Home security company ADT's Q2 revenue up 7% to $1.3 bln

ADT

24/07/2025 12:06

Overview

ADT Q2 revenue up 7% to $1.3 bln

Adjusted EPS for Q2 beats estimates

During the second quarter, the company repurchased 12 mln shares, returning $589 mln to shareholders YTD

Outlook

ADT reiterates 2025 revenue guidance of $5.025 bln to $5.225 bln

Company updates 2025 adjusted EPS guidance to $0.81-$0.89

ADT expects 2025 adjusted EBITDA of $2.65 bln to $2.75 bln

Company anticipates 2025 adjusted free cash flow of $800 mln to $900 mln

Result Drivers

REVENUE GROWTH - Driven by increased average prices and higher mix of professionally installed systems

STRATEGIC ACCOUNT PURCHASE - Closed on a strategic bulk purchase of about 50,000 customer accounts, aligning with existing platforms

OPERATIONAL ENHANCEMENTS - Launch of new smart lock and virtual customer service improvements

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
$1.29 bln
$1.28 bln (3 Analysts)
Q2 Adjusted EPS
Beat
$0.23
$0.2 (5 Analysts)
Q2 EPS
$0.18
Q2 Adjusted Income from Cont Ops
$191 mln
Q2 Net Income
$165 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the communications & networking peer group is "buy"

Wall Street's median 12-month price target for ADT Inc is $9.00, about 6.3% above its July 23 closing price of $8.43

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nGNX40Jfl7

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)