# PAR TECHNOLOGY CORP (PAR)

Informational only - not investment advice.

CIK: 0000708821
SIC: 3578 Calculating & Accounting Machines (No Electronic Computers)
SIC breadcrumb: [Manufacturing](/division/D/) > [Industrial And Commercial Machinery And Computer Equipment](/major-group/35/) > [SIC 3578 Calculating & Accounting Machines (No Electronic Computers)](/industry/3578/)
Latest 10-K filed: 2026-02-26
SEC page: https://www.sec.gov/edgar/browse/?CIK=708821
Filing source: https://www.sec.gov/Archives/edgar/data/708821/000070882126000027/par-20251231.htm

## At a glance

FY2025 · period end 2025-12-31 · filed 2026-02-26 · accession 0000708821-26-000027 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000708821.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 455,547,000 USD | 2025 | verified |
| Net income | -84,461,000 USD | 2025 | verified |
| Assets | 1,369,144,000 USD | 2025 | verified |
| Free cash flow | -30,481,000 USD | 2025 | computed |
| Net margin | -18.54% | 2025 | computed |
| Operating margin | -15.10% | 2025 | computed |
| Revenue YoY | +30.16% | 2025 | computed |
| ROE | -10.24% | 2025 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

No market price, no rating, no forecast on this site. Not investment advice.

### Peer percentile fingerprint

| Ratio | PAR | Peer median | Percentile | N |
| --- | ---: | ---: | ---: | ---: |
| Net margin | -18.5% | 7.7% | 5 | 110 |
| Operating margin | -15.1% | 13.1% | 3 | 104 |
| Revenue growth | 30.2% | 5.8% | 88 | 111 |
| FCF margin | -6.7% | 9.6% | 7 | 103 |
| ROE | -10.2% | 11.7% | 8 | 108 |
| ROA | -6.2% | 5.6% | 6 | 111 |
| Liabilities / equity | 0.66 | 1.10 | 23 | 108 |
| Current ratio | 1.66 | 2.02 | 40 | 110 |

Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC major-group 35 Industrial And Commercial Machinery And Computer Equipment, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking.

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 455547000 | USD | 2025 | 2026-02-26 |
| Net income | -84461000 | USD | 2025 | 2026-02-26 |
| Assets | 1369144000 | USD | 2025 | 2026-02-26 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-02-26. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000708821.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue |  | 232,605,000 | 201,246,000 | 187,232,000 | 213,786,000 | 282,876,000 | 262,347,000 | 276,714,000 | 349,982,000 | 455,547,000 |
| Net income | 1,783,000 | -3,386,000 | -24,122,000 | -15,571,000 | -36,562,000 | -75,799,000 | -69,319,000 | -69,752,000 | -4,987,000 | -84,461,000 |
| Operating income | 2,213,000 | -121,000 | -10,275,000 | -14,185,000 | -23,946,000 | -53,881,000 | -69,059,000 | -71,720,000 | -79,097,000 | -68,771,000 |
| Gross profit | 46,200,000 | 51,011,000 | 37,519,000 | 37,411,000 | 39,325,000 | 62,121,000 | 81,717,000 | 89,446,000 | 146,124,000 | 198,026,000 |
| Diluted EPS | 0.11 | -0.22 | -1.50 | -0.96 | -1.92 | -3.02 | -2.55 | -2.53 | -0.14 | -2.09 |
| Operating cash flow | 10,996,000 | 314,000 | -3,849,000 | -16,129,000 | -20,243,000 | -53,156,000 | -43,070,000 | -17,075,000 | -25,246,000 | -27,158,000 |
| Capital expenditures | 3,433,000 | 5,071,000 | 3,948,000 | 2,462,000 | 1,299,000 | 1,435,000 | 1,163,000 | 5,018,000 | 970,000 | 3,323,000 |
| Assets | 124,511,000 | 114,624,000 | 94,681,000 | 189,612,000 | 343,749,000 | 888,149,000 | 854,858,000 | 802,606,000 | 1,380,727,000 | 1,369,144,000 |
| Liabilities | 54,931,000 | 45,638,000 | 48,735,000 | 116,765,000 | 155,344,000 | 383,804,000 | 479,664,000 | 469,541,000 | 509,017,000 | 543,994,000 |
| Stockholders' equity | 69,580,000 | 68,986,000 | 45,946,000 | 72,847,000 | 188,405,000 | 504,345,000 | 375,194,000 | 333,065,000 | 871,710,000 | 825,150,000 |
| Cash and cash equivalents | 9,055,000 | 6,600,000 | 3,485,000 | 28,036,000 | 180,686,000 | 188,419,000 | 70,328,000 | 37,183,000 | 108,117,000 | 79,565,000 |
| Free cash flow | 7,563,000 | -4,757,000 | -7,797,000 | -18,591,000 | -21,542,000 | -54,591,000 | -44,233,000 | -22,093,000 | -26,216,000 | -30,481,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin |  | -1.46% | -11.99% | -8.32% | -17.10% | -26.80% | -26.42% | -25.21% | -1.42% | -18.54% |
| Operating margin |  | -0.05% | -5.11% | -7.58% | -11.20% | -19.05% | -26.32% | -25.92% | -22.60% | -15.10% |
| Return on equity | 2.56% | -4.91% | -52.50% | -21.37% | -19.41% | -15.03% | -18.48% | -20.94% | -0.57% | -10.24% |
| Return on assets | 1.43% | -2.95% | -25.48% | -8.21% | -10.64% | -8.53% | -8.11% | -8.69% | -0.36% | -6.17% |
| Liabilities / equity | 0.79 | 0.66 | 1.06 | 1.60 | 0.82 | 0.76 | 1.28 | 1.41 | 0.58 | 0.66 |
| Current ratio | 1.75 | 1.74 | 1.36 | 2.22 | 6.23 | 4.68 | 3.30 | 2.25 | 1.95 | 1.66 |

