Toast Inc: Doubling ARR With Tight Budget Control—Is This the Most Efficient Growth Story in Tech Right Now?

Toast, a leading provider of point-of-sale and management platforms for restaurants, reported strong performance in its third-quarter results for 2025. The company achieved notable milestones with annual recurring revenue (ARR) surpassing $2 billion, demonstrating robust 34% top-line growth, and maintaining a consistent adjusted EBITDA margin at 35%. These achievements underscore Toast’s strengthened market presence and operational efficiency. Positively, Toast reported continued traction with both large-scale operators, like Nordstrom and TGI Fridays, and smaller dining venues, highlighting the flexibility and appeal of its platform across diverse customer segments. Strategic initiatives, including Toast’s expanded partnership with Uber, intend to enhance restaurant capabilities in managing off-premise sales, which further solidifies Toast’s value proposition to its clientele. Furthermore, Toast’s venture into international markets and new verticals is yielding growth, as illustrated by a 20% year-over-year increase in international SaaS average revenue per user (ARPU).