NASDAQ$AXON
Axon Enterprise Inc · Q4 2023 earnings
Q4 2023 earnings · · Investor relations
Briefing
Axon's revenue grew, driven by strong demand across product categories, particularly Axon Cloud software.
Axon's Q4 2023 revenue grew by 28.6% year over year, reaching $432 million, driven by strong demand across product categories. The company's net income was $57 million, or $0.75 per diluted share, while non-GAAP net income was $85 million, or $1.12 per diluted share. Axon Cloud software was the primary driver of revenue growth.
- Quarterly revenue of $432 million exceeded expectations with 28.6% year-over-year growth.
- Total company gross margin of 61.1% declined 10 basis points year over year.
- Net income of $57 million, or $0.75 per diluted share, supported non-GAAP net income of $85 million, or $1.12 per diluted share.
- Adjusted EBITDA of $91 million reflected an Adjusted EBITDA margin of 21.1%.
Headline financials
Revenue & EPS history
Axon · Revenue · Quarterly
$432M
Revenue by segment
Axon · $163M total across 1 segment · Q3 2023
- TASER$163M+12.2%100.0%
Forward guidance
Axon expects full year 2024 revenue of $1.88 billion to $1.94 billion, representing approximately 20% to 24% annual growth. Axon expects a full year 2024 Adjusted EBITDA dollars of $410 million to $430 million, implying continued Adjusted EBITDA margin expansion from 2023.
Tailwinds
- Axon expects full year 2024 revenue of $1.88 billion to $1.94 billion, representing approximately 20% to 24% annual growth.
- Axon expects a full year 2024 Adjusted EBITDA dollars of $410 million to $430 million, implying continued Adjusted EBITDA margin expansion from 2023.
- We expect stock-based compensation expenses to be approximately $205 million to $220 million for the full year.
- Full year expected stock based compensation expense includes approximately $42 million in expenses related to an enhanced equity compensation opportunity provided to employees whose compensation is under a specified threshold.
- We expect 2024 CapEx to be in the range of $60 million to $75 million.
Headwinds
- The following forward-looking statements reflect Axon’s expectations as of February 27, 2024, and are subject to risks and uncertainties.
- We provide Adjusted EBITDA guidance, rather than net income guidance, due to the inherent difficulty of forecasting certain types of expenses and gains such as stock-based compensation, income tax expenses and gains or losses on marketable securities and strategic investments, which affect net income but not Adjusted EBITDA.
- We are unable to reasonably estimate the impact of such expenses, which could be material, on net income.
- Because our stock-based compensation expenses may vary based on changes in our stock price or the actual timing of attainment of certain metrics, it is inherently difficult to forecast future stock-based compensation expense, which may also be materially affected by any future stock-based compensation plans, subject to shareholder approval.
- Our 2024 CapEx plans include investments in TASER 10 automation and capacity expansion, including cartridge capacity and lab enhancements and global facility build-out and upgrades, including warehousing support for global shipping facilities.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2023
+3.4%
Avg return
Earnings day
+6.6%
Avg return
5 days after
+6.7%
Avg return
30 days after
55%
35 / 64 earnings
Positive
+31.3%
Q3 2024
Best reaction
-17.1%
Q4 2012
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +1.4% | +3.1% | +27.9% | |
| Q4 2025 | +1.1% | +29.3% | -2.8% | |
| Q3 2025 | +13.7% | -17.2% | -22.0% | |
| Q1 2025 | +14.2% | +20.4% | +31.6% | |
| Q4 2024 | +15.3% | +5.9% | +7.7% | |
| Q3 2024 | +31.3% | +29.5% | +49.7% | |
| Q2 2024 | +22.0% | +27.6% | +24.0% | |
| Q1 2024 | -1.8% | -4.7% | -11.4% | |
| Q4 2023 | +13.9% | +15.7% | +15.2% | |
| Q3 2023 | +5.9% | +0.5% | +8.5% | |
| Q2 2023 | +11.6% | +17.6% | +20.3% | |
| Q1 2023 | -13.1% | -9.2% | -12.2% | |
| Q4 2022 | +13.4% | +13.3% | +11.7% | |
| Q3 2022 | +15.8% | +23.2% | +15.7% | |
| Q2 2022 | +8.5% | +11.4% | +5.6% | |
| Q1 2022 | -4.0% | +11.8% | +15.0% | |
| Q4 2021 | +9.6% | +16.1% | +8.4% | |
| Q3 2021 | +4.3% | +6.8% | -13.4% | |
| Q2 2021 | +0.8% | -3.8% | -3.3% | |
| Q1 2021 | -4.6% | -6.6% | -0.1% | |
| Q4 2020 | +2.5% | +2.9% | -14.6% | |
| Q3 2020 | +16.7% | +13.3% | +18.2% | |
| Q2 2020 | -9.5% | -14.5% | -10.8% | |
| Q1 2020 | +30.2% | +26.2% | +40.3% | |
| Q4 2019 | -3.8% | -2.9% | -7.5% | |
| Q3 2019 | +25.0% | +22.5% | +37.6% | |
| Q2 2019 | -11.4% | -10.3% | -5.4% | |
| Q1 2019 | -4.9% | -1.0% | +3.3% | |
| Q4 2018 | -4.4% | -6.2% | -7.2% | |
| Q3 2018 | -16.1% | -13.6% | -26.4% | |
| Q2 2018 | -10.6% | -8.1% | +5.1% | |
| Q1 2018 | +21.6% | +27.4% | +41.4% | |
| Q4 2017 | +23.7% | +37.6% | +39.6% | |
| Q3 2017 | -7.7% | -8.9% | +4.8% | |
| Q2 2017 | -10.5% | -13.1% | -16.4% | |
| Q1 2017 | +4.8% | +3.8% | -2.4% | |
| Q4 2016 | -6.7% | -12.5% | -11.0% | |
| Q3 2016 | +19.3% | +22.3% | +6.0% | |
| Q2 2016 | +1.9% | -0.1% | -7.5% | |
| Q1 2016 | +2.9% | — | — | |
| Q4 2015 | +11.2% | — | — | |
| Q3 2015 | -13.8% | — | — | |
| Q2 2015 | -14.1% | — | — | |
| Q1 2015 | +15.3% | — | — | |
| Q4 2014 | -13.2% | — | — | |
| Q3 2014 | +14.4% | — | — | |
| Q2 2014 | +4.9% | — | — | |
| Q1 2014 | -10.7% | — | — | |
| Q4 2013 | +7.3% | — | — | |
| Q3 2013 | +13.5% | — | — | |
| Q2 2013 | -0.2% | — | — | |
| Q1 2013 | +7.8% | — | — | |
| Q4 2012 | -17.1% | — | — | |
| Q3 2012 | -1.7% | — | — | |
| Q2 2012 | -1.1% | — | — | |
| Q1 2012 | +0.0% | — | — | |
| Q4 2011 | -0.5% | — | — | |
| Q3 2010 | -2.7% | — | — | |
| Q3 2011 | -2.7% | — | — | |
| Q2 2010 | -2.7% | — | — | |
| Q2 2011 | -2.7% | — | — | |
| Q1 2011 | +4.8% | — | — | |
| Q4 2010 | -4.8% | — | — | |
| Q1 2010 | +6.1% | — | — |
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