## As-reported value updates

9 tracked differences above grepcent's stated thresholds were found between the earliest XBRL-filed value and the value currently on file for the same fiscal period.

Ledger: /company/PAR/revisions/


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-06. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000708821.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2022-Q3 | 2022-09-30 |  |  | -0.79 | reported discrete quarter |
| 2023-Q1 | 2023-03-31 |  |  | -0.58 | reported discrete quarter |
| 2023-Q2 | 2023-06-30 |  |  | -0.72 | reported discrete quarter |
| 2023-Q3 | 2023-06-30 |  | -19,702,000 |  | reported discrete quarter |
| 2023-Q3 | 2023-09-30 | 107,134,000 |  | -0.56 | reported discrete quarter |
| 2023-Q4 | 2023-12-31 | 107,708,000 | -18,629,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2024-Q1 | 2024-03-31 | 105,497,000 | -18,288,000 | -0.62 | reported discrete quarter |
| 2024-Q2 | 2024-03-31 |  | -18,288,000 |  | reported discrete quarter |
| 2024-Q2 | 2024-06-30 | 78,150,000 |  | 1.60 | reported discrete quarter |
| 2024-Q3 | 2024-06-30 |  | 54,190,000 |  | reported discrete quarter |
| 2024-Q3 | 2024-09-30 | 96,754,000 |  | -0.56 | reported discrete quarter |
| 2024-Q4 | 2024-12-31 | 105,005,000 | -21,057,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2025-03-31 | 103,859,000 | -24,350,000 | -0.60 | reported discrete quarter |
| 2025-Q2 | 2025-03-31 |  | -24,350,000 |  | reported discrete quarter |
| 2025-Q2 | 2025-06-30 | 112,404,000 |  | -0.52 | reported discrete quarter |
| 2025-Q3 | 2025-06-30 |  | -21,040,000 |  | reported discrete quarter |
| 2025-Q3 | 2025-09-30 | 119,183,000 |  | -0.45 | reported discrete quarter |
| 2025-Q4 | 2025-12-31 | 120,101,000 | -20,894,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2026-03-31 | 123,973,000 | -16,169,000 | -0.39 | reported discrete quarter |
| 2026-Q2 | 2026-03-31 |  | -16,169,000 |  | reported discrete quarter |
| 2026-Q2 | 2026-06-30 | 133,410,000 |  | -0.41 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from PAR's latest 10-K: [/company/PAR/business/](/company/PAR/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from PAR's latest 10-K: [/company/PAR/risk-factors/](/company/PAR/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/708821/000070882126000103/par-20260630.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-08-06
Report date: 2026-06-30

Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our financial statements and the notes thereto included under "Part I, Item 1. Financial Statements (unaudited)" of this Quarterly Report and our audited consolidated financial statements and the notes thereto included under "Part II, Item 8. Financial Statements and Supplementary Data" of the 2025 Annual Report. This discussion contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from the results contemplated by these forward-looking statements due to a number of factors, including those discussed under "Forward-Looking Statements".

