PAR

PAR Technology’s Q2 results received a positive response from the market, a reflection of the company’s execution on its multiproduct platform strategy and successful AI-driven initiatives. Management attributed the performance to continued expansion in both restaurant and retail verticals, as well as operational improvements that boosted profitability. CEO Savneet Singh highlighted that nearly all new customer contracts in the quarter included multiple products, reinforcing the company’s integrated approach. Singh also pointed to the growing adoption of PAR Intelligence, with around 20,000 sites live by quarter’s end, as a central driver of recurring revenue. Is now the time to buy PAR? Find out in our full research report (it’s free). Revenue: $133.4 million vs analyst estimates of $125.2 million (18.7% year-on-year growth, 6.5% beat) Adjusted EPS: $0.18 vs analyst estimates of $0.12 (47.9% beat) Adjusted EBITDA: $14.28 million vs analyst estimates of $10.39 million (10.7% margin, 37.4% beat) The company lifted its revenue guidance for the full year to $519.5 million at the midpoint from $507.5 million, a 2.4% increase EBITDA guidance for the full year is $51.5 million at the midpoint, above analyst estimates of $45.36 million Operating Margin: -9.7%, up from -15.4% in the same quarter last year Annual Recurring Revenue: $338 million vs analyst estimates of $339.6 million (17.3% year-on-year growth, in line) Market Capitalization: $740.8 million While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. George Sutton (Craig-Hallum) asked about visibility into the second-half ARR ramp and the breadth of PAR Intelligence wins versus competitors. CEO Savneet Singh responded that visibility has increased with a healthy backlog, and that PAR is seeing stronger adoption and scale relative to peers. Stephen Sheldon (William Blair) inquired about the timing and magnitude of ARR acceleration, as well as the commercialization path for PAR Intelligence. CFO Bryan Menar explained growth would be steady in Q3 and Q4, while Singh said monetization of AI capabilities will likely be subscription-based and focused on areas delivering the most customer value. Eleanor Smith (JPMorgan) questioned the sources of EBITDA margin expansion through 2027 and the changes in reporting ARR by product. Singh said future margin gains would be driven more by operating leverage than further cost cuts, and that consolidated ARR and ARPU are now the best indicators of multiproduct traction. Mayank Tandon (Needham) sought updates on Tier 1 RFPs and the pace of customer tech modernization. Singh reported continued pipeline growth with three Tier 1 opportunities and noted sustained urgency among customers to upgrade systems, though not markedly different from previous quarters. William Nance (Goldman Sachs) explored the balance between site count and ARPU in ARR growth and the influence of integrated data systems on AI adoption. Singh emphasized that ARPU is becoming a larger driver as multiproduct deals grow in value, and that integrated data is increasingly critical for AI success. In the coming quarters, the StockStory team will be watching (1) the pace of PAR Intelligence deployments and the company’s progress toward its 50,000-site target, (2) execution on large customer rollouts, especially for major restaurant and retail chains, and (3) the success of cross-selling additional products to the existing customer base. Developments in AI monetization and integration of the Bridg acquisition will also be closely tracked. PAR Technology currently trades at $17.81, up from $17.12 just before the earnings. In the wake of this quarter, is it a buy or sell? See for yourself in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 4:30 p.m. ET Chief Executive Officer - Savneet Singh Chief Financial Officer - Bryan Menar Operator: Good day, and thank you for standing by. Welcome to the PAR Technology Fiscal Year 2026 Second Quarter Financial Results Conference Call. [Operator Instructions] Please be advised that this call is being recorded. I would now like to hand the conference call over to your first speaker today. Please go ahead. Chris Byrnes: Thank you, Felicia, and good afternoon, everyone, and thank you for joining us today for PAR Technology's 2026 Second Quarter Financial Results Call. Earlier today, we released our financial results. The earnings release is available on the Investor Relations page of our website at partech.com, where you can also find the Q2 financial presentation as well as in our related Form 8-K furnished to the SEC. Before we begin, please be advised that our remarks today will contain forward-looking statements. These forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. For additional information on these factors, please refer to our earnings release and other reports filed with the SEC. Also today, we'll be discussing or providing certain non-GAAP financial measures, which we believe will provide additional clarity regarding our ongoing performance. For a full reconciliation of the non-GAAP financial measures discussed in this call to the most comparable GAAP measure in accordance with SEC regulations, please see our press release furnished as an exhibit to our Form 8-K filed this afternoon and our supplemental materials available on our website. Joining me on the call today is PAR's CEO, Savneet Singh; and Bryan Menar, PAR's Chief Financial Officer. I'd now like to turn the call over to Savneet for the formal remarks portion of the call, which will be followed by general Q&A. Savneet? Savneet Singh: Thanks, Chris, and thank you all for joining us today. On our first quarter call, we established clear financial and AI-adoption targets and laid out what success looks like for PAR in 2026. Since then, we've been heads down executing against our 3-pronged growth strategy, namely to: one, extend our competitive platform advantages in core markets; two, reinvest in product efficacy via powerful AI functionality; and three, aggressively expand our total addressable market in areas where we can continue to leverage our inherent platform advantage. As Ben Graham famously said, in the short run, the market is a voting machine, but in the long run, it's a weighing machine. We plan to continue to stack weights on the scale. At PAR, we're always on offense. This is evidenced by our strong Q2 results and highlights, which I'll start with today before handing the call to Bryan to discuss our financial results in more detail and provide our outlook for the remainder of the year. Q2 was a starting [ shot ] in the show-me market. We delivered results ahead of expectations, expanded our platform footprint across both restaurant and retail, grew our PAR Intelligence user base to roughly 20,000 sites, greenlit material TAM expansion initiatives in both restaurants and retail sectors, overhauled our cost structure and strengthened our outlook for the remainder of the year. Most central to the PAR thesis, we continue to prove the value and staying power of our platform strategy. Our customers are expanding their adoption across our portfolio, creating larger and more strategic partnerships. Our momentum is reflected in our ARR performance, our improving margin profile and our growing pipeline of enterprise opportunities across both restaurant and retail markets. Let me start with a few highlights. We exited the quarter at approximately $338 million of ARR, representing over 17% year-over-year growth and 12.3% organic growth and setting us up for a meaningful acceleration in the second half as communicated earlier this year. We generated adjusted EBITDA of $14.3 million in Q2, an improvement of nearly $9 million from Q2 last year. The $14.3 million of adjusted EBITDA includes $1.3 million of overperformance in the quarter, driven by a specific hardware initiative by a large legacy enterprise restaurant customer. Without this project, the Q2 normalized number is $13 million in adjusted EBITDA against the previously forecasted range of $9.5 million to $11.5 million. Our profit acceleration is done the right way by leveraging the fixed scale of our operations while continuing to improve the unit economics of each product. As an example of this, across our core product base, the 3-year blended ARPU CAGR sits at 8%, while the average platform deal term length is roughly double that of a point solution. These strong Q2 results reinforce our confidence that we can continue balancing growth and profitability while investing in the strategic opportunities in front of us. Looking across the business, we're seeing encouraging momentum in nearly every major product category. Our restaurant vertical delivered a strong second quarter, securing the pipeline and backlog for the back half acceleration we spoke about on our last call. What stands out most is the continuous success and durability of our platform strategy. Customers select PAR for its integrated solutions rather than purchasing individual products. An integrated product ecosystem is a perfect foundation to be the core restaurant AI partner of the future as performance AI features require multiple systems working together in real time. A stand-alone AI wrapper or point solution cannot replicate a feature that bridges point of sale, inventory, labor and guest data. PAR's end-to-end fully connected stack is the clear gold standard. Multiproduct attachment on Q2 new engagement sits at nearly 100%. Wins included Guthrie's Chicken, Sarku Japan, Newk's, Burgerville, Beef 'O' Brady's and Bad Ass Coffee, all included multi-products across point of sale, loyalty, ordering, payments and back-office solutions. Operationally, our deployment teams executed at scale. On the PAR POS side, we remain ahead of plan on Burger King activations and continue to see potential upside beyond our current year-end target. Additionally, we completed key development milestones in Papa John's upcoming platform deployment and are well positioned to kick off their implementation plan later this year. Separately, PAR OPS delivered its strongest quarter ever, activating nearly 700 locations. Looking ahead, we enter the back half of the year with substantial operator product backlog, identifiable expansion opportunities and a healthy pipeline. Combined, these factors position us to reach our ARR targets with additional upside if execution continues at the current pace. Now to go over engagement and ordering. Within Punchh, growth remained solid despite the planned churn we experienced in Q1. The business continues to showcase strong margins, expanding customer utilization and generating opportunities through site expansion, pricing actions and new products. We are highly confident in the long-term value proposition of Punchh as loyalty programs remain central to guest engagement and personalization strategies. With respect to PAR Ordering, we delivered our best-ever quarter in Q2, closing 6 new deals. What's especially notable is that 3 of those wins came from customers migrating off the market's largest legacy ordering provider, reinforcing the competitive strength of our offering. Customers increasingly want fewer vendors, tighter integrations and a simpler operating environment. Our single digital cockpit with PAR Ordering is exactly that, allowing you to manage all your digital menus in one place. Every ordering deal this quarter includes other PAR products, whether that was point of sale, Punchh, payments or a combination of all 3. A specific highlight this quarter was seeing growing traction from our catering capabilities. Catering was a component of 2 of our 6 PAR Ordering wins, and that's particularly meaningful because catering was our largest road map investment last year. We're now beginning to see those investments translate into customer demand and commercial results. It's a great example of how disciplined product investment can create new growth vectors over time, not only increasing ARPU, but separately enhancing overall product competitiveness. The relative