NYSE$SMRT

Smartrent Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

SmartRent's Q2 2023 results showcased significant year-over-year improvements in revenue, gross profit, and net loss, along with sequential and year-over-year improvements in Adjusted EBITDA.

SmartRent reported a 26% increase in revenue to $53.4 million, a 900% increase in gross profit to $9.9 million, and a 60% improvement in net loss to $(10.3) million. The company's Adjusted EBITDA improved by 68% year-over-year, and it ended the quarter with $197.0 million in cash and cash equivalents.

  • Revenue increased by 26% year-over-year to $53.4 million.
  • Gross profit increased by 900% year-over-year to $9.9 million.
  • Net loss improved by 60% year-over-year to $(10.3) million.
  • Adjusted EBITDA improved by 68% year-over-year to $(6.4) million.

Headline financials

Total Revenue

$53.4M

Previous: $42.4M+25.9%
EPS (adj)

-$0.05

Previous: -$0.13+61.5%
New Units Deployed

47.8K

Previous: 60.3K-20.8%
SaaS ARPU

$5.16

Previous: $6.05-14.7%
Units Booked

20.0K

Previous: 59.3K-66.3%
Bookings

$31.5M

No prior period
Capital Expenditures

-$49K

Previous: -$470K+89.6%
Free Cash Flow

-$10.4M

Previous: -$26.1M+60.1%
Net Income

-$10.3M

Previous: -$25.6M+59.6%
Operating Income

-$12.1M

Previous: -$27M+55.3%
Gross Profit

$9.88M

Previous: $988K+900.3%
Cash & Equivalents

$197M

Previous: $255M-22.7%
Total Assets

$521M

Previous: $576M-9.4%
Stock-Based Comp

$3.28M

Previous: $3.62M-9.5%

Revenue & EPS history

Smartrent · Revenue · Quarterly

$53.4M

Q2 2023+25.9%vs Q2 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Smartrent · $53.4M total across 3 segments · Q2 2023

  • Hardware
    $27.8M+33.0%
  • Hosted Services
    $15.6M+25.6%
  • Professional Services
    $10.1M+10.2%

Forward guidance

The Company believes it can sustain meaningful top-line growth while narrowing the Adjusted EBITDA loss, although timing differences may lead to some quarter-to-quarter variability. The Company has tightened its full year 2023 guidance to $233 to $250 million from $225 to $250 million in revenue and $(22) to $(18) million from $(25) to $(15) million in Adjusted EBITDA.

Tailwinds

  • Total Revenue of $57 to $62 million for Q3 2023
  • Adjusted EBITDA of $(6.5) to $(4.5) million for Q3 2023
  • Total Revenue of $58 to $70 million for Q4 2023
  • Adjusted EBITDA of $0 to $2 million for Q4 2023
  • Total Revenue of $233 to $250 million for full year 2023

Headwinds

  • Adjusted EBITDA of $(22) to $(18) million for full year 2023
  • Estimates represent a range of possible outcomes and may differ materially from actual results.
  • Estimates exclude the impact of potential acquisitions, capital markets activities, and unforeseen continued challenges with supply chain and logistics.
  • Estimates are forward-looking based on the Company’s current assessment of demand for its product, execution capabilities and market conditions
  • Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those currently anticipated.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

-0.7%

Avg return

Earnings day

-0.3%

Avg return

5 days after

-1.4%

Avg return

30 days after

48%

10 / 21 earnings

Positive

+28.6%

Q3 2023

Best reaction

-31.0%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-18.2%-18.2%-23.8%
Q4 2025+15.7%+15.6%-1.3%
Q3 2025+3.0%+8.1%+45.9%
Q1 2025+5.2%-10.3%+1.8%
Q4 2024+7.1%-8.7%-20.5%
Q3 2024-14.2%-12.5%+4.5%
Q2 2024-7.9%-16.4%-2.4%
Q1 2024-2.8%-2.4%-4.5%
Q4 2023-6.2%-6.2%-11.4%
Q3 2023+28.6%+17.0%+25.5%
Q2 2023-12.6%-10.8%-18.9%
Q1 2023+24.9%+36.0%+29.5%
Q4 2022-1.2%+1.5%-2.7%
Q3 2022+25.4%+25.4%+4.2%
Q2 2022-31.0%-33.9%-44.9%
Q1 2022+4.3%+20.6%+31.0%
Q4 2021-14.3%-7.8%-26.0%
Q3 2021-18.2%-11.7%-10.6%
Q2 2021-3.3%+8.8%-2.5%
Q1 2021+0.1%
Q4 2020+0.1%
Q3 2020
Q1 2020
Q4 2019
Q3 2019
Q2 2019
Q1 2019
Q4 2018
Q3 2018
Q2 2018
Q1 2018
Q4 2017
Q3 2017
Q2 2017
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q4 2012
Q3 2012

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