OVERVIEW

Q2 2026 Operating Performance Highlights

[[GREPCENT_TABLE]]
[["Organic - Year-over-year growth of 12.3%","Total - Year-over-year growth of 17.3%"]]
[[/GREPCENT_TABLE]]

GAAP - Consistent year-over-year

Non-GAAP - Year-over-year decrease of 130 bps

Net Loss from Cont. Ops.Year-over-year improvement of $4.1 million

Adjusted EBITDAYear-over-year improvement of $8.7 million

Refer to "Key Performance Indicators and Non-GAAP Financial Measures" below for important information on key performance indicators and non-GAAP financial measures, including annual recurring revenue ("ARR"), non-GAAP subscription service gross margin percentage, and adjusted EBITDA. We use these key performance indicators and non-GAAP financial measures to evaluate our performance.

21

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Macroeconomic Environment

The tariff and supply chain environment remains complex and evolving. Beginning in the second quarter of 2025, the U.S. government implemented a series of significant new tariffs, including under the International Emergency Economic Powers Act ("IEEPA"), affecting imports from several countries where we source certain components and hardware products. Other countries responded with retaliatory actions or plans for retaliatory actions. On February 20, 2026, the U.S. Supreme Court held that IEEPA does not authorize the President to impose tariffs and, following the ruling, the administration announced a replacement, time-limited 10% global ad valorem tariff effective February 24, 2026, which expired July 24, 2026. In its place, the administration immediately imposed new Section 301 duties of 10 to 12.5 percent on products from 80 countries. Litigation continues over refunds tied to the invalidated IEEPA duties and the tariff environment remains subject to considerable uncertainty.

Additionally, increased demand for hardware products and components from AI data center construction around the world continues to create uncertainty as to whether these products will be available or available in needed quantities and quality or at favorable or competitive prices. We continue to monitor macroeconomic trends and uncertainties in light of continuing changes to global trade policies and supply chain pressures, which may have adverse effects on our hardware revenue and hardware gross margin.

As a result of these events, we anticipate increased supply chain challenges, commodity cost volatility, and consumer and economic uncertainty. Management continues to evaluate and implement mitigating actions, including potential supply chain resiliency movements, cost or pricing measures and alternative shipping practices, if needed, as the macroeconomic environment evolves.

22

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RESULTS OF OPERATIONS

Consolidated Results:

