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Toast (TOST) FY2025 results: revenue $6.2 billion, up 24.1% on the year

Toast, Inc. (TOST) reported revenue of $6.2 billion for fiscal 2025, the year ended 31 December 2025, up 24.1% on the year before. Net income was $342 million, up 1700.0%, and diluted earnings per share $0.56. The figures are the company's own, from the 10-K it filed with the SEC on 18 February 2026.

Revenue
$6.2 billion
+24.1% on the year
FY2019FY2025
Operating margin
4.7%
0.3% a year earlier
FY2019FY2025
Net income
$342 million
+1,700.0% on the year
FY2019FY2025
Diluted EPS
$0.56
+1,766.7% on the year
FY2019FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 1 raised, 5 new.

  • Q4 net income reached $101 million: Q4 GAAP net income was $101 million, against $33 million a year earlier. Q4 GAAP income from operations was $85 million versus $32 million.
  • Recurring gross profit grew 28% in Q4: Non-GAAP subscription and financial technology gross profit was $502 million in Q4, up 28%, and $1.9 billion for full year 2025, up 33%. GAAP gross profit on those lines rose 29% in Q4.
  • Record 30,000 net locations added: The company reported a record net addition of 30,000 locations for 2025, with about 8,000 in the fourth quarter.
  • Adjusted EBITDA reached $633 million: Q4 Adjusted EBITDA was $163 million against $111 million, reported as a non-GAAP measure.
  • Free cash flow reached $608 million: Q4 free cash flow was $178 million against $134 million. Full-year free cash flow was $608 million against $306 million, after capital expenditures of $53 million.
Read the Q4 FY2025 earnings call summary

From this 10-K

Toast is a cloud-based technology platform built for restaurants and food and beverage retailers. It sells software-as-a-service products and financial technology solutions, including integrated payment processing, its own restaurant hardware and connections to third-party partners, covering dine-in, takeout, delivery, catering and retail. It was incorporated in Delaware in December 2011 as Opti Systems, took the name Toast in May 2012, and has its principal executive offices in Boston, Massachusetts.

Toast, Inc., the 10-K for 2025

Toast is a cloud-based technology platform built for restaurants and food and beverage retailers. It sells software-as-a-service products and financial technology solutions, including integrated payment processing, its own restaurant hardware and connections to third-party partners, covering dine-in, takeout, delivery, catering and retail. It was incorporated in Delaware in December 2011 as Opti Systems, took the name Toast in May 2012, and has its principal executive offices in Boston, Massachusetts.

Customers

The company counts a location as live when it has used Toast's point-of-sale software to record transactions above a minimum threshold and has not churned. At December 31, 2025 approximately 164,000 locations were on the platform. The company estimates that its U.S. restaurant locations make up approximately 20% of the U.S. restaurant market. It serves operators from small and mid-sized restaurants to multi-location and enterprise customers, and the filing describes small and growing investments in selling outside the United States and to food and beverage retailers such as convenience stores, bottle shops and grocery stores.

Products

Its software runs on Android and on Toast hardware, including fixed point-of-sale terminals, handheld devices, self-service kiosks, a Kitchen Display System and kitchen printers. Toast IQ is an AI assistant built into the platform that lets operators ask questions about their business in natural language. Its online ordering products include restaurant websites and branded apps, commission-free first-party online ordering and the consumer app Local by Toast. Its team products cover payroll, onboarding and shift scheduling, and xtraCHEF by Toast handles back-office tasks such as accounts payable automation, inventory, ingredient price tracking and recipe costing. For retailers, its SmartScan feature lets staff scan a barcode with a phone to pull product details into the point of sale. The platform connects customers to over 200 partners in areas such as reservations, accounting, loyalty, gift cards and online ordering.

Payments and financing

The company processes card payments for its customers, and its hardware is EMVCo certified for contact and contactless payments. Customers can lease hardware under an Easy Pay commercial lease, paying generally through a portion of their daily transactions, and eligible customers can use automated credit card surcharging. Through Toast Capital, eligible restaurants can get loans issued by the company's bank partner, generally repaid through a portion of their daily transactions.

Sales and support

Its sales force works in local markets, with an acquisition team organized by customer size, type and geography that wins new locations and a growth team that sells to existing customers. It offers customer support by chat or phone 24 hours a day, 7 days a week.

People

At December 31, 2025 it had approximately 6,500 employees worldwide.

From Toast's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 18 February 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue6,1534,9603,865+24.1%
Cost of revenue4,5603,7703,031+21.0%
Gross profit1,5931,190834+33.9%
Gross margin25.9%24.0%21.6%
Research and development374351358+6.6%
Operating income29216.0-287+1,725.0%
Operating margin4.7%0.3%-7.4%
Pre-tax income34622.0-244+1,472.7%
Income tax4.03.02.0+33.3%
Effective tax rate1.2%13.6%n/a
Net income34219.0-246+1,700.0%
Net margin5.6%0.4%-6.4%
Diluted EPS$0.56$0.03-$0.47+1,766.7%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow661360135+83.6%
Capital expenditure53.054.042.0-1.9%
Free cash flow60830693.0+98.7%
Free cash flow margin9.9%6.2%2.4%
Cash from investing-172-39.0-86.0
Cash from financing7.018.063.0-61.1%
Depreciation and amortisation64.046.032.0+39.1%
Share-based compensation242253277-4.3%
Buybacks10756.00.0+91.1%
Diluted shares, weighted607m591m533m+2.7%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity2,1241,5451,194+37.5%
Debt0.00.00.0
Operating lease liabilities20.024.033.0-16.7%
Other liabilities1,001839731+19.3%
Total liabilities and equity3,1452,4081,958+30.6%
Fixed assets10598.075.0+7.1%
Goodwill1131131130.0%
Intangible assets14.020.026.0-30.0%
Investmentsn/an/a519
Securities held for sale or to maturity638514n/a+24.1%
Cash and equivalents1,353903605+49.8%
Receivables12711569.0+10.4%
Inventory114118118-3.4%
Other assets681527433+29.2%
Total assets3,1452,4081,958+30.6%

10-K for the year ended 31 December 2025, filed 18 February 2026: the filing.