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Mar 31

Evolv Q1 2025 Earnings Report

Evolv Technology Reports First Quarter Financial Results

Key Takeaways

Evolv Technology reported strong first quarter 2025 results, with revenue increasing 44% year-over-year to $32.0 million and Annual Recurring Revenue (ARR) reaching $106.0 million, up 34%. The company significantly reduced its net loss to $(1.7) million and achieved positive Adjusted EBITDA of $1.7 million.

Total revenue for Q1 2025 was $32.0 million, a 44% increase compared to Q1 2024.

Ending Annual Recurring Revenue (ARR) was $106.0 million as of March 31, 2025, up 34% year-over-year.

Net loss for Q1 2025 was $(1.7) million, a significant improvement from $(11.3) million in Q1 2024.

Adjusted EBITDA for Q1 2025 was positive at $1.7 million, compared to $(10.4) million in Q1 2024.

Total Revenue
$32M
Previous year: $21.7M
+47.7%
EPS
-$0.02
Previous year: -$0.09
-77.8%
Ending ARR
$106M
Previous year: $79.2M
+33.8%
Adjusted EBITDA
$1.74M
Previous year: -$10.4M
-116.8%
New Customers
54
Previous year: 53
+1.9%
Gross Profit
$19.2M
Previous year: $11.8M
+62.7%
Cash and Equivalents
$25.1M
Previous year: $44.6M
-43.7%
Total Assets
$256M
Previous year: $282M
-9.3%

Evolv

Evolv

Evolv Revenue by Segment

Forward Guidance

For the full year 2025, Evolv Technology expects total revenues to be between $125 to $130 million, representing 20% to 25% growth over 2024. The company anticipates achieving positive full year Adjusted EBITDA with low to mid-single digit margins and expects positive free cash flow in the fourth quarter of 2025.

Positive Outlook

  • Expected revenue growth of 20%-25% in 2025.
  • Anticipates positive full year Adjusted EBITDA.
  • Forecasts Adjusted EBITDA margins in the low to mid-single digits for the full year.
  • Expects to achieve positive free cash flow in the fourth quarter of 2025.
  • Focus on operational efficiency to drive improved profitability and cash flow.

Challenges Ahead

  • Plans near-term investments of approximately $2 million in 2025 which will impact profitability in the short term.
  • Outlook is based on current indications and may change.
  • Unable to provide a reconciliation of forward-looking Adjusted EBITDA to Net Income (Loss) due to unpredictable items.
  • Forward-looking statements are not guarantees of future performance.
  • Actual future results may differ materially from expectations.

Revenue & Expenses

Visualization of income flow from segment revenue to net income