Core Viewpoint - Samsara Inc. has shown strong quarterly performance, with revenue growth exceeding 30% year-over-year, despite a recent stock pullback that presents a buying opportunity for long-term investors [2][4]. Financial Performance - Samsara reported Q1 revenue of $366.9 million, marking an increase of over 30% compared to the previous year [2]. - The company consistently beats analyst expectations, which has become a trend [2]. Analyst Sentiment - Analysts have reiterated bullish ratings and raised price targets, with a 12-month forecast price of $50.00, indicating a potential upside of 23.58% from the current price [7]. - Wells Fargo and BMO Capital Markets have both increased their price targets to $50 and $54 respectively, citing strong annual recurring revenue (ARR) growth and resilient demand trends [7][8]. Market Dynamics - The market reaction to Samsara's recent earnings report was influenced by tariff-driven delays in deal closures and updated forward guidance, which some investors found underwhelming [4]. - Despite the pullback, analysts remain confident in the company's growth prospects, indicating a disconnect between market sentiment and analyst expectations [5]. Strategic Initiatives - Samsara is expanding its presence in under-digitized sectors such as public infrastructure and construction, with new product features aimed at improving safety and employee engagement [9]. - The company is leveraging its AI-powered platform to deliver clear ROI, which is expected to drive further margin expansion [3]. Technical Analysis - The stock's relative strength index (RSI) has dipped below 40, suggesting it is nearing oversold territory, which could present a buying opportunity [10]. - It is crucial for the stock to maintain levels above $40 to avoid signaling bearish control in the short term [11].

Company Overview - Samsara Inc. was founded in 2015 and is listed on NYSE under the ticker IOT [1] - The company specializes in aggregating data from its IoT terminal devices through its Connected Operations Platform [1] - Samsara provides end-to-end solutions aimed at enterprise customers [1] Technology and Solutions - The technology offered by Samsara is designed to help customers capture, aggregate, and analyze data effectively [1]

Financial Data and Key Metrics Changes - Samsara reported a strong Q1 with an annual recurring revenue (ARR) of $1,540,000,000, representing a 31% year-over-year growth adjusted for constant currency [5][23]. - Q1 revenue reached $367,000,000, also growing 31% year-over-year or 32% when adjusted for constant currency [24]. - Non-GAAP gross margin was a record 79% in Q1, with a non-GAAP operating margin of 14%, up from 2% in Q1 FY '25 [31]. Business Line Data and Key Metrics Changes - The number of customers with more than $100,000 in ARR increased by 154, a 35% year-over-year growth [5][25]. - ARR per 100k+ customer increased to $338,000, with 58% of ARR coming from these customers, up from 56% a year ago [25][26]. - 95% of 100k+ ARR customers and 85% of core customers subscribed to two or more Samsara products, indicating increased utilization of the platform [26]. Market Data and Key Metrics Changes - 18% of net new annual contract value (ACV) came from international markets, with Europe showing significant growth [29]. - The construction sector contributed the highest net new ACV mix for the seventh consecutive quarter, while transportation achieved its highest year-over-year growth in over four years [30][81]. Company Strategy and Development Direction - The company is focusing on partnerships with OEMs to simplify customer onboarding and enhance data integration [20][39]. - Samsara aims to leverage AI to improve safety and maintenance solutions, addressing customer needs for efficiency and risk management [10][99]. - The strategy includes expanding the ecosystem through partnerships with major vehicle and equipment manufacturers to enhance customer experience [19][20]. Management's Comments on Operating Environment and Future Outlook - Management noted that elongated sales cycles were observed due to macroeconomic uncertainties, particularly related to tariffs [23][44]. - Despite these challenges, the company reported a record pipeline generation in Q1, indicating strong customer interest [36][73]. - The outlook remains positive, with expectations for continued growth and efficiency gains in the upcoming quarters [31][73]. Other Important Information - The company is investing in AI-powered solutions to help customers optimize asset utilization and maintenance [16][99]. - Samsara's customer base includes significant partnerships with large organizations, enhancing its market presence [6][21]. Q&A Session Summary Question: Sales cycle elongation and deal quality - Management indicated that the quality and size of deals remained consistent despite elongated sales cycles, with a record pipeline generation in Q1 [35][36]. Question: OEM investments and competitive positioning - The CEO emphasized the importance of OEM partnerships in reducing friction for customers and enhancing data insights [38]. Question: Impact of macro environment on sales capacity - Management is closely monitoring sales productivity and plans to continue adding sales capacity throughout the year [56][57]. Question: International market momentum - The company has seen significant growth in international markets, particularly in Europe, driven by increased interest in digital technologies [84]. Question: AI's role in customer conversations - AI is increasingly becoming a focal point in discussions with customers, particularly regarding operational efficiency and safety [70]. Question: Preventative maintenance targeting - The company believes that preventative maintenance solutions will be broadly applicable across various industries due to similar asset types [86]. Question: Upgrade program details - The upgrade program aims to facilitate transitions for customers from legacy providers, making it easier for them to adopt Samsara's solutions [90][92].

