Alarm.com Holdings (ALRM) Q3 FY2026 earnings: revenue $279 million, up 9.0% on the year

Alarm.com Holdings, Inc. (ALRM) reported revenue of $279 million for Q3 FY2026, the quarter ended 30 September 2026, up 9.0% on the same quarter a year earlier. Net income was $34 million, down 2.6% on the year, and diluted earnings per share $0.66. The figures are the company's own, from the 10-Q it filed with the SEC on 5 November 2026.

Revenue

$279 million

+9.0% on the year · +0.6% on the quarter

Q4 FY2024Q3 FY2026

Operating margin

15.7%

14.4% a year earlier

Q4 FY2024Q3 FY2026

Net income

$34 million

-2.6% on the year · +42.0% on the quarter

Q4 FY2024Q3 FY2026

Diluted EPS

$0.66

+1.5% on the year · +37.5% on the quarter

Q4 FY2024Q3 FY2026

this quarterthe same quarter a year earlierHover a bar for its figure.

What management said

Guidance figures: 6 raised, 1 new, 2 kept.

SaaS and license revenue rose 9.0%: SaaS and license revenue was $191.2 million in the quarter, up from $175.4 million a year earlier. The prior quarter had grown 11.1% year over year.
CellGate adds gate access channel: CellGate provides cellular-powered gate access control and video intercom for commercial, small business, multifamily, ranch and estate properties, through distributor relationships.
Litigation expense increased sharply: Litigation expense was $6.3 million, against $1.8 million a year earlier. Nine-month litigation expense was $16.4 million, against $1.9 million. The company excludes it from non-GAAP measures.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q3 FY2026	Q2 FY2026	Q3 FY2025	On the quarter	On the year
Revenue	279	278	256	+0.6%	+9.0%
Cost of revenue	92.7	95.7	87.6	-3.1%	+5.8%
Gross profit	187	182	169	+2.6%	+10.6%
Gross margin	66.8%	65.6%	65.8%
Research and development	69.7	71.0	66.6	-1.8%	+4.6%
Operating income	43.9	32.5	37.0	+35.0%	+18.5%
Operating margin	15.7%	11.7%	14.4%
Interest expense	3.5	3.5	4.3	+0.1%	-18.0%
Pre-tax income	46.7	31.1	47.5	+50.2%	-1.7%
Income tax	11.9	7.7	15.2	+54.0%	-21.6%
Effective tax rate	25.5%	24.9%	32.0%
Net income	34.4	24.2	35.3	+42.0%	-2.6%
Net margin	12.3%	8.7%	13.8%
Diluted EPS	$0.66	$0.48	$0.65	+37.5%	+1.5%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	Q3 FY2026	Q2 FY2026	Q3 FY2025	On the quarter	On the year
Operating cash flow	75.1	41.9	70.6	+79.2%	+6.3%
Capital expenditure	5.6	4.8	4.8	+14.8%	+17.0%
Free cash flow	69.5	37.0	65.9	+87.6%	+5.5%
Free cash flow margin	24.9%	13.3%	25.7%
Cash from investing	-8.0	-23.1	-17.0
Cash from financing	-11.8	-36.8	-11.9
Depreciation and amortisation	8.4	9.0	7.8	-6.1%	+8.0%
Share-based compensation	8.0	7.6	8.2	+5.9%	-2.4%
Buybacks	13.4	25.0	12.3	-46.3%	+9.7%
Diluted shares, weighted	56m	56m	58m	+0.1%	-4.2%
Shares outstanding at period end	49m	49m	50m	-0.1%	-1.6%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet

$ million	Q3 FY2026	Q2 FY2026	Q3 FY2025	On the quarter	On the year
Shareholders' equity	894	864	827	+3.4%	+8.0%
Redeemable equity	48.3	45.9	56.1	+5.2%	-14.0%
Debt	492	491	988	+0.1%	-50.2%
Operating lease liabilities	66.2	68.4	69.1	-3.3%	-4.2%
Other liabilities	205	187	183	+9.7%	+12.1%
Total liabilities and equity	1,705	1,657	2,124	+2.9%	-19.7%
Fixed assets	66.2	68.0	67.4	-2.6%	-1.8%
Goodwill	224	225	182	-0.1%	+23.5%
Intangible assets	82.0	87.8	71.2	-6.6%	+15.1%
Investments	229	232	198	-1.4%	+15.9%
Cash and equivalents	535	479	1,067	+11.5%	-49.9%
Receivables	151	162	111	-6.4%	+36.3%
Inventory	101	94.3	92.3	+6.8%	+9.2%
Other assets	316	309	336	+2.5%	-5.7%
Total assets	1,705	1,657	2,124	+2.9%	-19.7%

Questions

What was Alarm.com Holdings' revenue in Q3 FY2026?

