How fast is Samsara growing?

In the third quarter of fiscal 2025, total revenue grew 36% year over year to $322.0 million, and ending ARR grew 35% to $1.349 billion. The number of customers with ARR over $100,000 rose 38% to 2,303.

Is Samsara moving toward profitability?

GAAP results remained negative in the quarter, with a loss from operations of $47.4 million and a GAAP operating margin of (15%), though that loss was smaller than the $54.8 million a year earlier. On a non-GAAP basis, operating income was $33.9 million, an 11% margin, up from $12.7 million, or 5%, in the prior-year quarter.

What does the company expect for the rest of fiscal 2025?

Samsara guided to fourth-quarter revenue of $334 million to $336 million and full-year revenue of $1.237 billion to $1.239 billion, representing 32% full-year year-over-year growth. It expects a 7% full-year non-GAAP operating margin and non-GAAP diluted EPS of $0.22 to $0.23. The filing notes that a reconciliation of non-GAAP guidance to GAAP is not available on a forward-looking basis without unreasonable effort.

How strong is the company's cash generation and liquidity?

Operating cash flow was $36.0 million in the quarter and adjusted free cash flow was $31.2 million, a 10% margin. As of November 2, 2024, the company held $160.3 million in cash and cash equivalents, $511.6 million in short-term investments, and $241.1 million in long-term investments.

IOT 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed December 5, 2024. Cited figures are marked; the original filing is the authoritative source.

Samsara Inc. reported financial results for its third quarter of fiscal year 2025, ended November 2, 2024, in a press release furnished as Exhibit 99.1 to this Form 8-K.

Revenue was $322.0 million^a, up 36% year over year, and ending Annual Recurring Revenue (ARR) was $1.349 billion, up 35%. The company had 2,303 customers with ARR over $100,000, up 38% year over year. GAAP loss from operations narrowed to $47.4 million from $54.8 million a year earlier, and non-GAAP operating income was $33.9 million, an 11% non-GAAP operating margin.

Net cash provided by operating activities was $36.0 million^b and adjusted free cash flow was $31.2 million, a 10% margin. Management cited a quarterly record adjusted free cash flow margin and said it is using its platform data to bring AI to physical operations. For the fourth quarter of fiscal 2025, Samsara guided to total revenue of $334 million to $336 million, 21% to 22% year-over-year growth, and non-GAAP net income per diluted share of $0.07 to $0.08.

For full fiscal 2025, it expects total revenue of $1.237 billion to $1.239 billion^c, 32% year-over-year growth, 35% adjusted revenue growth, a 7% non-GAAP operating margin, and non-GAAP diluted EPS of $0.22 to $0.23. The company noted that Q4 FY24 was a 14-week quarter and that adjusted revenue growth figures account for this difference. On the balance sheet, the filing shows cash and cash equivalents of $160.3 million, short-term investments of $511.6 million, and long-term investments of $241.1 million as of November 2, 2024.

Deferred revenue, current, was $505.6 million^d. For the nine months ended November 2, 2024, revenue was $902.9 million and GAAP net loss was $143.7 million.

The company also referenced an investor presentation and shareholder letter and a live webcast held at 2:00 p.m. Pacific Time on the release date.

02—Key points

Key Highlights

Q3 FY2025 revenue of $322.0 million, up 36% year over year, compared with $237.5 million in the prior-year quarter.
Ending ARR of $1.349 billion, up 35% year over year; customers with ARR over $100,000 totaled 2,303, up 38%.
GAAP loss from operations of $47.4 million improved from $54.8 million; non-GAAP operating income was $33.9 million, an 11% margin.
Adjusted free cash flow of $31.2 million, a 10% margin, compared with $8.5 million a year earlier; operating cash flow was $36.0 million.
Q4 FY2025 revenue guidance of $334 million to $336 million, with 21% to 22% year-over-year growth and non-GAAP diluted EPS of $0.07 to $0.08.
FY2025 revenue guidance of $1.237 billion to $1.239 billion, 32% year-over-year growth and 35% adjusted revenue growth, with a 7% non-GAAP operating margin and non-GAAP diluted EPS of $0.22 to $0.23.

03—Questions

Frequently Asked Questions

How fast is Samsara growing?
In the third quarter of fiscal 2025, total revenue grew 36% year over year to $322.0 million, and ending ARR grew 35% to $1.349 billion. The number of customers with ARR over $100,000 rose 38% to 2,303.
Is Samsara moving toward profitability?
GAAP results remained negative in the quarter, with a loss from operations of $47.4 million and a GAAP operating margin of (15%), though that loss was smaller than the $54.8 million a year earlier. On a non-GAAP basis, operating income was $33.9 million, an 11% margin, up from $12.7 million, or 5%, in the prior-year quarter.
What does the company expect for the rest of fiscal 2025?
Samsara guided to fourth-quarter revenue of $334 million to $336 million and full-year revenue of $1.237 billion to $1.239 billion, representing 32% full-year year-over-year growth. It expects a 7% full-year non-GAAP operating margin and non-GAAP diluted EPS of $0.22 to $0.23. The filing notes that a reconciliation of non-GAAP guidance to GAAP is not available on a forward-looking basis without unreasonable effort.
How strong is the company's cash generation and liquidity?
Operating cash flow was $36.0 million in the quarter and adjusted free cash flow was $31.2 million, a 10% margin. As of November 2, 2024, the company held $160.3 million in cash and cash equivalents, $511.6 million in short-term investments, and $241.1 million in long-term investments.

04—Continue

← View all 8-K filings