Research Reports

Prepared Highlights

Revenue: Q3 total revenue $339M, up 14.5% YoY (prepared). International revenue grew 14% YoY (prepared); on constant currency, international grew 15% YoY (prepared). Full-year FY2025 revenue guidance raised to $1.312B–$1.314B, representing 14% YoY growth (prepared).
Margins: Q3 non-GAAP operating income $59M, non-GAAP operating margin 17%, up 380 bps QoQ (prepared). FY2025 non-GAAP operating margin guidance raised to 14%, representing 400 bps YoY expansion (prepared).
Backlog: Current RPO grew 23% YoY (prepared); current deferred revenue grew 14% YoY (prepared). cRPO benefited from longer average contract duration; normalized cRPO growth consistent with Q3 revenue and ending ARR growth (prepared).
Large deals: Number of 6- and 7-figure deals accelerated to 31% YoY growth (CEO). Number of $100K+ ARR customers now totals more than 2,600 (CEO). Half of top 10 new logo deals in Q3 involved no other vendor in the prospect’s evaluation (CEO).
Platform milestone: Surpassed $1 trillion in annual construction volume contracted on platform across all global stakeholders (CEO).
Share repurchase: New $300M repurchase program authorized for a 1-year period (prepared). Year-to-date repurchased ~$129M in stock, representing 1.9M shares (prepared).
Q4 2025 guidance: Revenue $339M–$341M, representing 12%–13% YoY growth; Q4 non-GAAP operating margin expected 14.4% (prepared).
FY2026: Management “generally comfortable” with Street revenue dollar estimate per FactSet; formal guidance deferred until new CEO onboards (prepared).
Construction macro: U.S. nonresidential and multifamily construction had negative 2% growth in last two quarters; Procore grew 14.5%, a premium of 16.5 percentage points (CEO, prepared).

Prepared Metrics

Metric	Value	Speaker/Context
Total Revenue	$339M	Q3, 14.5% YoY (prepared)
Non-GAAP Operating Income	$59M	Q3 (prepared)
Non-GAAP Operating Margin	17%	Q3 (prepared)
Current RPO Growth	23% YoY	Q3 (prepared)
Current Deferred Revenue Growth	14% YoY	Q3 (prepared)
Q4 Revenue Guidance	$339M–$341M	12%–13% YoY (prepared)
FY2025 Revenue Guidance	$1.312B–$1.314B	14% YoY (prepared)
FY2025 Non-GAAP Op Margin Guidance	14%	400 bps YoY expansion (prepared)
Share Repurchase YTD	~$129M (1.9M shares)	Through Q3 (prepared)
New Repurchase Authorization	$300M	1-year period (prepared)

Mgmt Quotes

“We had another strong quarter for large deals with the number of 6- and 7-figure deals accelerating to 31% year-over-year growth.” (CEO)
“Our focus area of U.S. nonresidential and multifamily construction has gone from growing 25% year-over-year in Q1 2023 to negative growth of 2% for the last 2 quarters… and yet in that same 2-year period, Procore has continued to grow faster than this end market by approximately 10 to 20 percentage points.” (CEO)
“Procore reached another exciting milestone, surpassing $1 trillion in annual construction volume contracted to our platform across all global stakeholders.” (CEO)
“The decision by our customers to lengthen their contract terms is a powerful reflection of their long-term commitment to Procore's platform.” (prepared)
“Our strong Q3 results reinforce the compounding power of our free cash flow per share algorithm, which can be summarized as: one, durable top line growth… two, continued margin improvement… three, we expect our diluted share count to grow modestly each year before repurchasing any shares.” (prepared)

Q&A Batch (1-5 of 10)

Q1 — David Hynes

Topic: End market demand turning point and net new ARR growth
Key points:
- Macro headwinds unchanged from prior quarters; no big change observed.
- Owners are where projects begin; when headwind turns, it takes time for projects to get permitted and hit Procore revenue.
- Net new ARR growth came in notably faster than revenue growth in Q3.
Mgmt stance: Neutral on macro (no change); bullish on base case growth (Q3 increased confidence, operating well within base case).

Q2 — Matthew Martino

Topic: Data center exposure and cRPO renewal trends
Key points:
- Data centers are a small portion of overall construction economy; Procore is “everywhere” in data centers but it’s a small portion of business.
- cRPO growth in mid-teens; renewals were “very healthy” in Q3.
- Contract duration ticked up; underlying health described as “stable to positive and trending in the right direction.”
Mgmt stance: Bullish on data center strength but cautious on its small share; bullish on renewal health and cRPO trajectory.