competitive viability is evidenced by PAR Ordering delivering win rates above 50%, the highest success rate of any major product in our portfolio. Given the demand environment we're seeing, combined with the fact that payments is attached to every ordering deployment, we feel very confident in our ability to continue to grow this business consistently quarter-after-quarter. On the holistic product innovation front, we continue to meaningfully accelerate deployment across the organization. Compared to a year ago, we've increased delivery velocity roughly threefold. Simply put, we're building and shipping products faster than ever before, which allows us to respond more quickly to customer needs and extend our leadership position in the market. Another area where we are seeing progress is AI. Our strategy has always been to leverage the unique data, workflows and operational context that already exist across the PAR platform. As customers adopt more of our products, the value of AI capabilities increases because they are trained in a richer and more connected view of restaurant operations. We're beginning to see that play out in the market. We're also preparing for a significant expansion regarding PAR Intelligence with over 20,000 locations planned to go live in the third quarter. These deployments validate what we're hearing from our customers. They want practical AI that helps operators make faster decisions, improve guest engagement and drive measurable business outcomes. As previously expressed in our Q1 earnings, we view 2026 as an adoption year for PAR Intelligence and the focus remains on embedding AI into customer workflows, proving value at scale and expanding usage across our installed base. We're moving from a platform that reports what happens to one that optimizes in real time. As an example, customer loyalty initiatives can quietly leak money through promo abuse, misconfigured offers, unproven renewals, unclaimed funding, silent customer drop-off and operators usually find out weeks later, if at all. We're building a system that catches this continuously and delivers a fix, not just the finding. This works because the data already lives in PAR, growing sharper with every order, every loyalty event and every new site. The operator sets intent and approves the action, protecting margin and growing basket size, business and upsells without growing the team. As adoption grows, we believe 2027 becomes the inflection point where AI contributes more meaningfully to revenue growth through premium capabilities, expanded product attach rates and deeper customer engagement. The combination of data, scale and workflow integrations creates a long-term competitive advantage and further strengthens the value proposition of the PAR platform. Now moving on to Retail. This segment also continues to perform exceptionally well. We are particularly encouraged by the scale of opportunities we are pursuing today. On the platform side, we launched Bolla Energy as well as 2 other enterprise retailers during the quarter. The PAR Intelligence footprint expanded to roughly 17,000 PAR Retail sites in the quarter, surpassing our initial adoption goal and moving us rapidly into optimization ahead of future monetization of PAR Intelligence. On the R&D front, PAR Retail completed a full rollout of agentic AI to all developers. This will improve engineering productivity and accelerate innovation. Now turning to our newest product add to PAR Intelligence, Bridg. we're encouraged by the progress we've made since closing the acquisition in late March. What we're seeing is a rapid transition from integration to execution with early proof that Bridg is not just another product in our portfolio, but an increasingly important part of the data and intelligence foundation that will power PAR's long-term AI strategy. In just a few months since closing, Bridg has added more than $1.3 million in new committed ARR from 2 signed customers, including an existing PAR restaurant customer. Importantly, both customers have signed agreements extending through 2029, demonstrating confidence in the value Bridg delivers and underscoring the long-term opportunity we see ahead. These early results validate both customer demand and how Bridg will become a central component of true future -- a future of AI monetization. The story is not simply about Bridg itself. It's about the unique data foundation we're building across PAR that enables better insights, stronger customer outcomes and a differentiated AI platform for restaurants and retailers. Turning now to PAR's TAM expansion efforts. Our business unit leaders are evaluated in part on their ability to place bets that increase our ARPU or bring us into new product categories entirely. I touched upon some of these initiatives already, including PAR Intelligence and Bridg, where we are seeing sizable cross-vertical potential and traction. In addition, on the restaurant side, we are shortly launching both an AI-native kitchen display system as well as an AI-powered audio technology for drive-thru. On the retail side, we have existing customers engaging us on technology expansion initiatives across our forecourt and backcourt systems as a system orchestrator rather than an integrator. Before handing the call to Bryan, I'd like to cover a few summary points. One of the most encouraging developments in the first half of this year has been our ability to improve profitability while continuing to grow. Several operational initiatives are driving that progress. First, our Point-of-Sale business is benefiting from ongoing support efficiency improvements and automation initiatives. Our agents are using intelligent tooling to handle more volume per person while putting the customer first with a focus on speedy resolution. Second, ordering is beginning to experience the benefits of scale as fixed costs are leveraged across a growing customer base. Here again, intelligent tooling has had a material impact in driving efficiencies. Third, we are pushing aggressively on AI investments and closely tracking and optimizing the relative spend to efficacy ratio. 100% of our full-time employees are enabled on and using AI tooling, and we have recorded $14.9 million per year of estimated time savings and workflow optimization across our team in functions, including sales, support, customer success, product implementation, finance and engineering. Our focus remains on converting efficiencies to realizable impact, whether that be dollar savings, deployment speed and capacity or per product person support coverage. These efforts are contributing to meaningful operating leverage and helping create a clear path towards our long-term profitability objectives. Separately, the breadth of our pipeline and our TAM expansion initiatives gives us confidence in both our near-term outlook and our long-term growth trajectory. With that, I'll turn the call over to Bryan. Bryan? Bryan Menar: Thank you, Savneet, and good afternoon, everyone. In Q2, we continued to execute to our 2026 operating plan, delivering both total revenue and adjusted EBITDA that exceeded the high end of the guidance we introduced last quarter. We continue to drive organic growth across our products and the verticals we serve and our disciplined management of OpEx is allowing the incremental margin contribution to flow through to the bottom line. For the sixth quarter in a row, adjusted EBITDA has grown sequentially, reaching $14.3 million in Q2, up 158% compared to Q2 prior year. Now for the financial details. Total revenues were $133 million for Q2 2026, an increase of 19% compared to the same period in 2025, inclusive of subscription service revenue growth of 16%. Net loss for the quarter -- second quarter of 2026 was $17 million or $0.41 loss per share compared to a net loss of $21 million or $0.52 loss per share reported for the same period in 2025. Non-GAAP net income for the second quarter of 2026 was $7.5 million or $0.18 diluted earnings per share, an improvement of $6.9 million compared to a non-GAAP net income of $0.6 million or $0.01 diluted earnings per share for the prior year. Adjusted EBITDA for the second quarter of 2026 was $14.3 million, an improvement of $5.3 million sequentially from Q1 2026 and $8.7 million compared to the same period in 2025. Our sequential and annual improvement are result of our ability to drive both growth and profitability. Now for more details on revenue. Subscription service revenue was reported at $83 million, an increase of $11 million or 16% from the $72 million reported in the prior year and represents 63% of total PAR revenue. ARR exiting the quarter was $338 million, an increase of 17% from last year's Q2. Total organic ARR was up 12% year-over-year. We're entering the second half of the year with a large backlog of go-lives driven by both Burger King and Papa John's rollouts in addition to a healthy pipeline across our products and verticals we serve. As such, we expect second half ARR growth to be meaningfully larger than the first half, a growth phasing that is similar to what we experienced in 2025. Hardware revenue in the quarter was $35 million, an increase of $8 million or 31% from the $27 million reported in the prior year. This was our strongest hardware sales quarter in at least 10 years. The volume was driven by both refresh activity and expansion of partnership with our legacy customer as well as continued penetration of hardware attachment into our expanding software customer base. Professional service revenue was reported at $15 million, an increase of $1 million or 10% from the $14 million reported in the prior year. The increase was primarily driven by an increase in installation revenues associated with the rollouts of Tier 1 customers. Now turning to margins. Gross margin was $57 million, an increase of $6 million or 11% from the $51 million reported in the prior year. Increase was driven by subscription services with gross margin dollars of $46 million, an increase of $6 million or 16% from the $40 million reported in the prior year. GAAP subscription service margin for the quarter was 55.2% compared to 55.3% reported in the prior year. Excluding the amortization of intangible assets, stock-based compensation and severance, non-GAAP subscription service margin for Q2 2026 was 65.1% compared to 66.4% in Q2 2025, with a modest change reflecting a shift in product mix as Q2 included a full quarter of Bridg operations. We expect this baseline reset to reverse over the next few quarters as we execute to plan business model changes to Bridg post the acquisition. Hardware margin for the quarter was 20% versus 27% in the prior year. This quarter's performance is in line with recent quarterly results, which reflect the current tariff and supply chain constrained environment. We expect hardware margins to continue to be in the low 20s percent range moving forward. Professional service margin for the quarter was 23% compared to 29% reported in the prior year. This quarter's result was negatively impacted by timing of some of our hardware-related service contracts. Our outlook on go-forward professional service margins has not changed, and we expect a range of the mid- to upper 20s percent. In regard to operating expenses, GAAP sales and marketing was $11.6 million, a decrease of $0.7 million from the $12.3 million reported for the prior year, driven by a reduction of organic sales and marketing expenses of $1.2 million, partially offset by $0.5 million of expenses from the recently acquired Bridg product line. GAAP G&A was $26.3 million, a decrease of $5.4 million from the $31.7 million reported in the prior year. The decrease was substantially driven by strategic reorg changes implemented earlier this year. GAAP R&D was $22.5 million, an increase of $1.6 million from the $20.9 million recorded in the prior year. The increase was primarily driven by R&D expense stemming from post-acquisition operations of the Bridg product line as organic R&D expense was relatively