Public safety technology firm Axon raises FY revenue outlook after Q3 beat

Axon Enterprise

04/11/2025 21:22

Overview

Axon Q3 2025 revenue grows 31% yr/yr, beating analysts' expectations

Company raises full-year revenue outlook to $2.74 bln

Net loss of $2 mln reported, with non-GAAP net income of $98 mln

Outlook

Company raises full-year revenue outlook to approximately $2.74 bln, up from $2.65-$2.73 bln

Axon expects Q4 revenue between $750 mln and $755 mln, about 31% growth

Company anticipates Q4 Adjusted EBITDA of $178 mln to $182 mln, 24% margin

Result Drivers

SOFTWARE & SERVICES GROWTH - Revenue increased 41% due to premium software adoption and expanding user base

CONNECTED DEVICES DEMAND - Revenue rose 24% with strong demand for TASER 10 and Axon Body 4

ACQUISITIONS - Completed acquisitions of Prepared and Carbyne to enhance 911 call handling and dispatch workflows

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$710.64 mln
$703.50 mln (16 Analysts)
Q3 EPS
-$0.03
Q3 Net Income
-$2 mln
Q3 Adjusted EBITDA
$177 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 19 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the aerospace & defense peer group is "buy"

Wall Street's median 12-month price target for Axon Enterprise Inc is $877.50, about 17.5% above its November 3 closing price of $724.10

The stock recently traded at 94 times the next 12-month earnings vs. a P/E of 107 three months ago

Press Release: ID:nPn1NWkx9a

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(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.)