ServiceTitan, Inc.(TTAN) - 2026 Q1 - Quarterly Results

Financial Performance - Gross transaction volume (GTV) for Q1 2026 reached $17.7 billion, a year-over-year growth of 22$14.5 billion in Q1 2025[3] - Total revenue for Q1 2026 was $215.7 million, reflecting a 27$170.3 million in Q1 2025[3] - Non-GAAP income from operations for Q1 2026 was $16.2 million, with a non-GAAP operating margin of 7.5$208 million, showing a consistent year-over-year growth of 27%[3] - The company reported a GAAP loss from operations of $49.5 million in Q1 2026, an improvement from a loss of$53.4 million in Q1 2025[3] - Non-GAAP income from operations for Q2 2026 is projected to be between $17 million and$18 million, and for the full fiscal year 2026 between $54 million and$59 million[4] - The company expects total revenue for Q2 2026 to be between $228 million and$230 million, and for the full fiscal year 2026 to be between $910 million and$920 million[4] Cash Flow and Expenses - Net cash used in operating activities decreased to $14.6 million in Q1 2026 from$19.2 million in Q1 2025[3] - Cash used in operating activities for Q2 2025 was $14,570,000, an improvement from$19,224,000 in Q2 2024[18] - Net cash used in investing activities was $7,764,000 in Q2 2025, compared to$6,597,000 in Q2 2024[18] - The company reported a net decrease in cash, cash equivalents, and restricted cash of $21,954,000 for the period, down from$30,929,000 in the previous year[18] - The ending cash balance for the period was $420,892,000, compared to$117,934,000 at the end of the same period in 2024[18] Profitability Metrics - Net dollar retention rate remains above 110%, indicating strong customer retention and expansion[3] - Non-GAAP net income reached $17,897,000 in Q2 2025, up from$212,000 in Q2 2024, marking a substantial increase in profitability[32] - Non-GAAP net income per share (diluted) was $0.18 for Q2 2025, while the GAAP net loss per share (diluted) was$(0.51)[33] - Free cash flow for Q2 2025 was $(22,334,000), slightly improved from$(24,637,000) in Q2 2024, reflecting better cash management[34] Operating Expenses - Non-GAAP sales and marketing expense was $56,375,000 in Q2 2025, up from$44,635,000 in Q2 2024, indicating a 26.4% increase[27] - Non-GAAP research and development expense increased to $55,198,000 in Q2 2025 from$46,386,000 in Q2 2024, a rise of 19.0%[28] - Non-GAAP general and administrative expense was $30,974,000 in Q2 2025, compared to$24,406,000 in Q2 2024, marking a 27.0% increase[29] - Stock-based compensation expense increased to $33,260,000 in Q2 2025 from$20,572,000 in Q2 2024, indicating higher costs associated with employee compensation[32] Operational Efficiency - Non-GAAP operating margin improved to 7.5% in Q2 2025, compared to 1.9% in Q2 2024, indicating a positive trend in operational efficiency[31] - GAAP operating margin improved to (23.0)% in Q2 2025 from (31.4)% in Q2 2024, reflecting enhanced operational performance[31] - The loss on operating lease assets decreased to $8,032,000 in Q2 2025 from$20,081,000 in Q2 2024, indicating better asset management[30]