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Tyler Technologies TYL Software licenses and royalties — Total cost of revenues

Discontinued — last reported Q4 '25

Other product segments

Subscriptions, maintenance, and professional services
$293.55M+5.6%
Amortization of acquired software
$8.98M-3.3%
Other
$8.91M
Amortization of software development
$5.62M+4.6%

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BSYSubscriptions and licenses — Total cost of revenues
$53.1M+14.2%

Other financials

Income statement

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Revenue$613.5M+8.6%
Gross profit$296.4M+11.0%
Operating income$99.8M+11.9%
Net income$81.2M+0.2%
EPS (diluted)$1.88+2.2%

Balance sheet

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Cash & equivalents$316.0M-55.2%
Total debt$48.0M-96.1%
Total equity$3.6B+1.3%
Total assets$4.8B-7.6%

Cash flow

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Operating cash flow$107.3M+91.0%
CapEx$3.2M+38.6%
Free cash flow$104.0M+93.3%

Valuation

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Market cap$11.47B-42.0%
Enterprise value$11.21B-44.3%
P/E36.3×-31.9×
P/S4.8×-4.2×

Profitability

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Gross margin46.8%+2.1pp
Operating margin15.5%+0.8pp
Net margin13.3%0.0pp
FCF margin28.9%+1.8pp

Returns & leverage

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Return on equity8.9%+0.1pp
Debt / equity-0.3×
Current ratio+0.1×

Where this comes from

Reported directly by Tyler Technologies in its filing.

Tagged under the XBRL concept us-gaap:CostOfGoodsAndServicesSold.

The official record: Tyler Technologies’s 10-K, filed February 18, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Tyler Technologies's software licenses and royalties — total cost of revenues?
Tyler Technologies (TYL) reported software licenses and royalties — total cost of revenues of $2.59M in Q4 2025.
How has Tyler Technologies's software licenses and royalties — total cost of revenues changed year-over-year?
Tyler Technologies's software licenses and royalties — total cost of revenues increased by 101.9% year-over-year, from $1.28M to $2.59M.
What is the long-term trend for Tyler Technologies's software licenses and royalties — total cost of revenues?
Over 3 years (2022 to 2025), Tyler Technologies's software licenses and royalties — total cost of revenues has grown at a 9.6% compound annual growth rate (CAGR), from $6.08M to $8.01M.
What does software licenses and royalties — total cost of revenues mean?
The direct costs incurred to generate revenue from software licenses and royalty agreements.
How do you interpret software licenses and royalties — total cost of revenues?
An increase relative to revenue indicates margin compression, potentially due to higher third-party royalty payments or increased fulfillment costs.
How does software licenses and royalties — total cost of revenues compare across companies?
Similar to cost of goods sold for software products in technology firms, excluding amortization of capitalized software development costs.