[[GREPCENT_TABLE]]
[["","Three Months Ended June 30,","","Percentage of total revenue","","Increase (decrease)"],["(in thousands)","2026","","2025","","2026","","2025","","2026 vs 2025"],["Revenues, net:"],["Subscription service","$","83,391","","","$","71,903","","","62.5","%","","64.0","%","","16.0","%"],["Hardware","35,086","","","26,864","","","26.3","%","","23.9","%","","30.6","%"],["Professional service","14,933","","","13,637","","","11.2","%","","12.1","%","","9.5","%"],["Total revenues, net","$","133,410","","","$","112,404","","","100.0","%","","100.0","%","","18.7","%"],["Gross margin:"],["Subscription service","$","46,056","","","$","39,759","","","34.5","%","","35.4","%","","15.8","%"],["Hardware","7,132","","","7,324","","","5.3","%","","6.5","%","","(2.6)","%"],["Professional service","3,395","","","3,909","","","2.5","%","","3.5","%","","(13.1)","%"],["Total gross margin","$","56,583","","","$","50,992","","","42.4","%","","45.4","%","","11.0","%"],["Operating expenses:"],["Sales and marketing","$","11,564","","","$","12,274","","","8.7","%","","10.9","%","","(5.8)","%"],["General and administrative","26,288","","","31,697","","","19.7","%","","28.2","%","","(17.1)","%"],["Research and development","22,507","","","20,934","","","16.9","%","","18.6","%","","7.5","%"],["Amortization of identifiable intangible assets","3,725","","","3,394","","","2.8","%","","3.0","%","","9.8","%"],["Intangible asset impairment loss","5,400","","","\u2014","","","4.0","%","","\u2014","%","","\u2014","%"],["Total operating expenses","$","69,484","","","$","68,299","","","52.1","%","","60.8","%","","1.7","%"],["Operating loss","$","(12,901)","","","$","(17,307)","","","(9.7)","%","","(15.4)","%","","(25.5)","%"],["Other income (expense), net","774","","","(1,381)","","","0.6","%","","(1.2)","%","","(156.0)","%"],["Interest expense, net","(3,386)","","","(1,408)","","","(2.5)","%","","(1.3)","%","","140.5","%"],["Loss from continuing operations before income taxes","(15,513)","","","(20,096)","","","(11.6)","%","","(17.9)","%","","(22.8)","%"],["Provision for income taxes","(1,383)","","","(944)","","","(1.0)","%","","(0.8)","%","","46.5","%"],["Net loss from continuing operations","$","(16,896)","","","$","(21,040)","","","(12.7)","%","","(18.7)","%","","(19.7)","%"],["Net income from discontinued operations","\u2014","","","\u2014","","","\u2014","%","","\u2014","%","","\u2014","%"],["Net loss","$","(16,896)","","","$","(21,040)","","","(12.7)","%","","(18.7)","%","","(19.7)","%"]]
[[/GREPCENT_TABLE]]

23

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[[GREPCENT_TABLE]]
[["","Six Months Ended June 30,","","Percentage of total revenue","","Increase (decrease)"],["(in thousands)","2026","","2025","","2026","","2025","","2026 vs 2025"],["Revenues, net:"],["Subscription service","$","161,913","","","$","140,313","","","62.9","%","","64.9","%","","15.4","%"],["Hardware","64,340","","","48,707","","","25.0","%","","22.5","%","","32.1","%"],["Professional service","31,130","","","27,243","","","12.1","%","","12.6","%","","14.3","%"],["Total revenues, net","$","257,383","","","$","216,263","","","100.0","%","","100.0","%","","19.0","%"],["Gross margin:"],["Subscription service","$","89,725","","","$","79,269","","","34.9","%","","36.7","%","","13.2","%"],["Hardware","13,458","","","12,699","","","5.2","%","","5.9","%","","6.0","%"],["Professional service","7,901","","","7,366","","","3.1","%","","3.4","%","","7.3","%"],["Total gross margin","$","111,084","","","$","99,334","","","43.2","%","","45.9","%","","11.8","%"],["Operating expenses:"],["Sales and marketing","$","23,849","","","$","24,056","","","9.3","%","","11.1","%","","(0.9)","%"],["General and administrative","56,984","","","60,981","","","22.1","%","","28.2","%","","(6.6)","%"],["Research and development","44,482","","","40,701","","","17.3","%","","18.8","%","","9.3","%"],["Amortization of identifiable intangible assets","7,156","","","6,653","","","2.8","%","","3.1","%","","7.6","%"],["Intangible asset impairment loss","5,400","","","\u2014","","","2.1","%","","\u2014","%","","\u2014","%"],["Total operating expenses","$","137,871","","","$","132,391","","","53.6","%","","61.2","%","","4.1","%"],["Operating loss","$","(26,787)","","","$","(33,057)","","","(10.4)","%","","(15.3)","%","","(19.0)","%"],["Other income (expense), net","1,601","","","(1,472)","","","0.6","%","","(0.7)","%","","200%"],["Interest expense, net","(5,318)","","","(3,042)","","","(2.1)","%","","(1.4)","%","","74.8","%"],["Gain (loss) on extinguishment of debt, net","380","","","(5,791)","","","0.1","%","","(2.7)","%","","(106.6)","%"],["Loss from continuing operations before income taxes","(30,124)","","","(43,362)","","","(11.7)","%","","(20.1)","%","","(30.5)","%"],["Provision for income taxes","(2,941)","","","(2,225)","","","(1.1)","%","","(1.0)","%","","32.2","%"],["Net loss from continuing operations","$","(33,065)","","","$","(45,587)","","","(12.8)","%","","(21.1)","%","","(27.5)","%"],["Net income from discontinued operations","\u2014","","","197","","","\u2014","%","","0.1","%","","(100.0)","%"],["Net loss","$","(33,065)","","","$","(45,390)","","","(12.8)","%","","(21.0)","%","","(27.2)","%"]]
[[/GREPCENT_TABLE]]

