Olo (OLO) Q1 2025 earnings summary

Executive summary

• Revenue grew 21% year-over-year to $80.7 million in Q1 2025, with ARPU up 12% to $911 and active locations up 8% to 88,000, driven by new deployments and expansions among enterprise and emerging brands.

• Non-GAAP operating income more than doubled to $11.5 million (14% margin), and net income reached $1.8 million, reversing a net loss from the prior year.

• Product innovation included the beta launch of Olo Guest Intelligence, enhancements to Catering+, loyalty integrations, and expanded Borderless checkout adoption.

• Leadership strengthened with the appointment of Parrish Chapman as Chief Sales Officer in May 2025.

• Olo's platform supports 750+ brands, processed $29B GMV and $2.8B GPV in 2024, and handled over 2.5M orders per day.

Financial highlights

• Total revenue was $80.7 million (+21% YoY); platform revenue was $79.2 million (+20% YoY).

• Gross profit was $44.3 million (+19% YoY, 55% margin); non-GAAP gross profit was $49.2 million (+18% YoY, 61% margin).

• Operating loss narrowed to $2.4 million from $7.2 million; non-GAAP operating income was $11.5 million (14% margin), up from $5.6 million (8% margin) YoY.

• Net income was $1.8 million ($0.01/share); non-GAAP net income was $11.8 million ($0.07/share).

• Cash, cash equivalents, and investments totaled $401.8 million as of March 31, 2025.

Outlook and guidance

• Q2 2025 revenue expected at $82–$82.5 million; non-GAAP operating income at $11.5–$11.8 million.

• Full year 2025 revenue guidance is $338.5–$340 million; non-GAAP operating income $48.6–$49.8 million.

• Guidance reflects continued digital ordering growth, technology adoption, and macroeconomic uncertainty.

• Gross margin expected to decline 250–275 basis points in 2025 as card-present payments scale.

• Normalized gross profit growth for H1 2025 expected at 14%, accelerating from 12% in H1 2024.