Toast (NYSE: TOST), the all-in-one digital technology platform built for restaurants, today reported financial results for the fourth quarter and full year ended December 31, 2024.

“Toast had a strong close to 2024, capping off a transformational year where we added a record 28,000 net locations, grew our recurring gross profit streams1 34%, delivered Adjusted EBITDA of $373 million, and achieved our first year of GAAP profitability,” said Toast CEO and Co-Founder Aman Narang. “Our record location adds show the momentum with our core customer base, and the positive signals across our newer customer groups: enterprise, international and food and beverage retail. In 2025, we’ll accelerate our efforts across these new addressable markets and continue to further differentiate our platform. We’re well on our way to our ultimate goal: serving many multiples of the 134,000 locations we do today, and delivering durable growth and strong profitability over the long term.”

Financial Highlights for the Fourth Quarter of 2024

  • ARR as of December 31, 2024 was $1.6 billion, up 34% year over year.
  • Total Locations increased 26% year over year to approximately 134,000.
  • Gross Payment Volume (GPV) increased 25% year over year to $42.2 billion.
  • GAAP subscription services and financial technology solutions gross profit was up 40% year over year to $378 million. Non-GAAP subscription services and financial technology solutions gross profit grew 39% year over year to $392 million.
  • GAAP income from operations was $32 million in Q4 2024 compared to GAAP loss from operations of $(56) million in Q4 2023.
  • GAAP net income was $33 million in Q4 2024 compared to GAAP net loss of $(36) million in Q4 2023. Adjusted EBITDA was $111 million in Q4 2024 compared to Adjusted EBITDA of $29 million in Q4 2023.
  • Net cash provided by operating activities of $147 million and Free Cash Flow of $134 million in Q4 2024, compared to net cash provided by operating activities of $92 million and Free Cash Flow of $81 million in Q4 2023.

Financial Highlights for the Full Year 2024

  • GPV for the full year 2024 increased 26% year over year to $159.1 billion.
  • GAAP subscription services and financial technology solutions gross profit was up 34% year over year to $1.4 billion. Non-GAAP subscription services and financial technology solutions gross profit grew 34% year over year to $1.4 billion.
  • GAAP income from operations was $16 million in full year 2024 compared to GAAP loss from operations of $(287) million in full year 2023.
  • GAAP net income was $19 million in full year 2024 compared to GAAP net loss of $(246) million in full year 2023. Adjusted EBITDA was $373 million in full year 2024 compared to Adjusted EBITDA of $61 million in full year 2023.
  • Net cash provided by operating activities of $360 million and Free Cash Flow of $306 million in full year 2024, compared to net cash provided by operating activities of $135 million and Free Cash Flow of $93 million in full year 2023.

Percentages may not tie due to rounding. For more information on the non-GAAP financial measures and key metrics discussed in this press release, please see the sections titled “Non-GAAP Financial Measures” and “Key Business Metrics,” as well as the reconciliations of non-GAAP financial measures to their nearest comparable GAAP financial measures at the end of this press release.

Outlook(2)

For the first quarter ending March 31, 2025, Toast expects to report:

  • Non-GAAP subscription services and financial technology solutions gross profit in the range of $385 million to $395 million (27-30% growth compared to Q1 2024)
  • Adjusted EBITDA in the range of $100 million to $110 million

For the full year ending December 31, 2025, Toast expects to report:

  • Non-GAAP subscription services and financial technology solutions gross profit in the range of $1,745 million to $1,765 million (23-25% growth compared to 2024)
  • Adjusted EBITDA in the range of $510 million to $530 million

The outlook provided above constitutes forward-looking information within the meaning of applicable securities laws and is based on a number of assumptions and subject to a number of risks. See cautionary note regarding “Forward-looking Statements” in this press release.

Recent Business Highlights

  • Toast announced an expanded partnership with Uber Technologies, Inc. (NYSE: UBER), giving restaurants increased choice, and their guests more food delivery options while helping restaurants reduce costs and expand their reach by leveraging Uber’s extensive delivery network.
  • In 2024, Toast was proud to partner with more than one-third of the 2024 James Beard award-winning restaurants and over half of Michelin-rated U.S. restaurants.
  • Toast has signed an agreement with Ascent Hospitality Management to implement Toast Enterprise Solutions at Perkins and Huddle House restaurants across an initial 500 locations, representing Toast’s largest full service restaurant group to-date. Additionally, Toast recently signed Mendocino Farms, a fast-casual restaurant group with over 70 locations in California, who looked to Toast as a strategic partner to help modernize store operations, streamline staff trainings, and support future growth plans.