired intangible assets

 

9,680

 

 

 

9,454

 

 

 

37,578

 

 

 

38,381

 

Employer payroll tax on employee stock transactions

 

1,090

 

 

 

865

 

 

 

8,433

 

 

 

5,939

 

Acquisition-related expenses

 

543

 

 

 

2,340

 

 

 

8,888

 

 

 

9,402

 

Non-GAAP income (loss) from operations

$

17,954

 

 

$

(15,538

)

 

$

18,556

 

 

$

(73,846

)

Operating margin

 

(14

%)

 

 

(37

%)

 

 

(23

%)

 

 

(40

%)

Non-GAAP operating margin

 

7

%

 

 

(8

%)

 

 

2

%

 

 

(10

%)

Reconciliation of net loss and net loss per share to non-GAAP net income (loss) and non-GAAP net income (loss) per share:

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands, except share and per share amounts)

Revenue

$

260,041

 

 

$

202,053

 

 

$

950,010

 

 

$

720,203

 

Net loss

 

(29,519

)

 

 

(71,184

)

 

 

(189,694

)

 

 

(286,931

)

Stock-based compensation expense

 

43,975

 

 

 

47,005

 

 

 

179,334

 

 

 

162,886

 

Amortization of acquired intangible assets

 

9,680

 

 

 

9,454

 

 

 

37,578

 

 

 

38,381

 

Employer payroll tax on employee stock transactions

 

1,090

 

 

 

865

 

 

 

8,433

 

 

 

5,939

 

Acquisition-related expenses

 

543

 

 

 

2,340

 

 

 

8,888

 

 

 

9,402

 

Income tax effect of non-GAAP items

 

 

 

 

 

 

 

 

 

 

62

 

Non-GAAP net income (loss)

$

25,769

 

 

$

(11,520

)

 

$

44,539

 

 

$

(70,261

)

 

 

 

 

 

 

 

 

Numerator:

 

 

 

 

 

 

 

Non-GAAP net income (loss)

$

25,769

 

 

$

(11,520

)

 

$

44,539

 

 

$

(70,261

)

 

 

 

 

 

 

 

 

Denominator:

 

 

 

 

 

 

 

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic

 

144,074,303

 

 

 

138,415,280

 

 

 

141,961,467

 

 

 

136,525,728

 

Effect of dilutive securities: Employee stock awards

 

5,329,311

 

 

 

 

 

 

6,591,783

 

 

 

 

Weighted-average shares used in computing net income per share attributable to common stockholders, diluted

 

149,403,614

 

 

 

138,415,280

 

 

 

148,553,250

 

 

 

136,525,728

 

 

 

 

 

 

 

 

 

GAAP net loss per share, basic

$

(0.20

)

 

$

(0.51

)

 

$

(1.34

)

 

$

(2.10

)

GAAP net loss per share, diluted

$

(0.20

)

 

$

(0.51

)

 

$

(1.34

)

 

$

(2.10

)

Non-GAAP net income (loss) per share, basic

$

0.18

 

 

$

(0.08

)

 

$

0.31

 

 

$

(0.51

)

Non-GAAP net income (loss) per share, diluted

$

0.17

 

 

$

(0.08

)

 

$

0.30

 

 

$

(0.51

)

Computation of free cash flow:

 

 

Three Months Ended

December 31,

 

Year Ended

December 31,

 

2023

 

2022

 

2023

 

2022

 

(in thousands)

Net cash provided by operating activities

$

40,743

 

 

$

22,692

 

 

$

92,015

 

 

$

12,608

 

Purchases of property, plant, and equipment

 

(2,252

)

 

 

(2,112

)

 

 

(10,325

)

 

 

(15,782

)

Capitalized software development costs

 

(9,498

)

 

 

(8,865

)

 

 

(34,685

)

 

 

(33,648

)

Non-GAAP free cash flow

$

28,993

 

 

$

11,715

 

 

$

47,005

 

 

$

(36,822

)

 

Contacts

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 MenloPark.com & California Media Partners, LLC. All rights reserved.