flat year-over-year. Operating expenses, excluding non-GAAP adjustments, was $51 million, a decrease of $3 million or 5% versus Q2 2025. For Q2, non-GAAP OpEx as a percent of total revenue was 38%, a significant 1,000 basis point improvement from 48% in Q2 of the prior year, demonstrating our ability to scale efficiently and drive operating leverage. The realignment of operations of the 2 verticals and the accelerated adoption of our AI tool set within our operations have enabled our teams to realize operational efficiencies and additional scale. Now to provide information on the company's cash flow and balance sheet position. As of June 30, 2026, we had cash and cash equivalents of $77 million. Our cash balance was flat when compared to the prior quarter, with free cash flow of $3 million, offset by cash used of $3 million for the final payout of the 2026 notes. Free cash flow for the quarter improved $11.5 million when compared to Q2 2025, outpacing adjusted EBITDA improvement of $8.7 million during the period. We expect free cash flow conversion to continue to improve meaningfully for the remainder of the year as we continue to drive additional adjusted EBITDA critical mass and execute to additional working capital tailwinds. To recap performance, Q2 marked another quarter of meaningful acceleration of profitability while continuing to grow the top line. This momentum is evident across the following key financial metrics. Revenue grew 19% year-over-year with subscription service revenue up 16%. Non-GAAP OpEx as a percent of total revenue improved 1,000 basis points from Q2 2025. And adjusted EBITDA was $14.3 million for the quarter, an improvement of $8.7 million from Q2 2025 and a $5.3 million sequential improvement from Q1. Now let me share our expectations going forward. When we introduced formal guidance last quarter, our goal was to give investors greater transparency into the business. This quarter, both total revenue and adjusted EBITDA came in above the high end of the outlook provided. We are raising our full year 2026 outlook for both metrics. These results reflect the visibility in our business while also driving operating leverage. For the third quarter of 2026, we expect total revenue in the range of $128 million to $132 million and adjusted EBITDA in the range of $13.5 million to $14.5 million. For the full year 2026, we now expect total revenue in the range of $516 million to $523 million, up from the prior range of $500 million to $515 million and adjusted EBITDA in the range of $50 million to $53 million, up from our prior range of $44 million to $47 million. A few points of context on the outlook. We expect subscription service revenue growth to continue to strengthen in the back half of the year as we continue to roll out multiple Tier 1 accounts and go live with recent Tier 2 and Tier 3 platform wins and continue to build momentum, expanding our platform within our customer -- current customer base. On hardware, Q2 was a historic quarter and benefited from elevated Tier 1 refresh activity, and we expect hardware revenue to begin to normalize in the second half. Additionally, we anticipate hardware margins will stabilize in the low 20% range as our pricing actions continue to offset component cost pressures. On profitability, adjusted EBITDA of $14.3 million in the second quarter, combined with our outlook for the full year reflects substantial improvement over 2025, driven by both continued top line growth and a cost base we have structurally reset. Taking the elevated hardware revenue into consideration, a more normalized Q2 adjusted EBITDA would be $13 million when considering an appropriate baseline to build out second half of the year expectations. The restructuring actions we executed earlier this year are driving a step down in our operating expense run rate with the second quarter reflecting the larger step change in that run rate. Looking to the balance of the year, we expect OpEx to stay relatively flat to modest growth as we plan to drive additional operating efficiencies that help support reinvestments into our highest return opportunities, most notably PAR Intelligence and our agentic platform. That investment builds through the back half of the year within a disciplined framework that prioritizes durable and profitable growth. I'll now turn the call back over to Savneet for closing remarks prior to moving to Q&A. Savneet Singh: Thank you, Bryan. Q2 was an aggressive starting [ shot ] but we are far from done. First, we expect the back half of the year to see continued movement up in growth. ARR growth accelerated from Q1 to Q2, and we expect it again to pick up in the second half of this year, similar to 2025. This is driven by the backlog of large deals we've spoken about as well as a new influx of mid-tier wins. Second, our multiproduct model continues to expand. I'm very excited to see how nearly all new deals are platform-based and the resulting impact on ARR will give us strong growth in later years. As restaurants begin to adopt more and more AI solutions, I expect the need for an end-to-end vendor will only expand. Third, our profitability expansion. Our numbers reflect the incredibly strong unit economics we're seeing in our business model. We continue to be encouraged how efficient an incremental customer add can be, and we will continue to march our business towards best-in-class margins. Our ARPU is up across all core products. Our LTV to CAC ratio has more than doubled between platform versus point solution deals and our contract lengths are increasing throughout. OpEx efficiency remains a focus. And in the quarter, non-GAAP R&D expense as a percentage of sales was 15%, sales and marketing expense was 8% and G&A was 14%. Fourth, our aggressive trajectory on PAR Intelligence adoption. We rounded out Q2 with roughly 20,000 live sites and have another 20,000 sites set to go live in Q3. We remain firmly on track for our 50,000 live site commitment for fiscal year 2026 and are developing additional functionality with clear commercialization potential. Finally, our continued commitment to aggressively expanding our TAM. We have made investments to organically launch new products across restaurant and retail. Our intense focus on margin expansion has not come at the cost of investments in our core products, and we remain committed to spending more on products development than the bulk of our enterprise peers. I believe the ultimate key to a successful business is its ability to reinvest its capital at high rates of return while not sacrificing areas requiring innovation. The rush to AI will be no different. While AI is often looked at as technical word, we think there will be as much cultural -- in a world where every company will ostensibly have the same or similar AI tooling, it will be a race to the average. The companies that have a culture that allows them to take a leap of faith on AI will gain the competitive advantage. Simply using tooling to optimize the way we work in the past will not lend itself to a differentiated competitive position. Instead, it will reinforce the status quo. We think you need to actually leverage AI in places that make you incredibly uncomfortable, where the power of intelligence leads to an enhanced judgment. Illustratively, we think winners will be companies that enable their managers to be both ICs and managers. Such companies will expect the leaders to take on more teams and more projects, not to be stuck in the org designs and best practices of the past. Winners will not only let AI filter resumes, but actually trust AI to filter interview and present final candidates. Or in the case of restaurants, I think winners will be the ones who let restaurant managers press autopilot and let AI order inventory, create labor scheduling and manage order flow while allowing the operator to focus on the highest value customer touch points. A company culture willing to accept the risk to reinvent how it works, how it organizes and how it leads will be the one that achieves differentiated competitive positioning. As I said earlier, PAR is always on offense, always. That culture sets us up to win and adapt to today's opportunities. With that, operator, we can open the line up for Q&A. Operator: [Operator Instructions] The first question comes from the line of George Sutton of Craig-Hallum. George Sutton: Nice results. So I was pleased to hear about the confidence in the second half ramp in ARR. I'm wondering if you could give us a little more of a picture. I understand much of this is driven by deals you've already won and have planned rolled out. When we talked a quarter ago, I think you talked about 80% of your opportunity had been signed for the year. Can you give us an update there? Savneet Singh: Yes, we feel very good. From now to the end of the year, we've got good visibility on the Operator Cloud side, the Retail side, and we're getting there on engagement ordering. So we feel pretty good where we are now. Visibility has increased, which is why we gave the commentary that we feel good about the second half ramp. George Sutton: So on PAR Intelligence, so it sounds like you had 20,000 in Q2 and you're adding 20,000, I believe, in Q3 and 50,000 for the full year, up against, I think, a base of about 170-plus thousand locations. Can you give us a sense of the breadth of the wins that you're seeing relative to other competitors bringing their AI solutions in? Savneet Singh: Yes. I think the scale of rollout is obviously going faster than we expected. I think that's partly -- obviously, there's a rush to try these tools, but also the early wins that our customers are getting are learning from it. We just won a retail deal where I think a core part of us winning was candidly what we showed them on PAR Intelligence. So I think we continue to be excited and the opportunity to sort of put product in front of our customers and then learn from that, iterate from that. And then as I talked about, really monetize in 2027. Vis-a-vis our competitors, I haven't seen tremendous push from most of our competitors to sort of become the agentic solution in the future. In fact, I'm not aware of somebody that's got sort of the installs that we have and the road map we have. And I think that's partly because it's very hard to give something useful to a customer when you are only providing utility in one part of their operations, whether that be in the back-office or loyalty or ordering. I think the AI value comes when you have it across your products. And so there are only a few vendors that could potentially do that. So we have not seen a lot of momentum from our competitors here yet. Operator: The next question comes from the line of Stephen Sheldon of William Blair. Stephen Sheldon: First, just wanted to clarify the ARR expectations in the back half. So I think you're saying that you'd expect to get back to 2025 levels, which I believe was 15% organically. I guess could you get there in 3Q? Or is that more like a 4Q expectation? And then, Savneet, I think you said that if PAR keeps executing the way it has been recently, and it sounds like implementations are all going really well, there could be some upside to that. So I just wanted to -- am I kind of hearing and thinking about that all correctly? Bryan Menar: Yes, Stephen, it's Bryan. Good question. So the reference also to on the phasing, if you recall from 2025, we did a significant amount of our ARR increase in the second half, close to $30 million of incremental ARR. And so we know we're lapping that, but we actually have more momentum going into the second half than we did last year. So we'll be higher than we were last year. This is going to allow us then to go from the 12% up to a higher percent in teens in regard to Q3 and Q4, but that will come steadily in Q3 and Q4. Savneet Singh: And then to your second part of your question of the ability to exceed. Yes, I think if we continue at the fast pace we're going now, there's always that potential. So we