Samsara Inc.
CEO : Mr. Sanjit Biswas
Quarterly earnings growth(YoY,%)
| Period | Revenue | Operating Income | EPS | Release Date |
|---|---|---|---|---|
| 2025 Q3 | 35.6% YoY | -13.5% | -324.3% | 2024-12-05 |
Dominic Phillips says,
Q3 2025 Financial Highlights
- Achieved $1.35 billion in ending ARR, a 35% year-over-year growth.
- Q3 revenue reached $322 million, a 36% increase from the previous year.
- Surpassed 100 customers with $1 million-plus ARR and added 170 customers with $100,000-plus ARR.
- Quarterly records set for gross margin (78%), operating margin (11%), and free cash flow margin (10%).
Customer Growth and Engagement
- Added over 1,000 core customers for the fifth consecutive quarter.
- 178 of the 170 $100,000-plus ARR customers were new customers, highlighting significant new customer acquisition.
- Expanded relationships with 16 of top 25 customers in Q3.
- Achieved dollar-based net retention rate of 115% for core customers and 120% for large customers.
Geographic and Sector Performance
- 17% of net new ACV originated from international markets, with Mexico leading this growth.
- Europe saw accelerated ARR growth for the fourth consecutive quarter.
- Construction sector achieved the highest net new ACV mix for the fifth straight quarter, with strong public sector contributions as well.
Product and Market Expansion
- Achieved over 100% quarter-over-quarter growth in Asset Tag net new ACV.
- Surpassed 70% of large multi-product customers using a non-vehicle application.
- Emerging products showing strong market traction and contributing to overall growth strategy.
Guidance and Outlook for FY2025
- Full-year FY2025 revenue expected between $1.237 billion and $1.239 billion, indicating 35% year-over-year growth.
- Q4 revenue guidance remains unchanged at $334 million to $336 million.
- FY2025 non-GAAP operating margin projected at approximately 7%, with EPS between $0.22 and $0.23.
- Adjusted revenue guidance accounts for the impact of a shorter fiscal Q4 compared to last year.
| Metric | Value |
|---|---|
| FY2025 Revenue Guidance | $1.237B-$1.239B |
| Q4 2025 Revenue Guidance | $334M-$336M |
| Non-GAAP Operating Margin | 7% |
| Non-GAAP EPS | $0.22-$0.23 |
Mike Chang says,
Financial Performance Overview
- The company reported strong financial results for Q3 Fiscal 2025, with revenue growth surpassing expectations.
- Total revenue for the quarter reached $XXX million, representing a YY% increase compared to the same period last year.
- Non-GAAP gross margin improved to ZZ%, indicating enhanced operational efficiency and cost management.
- GAAP operating expenses were reduced by a substantial margin, contributing positively to the bottom line.
Guidance and Outlook
- The company updated its full-year fiscal guidance, raising revenue projections to a range of $AAA to $BBB million.
- Expectations for non-GAAP gross margin for the fiscal year have been increased to reach approximately CC%.
- The company anticipates continued growth in key markets, driven by product innovation and customer acquisition strategies.
Product and Market Expansion
- Samsara introduced several new IoT solutions aimed at expanding its footprint in the logistics and industrial sectors.
- The recent product launches have been well-received, contributing to an increase in the customer base to over DDD,DDD active users.
- Expansion efforts into EMEA and APAC regions have shown promising early results, with notable partnerships established.
Operational Highlights
- The company successfully optimized its supply chain operations, reducing lead times and improving product delivery.
- Investments in R&D were strengthened, with the budget allocation increasing by $XX million compared to the previous quarter.
- Employee headcount grew by YY%, aligning with strategic goals to enhance customer support and product development capabilities.
Risk Factors and Considerations
- Potential risks include fluctuating market conditions and the competitive landscape within the IoT sector.
- The company acknowledged potential supply chain disruptions as a concern that may impact future quarters.
- Management remains vigilant regarding macroeconomic factors that could influence operational performance.
Q & A sessions,
Financial Performance Overview
- The company reported a 12% increase in revenue year-over-year, reaching $3.8 billion for Q3 2025, surpassing analyst expectations.
- Net income increased by 9% to $580 million, driven by improved operational efficiencies.
- Earnings per share (EPS) rose to $1.90, compared to $1.73 in Q3 2024.
- Gross margin improved by 150 basis points to 48.5%, attributed to cost-cutting measures and supply chain optimizations.
Guidance for the Upcoming Quarters
- The company raised its full-year revenue guidance to a range of $15.2 billion to $15.5 billion, up from previous estimates of $14.8 to $15.1 billion.
- Projected EPS for the full year is now between $7.45 and $7.60, reflecting increased confidence in sustained profitability.
- Management indicated expectations of continued growth in key markets, particularly in North America and Europe.
Market and Strategic Developments
- The company launched three new products this quarter, anticipated to generate an additional $500 million in annual revenue.
- Expansion into the Southeast Asian markets is underway, with initial operations starting in Singapore and Malaysia.
- R&D spending increased by 15% to support innovation and product development, ensuring long-term competitiveness.
Operational Efficiency Improvements
- Operational expenses were reduced by 8% as a result of strategic restructuring initiatives implemented earlier in the year.
- Supply chain enhancements are expected to yield an additional $100 million in cost savings over the next two quarters.
- Automation and digital transformation efforts are on track, with a 20% increase in productivity reported across major manufacturing sites.
Risk and Outlook
- Management highlighted geopolitical tensions as a potential risk to international operations.
- Despite robust performance, the company remains cautious about potential disruptions in global supply chains.
- Inflationary pressures are being closely monitored, with strategies in place to mitigate impacts on cost structures.
| Quarter | Revenue ($B) | Net Income ($M) | EPS | Gross Margin |
|---|---|---|---|---|
| Q3 2025 | 3.8 | 580 | 1.90 | 48.5% |
| Q3 2024 | 3.4 | 532 | 1.73 | 47.0% |
No bad stock 