Description

Why Tyler Technologies’ SaaS Engine Is Gaining Speed—Pipeline Strength and Execution Matter!

Tyler Technologies delivered a solid fourth quarter, marking a resilient finish to 2025 amidst fluctuating macro conditions. The company reported a year-over-year 6.3% revenue growth to $575.2 million, highlighting strong performance metrics, particularly in recurring revenues and free cash flow. Recurring revenues saw an 11% increase, buoyed by SaaS revenue growth exceeding 20% and transaction-based revenue rising by 12%. Notably, free cash flow reached a quarterly high, rising nearly 10% and expanding the free cash flow margin to 41%. The public sector market remained robust, driving an increase in SaaS bookings by 9.6% and strengthening client conversions from on-premises systems to cloud solutions. The quarter witnessed notable growth in the annual contract value from these conversions, rising by over 64% from the previous year.