Company: PCOR
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050149
Chunk: 104

Company: PROCORE TECHNOLOGIES, INC.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 8
Chunk 104
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 dividend yield0.00%Estimated weighted-average volatility47.69% to 51.32%The term of the ESPP purchase rights is the offering period. The Company estimates volatility for ESPP purchase rights based on the historical volatility of its own common stock price. The interest rate is derived from government bonds with a similar term to the ESPP purchase right granted. The Company has not declared, nor does it expect to declare, dividends in the foreseeable future. Consequently, an expected dividend yield of zero was utilized. The fair value of the Company’s common stock used to value ESPP purchase rights is based on the trading price of its publicly traded common stock.Employee payroll contributions accrued in connection with the ESPP were $10.5 million and $5.4 million as of September 30, 2025 and December 31, 2024, respectively, and are included within accrued expenses on the accompanying condensed consolidated balance sheets. Employee payroll contributions ultimately used to purchase shares will be reclassified to stockholders’ equity on the purchase date. Stock-based compensation expense related to the ESPP is recognized on a straight-line basis over the offering period. During the nine months ended September 30, 2025 and 2024, the Company recognized stock-based compensation expense of $6.6 million and $6.6 million, respectively, in connection with the ESPP. During the nine months ended September 30, 2025 and 2024, 245,276 and 276,349 shares of the Company’s common stock were purchased under the ESPP, respectively.As of September 30, 2025, unrecognized stock-based compensation expense related to the ESPP was $1.5 million, which is expected to be recognized over a weighted-average period of 0.2 years. Stock-based compensationThe Company recorded total stock-based compensation cost from stock options, RSUs, PSUs, and the ESPP as follows (in thousands):Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Cost of revenue$3,196 $2,079 $9,152 $6,015 Sales and marketing16,544 13,924 48,851 42,408 Research and development20,960 18,311 60,562 49,657 General and administrative15,450 13,861 41,441 39,452 Total stock-based compensation expense$56,150 $48,175 $160,