Revenues, Net

[[GREPCENT_TABLE]]
[["","Three Months Ended June 30,","","Percentage of total revenue","","Increase (decrease)"],["(in thousands)","2026","","2025","","2026","","2025","","2026 vs 2025"],["Subscription service","$","83,391","","","$","71,903","","","62.5","%","","64.0","%","","16.0","%"],["Hardware","35,086","","","26,864","","","26.3","%","","23.9","%","","30.6","%"],["Professional service","14,933","","","13,637","","","11.2","%","","12.1","%","","9.5","%"],["Total revenues, net","$","133,410","","","$","112,404","","","100.0","%","","100.0","%","","18.7","%"]]
[[/GREPCENT_TABLE]]

For the three months ended June 30, 2026 compared to the three months ended June 30, 2025

Total revenues were $133.4 million for the three months ended June 30, 2026, an increase of $21.0 million or 18.7% compared to $112.4 million for the three months ended June 30, 2025.

Subscription service revenues were $83.4 million for the three months ended June 30, 2026, an increase of

24

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$11.5 million or 16.0% compared to $71.9 million for the three months ended June 30, 2025. Of this increase, $4.2 million was driven by inorganic revenue growth contributed by the Bridg product line. The remaining $7.3 million was driven by growth in average revenue per site through cross-selling, upselling, and price increase initiatives.

Hardware revenues were $35.1 million for the three months ended June 30, 2026, an increase of $8.2 million or 30.6% compared to $26.9 million for the three months ended June 30, 2025. The increase was primarily driven by increased revenues from sales of terminals of $4.8 million, peripherals (scanners, printers, and components) of $2.1 million, and an increase in international sales of $1.7 million. These increases were substantially driven by the timing of tier-one enterprise customer hardware refresh cycles and the onboarding of subscription service customers purchasing hardware. Hardware revenues will continue to be affected by the timing of the aforementioned drivers.

Professional service revenues were $14.9 million for the three months ended June 30, 2026, an increase of $1.3 million or 9.5% from $13.6 million for the three months ended June 30, 2025. The increase was primarily driven by a $1.5 million increase in installation revenues associated with the onboarding of tier-one customers.

[[GREPCENT_TABLE]]
[["","Six Months Ended June 30,","","Percentage of total revenue","","Increase (decrease)"],["(in thousands)","2026","","2025","","2026","","2025","","2026 vs 2025"],["Subscription service","$","161,913","","","$","140,313","","","62.9","%","","64.9","%","","15.4","%"],["Hardware","64,340","","","48,707","","","25.0","%","","22.5","%","","32.1","%"],["Professional service","31,130","","","27,243","","","12.1","%","","12.6","%","","14.3","%"],["Total revenues, net","$","257,383","","","$","216,263","","","100.0","%","","100.0","%","","19.0","%"]]
[[/GREPCENT_TABLE]]

For the six months ended June 30, 2026 compared to the six months ended June 30, 2025

Total revenues were $257.4 million for the six months ended June 30, 2026, an increase of $41.1 million or 19.0% compared to $216.

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/708821/000070882126000027/par-20251231.htm
Complete FY 2025 MD&A: /company/PAR/mda/fy2025/

Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-02-26
Report date: 2025-12-31

Item 7.     MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our audited consolidated financial statements and the notes thereto included under "Part II, Item 8. Financial Statements and Supplementary Data" of this Annual Report. This discussion contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from the results contemplated by these forward-looking statements due to a number of factors, including those discussed under "Forward-Looking Statements" above and "Part I, Item 1A. Risk Factors" above.

