Arlo Technologies reports Q3 adjusted EPS 11c, consensus 10c

Reports Q3 revenue $137.7M, consensus $136.14M. “Arlo demonstrated operational excellence in the third quarter, driven by our services business, with our highly profitable ARR growing 21% to reach $242 million and non-GAAP service gross margin at 77%. The record non-GAAP operating margin translated to non-GAAP net income per share of $0.11 and robust free cash flow of $17 million with double-digit free cash flow margin,” said Matthew McRae, Chief Executive Officer of Arlo Technologies (ARLO). “The innovation in our subscription services is fueling our success and we are thrilled to have launched Arlo Secure 5.0 during the period, which represents another groundbreaking step with our industry-leading innovation cycle. Our focus on innovation and operational excellence gives us confidence in our ability to hit our long-range targets.”