Procore Reports Third-Quarter Results, Prepares to Discuss Them on Wednesday
Key Facts
Procore reported results for the third quarter of its 2026 fiscal year after U.S. markets closed on November 3, in line with the schedule set by the company. Management is preparing to discuss the results and guidance on a call scheduled before markets open on November 4 at 8:30 a.m. Eastern Time. The company had said the call would cover results and guidance, giving management an opportunity to provide details on the period and its outlook. Before the results were reported, Procore’s third-quarter revenue guidance was between $382 million and $384 million. It also expected a non-GAAP operating margin of between 19% and 19.5% for the period. Those figures remain the company’s earlier forecasts for the quarter, while the call is set for the day after the results were reported.
Procore reported revenue of $375 million in the second quarter of 2026, up 16% year over year, according to the company’s statement. GAAP operating margin was 1% in that quarter. Gross revenue retention was 95%. The number of organic customers each contributing more than $100,000 in annual recurring revenue reached 2,871 as of June 30, up 14% year over year. These metrics provide context on revenue growth and customer retention ahead of the third-quarter results. They relate to the second quarter, however, and do not represent figures for the period the company reported on November 3.
Second-quarter results also showed stronger cash flow compared with the same period a year earlier. Operating cash flow was $88 million, up 185% year over year. Free cash flow was $65 million, up 507% year over year. The company’s previous guidance for fiscal 2026 projected revenue of between $1.510 billion and $1.514 billion and a free cash flow margin of 19.5%. Its long-term guidance also included a non-GAAP operating margin of 25% for fiscal 2027. These annual forecasts and profitability margins put growth and cash flow among the topics management is expected to address on the call.
Procore said more than three million projects had been carried out on its platform in more than 150 countries, according to its announcement of the call. In July, the company announced an agreement to acquire DroneDeploy for about $845 million in cash, saying the deal would add aerial and ground imaging and robotics capabilities to the platform. In a filing with the U.S. Securities and Exchange Commission, it disclosed that the acquisition was completed on September 9 for a purchase price of about $845 million in cash, subject to certain adjustments. The acquisition was completed during the third quarter, but the information available here does not specify its financial impact on the period’s results. The results call is scheduled for November 4 at 8:30 a.m. Eastern Time, after the figures were reported on November 3.