ALRM earnings analysis
What we found in ALRM's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Alarm.com reported strong Q1 2026 results, with total revenue rising 11% year-over-year to $265.2 million and EPS increasing to $0.65, surpassing estimates. The company also raised its full-year revenue guidance by $6 million, reflecting positive momentum in its SaaS and hardware segments despite facing notable macroeconomic challenges.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Q1 Revenue Growth
- Total revenue increased by 11% year-over-year to $265.2 million, up from $238.8 million in Q1 2025.
- EPS Surpasses Estimates
- Reported EPS of $0.65 exceeded analyst expectations of $0.58.
- SaaS Revenue Growth
- SaaS and license revenue grew 11% to $181.5 million during Q1 2026 from $163.8 million in Q1 2025.
- Free Cash Flow Improvement
- Operating cash flow improved substantially to $50.6 million from $24.1 million in the prior year.
- Raised Full-Year Guidance
- Increased revenue guidance by $6 million, now between $1.0595 billion and $1.0705 billion.
- Segment Performance Strength
- Hardware revenue rose 12%, contributing $83.7 million of the total revenue share.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Decline in Net Income
- Net income decreased to $23.4 million in Q1 2026, down from $27.7 million in Q1 2025.
- Increased Costs
- Cost of SaaS and license revenue increased by 29% to $27.9 million, impacting profit margins.
- Market Conditions Uncertainty
- The ongoing macroeconomic conditions could negatively affect future sales and revenue.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.65
- Gross margin
- 66.0%
- Operating margin
- 12.0%
- Segment
- SaaS and License Revenue: $181.5 million (68% of total revenue)
- Segment
- Hardware and Other Revenue: $83.7 million (32% of total revenue)
What they said about what is next.
Management raised full-year revenue guidance by $6 million during the earnings call.
The filing reads better than the one before it.
What came before.
- 10-K · February 19, 2026
- Alarm.com reports continued multi-year growth with total revenue of $1.0112 billion in 2025 and SaaS & license revenue of $689.4 million (10.1% CAGR). Profitability expanded (net income attributable to common…
- 10-Q · August 7, 2025
- Alarm.com reported Q2 revenue of $254.308M, up $20.501M (+8.8%) vs Q2 2024, with operating income improving to $32.022M (+24.3%) and diluted EPS of $0.63 (vs $0.62). Gross margin remained healthy at 65.6% and operating…
- 10-Q · November 7, 2024
- Alarm.com reported a strong Q3 with revenue of $240,497,000 (up $18,643,000 vs $221,854,000 in Q3 2023) and materially higher profitability: operating income rose to $33,194,000 from $16,171,000 a year earlier and…
- 10-K · February 22, 2024
- Alarm.com reports continued revenue and SaaS growth with total revenue of $881.7M in 2023 and SaaS & license revenue of $569.2M (CAGR 11.2% since 2021). Profitability strengthened (net income attributable to common…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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