The following section generally discusses year-over-year comparisons between 2025 and 2024. Discussions related to year-over-year comparisons between 2024 and 2023 are included in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on March 3, 2025.

2025 Operating Performance Highlights

[[GREPCENT_TABLE]]
[["Organic - Year-over-year growth of 15.0%","Total - Year-over-year growth of 15.7%"]]
[[/GREPCENT_TABLE]]

GAAP - Year-over-year improvement of 120 basis points (bps)

Non-GAAP - Year-over-year improvement of 90 basis points (bps)

Net Loss from Cont. Ops.Year-over-year improvement of $5.3 million

Adjusted EBITDAYear-over-year improvement of $29.3 million

Refer to "Key Performance Indicators and Non-GAAP Financial Measures" below for important information on key performance indicators, such as annual recurring revenue (ARR), and non-GAAP financial measures, including non-GAAP subscription service gross margin percentage and adjusted EBITDA. We use these key performance indicators and non-GAAP financial measures to evaluate our performance.

25

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Macroeconomic Environment

The tariff and supply chain environment is complex and evolving. Beginning in the second quarter of 2025, the U.S. government implemented a series of significant new tariffs, including on imports from several countries where we source certain components and hardware products. Other countries have responded with retaliatory actions or plans for retaliatory actions. There has been significant uncertainty resulting from the implementation, termination, and conditional pause of these tariffs and the situation remains fluid, including because of the U.S. Supreme Court's decision that the International Emergency Economic Powers Act does not authorize the President to impose tariffs. Additionally, increased demand for hardware products and components from AI data center construction around the world has created uncertainty as to whether these products will be available or available in needed quantities and quality or at favorable or competitive prices. We continue to monitor macroeconomic trends and uncertainties in light of continuing changes to global trade policies and supply chain pressures, which may have adverse effects on our hardware revenue and hardware gross margin. As a result of these events, we anticipate increased supply chain challenges, commodity cost volatility, and consumer and economic uncertainty. Management continues to evaluate and implement mitigating actions, including potential supply chain resiliency movements, cost or pricing measures and alternative shipping practices, if needed, as the macroeconomic environment evolves.

On July 4, 2025, the One Big Beautiful Bill Act (the "Act") was signed into law. The Act contains changes to U.S. federal tax law, including reinstatement of immediate expensing of domestic research and development expenditures, and has multiple effective dates. The enacted legislation did not have a material impact on our annual effective tax rate for the fiscal year ended December 31, 2025, and resulted in a decrease to taxes payable. We will continue to evaluate all applicable provisions of the legislation and their impact on our consolidated financial statements for the fiscal year ended December 31, 2026 and beyond.

COMPONENTS OF RESULTS OF OPERATIONS

Revenues

Subscription Service

Consists of revenue from software-as-a-service ("SaaS") solutions, related software support, managed platform development services, and transaction-based payment processing services.

Hardware

Consists of revenue from the sale of point-of-sale terminals and tablets, wireless headsets, drive-thru systems, kitchen display systems, kiosks, printers, payment devices, and other in-store peripherals.

Professional Service

Consists of revenue from hardware support, installations and implementations, and on-site and technical support.

Cost of Sales

Subscription Service

Consists of expenses directly related to the delivery of our software, including customer support and infrastructure management personnel costs, hosting and cloud infrastructure costs, amortization of capitalized and acquired developed technology, third-party software licensing fees, and payment processing fees.

Hardware

Consists of expenses directly related to the production, procurement, and delivery of hardware products sold to customers, including manufacturing and procurement personnel costs, freight charges, excess and obsolete inventory expenses, and allocated overhead.

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Professional Service

Consists of the personnel costs of our deployment team associated with delivering these services and costs related to hardware repairs and advanced exchange contracts.

Operating Expenses

Sales and Marketing

Consists of employee-related costs incurred for personnel that support sales and marketing activities, as well as general marketing and event costs.

General and Administrative

Consists of employee-related costs incurred for management and administrative functions, including finance, legal, human resources, and information technology. General and administrative expenses also include costs related to fees paid for certain professional services and software, insurance, and occupancy costs, as well as bad debt expense and depreciation expense.

Research and Development

Consists of uncapitalized engineering and product development personnel costs associated with improvements to our platform and the development of new product offerings and expenses associated with the use of third-party software directly related to the development of our products and services.

