Appfolio Financials
This page shows Appfolio (APPF) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 13 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
AppFolio’s asset-light model converts rising scale into cash quickly while high software margins leave room to keep investing.
Since FY2023, free cash flow climbed from$51.2M to$239.0M , a much steeper improvement than the income statement alone suggests. In FY2025, capital spending was only$3.2M and cash still exceeded net income by about$101.2M , which is the signature of a business that scales mainly through software rather than fixed assets.
Even after the profit inflection in FY2024, R&D spending remained about double SG&A in FY2025 (
FY2025’s financing outflow looks discretionary, not defensive: share buybacks were
Financial Health Signals
Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →
Health score ≠ stock price. This rates the quality of Appfolio's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Appfolio has an operating margin of 16.1%, meaning the company retains $16 of operating profit per $100 of revenue. This results in a moderate score of 52/100, indicating healthy but not exceptional operating efficiency. This is down from 17.1% the prior year.
Appfolio's revenue surged 19.7% year-over-year to $950.8M, reflecting rapid business expansion. This strong growth earns a score of 73/100.
Appfolio carries a low D/E ratio of 0.27, meaning only $0.27 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 97/100, indicating a strong balance sheet with room for future borrowing.
Appfolio's current ratio of 3.31 indicates adequate short-term liquidity, earning a score of 64/100. The company can meet its near-term obligations, though with limited headroom.
Appfolio converts 25.1% of revenue into free cash flow ($238.9M). This strong cash generation earns a score of 78/100.
Appfolio earns a strong 26.0% return on equity (ROE), meaning it generates $26 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 67/100. This is down from 39.3% the prior year.
Appfolio scores 25.94, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($5.5B) relative to total liabilities ($146.4M). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Appfolio passes 4 of 9 financial strength tests. 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Appfolio generates $1.72 in operating cash flow ($242.1M OCF vs $140.9M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
Appfolio generated $950.8M in revenue in fiscal year 2025. This represents an increase of 19.7% from the prior year.
Appfolio's EBITDA was $175.6M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 13.1% from the prior year.
Appfolio reported $140.9M in net income in fiscal year 2025. This represents a decrease of 30.9% from the prior year.
Appfolio earned $3.88 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 30.1% from the prior year.
Cash & Balance Sheet
Appfolio generated $238.9M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 28.4% from the prior year.
Appfolio held $107.0M in cash against $0 in long-term debt as of fiscal year 2025.
Margins & Returns
Appfolio's gross margin was 63.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 0.8 percentage points from the prior year.
Appfolio's operating margin was 16.1% in fiscal year 2025, reflecting core business profitability. This is down 1.0 percentage points from the prior year.
Appfolio's net profit margin was 14.8% in fiscal year 2025, showing the share of revenue converted to profit. This is down 10.9 percentage points from the prior year.
Appfolio's ROE was 26.0% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 13.3 percentage points from the prior year.
Capital Allocation
Appfolio invested $190.4M in research and development in fiscal year 2025. This represents an increase of 18.7% from the prior year.
Appfolio spent $145.7M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding.
Appfolio invested $3.2M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 56.5% from the prior year.