are feeling -- right now, things are going very well. Stephen Sheldon: Got it. And then on PAR Intelligence, I think you have a lot of options on ways to commercialize those capabilities. And I think you talked about probably seeing more commercialization next year. So can you maybe just update us on how you think it will impact monetization? I'm sure it helps with retention, might help with pricing. Could you sell some capabilities separately where are you on a subscription or usage-based? I guess just how are you -- how should we think about the commercialization of that? Savneet Singh: Yes. Actually, I think, we're going to look at commercialization as a subscription-based product more than likely. We're going to test out a few models, but I think from the early goings, it looks like it will be subscription-based. I suspect it will be an add-on to what we do in the back-office and/or the loyalty side of our business where we see the most actionable insights, where we see the customers have the most interest in paying and where we're driving the most ROI today. But we're using this year to really figure out where do they get -- where they spend the most time, where do they get the most value and then kind of coming back and [indiscernible] making a win-win for them and for us. Operator: The next question comes from the line of Ella Smith of JPMorgan. Eleanor Smith: So first, I was hoping to ask about the EBITDA margin strength that you've experienced in the past few years. And as we look to 2027, how do you think about the sources of that expansion? Is there still meaningful room for cost cuts or operational efficiencies, particularly from past acquisitions? Or do you expect most of the forward expansion to come from operating leverage versus your existing cost base as revenue scales? Savneet Singh: I think it will come from both. I think more of it will come from operating leverage. We're growing and we expect growth rates to accelerate in the second half of the year, as I mentioned. And we're not adding cost to the fixed cost or the operating cost structure. So I think it will come more from operating leverage, although we do think there's opportunities to continue to take out excess costs within the infrastructure of the business. And so I think we'll see from both parts, but I think it will be more driven by what we're doing from a growth perspective. Eleanor Smith: Very clear, Savneet. And for a follow-up, since you made the decision to stop disaggregating ARR and active sites between Engagement Cloud and Operator Cloud, citing the growing prevalence of multiproduct arrangements, how should investors think about tracking your go-to-market progress and attach rates across the products going forward? And what metrics do you think best capture the health of that bundling strategy? Savneet Singh: I think, there are 2 metrics. So one is just ARR growth. I think as we have ARR growth, it's representative of that multiproduct growth. And the second is ARPU. As we have obviously ARR and site count, so you can see ARPU. And if you kind of look at it going backward, you can see it continues to climb up, climb up, climb up, and that's a result of the multiproduct attachment that you see. So we're trying to make it simpler. And as you said, with the platform strategy, breaking up the 2 becomes too challenging or also, I think, too complicated. And so having one metric or one site count allows us to provide more traditional metrics, which we're excited about. Bryan Menar: And what I'll just add to that, Ella, right, is the fact that it's actually clear now what a true ARPU is, right, because we now have all the unique sites in there. So there could have been at times where there were sites that were both in EC and OC, Engagement Cloud and Operator Cloud. And now with the kind of unique brought together, you actually get true ARPU of that and you get a better sense of what the white space is in our existing customer base. right? So for instance, in some of these multiple product deals that we're doing, doing 10,000 ARPU in those sites, you can actually do the calculation and see what our ARPU is of total sites and see the multiple above that in regard to white space just in our current customer base. So we want to be able to give you guys that kind of clarity to understand how to build out the modeling and understanding both from new logo growth and existing customer growth where the opportunities come. Operator: [Operator Instructions] The next question comes from the line of Mayank Tandon of Needham. Mayank Tandon: Savneet, I wanted to just get an update on the Tier 1 RFPs. I know you've talked about several potential opportunities. I believe one is global and two were North America. I could be wrong on that. But if you could just give an update in terms of where you are on those RFPs and if there are maybe more that are in the pipeline that you think you could also potentially convert on? Savneet Singh: Yes, we're making good progress. When we get a win is we've also got to wait for our customers to put out the release. So there's a lag effect from winning to the information getting out there. But the market is very ripe right now. We continue to have growth in pipeline, as I said in the remarks. I think it's the difference from this year and maybe last year, it's a much more diversified pipeline where we still have great momentum on the Tier 1s, but we're seeing more and more of these mid-tier customers like Pizza Factory we talked about on the last call and others like that, where you're able to do a multiproduct deal that would be the value of a Tier 1 point of sale deal as an example. So I think the difference from this year and last year is Tier 1 is still strong. It's the mid-tier deals that are -- we like because they're also a little bit of faster sales cycle and I think even stickier because of the multiproduct nature. Mayank Tandon: Got it. Just to clarify, there are still 3 Tier 1s in the potential opportunity bag? Or would you say there are more at this point? Savneet Singh: I'd say, still, there are 3, and I would say we've got more in early stage, but not yet where we put them in, call them out. Mayank Tandon: Okay. And then just as a follow-up, I wanted to ask you more on the market. Are you sensing more of an urgency on the part of customers to modernize their tech stack? Just we've heard that from a couple of your peers that have recently reported. It seems like the backlog is converting a lot faster than it was maybe some months ago or some quarters ago. Just wondering if you're seeing that trend as well, and that could have been maybe part of the reason you delivered a very strong quarter and obviously raised guidance as well. I just want to get a sense of the overall market urgency on the part of customer behavior in the era of AI. Savneet Singh: I think it's a continued urgency. I don't know if I would say we saw something different this quarter to last quarter, but I think it's a continued urgency. I think we certainly see a lot more focus on getting your infrastructure, your core foundation in place than we have in years past. But I think it's just a continued momentum from what we saw last quarter. Operator: The next question comes from the line of Andrew Harte of U.S. Bancorp. Andrew Harte: Nice results. Savneet, multiproduct adoption, I think, keeps coming up in a lot of your answers. And I appreciate. I think there was a comment about 100% of new customers were coming in with multiproduct adoption. I guess can you talk to us about a couple of things. Maybe one, if you look at your existing installed base, like what do you see that cross-sell opportunity as? I assume it's still really big. And then what products are you leading with and then eventually taking out as well? Savneet Singh: Yes. I think when we look at our base, the average customer probably has about 2 products, and that's grown from 1.5 products just a couple of years ago or not even that. And our expectation is that we will continue to grow. If you look at the TAM, that would essentially say we've got, I don't know, 5x the size of the base. But if you go into detail, we looked at that there's probably about a 3x opportunity within the core base. So if you think about it as a TAM, SAM and SOM. And so I think if you look at it as a SOM, we think that there's probably 2 to 3x the core base that we still have to go in there. To the second part of your question, we're usually always trying to lead with point of sale or loyalty as we think those are the 2 plant-the-flag type products. And then from there, we're upselling the rest of the suite. But if we land with point of sale, we have a tremendous opportunity to win the rest of the tech stack. And so we prefer to start there. But given the market today, particularly the push on AI, you are seeing that continued growth in loyalty. And so we'll work the other way on those leads. Andrew Harte: Okay. And then just one more on PAR Intelligence. I guess what are you doing -- I appreciate that the monetization for it is at least a year out maybe. But I guess what are you doing to make sure the customers are actually utilizing it and like maximizing the value prop? Is there a customer success team or like a human element where PAR is providing resources to make sure that the product is maximizing its potential? Savneet Singh: Yes, we do have a customer success team that's engaged and working on it. I think the best way to answer your question is we're engaged with them. We put the product in their hands. We take a look at what's being used, what's not being used, who's using it, how they're using it. And then we've got to keep iterating. And that's really what we're using these press releases to really push that out and figure out what's adding value to the customers, what's not. And if it's not, why not? Why are they not -- is there a reason they're not using it because it's technical? Is it not giving them ROI. So it's a lot of variation right now. I think we feel pretty confident that there's definitely product to monetize in here. And so now we're trying to narrow where that is and where we spend our investment dollars to double down. Operator: The next question comes from the line of Samad Samana of Jefferies. Thomas Farley: This is Teddy Farley on for Samad. Congrats on the strong quarter. One more on PAR Intelligence. Can you talk a little bit about the customer demographics or characteristics among the cohort that has been using it? Anything to call out versus your overall customer base? Savneet Singh: I think it's definitely been more from the engagement side of our suite. On retail, we certainly have a lot of early traction and adoption. Very, very focused on -- I think the digital department is trying to figure out how to do one-to-one targeting, personalization, data integrity exercises. So I'd say it's heavy on the engagement side. And -- but I don't know if we're yet at a point where we can say something is categorical. I think we're still just getting the product in people's hands before we have any strong insights. Operator: The next question comes from the line of Will Nance of Goldman Sachs. William Nance: I want to go back to the earlier question just on KPIs on the consolidated reporting. And as you look out, talking about getting back to 20% ARR growth, any color you would share on just what the right mix between site count and ARPU lift is just kind of as you see it under the new reporting and how that could change over time as some of these deals get implemented? Savneet Singh: I think historically, we were pretty much driven by site count where site count drove the vast majority of our growth. I think it will be more balanced going future. I don't know if we have a perfect formula of it's going to be half from one part and half from the other. But I think what I'll say is after the Q1 experience, site count is going to continue to grow but given the multiproduct success we're having, ARPU will be a much bigger