Procore (PCOR) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, May 5, 2026 astatine 11:33 AM CDT 40 min read

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DATE

Tuesday, May 5, 2026 astatine 8:30 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Ajei Gopal

• Chief Financial Officer — Rachel Pyles

Full Conference Call Transcript

Ajei Gopal: Good morning, everyone, and convey you for joining us. Continuing our momentum from 2025. Q1 saw beardown show that exceeded the precocious extremity of our guidance. For Q1, we delivered 15.7% gross maturation and 17% non-GAAP operating margin, which represents 650 ground points of year-over-year expansion. I'm peculiarly pleased with these results fixed the ongoing headwinds from a challenging operation environment. On our past net call, I outlined wherefore Procore volition beryllium an AI winner. Our flagship products and aboriginal investments successful AI, including our acquisition of Datagrid, has positioned america good to capitalize connected the disruptive technology.

Building connected our flagship strategy of collaboration with astir 3 cardinal progressive users and a monolithic proprietary dynamic information set, Procore AI tin present outcomes simply not imaginable with accepted software. In that call, I walked done a existent illustration of a lawsuit utilizing our AI agents arsenic a integer coworker susceptible of executing analyzable precocious effort tests with [indiscernible] a captious vantage for an manufacture facing a terrible labour shortage. This besides opened a meaningful caller magnitude to our TAM arsenic Procore AI tin entree operation labour budgets good beyond the industry's bundle spend. Our way guardant is defined by a almighty economical duality, upside accidental done AI monetization and downside extortion done our volume-based model.

I judge Procore volition unlock unprecedented worth arsenic the definitive victor successful the Agentic AI era. I would similar to statesman today's telephone by discussing the large advancement we person made with Procore AI connected past call. Then I privation to sermon our continuing occurrence with our flagship solutions. Finally, I'll sermon our volition to proceed to amended margins and escaped currency travel per share. Let maine commencement the Procore AI, which see our caller acquisition of Datagrid. I americium pleased that the exertion integration has proceeded rapidly leveraging the foundational information and level investments we had made earlier successful Helix.

We person taken the champion of some products to supply customers with caller capabilities and are present executing connected a combined merchandise roadworthy representation for Procore AI. Our solution enables customers to deploy embedded Procore AI agents that tin execute tasks specified arsenic RFI investigation submittal cross-checking and compliance auditor. We precocious released agents successful the triggers, which alteration customers to specify automated event-driven AI workflows transitioning from reactive to proactive trial execution crossed their projects. We are piloting a caller dependable AI interface designed for tract workers who privation hands-free entree to task information connected the occupation site.