•
Jun 30, 2023

Smartrent Q2 2023 Earnings Report

SmartRent's Q2 2023 results showcased significant year-over-year improvements in revenue, gross profit, and net loss, along with sequential and year-over-year improvements in Adjusted EBITDA.

Key Takeaways

SmartRent reported a 26% increase in revenue to $53.4 million, a 900% increase in gross profit to $9.9 million, and a 60% improvement in net loss to $(10.3) million. The company's Adjusted EBITDA improved by 68% year-over-year, and it ended the quarter with $197.0 million in cash and cash equivalents.

Revenue increased by 26% year-over-year to $53.4 million.

Gross profit increased by 900% year-over-year to $9.9 million.

Net loss improved by 60% year-over-year to $(10.3) million.

Adjusted EBITDA improved by 68% year-over-year to $(6.4) million.

Total Revenue
$53.4M
Previous year: $42.4M
+25.9%
EPS
-$0.05
Previous year: -$0.13
-61.5%
Gross Profit
$9.9M
Previous year: $988K
+902.0%
Cash and Equivalents
$197M
Previous year: $255M
-22.7%
Free Cash Flow
-$5.42M
Previous year: -$8.13M
-33.4%
Total Assets
$521M
Previous year: $576M
-9.4%

Smartrent

Smartrent

Smartrent Revenue by Segment

Forward Guidance

The Company believes it can sustain meaningful top-line growth while narrowing the Adjusted EBITDA loss, although timing differences may lead to some quarter-to-quarter variability. The Company has tightened its full year 2023 guidance to $233 to $250 million from $225 to $250 million in revenue and $(22) to $(18) million from $(25) to $(15) million in Adjusted EBITDA.

Positive Outlook

  • Total Revenue of $57 to $62 million for Q3 2023
  • Adjusted EBITDA of $(6.5) to $(4.5) million for Q3 2023
  • Total Revenue of $58 to $70 million for Q4 2023
  • Adjusted EBITDA of $0 to $2 million for Q4 2023
  • Total Revenue of $233 to $250 million for full year 2023

Challenges Ahead

  • Adjusted EBITDA of $(22) to $(18) million for full year 2023
  • Estimates represent a range of possible outcomes and may differ materially from actual results.
  • Estimates exclude the impact of potential acquisitions, capital markets activities, and unforeseen continued challenges with supply chain and logistics.
  • Estimates are forward-looking based on the Company’s current assessment of demand for its product, execution capabilities and market conditions
  • Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those currently anticipated.

Revenue & Expenses

Visualization of income flow from segment revenue to net income