Core Insights - Axon Enterprise, Inc. (AXON) is set to announce its third-quarter 2025 results on November 4, with expected revenues of $699.6 million, reflecting a 28.5% increase year-over-year, and earnings per share (EPS) estimated at $1.63, indicating a 12.4% growth from the previous year [1][9]. Financial Performance - The Zacks Consensus Estimate for third-quarter revenues is $699.6 million, up 28.5% from the same quarter last year, while the EPS estimate is $1.63, showing a 12.4% increase year-over-year despite a 1.2% decline in the past 60 days [1][9]. - Axon has a strong earnings surprise history, having exceeded the Zacks Consensus Estimate in the last four quarters with an average surprise of 25.9%, including a notable 37.7% beat in the last reported quarter [2]. Segment Performance - The Connected Devices segment is expected to benefit from robust demand for TASER 10 products and higher cartridge sales, with revenues estimated at $396 million, a 5.3% increase from the previous quarter [3][4]. - The Software & Services segment is projected to generate $302 million in net sales, reflecting a 3.4% growth from the previous quarter, driven by new user additions and increased demand for cloud services [5][6]. Strategic Developments - Axon is focused on acquisitions and strategic partnerships to enhance its product offerings, including the acquisition of Dedrone in October 2024, which strengthens its capabilities in airspace security [7]. - The partnership with Skydio, established in June 2024, aims to enhance Axon's position in the public safety market, particularly in the Drone as a First Responder category [8]. Cost Considerations - Despite strong revenue growth, rising costs related to business integration, higher wages, and stock-based compensation are anticipated to pressure margins in the upcoming quarter [8][9].