Toast Reports Strong Q3 2026 Results and Raises Full-Year Guidance
Toast, Inc. (TOST) delivered a robust third quarter for 2026, characterized by significant margin expansion and accelerated growth across its core fintech and subscription segments. The company reported GAAP operating income margins of 26%, nearly doubling from the previous year, while Adjusted EBITDA reached $240 million with a 37% margin. This performance was driven by a 27% year-over-year increase in recurring gross profit streams and strong momentum in net new location additions. Following these results, management raised its full-year 2026 guidance for both recurring gross profit growth and Adjusted EBITDA. The company is also pivoting toward an 'agentic platform' model, leveraging AI to automate restaurant workflows like labor scheduling and marketing. Looking ahead, Toast announced a leadership transition, with Michael Senno set to succeed Elena Gomez as CFO on January 1, 2027.
Tickers: $TOST
Topics: ARR earnings report EBITDA gross profit revenue growth