Samsara, Inc. IOT released its first-quarter results after Thursday's closing bell. Here's a look at the key figures from the quarter. The Details: Samsara reported quarterly adjusted earnings of 11 cents per share, beating the consensus estimate of six cents. Quarterly revenue came in at $366.9 million, beating the Street estimate of $351.42 million. Read Next: Trump Announces China Trade Talks, Tesla Stock Slumps: What’s Driving Markets Thursday?“We delivered a strong first quarter of the new fiscal year ...

Financial Performance - Q1 FY26 ARR reached $1.54 billion, a 31% year-over-year growth, also 31% when adjusted for constant currency[11] - Q1 FY26 Adjusted Free Cash Flow was $46 million, resulting in a 12% Adjusted Free Cash Flow Margin[11] - The company is guiding for Q2 FY26 total revenue between $371 million and $373 million, representing 24% year-over-year growth[48] - The company is guiding for FY26 total revenue between $1.547 billion and $1.555 billion, representing 24% year-over-year growth[48] Customer Growth - The company has 2,638 customers with ARR over $100,000, a 35% year-over-year increase[11] - 85%+ core customers use multiple products[41] Product and Market - 18% of net new ACV mix came from non-US geographies in Q1, tying for the highest ever[43] - Construction contributed the highest net new ACV mix for the 7th consecutive quarter[43] - Equipment Monitoring saw its 4th consecutive quarter of accelerated year-over-year net new ACV growth[43] Safety and Efficiency - A study showed that 79% of drivers have experienced a near-miss while driving distracted[16] - A study showed that 67% of drivers have experienced drowsiness[16]

Core Insights - Samsara Inc. is scheduled to report its earnings on June 5, 2025, with historical data indicating a 62% positive one-day return rate post-earnings announcements since 2022, a median increase of 14.7%, and a maximum single-day positive return of 27.9% [1][5][7] Financial Performance - Current consensus estimates predict earnings of $0.06 per share on revenues of $351 million, compared to earnings of $0.03 per share on revenues of $281 million in the same quarter last year [3] - Samsara has a market capitalization of $26 billion and generated $1.2 billion in revenue over the past twelve months, but reported an operating loss of $185 million and a net loss of $155 million during that period [4] Historical Earnings Reaction - Over the past five years, there have been 13 earnings data points for Samsara, with 8 positive and 5 negative one-day returns, resulting in a 62% positive return rate, which increases to 64% when considering the last three years [7] - The median of the 8 positive returns is 15%, while the median of the 5 negative returns is -12% [7] Trading Strategies - Two primary strategies for traders include understanding historical probabilities to position before earnings releases or analyzing immediate and medium-term returns post-earnings to inform subsequent actions [2] - A less risky strategy involves examining the correlation between short-term and medium-term returns after earnings, allowing traders to take positions based on the strongest correlations [6]