driver than it has been historically. I think that's excellent because it provides a lot more TAM for us. It allows us to sell back into our base, not just depend on a net new logo. So I don't know if I have the perfect formula, but I think growth is going to have to come from both sides. Bryan Menar: And what I would just add to that, Will, is also each -- the dollar value of each site growth is actually meaningfully higher now than it used to be. It used to be one product for each site growth, right? So you work really hard for each of those sites for the one product and try to cross-sell in. Obviously, you still work hard for each site right now, but now it's like 3x the value, right? So it's -- the metrics then you think about it to Savneet's point about the LTV to CAC ratio changes noticeably on those new logo deals. William Nance: Got it. That's really helpful. And then just given the focus on companies trying to get their data aligned, the focus on kind of making sure you've got a clean system of record in order to harness some of the benefits of AI, just how is that impacting your go-to-market? Or imagine Data Central is a big part of that. But what are you doing to kind of make sure that clients understand that working with the newer system will help them move faster in other aspects of trying to kind of move forward on AI adoption and things of that nature? Savneet Singh: I mean you've got the pitch there. But I think without question, the back-office side, clearly, Data Central is an awesome place to start kicking off those conversations, that understanding. A little bit too is just the maturity of our market. As one of the funny things about software is as you buy software, you end up buying more software to manage that software. And obviously, AI [ is that ] on steroids. So I think the market is -- it doesn't really need to pitch. It's more about who can implement it, who can scale with them and then who can bring in those AI solutions. And as I talked on the call, I think we're getting to the point where more and more organizations are realizing it only works if you've got the data across your systems. It's going to be very hard to create true utility if you're just looking at one part of your system, i.e., if you're just looking at ordering or you're just looking at point of sale, it's hard to get utility out of that. Operator: This concludes the question-and-answer session. I will now turn the call back over to Christopher Byrnes for any closing remarks. Chris Byrnes: Thanks, Felicia, and thanks, everyone, for joining us today. We do look forward to updating you further in the coming weeks. Have a good evening. Operator: This concludes the conference call. You may now disconnect. Before you buy stock in PAR Technology, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and PAR Technology wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* That performance is why people listen. 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PAR (PAR) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Restaurant technology provider PAR Technology (NYSE:PAR) beat Wall Street’s revenue expectations in Q2 CY2026, with sales up 18.7% year on year to $133.4 million. Guidance for next quarter’s revenue was better than expected at $130 million at the midpoint, 1.3% above analysts’ estimates. Its non-GAAP profit of $0.18 per share was 47.9% above analysts’ consensus estimates. Is now the time to buy PAR? Find out in our full research report (it’s free). Revenue: $133.4 million vs analyst estimates of $125.2 million (18.7% year-on-year growth, 6.5% beat) Adjusted EPS: $0.18 vs analyst estimates of $0.12 (47.9% beat) Adjusted EBITDA: $14.28 million vs analyst estimates of $10.39 million (10.7% margin, 37.4% beat) The company lifted its revenue guidance for the full year to $519.5 million at the midpoint from $507.5 million, a 2.4% increase EBITDA guidance for the full year is $51.5 million at the midpoint, above analyst estimates of $45.36 million Operating Margin: -9.7%, up from -15.4% in the same quarter last year Annual Recurring Revenue: $338 million vs analyst estimates of $339.6 million (17.3% year-on-year growth, in line) Market Capitalization: $708.1 million PAR Technology’s Q2 results received a positive response from the market, a reflection of the company’s execution on its multiproduct platform strategy and successful AI-driven initiatives. Management attributed the performance to continued expansion in both restaurant and retail verticals, as well as operational improvements that boosted profitability. CEO Savneet Singh highlighted that nearly all new customer contracts in the quarter included multiple products, reinforcing the company’s integrated approach. Singh also pointed to the growing adoption of PAR Intelligence, with around 20,000 sites live by quarter’s end, as a central driver of recurring revenue. Looking forward, PAR’s raised guidance is anchored by expectations for accelerated adoption of its AI-powered products and continued expansion in its addressable market. Management emphasized that the focus will remain on deploying PAR Intelligence across more locations and commercializing its AI capabilities, with Singh noting, “2026 is an adoption year for PAR Intelligence and the focus remains on embedding AI into customer workflows, proving value at scale and expanding usage across our installed base.” The company aims to balance growth and profitability through disciplined investment in product development and operational efficiencies. Management credited the quarter’s momentum to broad-based product adoption, successful execution on large customer rollouts, and the early impact of AI initiatives. Multiproduct customer wins: The company reported that nearly 100% of new engagements in Q2 involved multiple products, including point of sale, loyalty, ordering, payments, and back-office solutions. This approach is increasing average revenue per user and driving longer contract terms. AI platform progress: PAR Intelligence, the company’s AI product suite, grew to 20,000 live sites and is set for further expansion. Management noted that customer demand is driven by the ability to integrate AI across operational, loyalty, and ordering systems, differentiating PAR from competitors offering single-point solutions. Hardware revenue surge: Hardware sales reached their highest level in at least a decade, led by refresh activity and deeper penetration within the existing software customer base. One-off hardware deals contributed to short-term margin upside but are not expected to repeat every quarter. Operational efficiencies and cost discipline: The adoption of AI tools internally has resulted in an estimated annualized $14.9 million in time savings and improved workflow optimization. Strategic reorganizations and automation have reduced operating expenses as a percentage of revenue, supporting improved profitability. Retail and acquisition integration: The retail segment saw strong adoption of PAR Intelligence, and recent acquisition Bridg has already contributed over $1.3 million in new committed recurring revenue. Early integration efforts are focused on leveraging Bridg’s data capabilities to enhance the AI-driven platform across both restaurant and retail markets. Management expects future performance to be driven by continued AI adoption, deeper multiproduct penetration, and ongoing cost efficiency initiatives. AI adoption and commercialization: The company is prioritizing the rollout and integration of PAR Intelligence, aiming to reach 50,000 live sites by the end of the year. Management believes this will lay the groundwork for premium, subscription-based AI features to drive incremental revenue and customer retention in future periods. Multiproduct expansion: Continued focus on selling bundled solutions is expected to increase average revenue per user and leverage existing customer relationships. Management highlighted a significant cross-sell opportunity within the current base, estimating a potential two to threefold increase in product penetration per customer. Operating leverage and margin improvement: Profitability is expected to benefit from operating leverage as revenue scales, with cost discipline and automation reducing the incremental expense of supporting new customers. Management sees further room for margin expansion, bolstered by a structurally reset cost base and improved internal processes. In the coming quarters, the StockStory team will be watching (1) the pace of PAR Intelligence deployments and the company’s progress toward its 50,000-site target, (2) execution on large customer rollouts, especially for major restaurant and retail chains, and (3) the success of cross-selling additional products to the existing customer base. Developments in AI monetization and integration of the Bridg acquisition will also be closely tracked. PAR Technology currently trades at $17.79, up from $17.12 just before the earnings. In the wake of this quarter, is it a buy or sell? See for yourself in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. 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Interested in PAR Technology Corporation? Here are five stocks we like better. Strong second-quarter performance: Revenue rose 19% year over year to $133 million, while adjusted EBITDA increased to $14.3 million and free cash flow improved to $3 million. Subscription growth, elevated hardware sales and cost discipline drove the results. Recurring growth and adoption are accelerating: ARR reached approximately $338 million, up more than 17% year over year, with major Burger King and Papa Johns deployments expected to support second-half growth. PAR also expanded multi-product adoption, AI deployments and retail operations. Guidance was raised: PAR increased its full-year 2026 revenue outlook to $516 million–$523 million and adjusted EBITDA outlook to $50 million–$53 million, while noting that hardware sales should normalize after a particularly strong second quarter. 3 Refiners Benefiting From Oil Volatility and Tight Fuel Supply PAR Technology (NYSE:PAR) reported second-quarter fiscal 2026 results that exceeded its prior outlook, led by subscription growth, elevated hardware sales and continued operating expense discipline. The company raised its full-year revenue and adjusted EBITDA guidance while reiterating expectations for faster annual recurring revenue growth in the second half. Total revenue rose 19% year over year to $133 million, including subscription service revenue of $83 million, up 16%. PAR reported a net loss of $17 million, or $0.41 per share, compared with a net loss of $21 million, or $0.52 per share, a year earlier. Non-GAAP net income was $7.5 million, or $0.18 per diluted share, versus $0.6 million, or $0.01 per diluted share, in the prior-year period. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling This Energy Stock Has Quietly Soared 130% in a Year Adjusted EBITDA reached $14.3 million, up $5.3 million sequentially and $8.7 million from the prior year. CFO Bryan Menar said the result marked the company’s sixth consecutive quarter of sequential adjusted EBITDA growth. He noted that the quarter included $1.3 million of overperformance associated with a hardware initiative for a large legacy restaurant customer, putting normalized adjusted EBITDA at approximately $13 million. PAR exited the quarter with approximately $338 million in annual recurring revenue, up more than 17% year over year, including 12.3% organic growth. Management said the company expects ARR growth to accelerate during the second half as deployments progress for Burger King and Papa Johns, alongside other restaurant and retail implementations. