Toast Reports $154 Million Profit on $1.91 Billion Revenue, Driven by Payments Segment
In the second quarter, Toast reported revenue of $1.91 billion and a net income of $154 million, translating to an impressive profit margin of approximately 80.7%. The company's financial technology solutions segment, which includes its payments business, was responsible for most of this success, contributing around $1.57 billion in sales — or about 82% of total revenue. This segment generated a gross profit of roughly $360 million despite high costs. However, the hardware and professional services segment posted negative gross margins due to higher costs than revenues. Meanwhile, Toast's subscription services were highly profitable with a much better margin profile, contributing around $290 million in sales and generating $226 million in gross profit for the quarter.
Tickers: $TOST
Topics: profitability by segment Q2 earnings revenue growth Toast