10-K · March 2, 2026
ADT is positioning itself as a platform-centric security and smart-home provider centered on its ADT+ ecosystem and strategic partnerships (notably Google). Revenue rose modestly to about $5.14 billion in 2025 (from…
Earnings analysis · 10-Q
ADT earnings analysis
Filed April 30, 2026 · Our reading of the company's report
The latest report
ADT reported Q1 2026 results showing a slight revenue increase of 0.2% sequentially to $1.28 billion and a 0.9% year-over-year rise, surpassing estimates. GAAP EPS improved to $0.23, marking a 43.75% increase from $0.16…
Read full summary
ADT reported Q1 2026 results showing a slight revenue increase of 0.2% sequentially to $1.28 billion and a 0.9% year-over-year rise, surpassing estimates. GAAP EPS improved to $0.23, marking a 43.75% increase from $0.16 in Q1 2025, benefiting from decreased interest expenses and effective cost management. Despite a small dip in total recurring monthly revenue (RMR), the overall financial health and cash flow generation remain strong with solid positive cash flow from operations.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.23
What stood out
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Revenue Growth vs Estimates
Total revenue was $1.28 billion, above the estimate of $1.27 billion, reflecting a 0.9% increase from Q1 2025.
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EPS Beat Expectations
Diluted EPS of $0.23 beat the expected $0.20, representing a 43.75% increase from $0.16 in the year-ago quarter.
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Operating Cash Flow Robust
Operating cash flow was $638.1 million, an increase of $171.5 million year-over-year from $466.6 million.
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Improved Interest Expense
Interest expense decreased to $98.4 million, down from $120.9 million, contributing positively to net income.
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Growth in Adjusted EBITDA
Adjusted EBITDA grew to $673.8 million from $660.8 million, showcasing operational strength.
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Active Share Repurchase Program
During Q1 2026, ADT repurchased 17.65 million shares for $116 million under its $1.5 billion repurchase plan.
What to watch
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Increased Customer Revenue Attrition
Gross customer revenue attrition increased to 13.1% from 12.6% year-over-year, hinting at potential customer retention issues.
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Fluctuating RMR
RMR decreased to $358.9 million from $359.5 million year-over-year, mainly due to the Multifamily Divestiture.
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Macroeconomic Pressures
Ongoing supply chain issues and inflation could impact operational costs and customer spending behavior.
Management's outlook
Outlook deferred to earnings press release / call.
Earlier filings 4
10-K · February 27, 2025
ADT positions itself as a leading U.S. residential and small-business security provider with a strong brand and ~6.4 million monitoring subscribers as of December 31, 2024. Management completed a strategic Commercial…
10-Q · October 24, 2024
ADT reported Q3 revenue of $1,243,836 (up $63,963 or ~5.4% vs. Q3 2023) driven by growth in both Monitoring ($1,077,550) and Security installation, product & other ($166,286). Operating income rose to $326,350 (26.2%…
10-Q · April 25, 2024
ADT returned to profitability in Q1 2024 with operating income of $195,496 (thousands) and net income of $91,551 (thousands), driven by lower interest expense and cost reductions, despite a year-over-year revenue…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.