Procore Technologies Inc ((PCOR)) has held its Q2 earnings call. Read on for the main highlights of the call.
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Procore Technologies’ recent earnings call conveyed a positive sentiment, underscored by strong revenue growth and significant large deal activity. Despite challenges like currency headwinds and a tough macroeconomic environment, the company showcased resilience through substantial customer wins and global expansion. The overall tone of the call was optimistic, with a promising outlook for future growth and innovation.
Strong Revenue Growth
Procore Technologies reported a robust 14% year-over-year revenue growth for the second quarter of 2025, reaching a total revenue of $324 million. The company also saw an improvement in non-GAAP operating margins, which increased quarter-over-quarter to 13%. This growth highlights Procore’s ability to effectively navigate market challenges and continue its upward trajectory.
Significant Large Deal Growth
The company experienced a notable increase in large deal activity, with the number of 6- and 7-figure deals growing by 21% year-over-year. This contributed to a customer base of over 2,500 clients, each generating more than $100,000 in annual recurring revenue (ARR), underscoring Procore’s success in securing substantial business commitments.
Innovation and Product Development
Procore introduced several new AI capabilities, including Procore Helix, Assist, Agent Builder, and Developer Studio. These innovations are designed to transform workflows and enhance industry standards, demonstrating Procore’s commitment to leading the market in technological advancements.
Successful Customer Wins
The company secured new customers such as Calpine Corporation and top design-build contractor Clayco, among others. These wins highlight Procore’s ability to attract a diverse range of clients and meet the varied needs of different industries, further solidifying its market position.
Global Expansion
Procore achieved significant global expansion, securing wins in Japan, the UAE, and with organizations like Purdue University and a top ENR 600 specialty contractor. This expansion reflects Procore’s strategic efforts to broaden its international footprint and capitalize on global opportunities.
FedRAMP In-Process Designation
Procore’s listing on the FedRAMP marketplace marks a significant milestone, enhancing its capability to serve federal markets and opening up new public sector opportunities. This designation is a testament to Procore’s commitment to meeting stringent security and compliance standards.
Currency Headwinds
International revenue growth was impacted by currency headwinds, with foreign exchange contributing approximately 3 points of headwind to international revenue growth. Despite this challenge, Procore managed to achieve a 13% year-over-year growth in international revenue.
Macroeconomic Environment
The macroeconomic environment remains challenging, impacting growth expectations and leading to cautious revenue guidance for fiscal 2026. Procore is navigating these conditions with a strategic focus on maintaining growth and managing risks.
Forward-Looking Guidance
Procore Technologies maintained its full-year revenue guidance at $1.299 billion to $1.302 billion, representing a 13% year-over-year growth. The company projected a non-GAAP operating margin of between 13% and 13.5%. Procore highlighted the success of its go-to-market transition, with a shift in its expansion mix to 70-30 between volume expansion and product cross-sell, and noted improvements in cross-selling, particularly with its financial suite.
In summary, Procore Technologies’ earnings call painted a positive picture of the company’s current performance and future prospects. With strong revenue growth, significant large deal activity, and successful innovation, Procore is well-positioned to continue its upward momentum despite external challenges. The company’s strategic focus on global expansion and product development further reinforces its optimistic outlook.