NYSE$ARLO
Arlo Technologies Inc · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Arlo's Q3 2023 results were reported, highlighting revenue at the high end of guidance, a significant increase in annual recurring revenue, positive free cash flow, and record non-GAAP EPS.
Arlo Technologies reported Q3 2023 results with revenue of $130.0 million. The company's annual recurring revenue (ARR) reached $200.0 million, representing a 59.5% year-over-year growth. Free cash flow was $7.0 million, and the company achieved a record non-GAAP EPS of $0.09.
- Total revenue reached $130.0 million, a 1.4% increase year-over-year.
- Service revenue hit a record $51.0 million, growing 44.0% year-over-year.
- GAAP EPS was $(0.01), while non-GAAP EPS reached a record $0.09.
- ARR ended at $200.0 million, up 59.5% year-over-year, with 197,000 paid accounts added in Q3.
Headline financials
Revenue & EPS history
Arlo · Revenue · Quarterly
$130M
Revenue by segment
Arlo · $79M total across 1 segment · Q3 2023
- Products$79M-14.8%100.0%
Forward guidance
For Q4 2023, Arlo expects GAAP revenue to be between $129 million and $139 million, with a net loss per diluted share between $(0.05) and $0.01. Non-GAAP revenue is also projected to be between $129 million and $139 million, with non-GAAP net income per diluted share between $0.06 and $0.12.
Tailwinds
- Revenue is expected to be between $129 million and $139 million.
- Non-GAAP net income per diluted share is projected to be between $0.06 and $0.12.
- Guidance reflects the company's expectations for the fourth quarter of 2023.
- The company anticipates continued growth in its services business.
- Arlo is focused on expanding its market reach with new products.
Headwinds
- GAAP net loss per diluted share is expected to be between $(0.05) and $0.01.
- Business outlook does not include estimates for any currently unknown income and expense items.
- New material income and expense items could have a significant effect on guidance and future results.
- Future demand for products may be lower than anticipated due to economic factors.
- The company may face challenges in managing costs and cost-saving initiatives.
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 Q3 2023
+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
| Quarter | Report date | Reaction (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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