ServiceTitan's fiscal year financial report

ServiceTitan's Nasdaq Debut Sees Stock Surge 42%, Valuing Company at $8.9 Billion

Dec 12, 2024, 09:07 PM

ServiceTitan Inc., a Glendale, California-based software company, experienced a significant surge in its stock price on its first day of trading on the Nasdaq. The company, which provides business management software for trade businesses like plumbing and HVAC, priced its initial public offering (IPO) at $71 per share, raising about $625 million. ServiceTitan's shares opened at $101, a 42% increase from the IPO price, and closed at a similar level, valuing the company at approximately $8.9 billion. The IPO was notably successful, with the stock price exceeding expectations and signaling strong investor interest in tech IPOs. ServiceTitan's platform helps manage various aspects of trade businesses, from booking appointments to dispatching workers, and has expanded into several markets including roofing, landscaping, and pest control through acquisitions. The company's revenue for the fiscal year ending January 31 was $614 million, up nearly a third from the previous year, with an operating loss of $195 million, which was 28% less than the prior year. More than $300 million of the IPO proceeds will go towards retiring all of ServiceTitan’s nonconvertible preferred stock. The IPO was led by underwriters Goldman Sachs Group, Morgan Stanley, Wells Fargo, and Citigroup, with the shares initially priced between $52 to $57, later upped to $65 to $67, before settling at $71.