Procore Technologies (PCOR) Q4 2024 earnings summary

Executive summary

• Ended FY24 with strong execution, exceeding expectations and building momentum into 2025.

• Revenue grew 16% year-over-year in Q4 2024 to $302 million and 21% for the full year to $1,152 million.

• Achieved notable large customer wins and expansions, including two significant Mag 7 deals and international growth.

• Customer base expanded, with 2,333 customers contributing over $100,000 ARR (+16% YoY) and 86 customers over $1 million ARR (+39% YoY).

• Launched new products including Procore AI, Resource Management, Safety, Scheduling, Copilot, Agents, Agent Studio, and enhanced platform connectivity.

Financial highlights

• Q4 revenue reached $302 million, up 16% year-over-year; full year revenue was $1,152 million, up 21%.

• Q4 non-GAAP operating income was negative $2 million (operating margin of -1%), impacted by one-time investments; full year non-GAAP operating margin was 10%.

• Free cash flow for the year was $128 million, a 171% year-over-year improvement; free cash flow margin for 2024 was 11%.

• Expanded non-GAAP operating margin by 800 basis points for the year.

• Q4 GAAP gross margin was 81%; non-GAAP was 85%.

Outlook and guidance

• FY25 revenue guidance raised to $1.285–$1.29 billion, representing 12% year-over-year growth.

• Q1 FY25 revenue expected between $301–$303 million, up 12% year-over-year; non-GAAP operating margin 7–8%.

• FY25 non-GAAP operating margin guidance raised by 50 bps to 13–13.5%, implying 300–350 bps margin expansion.

• Management expects margin expansion to continue into FY26.