Q3 — Craig Courtemanche (self-answered)

Topic: Committed construction volume milestone
Key points:
- Procore now has $1 trillion of committed construction volume annually on platform.
- At November Investor Day (prior year), that number was roughly $900 billion.
- Renewal activity and new customer acquisition drove the increase.
Mgmt stance: Bullish (testament to customer acquisition and expansion).

Q4 — Brent Thill

Topic: cRPO growth drivers and go-to-market improvements
Key points:
- cRPO growth was highest in 7 quarters; normalized cRPO growth rate consistent with revenue growth rate.
- Drivers: strong quarter, increasing contract duration.
- Go-to-market improvements: higher pipe conversion, improving expansion rates, lower voluntary headcount attrition in sales.
Mgmt stance: Bullish on execution (improved for several quarters since Q4 last year); no “mission accomplished” – sees further opportunities.

Q5 — Saket Kalia

Topic: New CEO hire (Ajei) and net revenue retention (NRR) trends
Key points:
- Ajei’s prior experience is a good analog to Procore’s mission; confidence in him is “more confident now than ever.”
- NRR: churn year-to-date stable; expansion improving; longer contract duration (pooled models) creates headwind (NRR of 100% during contract term).
- NRR likely to end up in “very similar place” as last Q4; financials product singled out as driver; analytics also strong.
Mgmt stance: Bullish on leadership transition; neutral on NRR (stable churn, improving expansion, but contract duration headwind).

Q&A Batch (6-10 of 10)

Q6 — Jason Celino

Topic: 行业数字化潜力、专有数据与AI机遇，以及定价包装试点进展
Key points:
- Craig Courtemanche认为公司拥有“前所未有的”专有施工数据，在AI时代可驱动整个行业的生产力，解决长期存在的劳动力短缺问题。
- Matthew Puljiz确认公司正在试点新的“好、更好、最佳”套餐化定价模式，针对当前客户和新客户；反馈积极，客户认可其简化了选择。
- 该试点不会改变业务财务轨迹，主要目标是为客户提供更简单的消费路径。
Mgmt stance: 非常 bullish — 对通过数据与AI提升行业效率充满信心；对试点结果表示“非常兴奋”，认为这是满足客户需求的方式。

Q7 — Joseph Vruwink

Topic: 大型交易活动模式、Q4管道健康度，以及cRPO与未来收入的关系
Key points:
- Matthew Puljiz指出，大型交易通常出现在Q4，但当前样本量小，难以判断是否形成新模式；Q4管道“健康”，利益相关者、地域和交易规模分布广泛，团队“相当乐观”。
- 关于cRPO，Matthew确认其与未来收入的关系“仍然存在”，但提醒下周一将迎来新CEO，正式2026年指引将在2月给出。
Mgmt stance: 乐观 — Q4大型交易管道广度令人放心；对cRPO作为收入参考指标保持信心，但谨慎等待新CEO上任后正式发布指引。

Q8 — Joshua Tilton

Topic: 新CEO Ajei的潜在贡献，以及利润率扩张与增长投入的平衡
Key points:
- Craig Courtemanche表示，选择Ajei是因为他有将业务从10亿美元带到30亿、50亿美元的经验，擅长建设全球业务和合作伙伴生态系统。
- Matthew Puljiz确认公司可以同时承诺利润率扩张和给予Ajei增长空间；2023年指导的非GAAP EBIT扩张400个基点“非常可行”，明年“很可能”略高于此。
Mgmt stance: bullish — 对新CEO的能力充满信心，认为其工具箱包含下一阶段所需工具；明确表示利润率扩张与增长投入可兼得，且已有量化方向。

Q9 — Hoi-Fung Wong

Topic: 竞争环境、客户对AI的反馈，以及合同期限延长的驱动因素
Key points:
- Craig Courtemanche表示，在Groundbreak活动中没有客户提及竞争对手；客户对AI战略“非常兴奋”，一家大型建企CEO已寻求合作以获得AI工具早期访问权。
- Matthew Puljiz指出，合同期限延长主要由客户驱动的混合合同模式（为应对项目进度不确定性）驱动，而非销售激励；内部数据显示竞争态势“非常积极”。
Mgmt stance: 高度自信 — 对竞争地位和AI能力极有信心；认为产品对客户高度关键，客户愿意做长期承诺是必然结果。

Q10 — Will Hancock

Topic: 当前需求环境、宏观与国际业务，以及