Core Insights - Lantronix Inc. has been awarded the 2025 TMC Labs Innovation Award for its SmartLV IoT cellular gateway, which is recognized as the first AI-enabled IoT Edge Compute Cellular Gateway powered by the Qualcomm IQ-615 processor [1][2][3] Company Overview - Lantronix is a global leader in compute and connectivity IoT solutions, focusing on high-growth markets such as Smart Cities, Enterprise, and Transportation [6] - The company emphasizes innovation and has a long-term partnership with Qualcomm to deliver advanced IoT solutions [3][6] Product Features - The SmartLV is designed for low-voltage substations and distribution automation applications, aimed at enhancing real-time visibility, control, and automation in the energy sector [4] - It incorporates advanced cybersecurity protocols and AI capabilities, ensuring secure operations for mission-critical applications [5] - The gateway provides Distribution System Operators (DSOs) with the ability to control energy distribution precisely when and where needed [4][5][6]

Financial Data and Key Metrics Changes - The company's first quarter revenue was $72 million, a decrease of $4 million year over year, with adjusted EBITDA of $14.5 million, reflecting a slight decline [5][20] - Adjusted EBITDA margin improved by 60 basis points to 20%, and free cash flow was positive at $600,000 for the first quarter, marking the second consecutive quarter of positive free cash flow [6][24] - Operating expenses decreased by $7.5 million or 15.3% compared to the same period last year, primarily due to reductions in headcount-related costs [24] Business Line Data and Key Metrics Changes - IoT Connectivity revenue decreased approximately 7% year over year to $53.9 million, representing 75% of total revenue, while IoT Solutions revenue increased by approximately 1% to $18.2 million, accounting for 25% of total revenue [20] - Non-GAAP IoT Connectivity margin was down 200 basis points year over year to 58.8%, while IoT Solutions margin increased by 370 basis points to 39.9% [21][22] Market Data and Key Metrics Changes - Total connections at the end of the first quarter reached 19.8 million, an increase of 1.5 million year over year, with average revenue per user (ARPU) decreasing to $0.91 from CAD1.05 in Q1 2024 [22] - The company reported a 99% dollar-based net retention rate (DBNER), up from 94% in the prior year, indicating stabilization in IoT Solutions revenue [23] Company Strategy and Development Direction - The company aims to be a trusted global leader in IoT connectivity solutions, focusing on customer intimacy, product innovation, profitable growth, operational excellence, and building a winning culture [13][18] - The strategic roadmap includes leveraging AI tools for digital marketing growth initiatives and expanding into high-margin segments and priority markets [9][16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the sales cycle, noting that the uncertainty around tariffs has led to accelerated purchasing from customers [36] - The company maintains its guidance for 2025, expecting revenue between $288 million and $298 million, adjusted EBITDA between $62 million and $67 million, and free cash flow between $10 million and $14 million [27][28] Other Important Information - The company has shifted to using estimated annual recurring revenue (eARR) as a key performance metric to better illustrate its recurring revenue business model [8] - The company reported significant wins in various sectors, including cloud communication and healthcare, which are expected to contribute to future revenue growth [10][12] Q&A Session Summary Question: Inquiry about eARR historical numbers and sales cycles - Management indicated that they do not have historical eARR numbers for comparison but will follow up on that [34] - Sales cycles have not elongated; instead, there has been some compression due to tariff uncertainties [36] Question: Clarification on operating expenses and product gross margins - The normalized operating expense number for forecasting should be around $25 million, excluding one-time integration costs [42] - The target gross margin for solutions is expected to remain around 40% for the rest of the year [43] Question: Future ARPU trends and growth outlook for 2026 - ARPU is expected to remain around $0.91, but could decrease slightly if more lower ARPU use cases are added [46] - Management is optimistic about growth in 2026, with connections growing and the eARR business contributing positively [51] Question: Demand environment in healthcare and specifics about new versus existing customers - The healthcare sector is experiencing growth, and the company is seeing strong results in connected health [60] - Approximately 70-75% of demand is expected to come from new logos, with the remainder from existing customers expanding their deployments [66]