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High 3 Stocks to Own If Gas Prices Keep Rising CEO Savneet Singh said nearly all new engagements during the quarter involved multiple PAR products, including point of sale, loyalty, ordering, payments and back-office capabilities. The company cited new multi-product wins with Guthrie’s Chicken, Sarku Japan, Newk’s, Burgerville, Phil Brady’s and Bad Ass Coffee. Singh said PAR POS remained ahead of plan on Burger King activations and that the company completed key development milestones ahead of Papa Johns’ planned platform deployment. PAR OPS, meanwhile, activated nearly 700 locations during the quarter, its strongest quarter to date, according to management. → No Hangover: Revisiting Microsoft One Week After Earnings In the ordering business, PAR closed six new deals during the quarter, including three customers that migrated from what Singh described as the market’s largest legacy ordering provider. Every ordering deal also included other PAR products, he said. Catering capabilities were included in two of the six wins, reflecting demand following product investments made last year. PAR continued to emphasize its artificial intelligence strategy, which centers on using data across its connected restaurant and retail platform. The company ended the quarter with roughly 20,000 live PAR Intelligence sites and plans to add more than 20,000 sites in the third quarter. Management said it remains on track to reach 50,000 live sites during fiscal 2026. Singh characterized 2026 as an adoption year for PAR Intelligence, with monetization expected to become more meaningful in 2027 through premium features, deeper product attachment and customer engagement. In response to an analyst question, he said PAR expects to evaluate subscription-based commercialization models, potentially as an add-on to back-office or loyalty offerings. Within retail, PAR launched Bolla Energy and two additional enterprise retailers during the quarter. The PAR Intelligence footprint expanded to approximately 17,000 retail sites, exceeding the company’s initial adoption objective, management said. PAR Retail also rolled out agentic AI tools to its developers to support engineering productivity and product development. The company also highlighted progress at Bridg, the data-intelligence business it acquired in late March. Since the transaction closed, Bridg added more than $1.3 million in committed ARR from two signed customers, including an existing PAR restaurant customer. Both agreements extend through 2029, Singh said. Looking ahead, PAR plans to launch an AI-native kitchen display system and AI-powered drive-thru audio technology for restaurants. In retail, the company said customers are engaging it on technology expansion initiatives across forecourt and backcourt systems. Hardware revenue increased 31% year over year to $35 million, representing PAR’s strongest hardware sales quarter in at least a decade, according to Menar. The growth reflected refresh activity and an expanded partnership with a legacy customer, as well as hardware attachment to software customers. Hardware gross margin was 20%, down from 27% a year ago, amid tariffs and supply-chain constraints. Management expects hardware margins to remain in the low 20% range. Professional services revenue increased 10% to $15 million. Subscription-service gross margin was 55.2%, essentially flat from 55.3% a year earlier. On a non-GAAP basis, subscription-service margin was 65.1%, compared with 66.4%, with Menar attributing the decline primarily to product mix and a full quarter of Bridg operations. Operating expenses, excluding non-GAAP adjustments, declined 5% year over year to $51 million. Non-GAAP operating expenses represented 38% of total revenue, improving from 48% in the prior-year quarter. Management attributed the improvement to restructuring actions, operating realignment and increased use of AI tools. PAR ended June with $77 million in cash and cash equivalents. Free cash flow was $3 million, improving $11.5 million from the prior-year quarter. Third-quarter 2026 outlook: Revenue of $128 million to $132 million and adjusted EBITDA of $13.5 million to $14.5 million. Full-year 2026 revenue outlook: $516 million to $523 million, raised from $500 million to $515 million. Full-year 2026 adjusted EBITDA outlook: $50 million to $53 million, raised from $44 million to $47 million. Management said it expects hardware revenue to normalize in the second half after the elevated second-quarter refresh activity, while subscription growth is expected to strengthen as major customer rollouts advance. Singh said future growth should increasingly come from both new site additions and higher revenue per customer as multi-product adoption expands. PAR Technology Corp is a provider of enterprise software and hardware solutions for the hospitality, foodservice and retail industries. The company's platforms are designed to streamline front- and back-of-house operations, covering point-of-sale (POS) systems, kitchen display and dispatch, inventory and labor management, and reporting tools. PAR's integrated approach enables operators of full-service restaurants, quick-service chains, bars, hotels, casinos and retail outlets to centralize data and automate workflows across multiple sites. Key offerings include PAR Brink, a cloud-native POS application that supports touchscreen, mobile and tablet devices; PAR Cloud Services, which delivers software updates, reporting and analytics through a subscription model; and hardware solutions such as payment terminals, handheld devices and self-service kiosks. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "PAR Technology Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributes the strong Q2 performance to the 'staying power' of their platform strategy, where customers increasingly select integrated ecosystems over individual point solutions. Operational efficiency was driven by a structural reset of the cost base and the adoption of AI tooling, which management claims has saved approximately $14.9 million in annual time savings. The company reported that nearly 100% of new engagements in Q2 were multiproduct deals, which significantly improves unit economics and doubles the average deal term length compared to point solutions. Management highlighted a 'threefold' increase in product delivery velocity over the past year, allowing for faster responses to customer needs and competitive market dynamics. The restaurant vertical's success is being driven by a healthy pipeline of enterprise opportunities, including key development milestones for major Tier 1 rollouts like Burger King and Papa John's. Strategic positioning is focused on moving from a platform that merely reports data to one that optimizes restaurant operations in real-time through 'performance AI' features. Management expects a meaningful acceleration in ARR growth during the second half of 2026, driven by a substantial backlog of Tier 1 go-lives and mid-tier platform wins. The company raised its full-year 2026 adjusted EBITDA guidance to a range of $50 million to $53 million, reflecting confidence in the newly established lower operating expense run rate. PAR Intelligence is on track to reach 50,000 live sites by the end of fiscal year 2026, with 2027 identified as the anticipated inflection point for direct AI revenue monetization. Future growth is expected to be more balanced between site count expansion and ARPU growth as multiproduct attachment rates continue to climb across the installed base. Management plans to keep operating expenses relatively flat to modest in the back half of the year, reinvesting efficiency gains into high-return areas like agentic AI platforms. Q2 adjusted EBITDA included a $1.3 million overperformance from a specific hardware initiative for a legacy customer; management provided a 'normalized' baseline of $13 million for future modeling. Hardware margins are expected to stabilize in the low 20% range as pricing actions are implemented to offset ongoing tariff and supply chain constraints. The Bridg acquisition added $1.3 million in new committed ARR shortly after closing, validating the cross-vertical potential of PAR's data and intelligence foundation. Management noted that while AI adoption is high, 2026 remains an 'adoption year' focused on embedding tools into workflows rather than immediate top-line contribution. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed high visibility into the back half of the year, noting that the pipeline is more diversified than in previous years. While Tier 1 deals remain strong, there is increasing momentum in mid-tier deals which often have faster sales cycles and high multiproduct attachment. The company intends to pursue a subscription-based model for AI monetization rather than usage-based fees. Initial monetization will likely focus on the back-office and loyalty segments where customers see the most actionable ROI and data integrity benefits. Savneet Singh argued that competitors offering only point solutions cannot replicate PAR's AI utility because true optimization requires data across POS, inventory, and labor. Management has not yet seen significant momentum from competitors in building 'agentic' solutions that bridge multiple operational systems. The move to consolidated reporting reflects the reality that the dollar value of each new site is now 'meaningfully higher' due to 3x the value per site in platform deals. Management believes the new reporting structure provides better clarity on the 'white space' available for cross-selling within the existing customer base.

This article first appeared on GuruFocus. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. PAR Technology Corp (NYSE:PAR) delivered strong Q2 results, with total revenue of $133 million (up 19% year-over-year) and adjusted EBITDA of $14.3 million, both exceeding the high end of guidance. ARR grew to approximately $338 million, representing over 17% year-over-year growth and 12.3% organic growth, with expectations for meaningful acceleration in the second half. The company's platform strategy is gaining traction, with nearly 100% multi-product attachment on new Q2 engagements, including wins with Guthrie's, Sarku Japan, and Burgerville. PAR Intelligence adoption is scaling rapidly, with roughly 20,000 live sites at the end of Q2 and another 20,000 planned to go live in Q3, on track for a 50,000-site commitment for fiscal 2026. The company raised its full-year 2026 guidance, now expecting total revenue of $516-$523 million (up from $500-$515 million) and adjusted EBITDA of $50-$53 million (up from $44-$47 million). PAR Ordering delivered its best quarter ever, closing 6 new deals with a win rate above 50%, including 3 wins from customers migrating off the market's largest legacy ordering provider. The newly acquired Bridge product added more than $1.3 million in new committed ARR from 2 signed customers, with agreements extending through 2029, validating the data intelligence strategy. Hardware margins declined to 20% in Q2, down from 27% in the prior year, due to the current tariff and supply chain constraint environment, with expectations to remain in the low 20% range. Professional service margins were negatively impacted in Q2, coming in at 23% versus 29% in the prior year, due to the timing of hardware-related service contracts. The company experienced planned churn in the engagement/ordering segment during Q1, which continues to impact growth in that area, though the business is showing solid margins. Non-GAAP subscription service margin slightly decreased to 65.1% from 66.4% in Q2 2025, reflecting a shift in product mix due to the inclusion of a full quarter of Bridge operations. The company's net loss was $17 million for Q2 2026, though this was an improvement from the $21 million net loss in Q2 2025, indicating ongoing profitability challenges. Q2 adjusted EBITDA included $1.3 million of overperformance from a specific hardware initiative, and without this, the normalized number would be $13 million, suggesting some one-time benefits. The company noted that hardware revenue in Q2 was historic and benefited from elevated tier 1 refresh activity, with expectations for this to normalize in the second half, potentially impacting revenue