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Alarm.com Holdings (ALRM) Q1 2025 earnings results (first quarter 2025)

10-Q filed May 9, 2025

Alarm.com Holdings (ALRM) reported revenue of $239M for the first quarter 2025 (Q1 2025), +7% from a year earlier and -1% from the quarter before. Operating margin was 12.4%, net earnings $27.7M (11.6% of revenue).

Revenue$239M
Year over year+7%
Quarter over quarter-1%
Operating margin12.4%
Net earnings$27.7M

Alarm.com Holdings, Q1 2025: revenue $239M (+7% year over year), operating margin 12.4%, net earnings $27.7M, operating cash flow $24.1M. The chart follows the revenue to costs, profit and cash.

Q1 2025AmountQ/QY/Y
Revenue$239M-1%+7%
Operating profit$29.6M-4%+58%
Net earnings$27.7M-8%+18%
Operating cash flow$24.1M-57%-52%
Free cash flow$17.9M—-62%

What changed

Revenue was $238.8M in Q1 2025, up 7% year over year and down 1% from the previous quarter. SaaS and license revenue was the largest line at 69% of revenue. SaaS and license revenue added $13.5M year over year (up 9%), 87% of the total change.

Operating profit was $29.6M, a 12.4% margin (up 4.0 points year over year). Of the extra revenue versus a year earlier, 70% reached operating profit, above the 8% margin then. Total costs grew 2% against revenue growth of 7%. The fastest-growing cost line was Sales & marketing (+12%). Net earnings were $27.9M, up 18% year over year. The effective tax rate was 20.9%.

Operating cash flow was $24.1M (down 52% year over year), 87% of net earnings. Non-cash charges added back $7.0M of depreciation and amortization and $9.5M of share-based compensation. Working capital and other items used $20.1M. After itions to property and equipment ($6.1M), free cash flow as the company reports it was $17.9M.

Questions

What was Alarm.com Holdings' revenue in the first quarter 2025?

Alarm.com Holdings (ALRM) reported revenue of $239M for the first quarter 2025 (Q1 2025), +7% from a year earlier and -1% from the quarter before.

Was Alarm.com Holdings profitable in the first quarter 2025?

Operating profit was $29.6M (12.4% of revenue) and net earnings $27.7M.

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Source: Alarm.com Holdings 10-Q on SEC EDGAR.