NYSE$ARLO

Arlo Technologies Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Arlo reported a strong start to the year with record service revenue and free cash flow, driven by an innovative product portfolio and growing services offering.

Arlo Technologies reported strong Q1 2024 results, with a record service revenue of $56.7 million, a record free cash flow of $19.5 million, and an increase in total revenue of 11.9% year over year. The company's ARR reached $227 million, and cumulative paid accounts grew to 3.2 million.

  • Total revenue reached $124.2 million, up 11.9% year over year.
  • Service revenue hit a record $56.7 million, a 29.0% increase year over year.
  • Free cash flow reached a record $19.5 million with a 15.7% margin.
  • ARR ended the quarter at $227.0 million, growing 24.3% year over year.

Headline financials

Total Revenue

$124M

Previous: $111M+11.9%
EPS

-$0.10

Previous: $0.01-1100.0%
ARR

$227M

No prior period
Paid Accounts

3.2M

Previous: 2.0M+58.3%
Capital Expenditures

-$356K

Previous: -$923K+61.4%
Free Cash Flow

-$10M

Previous: -$15.2M+34.1%
Net Income

-$9.64M

Previous: -$14.2M+32.3%
Operating Income

-$10.6M

Previous: -$14.1M+25.0%
Gross Profit

$47.4M

Previous: $35.2M+34.5%

Revenue & EPS history

Arlo · Revenue · Quarterly

$124M

Q1 2024+11.9%vs Q1 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Arlo · $79M total across 1 segment · Q3 2023

  • Products
    $79M-14.8%

Forward guidance

Arlo expects revenue between $120 million and $130 million and non-GAAP net income per diluted share between $0.06 and $0.12 for the second quarter of 2024.

Tailwinds

  • Revenue between $120 million and $130 million
  • Non-GAAP net income per diluted share between $0.06 and $0.12

Headwinds

  • GAAP net loss per share between $(0.11) and $(0.05)

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 Q1 2024

Historical avgQ1 2024

+0.4%

Avg return

Earnings day

-1.4%

Avg return

5 days after

-2.5%

Avg return

30 days after

49%

17 / 35 earnings

Positive

+48.1%

Q4 2022

Best reaction

-46.2%

Q4 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.5%-11.1%-12.2%
Q4 2025+26.8%+21.9%+9.1%
Q3 2025-12.3%-8.0%-14.3%
Q1 2025+16.9%+29.1%+57.7%
Q3 2024+1.3%-0.4%+8.1%
Q2 2024-10.7%-8.8%-13.6%
Q1 2024-19.6%-19.5%-5.8%
Q4 2023+18.8%+9.7%+27.0%
Q3 2023-9.8%-3.7%+3.1%
Q2 2023+7.3%+1.2%+2.6%
Q1 2023+26.2%+29.3%+27.8%
Q4 2022+48.1%+55.0%+80.1%
Q3 2022-29.6%-17.4%-27.3%
Q2 2022+1.7%-5.1%-23.4%
Q1 2022-5.3%-3.4%+1.9%
Q4 2021+20.6%+16.1%-4.5%
Q3 2021+11.5%+11.7%+33.1%
Q2 2021-2.6%-1.8%+1.6%
Q1 2021+8.6%+1.3%+9.7%
Q4 2020+6.2%-1.7%+3.0%
Q3 2020+6.8%+2.3%+50.0%
Q2 2020+22.1%+15.2%+2.1%
Q1 2020-10.8%-13.9%-3.5%
Q4 2019+17.3%-3.8%-48.4%
Q3 2019-16.2%-13.6%-3.2%
Q2 2019-21.5%-21.5%-16.9%
Q1 2019+5.6%+3.8%-7.6%
Q4 2016-1.7%+1.5%+0.7%
Q4 2018-46.2%-49.0%-39.2%
Q3 2017-6.7%-0.9%-13.0%
Q3 2018-9.6%-10.4%-11.9%
Q2 2018-8.1%-13.1%-40.4%
Q4 2017-8.1%-13.1%-40.4%
Q2 2017-8.1%-13.1%-40.4%
Q1 2018-8.1%-13.1%-40.4%
Q1 2017

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