Company: PCOR
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001628280-25-021898
Chunk: 94

Company: PROCORE TECHNOLOGIES, INC.
Filing Date: 2025-05-02
Form: 10-Q
Item: Part I, Item 8
Chunk 94
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 and development1,726 1,668 General and administrative883 1,045 Total employer payroll tax on employee stock transactions$4,001 $4,189 

(4)Includes acquisition-related expenses as follows:

Three Months Ended March 31,20252024(in thousands)Sales and marketing$656 $448 Research and development1,049 — General and administrative$375 $— Total acquisition-related expenses$2,080 $448 

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Comparison of the Three Months Ended March 31, 2025 and 2024

Revenue

Three Months Ended March 31,Change20252024DollarPercent(dollars in thousands)Revenue$310,632 $269,428 $41,204 15 %

During the three months ended March 31, 2025, our revenue increased by $41.2 million, or 15%, compared to the three months ended March 31, 2024, of which approximately 83% was attributable to revenue from existing customers and approximately 17% was attributable to revenue from new customers acquired during the three months ended March 31, 2025. The increase in revenue from existing customers includes the net benefit of a full quarter of subscription revenue in the first quarter of 2025 from customers that were newly acquired or expanded their subscriptions between the beginning of the first quarter of 2024 and the end of the fourth quarter of 2024 and continued or expanded their subscriptions, as applicable, in the first quarter of 2025.

Cost of Revenue, Gross Profit, and Gross Margin

Three Months Ended March 31,Change20252024DollarPercent(dollars in thousands)Cost of revenue$64,926 $45,723 $19,203 42 %Gross profit245,706 223,705 22,001 10 %Gross margin79 %83 %

The increase in cost of revenue during the three months ended March 31, 2025 was primarily attributable to an increase of $8.1 million in personnel-related expenses, including increases of $7.1 million in salaries and wages and $0.9 million in stock-based compensation expense. The increase in cost of revenue was also attributable to a $5.4 million increase in amortization of capitalized software development costs; a $4.2 million increase in third-party cloud hosting and related services as we grow our customer base; and a $1.7 million