APPF Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $262.2M+5.6% | $248.2M-0.5% | $249.4M+5.8% | $235.6M+8.2% | $217.7M+6.9% | $203.7M-1.0% | $205.7M+4.2% | $197.4M |
| Cost of Revenue | $95.0M+4.9% | $90.5M-1.0% | $91.5M+9.1% | $83.8M+5.4% | $79.5M+4.3% | $76.2M+6.4% | $71.6M+2.9% | $69.6M |
| Gross Profit | $167.2M+6.1% | $157.7M-0.1% | $157.9M+4.0% | $151.7M+9.8% | $138.2M+8.4% | $127.5M-4.9% | $134.1M+5.0% | $127.8M |
| R&D Expenses | $49.6M+8.0% | $46.0M-15.0% | $54.0M+15.8% | $46.7M+6.7% | $43.8M+3.5% | $42.3M+4.0% | $40.7M+2.9% | $39.5M |
| SG&A Expenses | $24.3M+6.5% | $22.9M-16.7% | $27.4M+25.1% | $21.9M-6.1% | $23.4M-0.4% | $23.4M+10.9% | $21.1M+4.4% | $20.3M |
| Operating Income | $50.7M+16.5% | $43.6M+24.3% | $35.0M-13.5% | $40.5M+19.9% | $33.8M+47.2% | $23.0M-46.1% | $42.6M+18.2% | $36.0M |
| Interest Expense | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Income Tax | $10.7M+87.1% | $5.7M+84.9% | $3.1M-48.5% | $6.0M+10.7% | $5.4M+107.2% | -$75.6M-656.7% | $13.6M+38.0% | $9.8M |
| Net Income | $42.4M+6.3% | $39.9M+18.6% | $33.6M-6.5% | $36.0M+14.6% | $31.4M-69.5% | $102.7M+211.3% | $33.0M+11.3% | $29.7M |
| EPS (Diluted) | $1.18 | N/A | $0.93-6.1% | $0.99+15.1% | $0.86 | N/A | $0.90+11.1% | $0.81 |
APPF Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $580.6M-15.7% | $689.0M+7.6% | $640.5M+12.9% | $567.4M+0.5% | $564.7M-9.9% | $626.7M+19.8% | $523.3M+9.2% | $479.3M |
| Current Assets | $254.9M-27.8% | $353.3M+16.7% | $302.8M+53.6% | $197.1M-27.5% | $272.0M-18.9% | $335.4M-15.1% | $395.1M+13.3% | $348.8M |
| Cash & Equivalents | $147.4M+37.8% | $107.0M+40.6% | $76.1M+3.6% | $73.5M+29.1% | $56.9M+33.9% | $42.5M-31.9% | $62.4M+4.7% | $59.6M |
| Inventory | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Accounts Receivable | $44.0M+19.2% | $36.9M+7.4% | $34.3M+5.5% | $32.5M+18.5% | $27.5M+12.8% | $24.3M-4.8% | $25.6M-0.4% | $25.7M |
| Goodwill | $96.4M0.0% | $96.4M0.0% | $96.4M0.0% | $96.4M0.0% | $96.4M0.0% | $96.4M+72.0% | $56.1M0.0% | $56.1M |
| Total Liabilities | $110.3M-24.6% | $146.4M+3.4% | $141.6M+26.7% | $111.8M+8.9% | $102.6M-4.4% | $107.4M-2.8% | $110.5M+2.4% | $107.9M |
| Current Liabilities | $72.4M-32.3% | $106.8M+6.4% | $100.4M+48.6% | $67.6M+15.3% | $58.6M-7.4% | $63.3M-0.7% | $63.7M+0.5% | $63.3M |
| Long-Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | $470.2M-13.3% | $542.6M+8.8% | $498.9M+9.5% | $455.6M-1.4% | $462.1M-11.0% | $519.3M+25.8% | $412.8M+11.2% | $371.4M |
| Retained Earnings | $473.4M+9.8% | $431.0M+10.2% | $391.1M+9.4% | $357.4M+11.2% | $321.4M+10.8% | $290.0M+54.8% | $187.3M+21.4% | $154.3M |
APPF Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $34.3M-47.2% | $65.0M-24.4% | $86.0M+63.4% | $52.6M+36.9% | $38.5M+5.2% | $36.6M-36.7% | $57.8M+13.6% | $50.9M |
| Capital Expenditures | $231K-82.4% | $1.3M-1.6% | $1.3M+385.8% | $275K+19.6% | $230K+17.9% | $195K-46.3% | $363K+855.3% | $38K |
| Free Cash Flow | $34.1M-46.5% | $63.7M-24.8% | $84.7M+61.7% | $52.4M+37.0% | $38.2M+5.1% | $36.4M-36.6% | $57.4M+12.9% | $50.8M |
| Investing Cash Flow | $138.3M+720.2% | -$22.3M+69.0% | -$72.0M-403.0% | $23.8M-70.6% | $80.8M+282.5% | -$44.3M+4.7% | -$46.4M-22.1% | -$38.0M |
| Financing Cash Flow | -$132.2M-1018.7% | -$11.8M-3.8% | -$11.4M+81.0% | -$59.9M+42.9% | -$104.8M-758.2% | -$12.2M-42.6% | -$8.6M+31.0% | -$12.4M |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | $125.0M | $0 | $0-100.0% | $50.0M-47.8% | $95.8M | $0 | $0 | $0 |
APPF Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 63.8%+0.3pp | 63.5%+0.2pp | 63.3%-1.1pp | 64.4%+0.9pp | 63.5%+0.9pp | 62.6%-2.6pp | 65.2%+0.4pp | 64.7% |
