The chart below shows how AIOT performed 10 days before and after its earnings report, based on data from the past quarters. Typically, AIOT sees a +1.43% change in stock price 10 days leading up to the earnings, and a +4.46% change 10 days following the report. On the earnings day itself, the stock moves by +0.73%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Quarterly Revenue Surge: Quarterly revenue in Q3 reached $106 million, a $33 million increase, representing 45% growth.
Strong Adjusted Gross Margins: Adjusted gross margins in the quarter exceeded 60%, with service margins close to 70%.
Adjusted EBITDA Growth: Adjusted EBITDA came in at $22 million, a $10 million increase year-over-year, reflecting a 77% growth rate and an annual run rate exceeding $85 million.
Market Reach Expansion: The addition of scale partner channels with AT&T and Telus provides extensive market reach through a success-based investment model.
Revenue and EBITDA Projections: Annual revenue is expected to exceed $362.5 million, a $10 million increase from prior guidance, with annual EBITDA projected to exceed $75 million.
Negative
Earnings Miss Reported: PowerFleet, Inc. misses on earnings expectations with reported EPS of $-0.11, falling short of the expected $0.02.
Increased Net Loss: Net loss attributable to common stockholders increased to $14.3 million, or $0.11 per share, compared to a loss of $5 million, or $0.05 per share, in the prior year.
Operating Expenses Overview: Operating expenses totaled $60 million for the quarter, including $6.7 million in one-time transaction and restructuring costs, up from $5 million in the prior year.
Increased Sales Expenses: Sales and marketing expenses rose to 15.9% of revenue, up from 12.2% in the prior year, driven by investments in go-to-market strategies and additional sales agent expenses.
Service Revenue Decline: The company reported a reduction in service revenue by $2.2 million due to changes in revenue recognition related to product shipments, which is expected to negatively impact future revenue.
PowerFleet, Inc. (NASDAQ:AIOT) Q3 2025 Earnings Call Transcript
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