Financial Data and Key Metrics Changes - The company's first quarter revenue was $72 million, a decrease of $4 million year over year, with adjusted EBITDA of $14.5 million, showing a slight decline [5][22] - Adjusted EBITDA margin improved by 60 basis points to 20%, and cash flow from operations increased to $2.9 million, up $1 million from the same period last year [6][26] - Free cash flow for the first quarter was $600,000, marking the second consecutive quarter of positive free cash flow [6][27] - The net loss for the first quarter was $14.9 million, an improvement from $17.6 million in the prior year [26] Business Line Data and Key Metrics Changes - IoT Connectivity revenue decreased approximately 7% year over year to $53.9 million, representing 75% of total revenue [22] - IoT Solutions revenue increased approximately 1% year over year to $18.2 million, accounting for 25% of total revenue [22] - Non-GAAP IoT Connectivity margin decreased by 200 basis points to 58.8%, while IoT Solutions margin increased by 370 basis points to 39.9% [23] Market Data and Key Metrics Changes - Total connections at the end of the first quarter reached 19.8 million, an increase of 1.5 million year over year [23] - Average revenue per user (ARPU) decreased to $0.91 from CAD 1.05 in Q1 2024, attributed to a mix of lower ARPU use cases [23][46] Company Strategy and Development Direction - The company aims to be a trusted global leader in IoT connectivity solutions, focusing on customer intimacy, product innovation, profitable growth, operational excellence, and building a winning culture [14][20] - The strategic roadmap includes growing the existing customer base, prioritizing new business in key verticals, and leveraging AI tools for digital marketing growth [10][20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the financial results in Q2, driven by strong connectivity revenue and no impact from tariff policies thus far [6][29] - The company maintains its guidance for 2025, expecting revenue between $288 million and $298 million, adjusted EBITDA between $62 million and $67 million, and free cash flow between $10 million and $14 million [29][30] Other Important Information - The company has shifted to using estimated annual recurring revenue (eARR) to better illustrate its recurring revenue business model [8][9] - The total connectivity pipeline includes nearly $52 million in eARR from new opportunities and nearly $30 million from existing customers [10] Q&A Session Summary Question: Can you provide historical numbers for eARR and insights on current sales cycles? - Management indicated that historical comparisons for eARR are not available but will follow up on this. Sales cycles have not elongated and may have even compressed due to tariff uncertainties [34][36][38] Question: What is the normalized OpEx number going forward? - The normalized operating expenses are expected to be around $25 million, excluding integration costs [40][42] Question: Will ARPU continue to be pressured by new business? - ARPU is expected to remain around $0.91, but could decrease if more lower ARPU use cases are added. The previous year had a spike in usage that inflated ARPU [44][46] Question: What is the demand environment in healthcare? - The healthcare sector is experiencing growth, with connected health being a significant area of focus for the company [59][61] Question: How did the Winnebago deal come about? - The Winnebago deal was competitive, with a sales cycle of around nine months, and includes a minimum revenue commitment [56][58][66] Question: What is the balance of demand from new versus existing customers? - Approximately 70-75% of demand is expected to come from new logos, with the remainder from existing customers expanding their deployments [67][70]

F i r s t Q u a r t e r 2 0 2 5 E a r n i n g s P r e s e n t a t i o n May 15, 2025 Di scl aime rs Use of Projections This presentation also contains certain financial forecasts of KORE. KORE's independent auditors have not studied, reviewed, compiled or performed any procedures with respect to the projections for the purpose of their inclusion in this presentation, and accordingly, neither of them has expressed an opinion or provided any other form of assurance with respect thereto for the purpose of this ...