| Operating Margin | 19.4%+1.8pp | 17.6%+3.5pp | 14.1%-3.1pp | 17.2%+1.7pp | 15.5%+4.3pp | 11.3%-9.4pp | 20.7%+2.4pp | 18.3% |
| Net Margin | 16.2%+0.1pp | 16.1%+2.6pp | 13.5%-1.8pp | 15.3%+0.9pp | 14.4%-36.0pp | 50.4%+34.4pp | 16.0%+1.0pp | 15.0% |
| Return on Equity | 9.0%+1.7pp | 7.4%+0.6pp | 6.7%-1.2pp | 7.9%+1.1pp | 6.8%-13.0pp | 19.8%+11.8pp | 8.0%+0.0pp | 8.0% |
| Return on Assets | 7.3%+1.5pp | 5.8%+0.5pp | 5.3%-1.1pp | 6.3%+0.8pp | 5.6%-10.8pp | 16.4%+10.1pp | 6.3%+0.1pp | 6.2% |
| Current Ratio | 3.52+0.2 | 3.31+0.3 | 3.01+0.1 | 2.92-1.7 | 4.64-0.7 | 5.30-0.9 | 6.20+0.7 | 5.51 |
| Debt-to-Equity | 0.23-0.0 | 0.27-0.0 | 0.28+0.0 | 0.25+0.0 | 0.22+0.0 | 0.21-0.1 | 0.27-0.0 | 0.29 |
| FCF Margin | 13.0%-12.7pp | 25.7%-8.3pp | 34.0%+11.7pp | 22.2%+4.7pp | 17.6%-0.3pp | 17.9%-10.0pp | 27.9%+2.2pp | 25.8% |
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Frequently Asked Questions
What is Appfolio's annual revenue?
Appfolio (APPF) reported $950.8M in total revenue for fiscal year 2025. This represents a 19.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Appfolio's revenue growing?
Appfolio (APPF) revenue grew by 19.7% year-over-year, from $794.2M to $950.8M in fiscal year 2025.
Is Appfolio profitable?
Yes, Appfolio (APPF) reported a net income of $140.9M in fiscal year 2025, with a net profit margin of 14.8%.
What is Appfolio's EBITDA?
Appfolio (APPF) had EBITDA of $175.6M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Appfolio's gross margin?
Appfolio (APPF) had a gross margin of 63.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Appfolio's operating margin?
Appfolio (APPF) had an operating margin of 16.1% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Appfolio's net profit margin?
Appfolio (APPF) had a net profit margin of 14.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Appfolio's return on equity (ROE)?
Appfolio (APPF) has a return on equity of 26.0% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Appfolio's free cash flow?
Appfolio (APPF) generated $238.9M in free cash flow during fiscal year 2025. This represents a 28.4% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Appfolio's operating cash flow?
Appfolio (APPF) generated $242.1M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Appfolio's total assets?
Appfolio (APPF) had $689.0M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Appfolio's capital expenditures?
Appfolio (APPF) invested $3.2M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Appfolio spend on research and development?
Appfolio (APPF) invested $190.4M in research and development during fiscal year 2025.
What is Appfolio's current ratio?
Appfolio (APPF) had a current ratio of 3.31 as of fiscal year 2025, which is generally considered healthy.
What is Appfolio's debt-to-equity ratio?
Appfolio (APPF) had a debt-to-equity ratio of 0.27 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Appfolio's return on assets (ROA)?
Appfolio (APPF) had a return on assets of 20.4% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Appfolio's Altman Z-Score?
Appfolio (APPF) has an Altman Z-Score of 25.94, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Appfolio's Piotroski F-Score?
Appfolio (APPF) has a Piotroski F-Score of 4 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Appfolio's earnings high quality?
Appfolio (APPF) has an earnings quality ratio of 1.72x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is Appfolio?
Appfolio (APPF) scores 72 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.