Latest DIY Smart Floodlight Camera Builds on Arlo's Award-Winning Wire-Free FloodlightSAN JOSE, Calif., Oct. 15, 2024 /PRNewswire/ -- Arlo Technologies, Inc. (NYSE: ARLO), a leading smart home security brand, today announced the Wired Floodlight Camera, an all-in-one DIY security solution built on Arlo's award-winning and innovative wire-free floodlight. With a direct power source for uninterrupted security, the feature-rich Wired Floodlight Camera delivers enhanced visibility and protection of outdoor spac ...

For Schaeffer's Cheap Seats: Stocks Under $20 segment, we're taking a look at Arlo Technologies Inc (NYSE:ARLO) and Applied Optoelectronics Inc (NASDAQ:AAOI), both of which are making sizeable intraday moves.Shares of Arlo Technologies, a maker of wireless surveillance cameras that went public in October 2018, were last seen up 3.5% at $12.27, following the company's newly adopted $50 million stock repurchase program. Today's gain helped ARLO leapfrog the +25% year-to-date level. Now standing 28.3% higher i ...

Arlo Secure Subscription Plans Feature New Proprietary AI Technology to Provide Personalized ProtectionSAN JOSE, Calif., Sept. 24, 2024 /PRNewswire/ -- Arlo Technologies, Inc. (NYSE: ARLO), a leading smart home security brand, today announced Arlo Secure 5, the next generation of smart home security powered by Arlo Intelligence (AI). Arlo's new proprietary AI technology introduces a suite of industry-first features such as custom detections, vehicle recognition and person recognition. Arlo Secure 5 further ...

Financial Data and Key Metrics Changes - Total revenue for Q2 2024 was $127 million, an increase of 11% year-over-year, with annual recurring revenue (ARR) rising over 21% to $235 million [6][17] - Non-GAAP earnings per share for Q2 was $0.10, bringing the first half earnings per share to $0.19, a 171% increase year-over-year [6][25] - Non-GAAP operating profit for Q2 was $9.2 million, a 70% improvement year-over-year, with a 166% increase for the first half of 2024 [19][25] Business Line Data and Key Metrics Changes - Service revenue represented 47% of total revenue, up from 44% year-over-year, with service revenue reaching a record $60.3 million, a 20% increase [17][18] - Product revenue for Q2 was $67.2 million, up 3.8% year-over-year, with 1.3 million devices shipped compared to 954,000 in the prior year [19][20] - Average revenue per user (ARPU) for retail and direct paid accounts grew to $12, a record high for the company [6][36] Market Data and Key Metrics Changes - Approximately 50% of total revenue was generated from international customers, significantly up from 32% year-over-year [21] - The company expects service revenue to grow at approximately 20% over the previous year, becoming a larger portion of overall revenue [27] Company Strategy and Development Direction - The company is focused on a services-first business model, aiming for 10 million paid accounts, $700 million in ARR, and over 25% operating margins [6][19] - Strategic partnerships, including a renewed five-year collaboration with Verisure and a new partnership with Allstate, are expected to drive growth [9][10] - The company is investing in organic growth through technology development and customer experience enhancement, with plans for a three-year device roadmap [10][12][13] Management's Comments on Operating Environment and Future Outlook - Management noted consumer pressure affecting initial hardware purchases but highlighted a successful pricing strategy that has driven service revenue growth [7][27] - The second half of 2024 is expected to mirror the previous year, with strong positioning for holiday sales [8][41] - Management expressed confidence in achieving long-term targets despite current macroeconomic challenges [16][27] Other Important Information - The company ended Q2 with $144 million in cash and equivalents, up over $20 million since June 2023 [25] - Free cash flow for the first half of 2024 was $25.6 million, representing a margin of 10% [26] Q&A Session Summary Question: Clarification on ad server development for Arlo Secure platform - Management confirmed that ad capabilities are being developed in parallel with Arlo Secure 5, with testing expected in Q4 [30] Question: Insights on promotional activities with Walmart - Management indicated that promotional activities for the holiday season will be similar to the previous year, with Walmart as a significant partner [33][34] Question: Trends in Americas vs. EMEA markets - Management noted strong growth in EMEA, largely due to Verisure, while the Americas face some consumer headwinds but are expected to gain households [38][41] Question: Product gross margin expectations - Management expects product gross margins to remain in the mid-single-digit range for the second half of the year [50] Question: Opportunities in InsureTech market - Management expressed excitement about the partnership with Allstate and the potential for future growth in the InsureTech space [52][56]

©2024 – ALL RIGH TS RESERVED Investor Presentation Q2 2024 SAFE HARBOR DISCLOSURE This presentation contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. The words "anticipate," "expect," "believe," "will," "may," "should," "estimate," "project," "outlook," "forecast" or other similar words are used to identify such forward-looking statements. However, the absence of these words does not mean that the statements are not forward-looking. The forw ...

