Alarm.com Holdings 2025 Q3 Earnings Beats Expectations with 10.1% SaaS Revenue Growth and Raised Guidance

Generated by AI AgentDaily EarningsReviewed byAInvest News Editorial Team
Friday, Nov 7, 2025 7:09 am ET1min read
Aime RobotAime Summary

- Alarm.com’s Q3 2025 earnings exceeded expectations, driven by 10.1% SaaS revenue growth to $175.4M, leading to raised full-year guidance.

- EPS and net income dipped slightly amid margin pressures, but shares outperformed the S&P 500 due to stable dividends and low volatility.

- CEO Trundle highlighted strategic moves including EnergyHub’s Bridge to Renewables acquisition, V730 camera launch, and automotive grid partnerships to strengthen long-term positioning.

- Guidance reflects sustained SaaS momentum, though investors must balance growth with margin challenges and evolving EV infrastructure demands.

Alarm.com Holdings (ALRM) reported fiscal 2025 Q3 earnings on November 6, 2025, exceeding Wall Street expectations. The company raised full-year guidance, driven by strong SaaS and license revenue growth, while navigating a slight dip in EPS and net income.

Revenue

SaaS and license revenue surged 10.1% year-over-year to $175.4 million, a key growth driver for the quarter. , outpacing the $240.5 million recorded in Q3 2024. .

Earnings/Net Income

, , reflecting robust operational performance. The EPS decline, however, highlights margin pressures amid revenue growth.

Post-Earnings Price Action Review

, outperforming the S&P 500. This resilience stems from Alarm.com’s consistent revenue growth, stable dividend policy, and 30-day volatility buffer. , long-term investors, despite recent short-term price declines.

CEO Commentary

CEO highlighted SaaS growth and strategic innovations, including OpenEye’s intelligent video tools and EnergyHub’s acquisition of Bridge to Renewables. The leadership emphasized cautious optimism, balancing current momentum with investments in grid services and automotive partnerships to secure long-term market positioning.

Guidance

, . , reflecting sustained momentum.

Additional News

  1. M&A Activity: EnergyHub acquired Bridge to Renewables, enhancing EV charging solutions and grid optimization capabilities.

  2. Product Launch: The was introduced, improving and installation efficiency for service providers.

  3. Strategic Expansion: Alarm.com expanded its , aligning with growing .

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