NYSE$SMRT

Smartrent Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

SmartRent reported increased revenue, improved gross margins, and a reduced net loss, marking the sixth consecutive quarter of improved Adjusted EBITDA.

SmartRent reported a 22% increase in revenue to $58.1 million, a gross profit of $13.5 million, and a net loss of $(7.7) million, a 70% improvement year-over-year. The company's cash and cash equivalents increased by $14 million to $211.0 million. They are on track to achieve Adjusted EBITDA profitability in Q4 2023 and positive cash flow from operations within six months following.

  • Revenue increased by 22% year-over-year to $58.1 million.
  • Gross profit increased by over 1,000% year-over-year to $13.5 million.
  • Net loss improved by 70% year-over-year to $(7.7) million.
  • Cash and cash equivalents increased by $14 million to $211.0 million.

Headline financials

Total Revenue

$58.1M

Previous: $47.5M+22.3%
EPS (adj)

-$0.04

Previous: -$0.13+69.2%
New Units Deployed

32.3K

No prior period
SaaS ARPU

$5.41

Previous: $3.50+54.6%
Units Booked

46.3K

No prior period
Bookings

$49.7M

No prior period
Capital Expenditures

-$116K

Previous: -$802K+85.5%
Free Cash Flow

-$7.84M

Previous: -$26.8M+70.7%
Net Income

-$7.72M

Previous: -$26M+70.2%
Operating Income

-$9.95M

Previous: -$26.7M+62.7%
Gross Profit

$13.5M

Previous: $1.18M+1043.8%
Cash & Equivalents

$211M

Previous: $210M+0.4%
Total Assets

$516M

Previous: $551M-6.4%
R&D Expense

$7.57M

No prior period
Stock-Based Comp

$3.27M

Previous: $3.07M+6.8%

Revenue & EPS history

Smartrent · Revenue · Quarterly

$58.1M

Q3 2023+22.3%vs Q3 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Smartrent · $58.1M total across 3 segments · Q3 2023

  • Hardware
    $35.6M+33.5%
  • Hosted Services
    $16.5M+23.8%
  • Professional Services
    $5.96M-20.3%

Forward guidance

The Company has tightened its full year 2023 guidance to $235 to $240 million from $233 to $250 million in revenue and to $(20) to $(18) million from $(22) to $(18) million in Adjusted EBITDA. SmartRent’s guidance for the fourth quarter and full-year 2023 is as follows: Fourth Quarter 2023 Guidance •Total Revenue of $58 to $63 million •Adjusted EBITDA of $0 to $2 million

Tailwinds

  • Total Revenue of $58 to $63 million in Q4 2023.
  • Adjusted EBITDA of $0 to $2 million in Q4 2023.
  • Full Year 2023 Total Revenue of $235 to $240 million.
  • Full Year 2023 Adjusted EBITDA of $(20) to $(18) million.
  • Achieve Adjusted EBITDA profitability by year end.

Headwinds

  • Timing differences may lead to some quarter-to-quarter variability.
  • Estimates exclude the impact of potential acquisitions.
  • Estimates exclude the impact of capital markets activities.
  • Estimates exclude the impact of 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.

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 Q3 2023

Historical avgQ3 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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