Companies /Technology

Toast Inc - Class A

NYSE: TOST Software - Infrastructure
$35.17
▼ $1.80 (−4.87%) today
Markets closed · 6:40pm ET

Q4 2025 Earnings

Reported Feb 12, 2026, 4:12pm ET · SEC source
$0.16
Miss −32.72%
EPS · est. $0.24
$1.6B
Beat +0.89%
Revenue · est. $1.6B
+4.9%
Beating market
TOST vs S&P since report
6 quarters
Consecutive EPS misses

Market Reaction

% change · around the report
0+7%+14%+21%Feb 12Feb 13report 4:12pm ETearnings−0.1%+16.9%
0+7%+14%+21%Feb 12Feb 13earnings−0.1%+16.9%
TOST +16.9%S&P 500 −0.1%
0+7%+14%+21%Feb 12Feb 13report 4:12pm ETearnings−0.2%+16.9%
0+7%+14%+21%Feb 12Feb 13earnings−0.2%+16.9%
TOST +16.9%NASDAQ −0.2%
0+6%+12%Feb 11Feb 20report 4:12pm ETearnings+1.0%+11.3%
0+6%+12%Feb 11Feb 20earnings+1.0%+11.3%
TOST +11.3%S&P 500 +1.0%
0+6%+12%Feb 11Feb 20report 4:12pm ETearnings+1.1%+11.3%
0+6%+12%Feb 11Feb 20earnings+1.1%+11.3%
TOST +11.3%NASDAQ +1.1%
+4.55%
Day of report
+1.21%
Next session
−8.27%
One week
+1.90%
30 days

S&P 500 over the same 30 days: −2.98%.

Did TOST Beat Earnings? Q4 2025 Results

Toast served up a mixed quarter to close out fiscal 2025, delivering a top-line beat alongside a notable earnings miss that sent shares lower despite record operational momentum. The restaurant technology company posted Q4 revenue of $1.63 billion, ahead of the $1.61 billion consensus and up 22.1% year over year, yet earnings per share of $0.16 fell well short of the $0.24 analysts had expected, a gap of 33.33%. The headline driver behind the quarter's divergent story was accelerating investment in growth, as Toast added roughly 8,000 net locations in Q4 alone to finish the full year with a record 30,000 net new locations and approximately 164,000 total, up 22% year over year. Annualized Recurring Revenue crossed $2.05 billion, growing 26%, underscoring the durability of the company's subscription model. Despite the EPS shortfall, Toast guided full-year 2026 Adjusted EBITDA of $775 million to $795 million, signaling confidence that expanding profitability and sustained location growth will continue converting scale into earnings power.

Key Takeaways
  • Record 30,000 net new locations added in 2025, including approximately 8,000 in Q4
  • ARR grew 26% year over year to over $2.0 billion
  • GPV increased 22% year over year to $51.4 billion in Q4
  • Non-GAAP subscription services and financial technology solutions gross profit grew 28% year over year in Q4
  • Adjusted EBITDA margins reached 34% for the full year

“2025 was a strong year for Toast, adding a record 30,000 net locations, growing recurring gross profit 33%, and delivering Adjusted EBITDA margins of 34%.”

Toast CEO, on the earnings call

Forward Guidance & Outlook

For Q1 2026, Toast expects non-GAAP subscription services and financial technology solutions gross profit in the range of $505 million to $515 million (22-24% growth vs. Q1 2025) and Adjusted EBITDA of $160 million to $170 million. For the full year 2026, Toast expects non-GAAP subscription services and financial technology solutions gross profit of $2,270 million to $2,300 million (20-22% growth vs. 2025) and Adjusted EBITDA of $775 million to $795 million.

TOST YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$500.0M$1.0B$1.5B$1.3B$1.6BRevenue$333.0M$423.0MGross Profit$32.0M$85.0MOperating Income$32.0M$101.0MNet Income
$0$500.0M$1.0B$1.5BRevenueGross ProfitOperating IncomeNet Income

TOST Revenue by Segment

Financial Technology Solutions$1.3B
Subscription Services$256.0M
Hardware and Professional Services$43.0M

Figures from SEC filings and company reports. Not investment advice.