NYSE$TOST
Toast Inc. · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Toast's Q3 2023 financial performance showed significant growth, driven by ARR and GPV increases, along with improved profitability.
Toast reported a strong Q3 2023, with revenue reaching $1,032 million, a 37% year-over-year increase. ARR grew by 40% to $1,218 million, and GPV increased by 34% to $33.7 billion. The company also saw a significant reduction in net loss, from $(98) million in Q3 2022 to $(31) million in Q3 2023, and achieved an adjusted EBITDA of $35 million compared to $(19) million in the same period last year.
- ARR increased by 40% year-over-year, reaching $1,218 million.
- GPV grew by 34% year-over-year to $33.7 billion.
- Total locations increased 34% year-over-year to approximately 99,000, with net new locations of over 6,500 in Q3 2023.
- Revenue increased 37% year-over-year to $1,032 million.
Headline financials
Revenue & EPS history
Toast · Revenue · Quarterly
$1.03B
Revenue by segment
Toast · $1.03B total across 4 segments · Q3 2023
- Financial Technology Solutions$856M+36.3%82.9%
- Subscription Services$131M+45.6%12.7%
- Hardware$34M+25.9%3.3%
- Professional Services$11M+57.1%1.1%
Forward guidance
For the fourth quarter ending December 31, 2023, Toast expects to report revenue in the range of $1.00 billion to $1.03 billion and Adjusted EBITDA in the range of $5 million to $15 million. For the full year ending December 31, 2023, Toast expects to report revenue in the range of $3.83 billion to $3.86 billion and Adjusted EBITDA in the range of $38 million to $48 million.
Tailwinds
- Revenue in the range of $1.00 billion to $1.03 billion for Q4 2023.
- Adjusted EBITDA in the range of $5 million to $15 million for Q4 2023.
- Revenue in the range of $3.83 billion to $3.86 billion for the full year 2023.
- Adjusted EBITDA in the range of $38 million to $48 million for the full year 2023.
- Full year revenue outlook increased from $3.81 billion to $3.87 billion
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q3 2023
+0.8%
Avg return
Earnings day
-1.4%
Avg return
5 days after
-2.6%
Avg return
30 days after
57%
13 / 23 earnings
Positive
+18.2%
Q1 2022
Best reaction
-25.0%
Q4 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -14.8% | -24.0% | -16.2% | |
| Q4 2025 | +4.6% | +5.9% | +5.6% | |
| Q3 2025 | +9.5% | +7.1% | +0.1% | |
| Q1 2025 | +11.4% | +23.0% | +20.1% | |
| Q4 2024 | +0.7% | -9.5% | -12.0% | |
| Q3 2024 | +16.6% | +22.7% | +20.8% | |
| Q2 2024 | -5.1% | -1.2% | +0.8% | |
| Q1 2024 | +13.8% | +13.9% | -4.0% | |
| Q4 2023 | +11.3% | +8.1% | +16.9% | |
| Q3 2023 | -12.7% | -17.3% | -11.7% | |
| Q2 2023 | +13.8% | +18.4% | +7.1% | |
| Q1 2023 | +9.1% | +0.7% | +13.3% | |
| Q4 2022 | -25.0% | -24.8% | -34.1% | |
| Q3 2022 | +16.1% | +15.9% | +9.4% | |
| Q2 2021 | +5.6% | +7.4% | +18.1% | |
| Q2 2022 | +6.4% | +11.8% | +16.1% | |
| Q1 2021 | -2.7% | -7.6% | +4.8% | |
| Q1 2022 | +18.2% | +6.5% | +18.1% | |
| Q4 2019 | -0.1% | -12.8% | +5.9% | |
| Q4 2021 | -16.2% | -23.9% | -31.0% | |
| Q3 2021 | -14.3% | -17.5% | -36.3% | |
| Q3 2020 | -14.3% | -17.5% | -36.3% | |
| Q4 2020 | -14.3% | -17.5% | -36.3% | |
| Q2 2020 | — | — | — | |
| Q1 2020 | — | — | — |
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