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SmartRent(SMRT) - 2024 Q2 - Quarterly Results
SMRTSmartRent(SMRT)2024-08-07 12:05

Financial Performance - Total revenue for Q2 2024 was 48.5million,a948.5 million, a 9% decrease year-over-year[2] - Net loss improved to (4.6) million, a 56% improvement from (10.3)millioninQ22023[2]−TotalrevenueforQ22024was(10.3) million in Q2 2023[2] - Total revenue for Q2 2024 was 48,518,000, a decrease of 9.5% compared to 53,402,000inQ22023[23]−NetlossforQ22024was53,402,000 in Q2 2023[23] - Net loss for Q2 2024 was 4,605,000, compared to a net loss of 10,349,000inQ22023,showinganimprovementof55.610,349,000 in Q2 2023, showing an improvement of 55.6%[23] - Net loss for the six months ended June 30, 2024, was 12,297 thousand, an improvement from a loss of 23,564thousandinthesameperiodof2023[28]RevenueBreakdown−SaaSrevenuereached23,564 thousand in the same period of 2023[28] Revenue Breakdown - SaaS revenue reached 12.8 million, representing a 32% increase year-over-year[2] - Hardware revenue decreased to 24,676,000inQ22024from24,676,000 in Q2 2024 from 27,788,000 in Q2 2023, representing a decline of 7.6%[23] - Professional services revenue dropped to 5,816,000inQ22024from5,816,000 in Q2 2024 from 10,050,000 in Q2 2023, a decrease of 42.2%[23] - Hosted services revenue increased to 18,026,000inQ22024from18,026,000 in Q2 2024 from 15,564,000 in Q2 2023, reflecting a growth of 9.4%[23] - SaaS Annual Recurring Revenue (ARR) increased to 51.2million,upfrom51.2 million, up from 38.8 million in Q2 2023[4] Expenses and Margins - Total operating expenses for Q2 2024 were 24,223,000,anincreaseof10.224,223,000, an increase of 10.2% from 21,970,000 in Q2 2023[23] - Research and development expenses rose to 7,484,000inQ22024from7,484,000 in Q2 2024 from 6,536,000 in Q2 2023, an increase of 14.5%[23] - Total gross margin improved to 35.7%, an increase of 1,716 basis points year-over-year[7] - Adjusted EBITDA was 902K,a114902K, a 114% improvement from (6.4) million in the same quarter last year[8] - Adjusted EBITDA for the six months ended June 30, 2024, was 1,299thousand,comparedto1,299 thousand, compared to (14,918) thousand for the same period in 2023[29] Cash and Assets - The company has a cash balance of 187.4millionandnodebtasofJune30,2024[2]−CashandcashequivalentsasofJune30,2024,were187.4 million and no debt as of June 30, 2024[2] - Cash and cash equivalents as of June 30, 2024, were 187,435,000, down from 215,214,000asofDecember31,2023[26]−Totalassetsdecreasedto215,214,000 as of December 31, 2023[26] - Total assets decreased to 475,347,000 as of June 30, 2024, from 509,756,000asofDecember31,2023[26]−Totalliabilitieswere509,756,000 as of December 31, 2023[26] - Total liabilities were 145,964,000 as of June 30, 2024, down from 167,308,000asofDecember31,2023[24]MarketGuidance−TheannualguidancehasbeentemporarilysuspendedduetomarketheadwindsandCEOtransition[10]CashFlowActivities−CashusedinoperatingactivitiesforthesixmonthsendedJune30,2024,was167,308,000 as of December 31, 2023[24] Market Guidance - The annual guidance has been temporarily suspended due to market headwinds and CEO transition[10] Cash Flow Activities - Cash used in operating activities for the six months ended June 30, 2024, was (17,214) thousand, compared to (15,684)thousandintheprioryear[28]−CashusedininvestingactivitiesforthesixmonthsendedJune30,2024,was(15,684) thousand in the prior year[28] - Cash used in investing activities for the six months ended June 30, 2024, was (1,997) thousand, compared to (2,328)thousandinthesameperiodof2023[28]−NetcashusedinfinancingactivitiesforthesixmonthsendedJune30,2024,was(2,328) thousand in the same period of 2023[28] - Net cash used in financing activities for the six months ended June 30, 2024, was (8,839) thousand, compared to (2,278)thousandintheprioryear[28]−PaymentsforrepurchasesofClassAcommonstockamountedto(2,278) thousand in the prior year[28] - Payments for repurchases of Class A common stock amounted to (6,381) thousand during the period[28] Other Financial Metrics - EBITDA for the six months ended June 30, 2024, was (13,797)thousand,comparedto(13,797) thousand, compared to (24,788) thousand for the same period in 2023[29] - Stock-based compensation for the six months ended June 30, 2024, was 6,565thousand,slightlydownfrom6,565 thousand, slightly down from 6,956 thousand in the same period of 2023[29] - Impairment of investment in non-affiliate was $2,250 thousand for the six months ended June 30, 2024, with no prior year comparison available[28]