What factors drove the changes in Arlo Technologies's revenue and profit?

What is Arlo Technologies's latest dividend and current dividend yield?

What guidance did Arlo Technologies's management provide for the next earnings period?

What is Arlo Technologies's gross profit margin?

What is the revenue and EPS growth rate for Arlo Technologies year over year?

Did Arlo Technologies beat or miss consensus estimates last quarter?

What were the key takeaways from Arlo Technologies’s earnings call?

What were the key takeaways from Arlo Technologies's earnings call?

- **SaaS Dominance**: 5.4M paid accounts (27% YoY) drive $323M ARR (+34%), with service gross margin at 85%. 
- **Product Innovation**: 29% YoY unit growth from new platforms with 20%-35% BOM savings. 
- **Profit Leap**: Adjusted EBITDA $17.1M (+50% YoY), free cash flow $49M (9M period). 
- **Q4 Outlook**: Revenue $131-141M, targeting 20%-30% unit growth and strategic account expansion. 
- **Partnership Payoff**: Verisure, Allstate, and ADT partnerships set to accelerate 2026 growth.

**【CEO Summary Section】**
- **Record Q3 Performance**: Achieved 281,000 new paid accounts, driving total to 5.4 million, with ARPU over $15/month and ARR reaching $323 million (34% YoY growth). 
- **Product Launch Success**: Introduced 100+ SKUs with 20%-35% BOM cost reduction, achieving 29% YoY unit sales growth. 
- **AI-Driven Growth**: Arlo Secure 6 platform boosted LTV to $870, up 770bps in service gross margin to 85%. 
- **Q4 Outlook**: Anticipates 20%-30% unit growth, supported by strategic partnerships with Verisure, Allstate, and ADT. 

**【CFO Financial Commentary】**
- **Revenue Breakdown**: Total Q3 revenue $139.5M (57% from subscriptions/services). Subscriptions revenue $79.9M (+29% YoY). Product revenue $59.6M (-21% YoY). 
- **Profitability**: Adjusted EBITDA $17.1M (+50% YoY). Non-GAAP net income $18.1M. Free cash flow $49M (9M period). 
- **Margins**: Service gross margin 85% (up 770bps YoY). Product gross margin negative due to tariffs and EOL promotions. 
- **Q4 Guidance**: Revenue $131-141M, Non-GAAP EPS $0.13-0.19. 

**【Q&A Key Highlights】**
- **Inventory Management**: Q3 tariffs added $5M cost, but BOM reductions offset 20% of impact. Inventory cleared ahead of new product launch. 
- **Partnership Expansion**: Verisure's ADT Mexico acquisition opens Latin America growth. ADT testing units ahead of 2026 launch. 
- **Retail Strategy**: Walmart shelf share doubled to 9 SKUs, driving mass-market penetration. Amazon gaining weekly share. 
- **Service Momentum**: Q3 service revenue up 34%, with Q4 poised for further growth from new household formations.

Arlo Technologies, Inc. (ARLO) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

ARLO

ARLO fundamentals

You can ask Aime