Resideo Technologies ( (REZI) ) has released its Q4 earnings. Here is a breakdown of the information Resideo Technologies presented to its investors.
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Resideo Technologies, Inc. is a global leader in the manufacturing, development, and distribution of technology-driven sensing and control products for residential and commercial markets, known for its strong presence in home safety, HVAC controls, and security products. In its latest earnings report, Resideo announced a robust financial performance for 2024, achieving a net revenue of $6.76 billion, which surpassed the high-end of its outlook range, with significant organic revenue growth in its ADI and Products and Solutions segments. The company also reported a record cash generation from operating activities totaling $444 million and an adjusted EBITDA of $693 million, reflecting a 17% increase from the previous year.
Key highlights of Resideo’s financial performance include a 21% year-over-year increase in fourth-quarter net revenue and a 40.8% gross margin for its Products and Solutions segment, marking the seventh consecutive quarter of margin improvement. Despite a decrease in net income from $210 million in 2023 to $116 million in 2024, the company demonstrated strong operational efficiency, with a gross profit margin increase to 28.1%.
Resideo’s strategic initiatives, such as the integration of Snap One and the launch of new products, have driven growth in ADI’s revenue by 18%, with a significant contribution from the acquisition. The e-commerce channel and exclusive brand sales also showed substantial growth, further strengthening ADI’s market position. In the Products and Solutions segment, Resideo experienced slight revenue growth, excluding divestitures and currency impacts, and introduced new product lines like the Honeywell Home FocusPRO thermostat and VISTA security products.
Looking ahead to 2025, Resideo aims to continue its organic growth trajectory and expand its margin profile. The company is optimistic about capturing synergies from the Snap One integration and is focused on launching new products to drive innovation and capitalize on profitable growth opportunities in the coming year.
