NASDAQ$NTGR
NETGEAR Inc · Q4 2024 earnings
Q4 2024 earnings · · After market close · Investor relations
Briefing
NETGEAR reported its financial results for the fourth quarter and full year ended December 31, 2024, with Q4 net revenue of $182.4 million and operating margin above the high end of guidance.
NETGEAR delivered Q4 net revenue of $182.4 million, exceeding guidance, and achieved its sixth consecutive quarter of cash generation with $19.0 million in free cash flow. The company also significantly increased its cash position by $125 million and repurchased over $33 million of stock in 2024, while implementing a restructuring to fund 2025 investment opportunities.
- Q4 net revenue was $182.4 million, exceeding the high end of guidance.
- Q4 annual recurring revenue reached almost $35 million, growing 25% year over year.
- The company generated $19.0 million in free cash flow in Q4, marking the sixth consecutive quarter of cash generation.
- NETGEAR added $125 million in cash and repurchased over $33 million of stock in 2024.
Headline financials
Revenue & EPS history
NETGEAR · Revenue · Quarterly
$182M
Forward guidance
NETGEAR expects first quarter 2025 net revenue to be between $145 million and $160 million, with GAAP operating margin in the range of (16.4)% to (13.4)% and non-GAAP operating margin in the range of (10.0)% to (7.0)%.
Tailwinds
- Expects more predictable performance aligned with market trends.
- Destocking and inventory reduction actions are completed.
- Strong end-user demand for ProAV line of managed switches within NFB.
- Signs of market stability in the retail portion of the CHP business.
- Expects normal seasonality in the retail portion of the CHP business.
Headwinds
- Facing lengthy lead times for supply in NFB, leading to under-shipping in Q1.
- Muted top-line guidance reflects supply constraints.
- Service provider channel revenue expected to be approximately $15 million in Q1, down sequentially.
- Seasonally lower topline expected in Q1.
- GAAP tax expense expected to be $1.0 million to $2.0 million for Q1 2025.
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 2024
-0.9%
Avg return
Earnings day
-1.9%
Avg return
5 days after
-3.7%
Avg return
30 days after
38%
25 / 65 earnings
Positive
+30.6%
Q3 2015
Best reaction
-20.3%
Q1 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -2.2% | -1.0% | +0.3% | |
| Q4 2025 | -1.5% | +2.2% | +0.5% | |
| Q3 2025 | +1.1% | -11.4% | -21.3% | |
| Q1 2025 | +16.1% | +13.9% | +21.6% | |
| Q4 2024 | +1.3% | +9.8% | -17.2% | |
| Q3 2024 | +7.2% | +13.4% | +20.4% | |
| Q2 2024 | +2.5% | -9.0% | +1.2% | |
| Q1 2024 | -20.3% | -18.4% | -6.6% | |
| Q4 2023 | -7.8% | -2.7% | +3.3% | |
| Q3 2023 | +14.1% | +14.6% | +18.9% | |
| Q2 2023 | -2.1% | -4.2% | -10.5% | |
| Q1 2023 | -13.1% | -13.9% | -16.4% | |
| Q4 2022 | -3.3% | -2.3% | -8.8% | |
| Q3 2022 | -10.0% | -9.7% | -11.3% | |
| Q2 2022 | +26.0% | +31.0% | +21.0% | |
| Q1 2022 | -0.0% | -1.1% | -12.4% | |
| Q4 2021 | +1.4% | -5.1% | -5.2% | |
| Q3 2021 | -4.0% | -5.7% | -15.7% | |
| Q2 2021 | -9.0% | -6.2% | -4.5% | |
| Q1 2021 | -2.5% | +3.2% | +1.9% | |
| Q4 2020 | -7.9% | -3.5% | -11.3% | |
| Q3 2020 | -1.8% | -5.6% | -13.4% | |
| Q2 2020 | +5.4% | +0.1% | +11.2% | |
| Q1 2020 | -7.9% | -3.2% | +7.6% | |
| Q4 2019 | -4.1% | -10.5% | -27.7% | |
| Q3 2019 | -18.5% | -14.5% | -21.9% | |
| Q2 2019 | +23.4% | +24.3% | +21.2% | |
| Q1 2019 | -15.6% | -11.3% | -26.1% | |
| Q4 2018 | -3.8% | -0.5% | -10.9% | |
| Q3 2018 | -1.6% | -2.2% | -4.0% | |
| Q2 2018 | -13.3% | -8.6% | -7.2% | |
| Q1 2018 | -14.1% | -11.2% | -3.1% | |
| Q4 2017 | -13.7% | -11.0% | -11.5% | |
| Q3 2017 | -4.5% | -5.4% | +0.0% | |
| Q2 2017 | +10.9% | +7.8% | +6.9% | |
| Q1 2017 | -12.3% | -10.8% | -19.7% | |
| Q4 2016 | -6.6% | -5.1% | -7.3% | |
| Q3 2016 | -5.8% | -5.5% | -1.9% | |
| Q2 2016 | +6.0% | +6.9% | +15.5% | |
| Q1 2016 | +11.6% | — | — | |
| Q4 2015 | -3.4% | — | — | |
| Q3 2015 | +30.6% | — | — | |
| Q2 2015 | +17.1% | — | — | |
| Q1 2015 | -9.5% | — | — | |
| Q4 2014 | -9.6% | — | — | |
| Q3 2014 | +4.3% | — | — | |
| Q2 2014 | -7.6% | — | — | |
| Q1 2014 | -5.8% | — | — | |
| Q4 2013 | +4.9% | — | — | |
| Q3 2013 | -8.9% | — | — | |
| Q2 2013 | -9.0% | — | — | |
| Q1 2013 | +2.6% | — | — | |
| Q4 2012 | -9.9% | — | — | |
| Q3 2012 | -4.4% | — | — | |
| Q2 2012 | +2.8% | — | — | |
| Q1 2011 | -0.8% | — | — | |
| Q1 2012 | +16.0% | — | — | |
| Q4 2011 | -1.2% | — | — | |
| Q4 2009 | -1.2% | — | — | |
| Q1 2010 | -1.2% | — | — | |
| Q3 2010 | +1.8% | — | — | |
| Q3 2011 | +1.8% | — | — | |
| Q4 2010 | +3.3% | — | — | |
| Q2 2011 | +3.3% | — | — | |
| Q2 2010 | +3.3% | — | — |
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