SmartRent (NYSE:SMRT) Releases Quarterly Earnings Results

SmartRent (NYSE:SMRT) released its quarterly earnings results on Wednesday. The company reported ($0.02) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.02), FiscalAI reports. SmartRent had a negative net margin of 39.76% and a negative return on equity of 12.81%. The company had revenue of $36.63 million for the quarter, compared to analysts’ expectations of $36.82 million.

Here are the key takeaways from SmartRent’s conference call:

• SmartRent expanded its IoT footprint to ~911,000 units (10% YoY growth) and is targeting to surpass 1 million installed units in the first half of 2027 as part of its “March to One Million” initiative.
• The company reported ARR of $61M (up 9% YoY) and increasing SaaS mix (SaaS now ~39% of revenue), which management says will drive higher-quality, more recurring revenue over time.
• Profitability and cost structure improved materially: Q1 gross profit was $15M with a 39% gross margin (+630 bps YoY), adjusted EBITDA was positive (~$0.4M) for the second consecutive quarter, net loss narrowed to $4.4M, and the company ended the quarter with $99M cash and no debt.
• Total revenue fell ~6% YoY to $38.7M, bookings declined 9% to 16,592 units, hardware revenue was down 18% and hardware gross margin weakened, driven by an easier prior-year comparison, rep ramp timing and caution among some customers.
• Management highlighted several growth levers — including renewals, planned hardware refresh cycles (roughly ~300k legacy units up for renegotiation with ~33% average price uplift on initial renewals), a VAR channel for SMBs, and sales hiring — which could materially lift ARPU and long?term growth.

SmartRent Stock Down 16.3%

Shares of SMRT stock traded down $0.23 during trading hours on Wednesday, hitting $1.20. 4,252,706 shares of the company were exchanged, compared to its average volume of 751,885. The firm has a market cap of $230.14 million, a PE ratio of -3.74 and a beta of 1.57. SmartRent has a 1 year low of $0.72 and a 1 year high of $2.20. The firm has a fifty day moving average of $1.54 and a 200 day moving average of $1.65.

Insider Buying and Selling at SmartRent

In related news, Director Thomas N. Bohjalian acquired 150,000 shares of the business’s stock in a transaction dated Thursday, March 12th. The shares were acquired at an average cost of $1.74 per share, for a total transaction of $261,000.00. Following the acquisition, the director directly owned 500,000 shares in the company, valued at approximately $870,000. The trade was a 42.86% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. 2.30% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the stock. UBS Group AG lifted its holdings in shares of SmartRent by 28.8% during the 3rd quarter. UBS Group AG now owns 10,448,199 shares of the company’s stock worth $14,732,000 after acquiring an additional 2,335,454 shares during the period. Blue Door Asset Management LLC lifted its position in SmartRent by 5.6% during the fourth quarter. Blue Door Asset Management LLC now owns 5,635,657 shares of the company’s stock valued at $11,384,000 after buying an additional 298,998 shares in the last quarter. Marshall Wace LLP lifted its position in SmartRent by 34.0% during the fourth quarter. Marshall Wace LLP now owns 3,964,108 shares of the company’s stock valued at $8,008,000 after buying an additional 1,006,267 shares in the last quarter. Millennium Management LLC lifted its position in SmartRent by 24.7% during the third quarter. Millennium Management LLC now owns 3,646,341 shares of the company’s stock valued at $5,141,000 after buying an additional 721,846 shares in the last quarter. Finally, Mak Capital One LLC lifted its position in SmartRent by 24.9% during the fourth quarter. Mak Capital One LLC now owns 3,577,973 shares of the company’s stock valued at $7,228,000 after buying an additional 714,050 shares in the last quarter. 59.42% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings lowered shares of SmartRent from a “sell (d-)” rating to a “sell (e+)” rating in a report on Tuesday, April 21st. Two research analysts have rated the stock with a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Reduce” and a consensus price target of $1.45.

SmartRent Company Profile

SmartRent Inc is a technology company that develops smart home and smart building automation solutions for the residential rental housing industry. Its integrated hardware and software platform enables property managers and owners to remotely monitor, manage and control access, energy use and overall resident experience. The company’s product portfolio includes smart locks, thermostats, leak and flood sensors, door and window sensors, security cameras, and a centralized management dashboard that interfaces with leading property management systems.

SmartRent’s platform is designed to streamline operations for multifamily communities and single-family rental portfolios by automating routine tasks such as digital resident self-showings, remote lease turnovers, package management and preventative maintenance alerts.