Filing Flows › Arlo Technologies (ARLO) › Q1 2025
Arlo Technologies (ARLO) Q1 2025 earnings results (first quarter 2025)
10-Q filed May 8, 2025
Arlo Technologies (ARLO) reported revenue of $119M for the first quarter 2025 (Q1 2025), -4% from a year earlier and -2% from the quarter before. Operating margin was -1.2%, net loss $835K (0.7% of revenue).
Arlo Technologies, Q1 2025: revenue $119M (-4% year over year), operating margin -1.2%, net loss $835K, operating cash flow $30.9M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $119M | -2% | -4% |
| Operating profit | −$1.5M | — | — |
| Net earnings | −$835K | — | — |
| Operating cash flow | $30.9M | +363% | +56% |
| Free cash flow | $28.1M | — | +45% |
What changed
Revenue was $119.1M in Q1 2025, down 4% year over year and down 2% from the previous quarter. Subscriptions and services was the largest line at 58% of revenue. Products lost $17.3M year over year (down 26%), 337% of the total change.
Gross margin was 44.3%, up 6.1 points from a year earlier. Operating costs exceeded revenue by $1.5M, an operating margin of -1.2%. Operating expenses fell 7% while revenue fell 4%. The fastest-growing cost line was Sales & marketing (+16%). The quarter ended with a net loss of $835K, narrower than the previous quarter's $4.9M loss. Non-operating items added $1.1M, -336% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $30.9M (up 56% year over year). Non-cash charges added back $829K of depreciation and amortization and $17.0M of share-based compensation. Working capital and other items added $13.9M. After purchases of property and equipment ($2.8M), free cash flow as the company reports it was $28.1M.
Questions
What was Arlo Technologies' revenue in the first quarter 2025?
Arlo Technologies (ARLO) reported revenue of $119M for the first quarter 2025 (Q1 2025), -4% from a year earlier and -2% from the quarter before.
Was Arlo Technologies profitable in the first quarter 2025?
Operating loss was $1.5M (-1.2% of revenue) and net loss $835K.
Source: Arlo Technologies 10-Q on SEC EDGAR.