# Tyler Technologies (TYL) Forecast Calculator

Interactive five-year financial forecast and DCF for Tyler Technologies. Adjust revenue growth, margins, capex, and WACC to update revenue, free cash flow, and enterprise value.

- Canonical: https://finamodel.com/companies/tyler-technologies/forecast
- Industry: Technology
- Forecast start year: 2026

## Historical data

| Year | Revenue | Free cash flow | EBITDA | Net income |
|---:|---:|---:|---:|---:|
| 2021 | 1086427000 | 217484000 | 233039000 | 146527000 |
| 2022 | 1116663000 | 332399000 | 254583000 | 194820000 |
| 2023 | 1592287000 | 337834000 | 316359000 | 161458000 |
| 2024 | 1850204000 | 358926000 | 373321000 | 164240000 |
| 2025 | 1951751000 | 359921000 | 372616000 | 165919000 |

## Frequently asked questions

### What does Tyler Technologies do?

Tyler Technologies provides integrated software and technology services exclusively for the public sector, including local, state, and federal governments, as well as schools. The company offers solutions for core back-office functions and digital government services, actively transitioning to a cloud-first SaaS model.

### How does Tyler Technologies generate revenue?

Tyler Technologies generates revenue primarily through its Enterprise Software and Platform Technologies segments, serving government and educational institutions. The company is transitioning from legacy on-premise software licenses to a cloud-first Software-as-a-Service (SaaS) and transaction-based model.

### What is Tyler Technologies' capital expenditure strategy?

Tyler Technologies' capital expenditure, approximately 1.5% to 2.0% of revenue, is almost entirely growth-focused on software development and internal IT infrastructure. The company is currently finalizing its exit from proprietary data centers and migrating internal systems to public cloud infrastructure.

### Why does Tyler Technologies have negative net working capital?

Tyler Technologies exhibits negative net working capital because it collects cash upfront for annual SaaS and maintenance contracts before recognizing the revenue. This allows the company to fund its growth through its working capital cycle, benefiting from significant deferred revenue balances.

### What is the purpose of the financial model for Tyler Technologies?

The financial model evaluates Tyler Technologies' equity valuation and free cash flow generation. It helps equity analysts determine if the company's transition to a cloud-first SaaS model and integration of platform payment technologies justify its premium trading multiple.

### Where can I download a financial model for Tyler Technologies?

A downloadable Excel model for Tyler Technologies is available, covering a forecast horizon from FY2026 to FY2030. This general corporate model includes key assumptions such as revenue growth, COGS as a percentage of revenue, and the company's tax rate.