# Toast Inc. (TOST) 2024 10-K Summary

## Business Model Analogy
Toast is the **best public analog** for Payabli's vertical SaaS + payments thesis. Toast built restaurant management software, then layered payments on top. Now **payments = 80%+ of revenue**.

## 2024 Key Metrics (from SEC filings)
- **Revenue:** ~$4.9B (2024), up ~25% YoY from $3.9B (2023).
- **Free Cash Flow:** $306M (2024), vs $93M (2023) — massive improvement.
- **Operating Cash Flow:** $360M (2024).

## SaaS vs. Fintech Revenue Split
Toast reports two segments:
1. **Subscription Services (SaaS):** ~$300-400M annually (in POS software, reporting, marketing).
2. **Financial Technology (Payments):** ~$4.5B annually — the dominant piece.

**Gross Margins:**
- SaaS: ~70-75% gross margins.
- Fintech (Payments): ~15-20% gross margins (net of interchange).

## What This Means for Payabli
Toast proves the vertical SaaS playbook:
1. Start with software (restaurant POS).
2. Monetize payments (card-present at table, online ordering).
3. Payments become 10x the SaaS revenue.
4. Result: Higher company valuation because you're now a **platform**, not just SaaS.

## Key Operating Metrics (Monitored in 10-K)
- **GPV (Gross Payment Volume):** $180B+ in 2024.
- **Net Take Rate:** ~2.4-2.6% on card transactions (after interchange).
- **Net Revenue Retention:** 110%+ (existing merchants grow spend).

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*Source: Toast 2024 10-K (SEC EDGAR filing, Feb 2025) via last10k.com summary and press releases.*