growth. Warning! GuruFocus has detected 3 Warning Signs with PAR. Is PAR fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide an update on the confidence in the second-half ARR ramp, and has the visibility on signed opportunities increased since last quarter?A: CEO Suneet Sen: We feel very good about the visibility from now until the end of the year across the operator cloud, retail, and engagement/ordering sides. Visibility has increased, which is why we provided commentary that we feel good about the second-half ramp. Q: Can you clarify the ARR expectations for the back half? Will organic growth return to 2025 levels of 15% in Q3 or Q4, and is there potential for upside if execution continues?A: CFO Brian Minar: We are lapping a significant second-half ARR increase from 2025 (close to $30 million), but we have more momentum going into this second half than last year. We expect organic ARR growth to move from 12% up to a higher teens percentage in Q3 and Q4. If we continue at the current fast pace, there is always potential to exceed expectations. Q: Given the decision to stop disaggregating ARR between engagement cloud and operator cloud, how should investors track go-to-market progress and attach rates? What metrics best capture the health of the bundling strategy?A: CEO Suneet Sen: Two key metrics are ARR growth and revenue per user (RPU). ARR growth represents multi-product growth, and RPU continues to climb as a result of multi-product attachment. CFO Brian Minar added that consolidating the metrics provides clarity on unique sites, allowing investors to calculate whitespace opportunity within the existing customer base. Q: Can you provide an update on tier-one RFPs and whether there are more opportunities in the pipeline beyond the previously mentioned three?A: CEO Suneet Sen: We are making good progress, but there is a lag effect from winning to information getting out. The pipeline is more diversified this year, with strong momentum on tier-one deals and increasing mid-tier customers like Pizza Factory. There are still three tier-one opportunities, with more in early-stage that we are not yet ready to call out. Q: With nearly 100% multi-product adoption on new deals, what is the cross-sell opportunity within the existing install base, and which products are you leading with?A: CEO Suneet Sen: The average customer has about two products, up from 1.5 a couple of years ago, and we see a 2-3x opportunity within the core base. We typically lead with point of sale or loyalty as "plant the flag" products, then upsell the rest of the suite. Given the push on AI, we are also seeing growth in loyalty leads. Q: How should we think about the commercialization of PAR Intelligence? Will it be subscription-based, and how will it impact monetization?A: CEO Suneet Sen: We are looking at commercialization as a subscription-based product, likely as an add-on to back-office or loyalty offerings where we see the most insights and customer interest. We are using this year to determine where customers spend the most time and get the most value, then will create a win-win pricing model. Q: As we look to 2027, what are the sources of EBITDA margin expansion? Will it come from cost cuts or operating leverage?A: CFO Brian Minar: It will come from both, but more from operating leverage. We are growing and expect growth rates to accelerate in the second half without adding to the fixed cost structure. There are also opportunities to continue taking out excess costs within the infrastructure, but growth-driven operating leverage will be the primary driver. Q: Are you sensing more urgency from customers to modernize their tech stacks, and is that contributing to the strong quarter and raised guidance?A: CEO Suneet Sen: There is continued urgency, though not necessarily something different from last quarter. We see a lot more focus on getting core infrastructure and foundations in place than in years past, driven by the AI era. It's a continued momentum from what we saw last quarter. Q: What are the customer demographics or characteristics among the cohort using PAR Intelligence, and are there any callouts versus the overall base?A: CEO Suneet Sen: Adoption has been more from the engagement side of the suite, with strong early traction in retail focused on 1-to-1 targeting, personalization, and data integrity. We are not yet at a point where we can say something is categorical; we are still getting the product into customers' hands before we have strong insights. Q: Under the new consolidated reporting, what is the right mix between site count and ARPU growth as you look to return to 20% ARR growth?A: CEO Suneet Sen: Historically, site count drove the vast majority of growth, but it will be more balanced going forward. Given multi-product success, ARPU will be a much bigger driver than historically, providing more room to sell back into the base rather than depending solely on new logos. CFO Brian Minar added that the dollar value of each site growth is meaningfully higher now, and the LPV-to-CAC ratio on new logo deals has changed noticeably. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Quarterly revenues increased 19% year-over-year to $133.4 million Annual Recurring Revenue (ARR)(1) increased 17% year-over-year to $338.0 million NEW HARTFORD, N.Y., August 06, 2026--(BUSINESS WIRE)--PAR Technology Corporation (NYSE: PAR) ("PAR Technology" or the "Company") today announced its financial results for the second quarter ended June 30, 2026. PAR Technology CEO, Savneet Singh, commented on the results, "Our second quarter performance highlighted the acceleration in revenue we’ve been building toward, as well as the continued steep increase in profitability we’ve been guiding to. We ended the quarter with a strong pipeline to help us hit our second-half targets and set up for a strong 2027. In addition to hitting and exceeding our financial goals, we continued to make large investments in our platform and are on track to hit our goal of deploying PAR Intelligence to 50,000 sites by year end. Our operational discipline is allowing us to balance our growing profitability with long-term investments needed to capture the large AI opportunity in front of us." Beginning in the second quarter of 2026, the Company's key performance indicators ARR and Active Sites(1) are presented on a total basis rather than disaggregated into our Engagement Cloud and Operator Cloud subscription service product lines as presented in prior periods. As multi-product arrangements have become increasingly common and our products are marketed and delivered as a unified platform, management no longer views or manages the business along these two separate product lines. This change aligns our key performance indicators with how management currently evaluates the business. Highlights - Second Quarter 2026(1): ARR at end of Q2 '26 totaled $338.0 million Active Sites as of June 30, 2026 totaled 174.3 thousand Outlook(3) Reflecting second quarter results, PAR is raising its full-year 2026 outlook. For the third quarter ending September 30, 2026, PAR expects to report: Total revenue in the range of $128.0 million to $132.0 million Adjusted EBITDA in the range of $13.5 million to $14.5 million For fiscal year 2026, PAR expects to report: Total revenue in the range of $516.0 million to $523.0 million (up from $500.0 million to $515.0 million) Adjusted EBITDA in the range of $50.0 million to $53.0 million (up from $44.0 million to $47.0 million) The outlook provided above constitutes forward-looking information within the meaning of applicable securities laws and is based on a number of assumptions and subject to a number of risks. Actual results could vary materially as a result of numerous factors. See cautionary note regarding "Forward-Looking Statements" below. (1) See "Key Performance Indicators and Non-GAAP Financial Measures" for descriptions of key performance indicators and non-GAAP financial measures, and reconciliations of non-GAAP financial measures to corresponding GAAP financial measures. Amounts presented in the reconciliations and other tables presented herein may not sum due to rounding.(2) Results exclude historical results from our Government segment which are reported as discontinued operations.(3) Neither net loss, the most directly comparable GAAP financial measure to adjusted EBITDA, nor a reconciliation of adjusted EBITDA to net loss is available on a forward-looking basis without unreasonable efforts because certain required information is unknown, out of our control, or cannot be reasonably predicted. These items include, but are not limited to, stock-based compensation expense, transaction and integration costs related to acquisitions, severance costs related to restructuring activities, impairment losses, and debt extinguishment activity. For the same reasons, the Company is unable to assess the probable significance of the unavailable information, which could have a material impact on its future GAAP financial results. Earnings Conference Call. There will be a conference call at 4:30 p.m. (Eastern) on August 6, 2026, during which management will discuss the Company's financial results for the second quarter ended June 30, 2026. The conference call will be webcast live. To access the webcast, please visit the Investor Relations section of the Company's website at www.partech.com/investor-relations/. A recording of the webcast will be available on this site after the event. About PAR Technology Corporation. PAR Technology Corporation (NYSE: PAR) delivers an agentic operating platform that enables smarter, more consistent operations for multi-unit brands across restaurant, retail, and high-volume commerce. PAR’s platform brings together mission-critical software—point of sale, digital ordering, loyalty, payments, and back-office systems—along with hardware and data to orchestrate decisions and workflows across systems, locations, and guest touchpoints in real time. Designed to drive measurable outcomes, PAR helps brands improve efficiency, deliver better experiences, and make every store more profitable. Learn more at partech.com. Key Performance Indicators and Non-GAAP Financial Measures. We monitor certain key performance indicators and non-GAAP financial measures in the evaluation and management of our business; certain key performance indicators and non-GAAP financial measures are provided in this press release because we believe they are useful in facilitating period-to-period comparisons of our business performance. Key performance indicators and non-GAAP financial measures do not reflect and should be viewed independently of our financial performance determined in accordance with GAAP. Key performance indicators and non-GAAP financial measures are not forecasts or indicators of future or expected results and should not have undue reliance placed upon them by investors. Where non-GAAP financial measures are included in this press release, the most directly comparable GAAP financial measures and a detailed reconciliation between GAAP and non-GAAP financial measures is included in this press release under "Non-GAAP Financial Measures". Unless otherwise indicated, financial and operating data included in this press release is as of June 30, 2026. As used in this press release, "Annual Recurring Revenue" or "ARR" is the annualized revenue from subscription services, including subscription fees for our SaaS solutions and related software support, managed platform development services, and transaction-based payment processing services. We generally calculate ARR by annualizing the monthly recurring revenue for all Active Sites as of the last day of each month for the respective reporting period. Our reported ARR is based on a constant currency, using the exchange rates established at the beginning of the year and consistently applied throughout the period and to comparative periods presented. "Active Sites" represent locations active on PAR’s subscription services as of the last day of the