Alarm.com Holdings (ALRM) reported revenue of $279 million for Q3 FY2026, the quarter ended 30 September 2026, up 9.0% on the same quarter a year earlier.

How much did Alarm.com Holdings earn in Q3 FY2026?

Net income for Q3 FY2026 was $34 million, down 2.6% on the year, and diluted earnings per share $0.66.

When did Alarm.com Holdings report Q3 FY2026 results?

Alarm.com Holdings filed its 10-Q for the quarter ended 30 September 2026 with the SEC on 5 November 2026.

Quarterly results, the last 20 quarters

	Q4 FY2021	Q1 FY2022	Q2 FY2022	Q3 FY2022	Q4 FY2022	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024	Q1 FY2025	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026	Q3 FY2026
Revenue	195	205	213	216	208	210	224	222	226	223	234	240	242	239	254	256	262	265	278	279
Cost of revenue	82.4	90.1	87.3	85.6	79.6	76.2	86.4	81.4	81.2	76.5	81.3	84.7	83.6	78.2	87.5	87.6	89.0	90.5	95.7	92.7
Gross profit	113	115	126	131	129	134	138	140	145	147	153	156	159	161	167	169	173	175	182	187
Gross margin	58%	56%	59%	60%	62%	64%	61%	63%	64%	66%	65%	65%	65%	67%	66%	66%	66%	66%	66%	67%
R&D	47.6	51.5	54.2	55.6	57.4	61.9	60.9	61.0	61.3	66.0	65.7	62.2	62.0	68.4	69.1	66.6	66.2	72.1	71.0	69.7
Operating income	10.8	8.9	11.3	16.3	14.5	8.8	16.2	16.2	25.7	18.7	25.8	33.2	30.9	29.6	32.0	37.0	34.9	31.6	32.5	43.9
Operating margin	6%	4%	5%	8%	7%	4%	7%	7%	11%	8%	11%	14%	13%	12%	13%	14%	13%	12%	12%	16%
Interest expense	n/a	n/a	n/a	n/a	n/a	n/a	0.8	0.9	n/a	0.8	2.0	4.3	4.3	4.3	4.3	4.3	4.3	3.7	3.5	3.5
Pre-tax income	6.6	8.3	11.7	18.4	18.3	13.0	22.1	23.3	39.4	26.2	33.4	43.2	39.1	35.0	39.4	47.5	44.7	29.0	31.1	46.7
Tax rate	-34%	-7%	7%	1%	3%	-9%	29%	17%	21%	11%	3%	16%	23%	21%	14%	32%	22%	20%	25%	26%
Net income	9.1	9.1	10.8	18.3	18.1	14.4	15.8	19.5	31.3	23.6	33.5	36.7	30.3	27.9	34.6	35.3	34.7	23.6	24.2	34.4
Net margin	5%	4%	5%	8%	9%	7%	7%	9%	14%	11%	14%	15%	13%	12%	14%	14%	13%	9%	9%	12%
Diluted EPS	$0.18	$0.18	$0.21	$0.35	$0.34	$0.28	$0.30	$0.37	$0.58	$0.44	$0.62	$0.67	$0.56	$0.52	$0.63	$0.65	$0.66	$0.47	$0.48	$0.66
Operating cash flow	20.0	-14.0	26.2	10.2	34.4	-3.5	36.8	62.8	39.9	49.9	23.0	77.3	56.3	24.1	22.7	70.6	35.9	50.6	41.9	75.1
Capital expenditure	2.1	2.2	24.1	1.8	0.6	2.4	1.0	2.0	2.2	3.1	2.0	2.8	2.3	6.1	4.6	4.8	0.9	0.9	4.8	5.6
Free cash flow	17.8	-16.1	2.1	8.4	33.9	-5.9	35.8	60.9	37.7	46.8	21.0	74.5	54.0	17.9	18.2	65.9	35.1	49.7	37.0	69.5
Buybacks	0.0	23.3	28.2	0.4	27.0	0.0	6.7	6.1	14.4	0.0	75.0	0.0	0.0	5.1	5.1	12.3	19.1	20.0	25.0	13.4
Shares outstanding	50m	50m	50m	50m	49m	50m	50m	50m	50m	50m	49m	49m	50m	50m	50m	50m	50m	49m	49m	49m
Filing	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-Q for the period ended 30 September 2026, filed 5 November 2026: the filing.