ServiceTitan, Inc.

What they do

ServiceTitan sells a purpose-built software platform that it describes as an agentic operating system for the trades, automating workflows that run a contracting business. The company reports total revenue, dominated by platform revenue, and tracks gross transaction volume as the sum of dollars invoiced by customers through its platform. It is based in Glendale, California, and employs a fiscal year ending January 31.

Revenue drivers

• Platform revenue — The core software subscription and related platform revenue drove $284.5 million of the $292.8 million in Q2 FY2027 total revenue, or about 97%, growing 22% year over year.
• Gross transaction volume (GTV) — GTV, the dollars invoiced by customers through the platform, was $26.8 billion in Q2 FY2027, up 17% year over year, and is presented as a proxy for customer revenue rather than as company revenue.
• Max locations — The company enrolls customer locations in its Max offering; management said it exceeded its goal of doubling Max locations in Q2 and now expects to end the fiscal year with over 700 enrolled Max locations.

Recent performance

For the fiscal second quarter ended July 31, 2026, total revenue was $292.8 million, up 21% year over year from $242.1 million. Platform revenue was $284.5 million, up 22%, and GTV was $26.8 billion, up 17% from $22.9 billion. GAAP loss from operations was $27.6 million, a -9.4% operating margin, compared with a $34.8 million loss and -14.4% margin a year earlier. Non-GAAP income from operations was $44.4 million, a 15.2% non-GAAP operating margin, and non-GAAP free cash flow was $50.5 million; GAAP net cash provided by operating activities was $58.0 million. Net dollar retention was reported as greater than 110% in both periods.

Strategy

Management is positioning ServiceTitan around delivering an agentic operating system to the trades and using AI to improve internal organizational velocity. The company is pushing adoption of its Max offering, with a stated goal of ending the fiscal year with over 700 enrolled Max locations after exceeding its Q2 goal of doubling Max locations. It points to strong execution with existing customers plus progress with select new customers as the basis for that expectation. The company reports non-GAAP profitability and free cash flow alongside GAAP operating losses, and its outlook is stated on a non-GAAP income from operations basis.

Risks

• GAAP operating losses — The company reported a GAAP loss from operations of $27.6 million in Q2 FY2027 and annual net losses in each year from FY2023 through FY2026, from $159.9 million to $269.5 million.
• Decelerating growth — Year-over-year total revenue growth slowed to 21% in Q2 FY2027 from 25% in the prior-year quarter, and GTV growth slowed to 17% from 19%.
• Non-GAAP reliance — The company guides to and highlights non-GAAP income from operations and free cash flow, and states it cannot currently reconcile forward non-GAAP income from operations to GAAP loss from operations because items such as stock-based compensation cannot be reasonably predicted.
• Amendment filings — The September 8, 2026 10-K/A and 10-Q/A were filed solely to refile officer certifications correcting an omitted internal control over financial reporting reference, and the amendments update no other disclosures.

Outlook

For fiscal third quarter 2027, management expects total revenue of $285 million to $287 million and non-GAAP income from operations of $29 million to $30 million. For full fiscal year 2027, it expects total revenue of $1,139 million to $1,144 million and non-GAAP income from operations of $152 million to $154 million. Management expects to end the fiscal year with over 700 enrolled Max locations.