Procore Technologies (NYSE:PCOR) Beats Q2 CY2026 Sales Expectations

Procore Technologies (NYSE:PCOR) Beats Q2 CY2026 Sales Expectations

Construction management software provider Procore Technologies (NYSE:PCOR) announced better-than-expected revenue in Q2 CY2026, with sales up 15.8% year on year to $375.2 million. The company expects next quarter's revenue to be around $383 million, close to analysts' estimates. Its non-GAAP profit of $0.47 per share was 15.1% above analysts' consensus estimates.

Is now the time to buy Procore Technologies? Find out in our full research report.

Procore Technologies (PCOR) Q2 CY2026 Highlights:

Revenue: $375.2 million vs analyst estimates of $365.8 million (15.8% year-on-year growth, 2.6% beat) Adjusted EPS: $0.47 vs analyst estimates of $0.41 (15.1% beat) Adjusted Operating Income: $80.49 million vs analyst estimates of $66.21 million (21.5% margin, 21.6% beat) The company slightly lifted its revenue guidance for the full year to $1.51 billion at the midpoint from $1.50 billion Operating Margin: 1.2%, up from -9.3% in the same quarter last year Free Cash Flow Margin: 17.2%, up from 15.6% in the previous quarter Billings: $393.1 million at quarter end, up 21.5% year on year Market Capitalization: $7.37 billion

"Our outstanding Q2 results demonstrate the continued value our platform provides to the construction industry," said Ajei Gopal, President and CEO of Procore.

Company Overview

With a mission to build software for the people that build the world, Procore Technologies (NYSE:PCOR) provides cloud-based software that enables owners, contractors, and other stakeholders to collaborate and manage construction projects from any device.

Revenue Growth

A company's long-term performance is an indicator of its overall quality. Any business can put up a good quarter or two, but many enduring ones grow for years. Over the last five years, Procore Technologies grew its sales at a solid 26% compounded annual growth rate. Its growth beat the average software company and shows its offerings resonate with customers.Procore Technologies Quarterly Revenue

We at StockStory place the most emphasis on long-term growth, but within software, a half-decade historical view may miss recent innovations or disruptive industry trends. Procore Technologies's annualized revenue growth of 15.7% over the last two years is below its five-year trend, but we still think the results were respectable.Procore Technologies Year-On-Year Revenue Growth

This quarter, Procore Technologies reported year-on-year revenue growth of 15.8%, and its $375.2 million of revenue exceeded Wall Street's estimates by 2.6%. Company management is currently guiding for a 13% year-on-year increase in sales next quarter.

Story Continues

Looking further ahead, sell-side analysts expect revenue to grow 12.3% over the next 12 months, a deceleration versus the last two years. This projection doesn't excite us and implies its products and services will see some demand headwinds.

ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you're unstoppable.

These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE.

Billings

Billings is a non-GAAP metric that is often called "cash revenue" because it shows how much money the company has collected from customers in a certain period. This is different from revenue, which must be recognized in pieces over the length of a contract.

Procore Technologies's billings punched in at $393.1 million in Q2, and over the last four quarters, its growth was solid as it averaged 18.2% year-on-year increases. This alternate topline metric grew faster than total sales, meaning the company collects cash upfront and then recognizes the revenue over the length of its contracts - a boost for its liquidity and future revenue prospects.Procore Technologies Billings

Customer Acquisition Efficiency

The customer acquisition cost (CAC) payback period measures the months a company needs to recoup the money spent on acquiring a new customer. This metric helps assess how quickly a business can break even on its sales and marketing investments.

Procore Technologies does a decent job acquiring new customers, and its CAC payback period checked in at 44.8 months this quarter. The company's relatively fast recovery of its customer acquisition costs gives it the option to accelerate growth by increasing its sales and marketing investments.Procore Technologies CAC Payback Period

Key Takeaways from Procore Technologies's Q2 Results

We were impressed by how significantly Procore Technologies blew past analysts' billings expectations this quarter. We were also excited its adjusted operating income outperformed Wall Street's estimates by a wide margin. Overall, we think this was a solid quarter with some key areas of upside. The stock traded up 2.3% to $51.35 immediately following the results.

Sure, Procore Technologies had a solid quarter, but if we look at the bigger picture, is this stock a buy? When making that decision, it's important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it's free.

View Comments