Axon Enterprise

AXON Q2 2025 Earnings

Reported Aug 4, 2025 at 4:23 PM ET · SEC Source

Q2 25 EPS

$2.12

BEAT +45.02%

Est. $1.46

Q2 25 Revenue

$668.5M

BEAT +4.30%

Est. $641.0M

vs S&P Since Q2 25

-62.8%

TRAILING MARKET

AXON -48.1% vs S&P +14.8%

Market Reaction

Did AXON Beat Earnings? Q2 2025 Results

Axon Enterprise turned in a standout second quarter, delivering non-GAAP diluted EPS of $2.12 against a consensus estimate of $1.46, a 45.02% beat, while revenue of $668.54 million topped expectations by 4.30% and grew 32.9% year over year, marking t… Read more Axon Enterprise turned in a standout second quarter, delivering non-GAAP diluted EPS of $2.12 against a consensus estimate of $1.46, a 45.02% beat, while revenue of $668.54 million topped expectations by 4.30% and grew 32.9% year over year, marking the company's sixth consecutive quarter above 30% growth. The primary engine behind the outperformance was Software & Services, which surged 39% to $292.18 million as demand for AI-powered productivity tools and digital evidence management drove annual recurring revenue up 39% to $1.18 billion, with net revenue retention expanding to 124%. Connected Devices contributed $376.36 million, lifted by strong TASER 10 sales and an 86% jump in Platform Solutions on counter-drone and VR training equipment demand. Future contracted bookings grew 43% to $10.70 billion, underscoring the durability of the growth runway, and management raised full-year 2025 revenue guidance to $2.65 billion to $2.73 billion, representing roughly 29% annual growth at the midpoint. Investors closely watched the stock's reaction as the company also lifted its adjusted EBITDA guidance to $665 million to $685 million.

Key Takeaways

  • Growing adoption of premium digital evidence management solutions driving Software & Services growth of 39%
  • Strong demand for TASER 10 devices and associated cartridges
  • Axon Body 4 adoption driving Personal Sensors growth
  • Counter-drone equipment and VR training driving Platform Solutions growth of 86%
  • Net revenue retention expanding to 124%, reflecting expansion within existing customer base
  • Annual recurring revenue growth of 39% to $1.2 billion
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AXON YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

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AXON Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 22 Q4 25
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AXON Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“Our job is to solve real problems. By listening to our customers and building what they need most, we create value.”

— Rick Smith, Q2 2025 Earnings Press Release