Group 1: Earnings Performance - Arlo Technologies reported quarterly earnings of $0.10 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, and up from $0.06 per share a year ago, representing an earnings surprise of 11.11% [1] - The company achieved revenues of $127.45 million for the quarter ended June 2024, surpassing the Zacks Consensus Estimate by 1.64%, compared to $115.08 million in the same quarter last year [1] - Over the last four quarters, Arlo Technologies has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [1] Group 2: Stock Performance and Outlook - Arlo Technologies shares have increased approximately 34% since the beginning of the year, significantly outperforming the S&P 500's gain of 9% [2] - The sustainability of the stock's price movement will largely depend on management's commentary during the earnings call [2] - The current consensus EPS estimate for the upcoming quarter is $0.11 on revenues of $136.72 million, and for the current fiscal year, it is $0.41 on revenues of $530.11 million [4] Group 3: Industry Context - The Internet - Software industry, to which Arlo Technologies belongs, is currently ranked in the top 38% of over 250 Zacks industries, indicating a favorable industry outlook [5] - The performance of Arlo Technologies' stock may also be influenced by the overall industry outlook, as the top 50% of Zacks-ranked industries outperform the bottom 50% by more than 2 to 1 [5]

Financial Performance - Total revenue for the three months ended June 30, 2024, was $127.4 million, a 10.5% increase from $115.1 million for the same period in 2023[104] - Total revenue for the three months ended June 30, 2024, was $127,447 thousand, representing a 10.8% increase compared to $115,076 thousand for the same period last year[118] - Service revenue increased by $9.9 million, or 19.7%, for the three months ended June 30, 2024, primarily due to a 73.9% increase in cumulative paid accounts[120] - Product revenue increased by $2.4 million, or 3.8%, for the three months ended June 30, 2024, driven by stronger customer demand in EMEA[119] - Gross profit for the three months ended June 30, 2024, was $46,854 thousand, an 11.9% increase from $41,858 thousand in the prior year[126] Account Growth - Cumulative registered accounts reached approximately 10.0 million as of June 30, 2024, representing a 27.1% increase from 7.86 million as of July 2, 2023[108] - Cumulative paid accounts increased to approximately 4.0 million, a 73.9% rise from 2.29 million in the previous year[108] Expenses - Loss from operations for the three months ended June 30, 2024, was $12.8 million, compared to a loss of $8.0 million for the same period in 2023[104] - Research and development expenses for the three months ended June 30, 2024, were $19.6 million, representing 15.3% of total revenue[114] - Sales and marketing expenses for the same period were $17.7 million, accounting for 13.9% of total revenue[114] - The total cost of revenue for the three months ended June 30, 2024, was $80.6 million, which is 63.2% of total revenue[114] - Research and development expenses increased by $1.9 million, or 11.0%, for the three months ended June 30, 2024, primarily due to personnel-related expenses[129] - Sales and marketing expenses increased by $0.8 million, or 4.6%, for the three months ended June 30, 2024, mainly due to personnel-related expenses and professional services[132] - General and administrative expenses increased by $6.4 million to $21.43 million for the three months ended June 30, 2024, primarily due to a $5.4 million rise in personnel-related expenses[136] Future Outlook - The company plans to increase investment in research and development and sales and marketing to drive future growth[105] - The company expects research and development expenses to increase in absolute dollars as it develops new product and service offerings[128] - The company plans to continue investing in marketing to drive demand for its products and services, indicating an expectation of increased sales and marketing expenses in the future[131] Cash Flow and Liquidity - Cash and cash equivalents and short-term investments totaled $144.0 million as of June 30, 2024, with unused borrowing capacity of $6.2 million[143] - Net cash provided by operating activities increased by $3.4 million to $26.268 million for the six months ended June 30, 2024, due to improved profitability[149] - Net cash used in investing activities decreased by $32.9 million to $(268,000) for the six months ended June 30, 2024, primarily due to lower net purchases of short-term investments[150] - Net cash used in financing activities increased by $8.2 million to $(20.101 million) for the six months ended June 30, 2024, mainly due to increased withholding tax from restricted stock unit releases[151] - The company anticipates that existing liquidity sources will be sufficient to meet cash requirements for at least the next 12 months[144] Taxation - Provision for income taxes increased by 6.8% to $236,000 for the three months ended June 30, 2024, with an effective tax rate of (2.1)%[141] - The effective tax rate for the six months ended June 30, 2024, was lower than the U.S. federal income tax rate due to a lower effective tax rate on foreign earnings[141] Interest Income - Interest income, net rose by 79.0% to $1.495 million for the three months ended June 30, 2024, driven by increased short-term investments and higher interest rates[139] Deficit - The accumulated deficit was $388.7 million as of June 30, 2024, indicating a history of losses[143]

NEWS RELEASE Arlo Reports Second Quarter 2024 Results Record service revenue of $60.3 million, growing 19.7% year over year GAAP net loss per share of $(0.12); non-GAAP net income per share of $0.10 Annual recurring revenue (ARR) ended at $235.0 million, growing 21.4% year over year (1) (2) Free cash flow (FCF) of $25.6 million with FCF margin of 10.2% in the first half of 2024 Surpassed 4 million subscribers in July 2024 Carlsbad, California – August 8, 2024 – Arlo Technologies, Inc. (NYSE: ARLO), a leadin ...

SAN JOSE, Calif., July 29, 2024 /PRNewswire/ -- Arlo Technologies, Inc. (NYSE: ARLO), a leading smart home security brand, today announced that it had made equity grants to new employees under its 2018 Equity Incentive Plan (the "Plan") in accordance with NYSE Rule 303A.08.On July 29, 2024, Arlo's Compensation and Human Capital Committee granted restricted stock units, or RSUs, to eighteen new non-executive employees covering an aggregate of 257,540 shares of the Company's common stock as an inducement for ...

Arlo Technologies (ARLO) shares rallied 19.7% in the last trading session to close at $16.52. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 4.7% gain over the past four weeks.Arlo is benefiting from its AI-powered subscription service surpassing 4 million paid accounts, reflecting the value consumers place on its subscription plans and service business.This maker of smart connected devices is expected to po ...