Procore shares jump 19.7% after Q3 beat, raised outlook

Procore (PCOR) said on Nov. 3 that third-quarter revenue rose 19% to $402.31 million, topping the $391.61 million consensus estimate, and that it raised its full-year 2026 revenue forecast.

Shares rose 19.7% in regular trading as of 3:59 p.m. ET on Nov. 4, from a regular-session close of $63.17.

Adjusted earnings were 51 cents per diluted share, topping the 46-cent consensus estimate. The company said its GAAP net loss narrowed to $4.59 million.

Here's how the company did:

• Revenue: $402.31 million vs. $391.61 million expected, and $338.85 million a year earlier
• Adjusted EPS: 51 cents vs. 46 cents expected, and 42 cents a year earlier
• GAAP net loss: $4.59 million vs. $9.10 million a year earlier
• Non-GAAP operating margin: 23% vs. 17% a year earlier

Gross revenue retention was 95% in the quarter. The number of organic customers contributing more than $100,000 of annual recurring revenue reached 2,968 as of Sept. 30, up 14% from a year earlier.

Revenue has risen in each of the last three quarters, from $338.9 million in the third quarter of 2025 to $375.2 million in the second quarter of 2026, according to its SEC filings.

President and CEO Ajei Gopal said, "Q3 was another outstanding quarter, with revenue and margins above the high end of our guidance."

CFO Rachel Pyles said the quarter reflected "continued excellent execution across our core business, with revenue up 19%, including 2 percentage points from DroneDeploy."

2026 guidance

The company expects fourth-quarter revenue of $420 million to $422 million, including $19 million from DroneDeploy, a rise of 20.3% to 20.9% from a year earlier.

For the full year, the company now expects revenue of $1.56 billion, up from the $1.51 billion range it gave on July 29. That forecast implies growth of 17.7% to 17.9%, including $24 million from DroneDeploy.

It expects non-GAAP operating margin of 19.0% to 19.5% for 2026, up from 18.5% to 19.0% in July. Its free cash flow margin is expected to be 18.0%, including about $23 million in one-time cash payments tied to DroneDeploy. Excluding those payments, the margin is expected to be 19.5%, the same forecast it gave in July.

The company's 2027 non-GAAP operating margin forecast of 25% is unchanged from July 29.

Cash and buybacks

The board authorized a new stock repurchase program of up to $300 million on Oct. 30, 2026. It expires Oct. 30, 2027, and replaces a $300 million program authorized on Nov. 3, 2025 that expired Nov. 3, 2026. The company said it will fund the program from working capital and may suspend or discontinue it at any time.

Operating cash inflow was $96 million in the quarter, up 8% from a year earlier. Free cash inflow was $73 million, also up 8%.

Acquisition costs

Acquisition-related expenses were $26.56 million in the quarter, up from $1.07 million a year earlier. Business combinations, net of cash acquired, used $790.46 million in the quarter, according to the cash flow statement.