Amortization of Identifiable Intangible Assets

Consists of amortization expense related to acquired intangible assets including customer relationships, non-competition agreements, and trade names.

Adjustment to Contingent Consideration Liability

Reflects a reduction to the fair market value of the contingent consideration liability related to the acquisition of MENU Technologies A.G. in July 2022 (the “MENU Acquisition”).

Gain on Insurance Proceeds

Consists of insurance proceeds from the settlement of legacy insurance claims.

Other Non-Operating Expenses

Interest expense, net

Consists of interest incurred on the 2026 Notes, 2027 Notes, and 2030 Notes, as well as on the credit facility with Blue Owl Capital Corporation as administrative agent and collateral agent and Blue Owl Credit Advisors, LLC as lead arranger and bookrunner (the "Credit Facility") prior to its repayment in January 2025 and on the 4.500% Convertible Senior Notes due 2024 (the "2024 Notes") prior to the induced conversion in October 2023, offset by interest earned from cash held in money market accounts and on our marketable securities.

Loss on extinguishment of debt

Represents the loss on inducement of our 2024 Notes and partial inducement of our 2026 Notes, and the loss related to the early repayment of the Credit Facility.

Other (expense) income, net

Consists of foreign currency transaction gains and losses and other miscellaneous non-operating income and expenses.

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(Provision for) Benefit from Income Taxes

Consists of U.S. federal and state income tax, international income taxes in various foreign jurisdictions, and interest and penalties related to income taxes. Our effective tax rate fluctuates from period to period due to changes in the mix of income and losses in jurisdictions with a wide range of tax rates, the effect of acquisitions, changes resulting from the amount of recorded valuation allowance, and permanent differences between GAAP and local tax laws. Refer to "Note 13 – Income Taxes" of the notes to consolidated financial statements in "Part II, Item 8. Financial Statements and Supplementary Data" of this Annual Report for additional information about our income taxes and effective tax rate.

RESULTS OF OPERATIONS

Results of operations for the years ended December 31, 2025, 2024, and 2023 were as follows:

Consolidated Results

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2025 MD&A: /company/PAR/mda/fy2025/
All MD&A years: /company/PAR/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2024 MD&A](/company/PAR/mda/fy2024/): filed 2025-03-03; accession 0000708821-25-000015 (https://www.sec.gov/Archives/edgar/data/708821/000070882125000015/par-20241231.htm)
- [FY 2023 MD&A](/company/PAR/mda/fy2023/): filed 2024-02-27; accession 0000708821-24-000014 (https://www.sec.gov/Archives/edgar/data/708821/000070882124000014/par-20231231.htm)
- [FY 2022 MD&A](/company/PAR/mda/fy2022/): filed 2023-03-01; accession 0000708821-23-000013 (https://www.sec.gov/Archives/edgar/data/708821/000070882123000013/par-20221231.htm)
- [FY 2021 MD&A](/company/PAR/mda/fy2021/): filed 2022-03-01; accession 0000708821-22-000012 (https://www.sec.gov/Archives/edgar/data/708821/000070882122000012/par-20211231.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (industry 3578 Calculating & Accounting Machines (No Electronic Computers)) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

- [INDPRO](/indicator/INDPRO/): Industrial Production: Total Index
- [TCU](/indicator/TCU/): Capacity Utilization: Total Index
- [PPIACO](/indicator/PPIACO/): Producer Price Index by Commodity: All Commodities
- [GDPC1](/indicator/GDPC1/): Real Gross Domestic Product
- [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity
- [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate
- [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private
- [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm

Macro-to-micro threads including this sector: [Inflation (CPI / PCE / PPI)](/thread/inflation-cpi-pce-ppi/), [US labor market](/thread/us-labor-market/), [Growth & output](/thread/growth-output/), [Money & trade](/thread/money-trade/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/), [Industrial orders & inventories](/thread/industrial-orders/), [Trade & external](/thread/trade-external/).

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/PAR.md · JSON record: /company/PAR.json · verified financials: /company/PAR/financials.json / /company/PAR/financials.csv · machine TOC for the whole site: /llms.txt