Software startup ServiceTitan discloses revenue jump in US IPO paperwork
Technology
Software startup ServiceTitan discloses revenue jump in US IPO paperwork
(Reuters) - ServiceTitan on Monday revealed higher revenue and a smaller loss for the quarter ended July, as the software startup prepares for a listing in the United States that would extend a recovery in initial public offerings.
The Glendale, California-based company is joining a host of high-profile startups looking to go public as strengthening bets of a soft landing for the U.S. economy improve investor sentiment.
Sweden's buy now, pay later platform Klarna and Genesys, an AI-driven developer of call center software, are also among the major tech firms that are moving toward a U.S. listing.
Founded in 2012 by Ara Mahdessian and Vahe Kuzoyan, ServiceTitan has emerged as a prominent player in a niche market, making software used by businesses that are run by technicians serving the HVAC (heating, ventilation and air-conditioning) sector.
The company was valued at $9.5 billion after a Thoma Bravo-led funding round in 2021. Its investors include Battery Ventures, Bessemer Venture Partners and ICONIQ Growth.
Its business was buoyed by the COVID-19 pandemic, which spurred demand for house renovation services. This led the company to confidentially file for an IPO in early 2022, Reuters reported last year.
The company reported a loss of $35.65 million for the three months ended July 31, compared with the $51.54 million loss a year earlier. Its revenue increased 23.7% to $192.99 million during the period.
ServiceTitan expects its shares will trade on the Nasdaq under the ticker symbol "TTAN".
Goldman Sachs, Morgan Stanley, Wells Fargo, and Citigroup are the lead underwriters for the offering.
The company will let some eligible customers, friends, and family members of its co-founders buy shares in the IPO.
It plans to use part of the proceeds to redeem some preferred shares and the rest for general business purposes.
