🚀 acceleratinghigh confidence2-3 yearsVertical SaaS

Restaurant & Hospitality Tech

Toast hit $6.15B revenue and $342M net income. 79% of US restaurants implementing AI-native POS.

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Growth Overview

15.9%

CAGR

+26%

YoY Growth

+70%

Search Growth

$21.2B

by 2033

12-Month Trend

Growth Rate

0%25%50%

Market Size Projection

$6.5B

Current (2025)

$21.2B

by 2033

Overview

Software for restaurant operations: POS, online ordering, inventory management, staff scheduling, review management, and kitchen display systems. Toast hit $6.15B FY2025 revenue with $342M net income and $608M free cash flow, now serving 164,000 locations. Restaurant management software market reached $6.5B in 2026, growing at 15.9% CAGR. 79% of US restaurants have implemented or are considering AI-native POS.

What's Driving This Growth?

▸Labor costs at all-time highs, forcing automation of ordering and scheduling
▸Online ordering and delivery now 35% of restaurant revenue (up from 10% pre-2020)
▸79% of US restaurants implementing or considering AI-native POS software
▸1 in 4 limited-service operators plan to invest in kitchen automation and AI-driven inventory in 2026

Market Signals

✓Toast FY2025: $6.15B revenue, $342M net income, $608M FCF; ARR crossed $2.05B (up 29.4% avg YoY over last 4 quarters)
✓Toast Q4 2025: revenue up 22% to $1.6B; 164,000 locations; FY2026 EBITDA guidance up to $795M; $16.3B market cap
✓Toast averaging 20-25% annual revenue growth guidance for next 2 years with 30% EPS growth expected