Evolv Q3 2023 Earnings Report
Key Takeaways
Evolv Technology announced strong Q3 2023 results, with revenue up 22% year-over-year to $20.2 million. The company's ARR increased by 129% year-over-year, reaching $65.8 million. Net income was $6.0 million, a significant improvement compared to the previous year's net loss.
Q3 revenue reached $20.2 million, a 22% increase year-over-year.
Ending ARR for Q3 was $65.8 million, representing a 129% year-over-year growth.
Q3 ending RPO was $221.1 million, up 102% year-over-year.
Evolv Express subscriptions grew to 4,014, a 137% increase year-over-year.
Evolv
Evolv
Evolv Revenue by Segment
Forward Guidance
The Company reaffirmed its business outlook for 2023 as previously raised on October 12, 2023 and provided a preliminary outlook for 2024.
Positive Outlook
- Total Revenue ~$75-$77 million (2023, Reaffirmed)
- Total Revenue ~$115 million (2024)
- ARR at 12/31/23 ~$73-$75 million (2023, Reaffirmed)
- ARR at 12/31/23 ~$108-$112 million (2024)
- Adjusted Gross Margin ~43%-45% (2023, Reaffirmed)
Challenges Ahead
- Adjusted Gross Margin ~60% (2024)
- Adjusted EBITDA ~($50-$53) million (2023, Reaffirmed)
- Adjusted EBITDA Improve by 40%+ (2024)
Revenue & Expenses
Visualization of income flow from segment revenue to net income