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Mar 31
ADT Q1 2025 Earnings Report
ADT reported solid Q1 2025 performance with strong cash flow, improved customer retention, and increased revenue.
Key Takeaways
ADT saw revenue climb to $1.267 billion, net income of $142 million, and Adjusted EPS of $0.21, supported by record recurring monthly revenue and customer retention.
Revenue reached $1.267 billion, up 7% from last year.
Net income from continuing operations totaled $142 million.
Record end-of-period recurring monthly revenue of $360 million.
Returned $445 million to shareholders through dividends and share repurchases.
ADT
ADT
ADT Revenue by Segment
Forward Guidance
ADT reaffirmed its full-year 2025 guidance with expectations of continued revenue and earnings growth.
Positive Outlook
- Revenue guidance maintained at $5.025B to $5.225B.
- Adjusted EBITDA expected to reach up to $2.75B.
- Adjusted EPS projected between $0.77 and $0.85.
- Adjusted Free Cash Flow guidance of $800M to $900M.
- Company positioned for long-term growth after solar business exit.
Challenges Ahead
- No forward-looking GAAP metrics aside from revenue due to uncertainty.
- Interest expense remains elevated from refinancing activities.
- Customer acquisition costs and system asset spending remain significant.
- Continued impact from discontinued solar operations on cash flow.
- Unrealized losses on interest rate swaps affected net income.