respective reporting period. Trademarks. "PAR®," "PAR POSTM", "Punchh®," "PAR OrderingTM", "PAR OPS®," "Data Central®," "DelagetTM," "PAR RetailTM", "PAR® Pay", and other trademarks identifying our products and services appearing in this press release belong to us. Solely for convenience, our trademarks referred to in this press release may appear without the ® or TM symbols, but such references are not intended to indicate in any way that we will not assert, to the fullest extent under applicable law, our rights to these trademarks. Forward-Looking Statements. This press release contains forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, Section 27A of the Securities Act of 1933, as amended, and the Private Securities Litigation Reform Act of 1995, and the accuracy of such statements is necessarily subject to risks, uncertainties and assumptions as to future events that may not prove to be accurate. Forward-looking statements can be identified by words such as "believe," "could," "would," "should," "will," "continue," "anticipate," "expect," "path," "plan," "intend," "estimate," "future," "may," "potential," and similar expressions. These statements include, but are not limited to, express or implied forward-looking statements relating to: our future financial performance, including revenues, gross margins, expenses, cash flows, and other financial measures and key performance indicators; the plans, strategies and objectives of management relating to our growth, results of operations, and financial performance, including service and product offerings, the development, demand, market share, and competitive performance of our products and services; the availability and terms of product and component supplies for our hardware products; anticipated benefits of acquisitions, divestitures, and capital markets transactions; and macroeconomic trends, geopolitical events, tariffs, and trade disputes and the expected impact of those trends and events on our business, results of operations, and financial performance. These statements are neither promises nor guarantees but are subject to a variety of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those contemplated in these forward-looking statements. Factors, risks, trends and uncertainties that could cause actual results to differ materially from those expressed or implied by forward-looking statements include our ability to successfully develop or acquire and transition new products and services and enhance existing products and services to meet evolving customer needs and respond to emerging technological trends, including through effective use of artificial intelligence (AI) in product development and integration of AI tools across our products, service offerings and our customers’ data; our ability to add and retain Active Sites and integration partners; our ability to successfully integrate acquisitions into our operations, and realize the anticipated benefits; macroeconomic trends, such as a recession or slowed economic growth, fluctuating interest rates, inflation, and changes in consumer confidence and discretionary spending; geopolitical events affecting countries where we operate or our customers or suppliers operate, including changes in import/export regulations, such as tariffs, and trade disputes involving the United States and those countries; our ability to retain and manage suppliers, secure alternative suppliers, and manage inventory levels and costs, navigate manufacturing disruptions or logistics challenges, shipping delays, and shipping costs; and the other factors discussed in our most recent Annual Report on Form 10-K and our other filings with the Securities and Exchange Commission. Undue reliance should not be placed on the forward-looking statements in this press release, which are based on information available to us on the date hereof. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities law. PAR TECHNOLOGY CORPORATIONSUPPLEMENTAL INFORMATION(unaudited) Non-GAAP Financial Measures In addition to disclosing financial results in accordance with GAAP, this press release contains references to the non-GAAP financial measures below. We believe these non-GAAP financial measures provide investors with useful supplemental information about our operating performance, enable comparison of financial trends and results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating our business and measuring our performance. Our non-GAAP financial measures reflect adjustments based on one or more of the following items below. Our non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and reconciliations from these results should be carefully evaluated. Additionally, these measures may not be comparable to similarly titled measures disclosed by other companies. The tables below provide reconciliations between net loss and adjusted EBITDA, diluted net loss per share and non-GAAP diluted net income (loss) per share, and subscription service gross margin percentage and non-GAAP subscription service gross margin percentage. Amounts presented in the reconciliations and other tables presented herein may not sum due to rounding. Beginning in the second quarter of 2026, the Company revised its calculation of non-GAAP net income (loss) per share to: (i) reflect the current and deferred income tax effects attributable to its non-GAAP adjustments; and (ii) include the dilutive effect of equity-based awards and other potentially dilutive securities when the Company reports non-GAAP net income, even when such securities are excluded from GAAP diluted earnings per share because they were antidilutive to the GAAP net loss. Prior period non-GAAP amounts presented herein have been recast to conform to the revised methodology. These revisions affect only the Company’s non-GAAP measures and do not affect its GAAP financial statements, GAAP net income (loss), or GAAP net income (loss) per share. (1) The income tax effect of the non-GAAP adjustments reflects the jurisdiction-specific tax consequences attributable to those adjustments, calculated by (i) applying the applicable statutory tax rate to non-GAAP adjustments in jurisdictions where no valuation allowance exists; and (ii) applying no tax effect to adjustments in jurisdictions with a full valuation allowance. (2) Represents the incremental effect of dilutive securities included in the calculation of non-GAAP diluted weighted average shares outstanding. (3) Non-GAAP diluted weighted average shares outstanding include the effect of potentially dilutive common stock equivalents (stock options, restricted stock units, and warrants) under the treasury stock method. Shares issuable upon conversion of the Company's convertible senior notes were excluded because their conversion would have been antidilutive to non-GAAP net income per share for the periods presented after applying the if-converted method from the beginning of the period or, if later, the issuance date, which requires adding back the related interest expense to the numerator and including the shares issuable upon conversion in the denominator. (1) The income tax effect of the non-GAAP adjustments reflects the jurisdiction-specific tax consequences attributable to those adjustments, calculated by (i) applying the applicable statutory tax rate to non-GAAP adjustments in jurisdictions where no valuation allowance exists; and (ii) applying no tax effect to adjustments in jurisdictions with a full valuation allowance. (2) Represents the incremental effect of dilutive securities included in the calculation of non-GAAP diluted weighted average shares outstanding. (3) Non-GAAP diluted weighted average shares outstanding include the effect of potentially dilutive common stock equivalents (stock options, restricted stock units, and warrants) under the treasury stock method. Shares issuable upon conversion of the Company's convertible senior notes were excluded because their conversion would have been antidilutive to non-GAAP net income per share for the periods presented after applying the if-converted method from the beginning of the period or, if later, the issuance date, which requires adding back the related interest expense to the numerator and including the shares issuable upon conversion in the denominator. View source version on businesswire.com: https://www.businesswire.com/news/home/20260806432665/en/ Contacts Christopher R. Byrnes (315) [email protected], www.partech.com

PAR Technology (PAR) came out with quarterly earnings of $0.18 per share, beating the Zacks Consensus Estimate of $0.11 per share. This compares to earnings of $0.03 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +63.64%. A quarter ago, it was expected that this software provider for the hospitality industry would post earnings of $0.07 per share when it actually produced earnings of $0.1, delivering a surprise of +42.86%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. PAR Technology, which belongs to the Zacks Financial Transaction Services industry, posted revenues of $133.41 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 7.16%. This compares to year-ago revenues of $112.4 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. PAR Technology shares have lost about 51.4% since the beginning of the year versus the S&P 500's gain of 12.8%. While PAR Technology has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for PAR Technology was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.15 on $128.64 million in revenues for the coming quarter and $0.60 on $509.81 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial Transaction Services is currently in the bottom 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Green Dot (GDOT), another stock in the same industry, has yet to report results for the quarter ended June 2026. This bank holding company is expected to post quarterly earnings of $0.41 per share in its upcoming report, which represents a year-over-year change of +2.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Green Dot's revenues are expected to be $535 million, up 6.8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report PAR Technology Corporation (PAR) : Free Stock Analysis Report Green Dot Corporation (GDOT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Corpay (CPAY) came out with quarterly earnings of $7 per share, beating the Zacks Consensus Estimate of $6.6 per share. This compares to earnings of $5.13 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +6.06%. A quarter ago, it was expected that this provider of fuel card and payment products for businesses would post earnings of $5.5 per share when it actually produced earnings of $5.8, delivering a surprise of +5.45%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Corpay, which belongs to the Zacks Financial Transaction Services industry, posted revenues of $1.34 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.56%. This compares to year-ago revenues of $1.1 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Corpay shares have added about 31.8% since the beginning of the year versus the S&P 500's gain of 13%. While Corpay has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Corpay was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $7.02 on $1.35 billion in revenues for the coming quarter and $26.85 on $5.31 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial Transaction Services is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, PAR Technology (PAR), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This software provider for the hospitality industry is expected to post quarterly earnings of $0.11 per share in its upcoming report, which represents a year-over-year change of +266.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. PAR Technology's revenues are expected to be $124.5 million, up 10.8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Corpay, Inc. (CPAY) : Free Stock Analysis Report PAR Technology Corporation (PAR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research