Companies /Industrials

Axon Enterprise Inc

NASDAQ: AXON Aerospace & Defense
$611.20
â–² $3.72 (+0.61%) today
Markets closed · 5:11am ET

Q1 2026 Earnings

Reported May 6, 2026, 4:15pm ET · SEC source
$1.61
Beat +0.80%
EPS · est. $1.60
$807.3M
Beat +3.56%
Revenue · est. $779.6M
+5.3%
Beating market
AXON vs S&P since report
3 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−5%0+5%+10%May 6May 7report 4:15pm ETearnings−0.5%+9.2%
−5%0+5%+10%May 6May 7earnings−0.5%+9.2%
AXON +9.2%S&P 500 −0.5%
−6%0+6%+12%May 6May 7report 4:15pm ETearnings−0.6%+9.2%
−6%0+6%+12%May 6May 7earnings−0.6%+9.2%
AXON +9.2%NASDAQ −0.6%
0+6%+12%+18%May 5May 14report 4:15pm ETearnings+1.9%+5.0%
0+6%+12%+18%May 5May 14earnings+1.9%+5.0%
AXON +5.0%S&P 500 +1.9%
0+6%+12%+18%May 5May 14report 4:15pm ETearnings+3.5%+5.0%
0+6%+12%+18%May 5May 14earnings+3.5%+5.0%
AXON +5.0%NASDAQ +3.5%
+10.63%
Day of report
−5.47%
Next session
−9.07%
One week
+6.00%
30 days

S&P 500 over the same 30 days: +0.75%.

Did AXON Beat Earnings? Q1 2026 Results

Axon Enterprise kicked off fiscal 2026 with a strong beat on both the top and bottom lines, posting first-quarter revenue of $807.35 million, up 33.8% year over year and ahead of the $779.61 million consensus estimate by 3.56%. Non-GAAP earnings of $1.61 per diluted share edged past the $1.60 analyst estimate, while GAAP net income nearly doubled to $169.31 million, supported by $189.01 million in investment-related gains. The primary growth engine was a potent combination of Software and Services momentum, where annual recurring revenue climbed 35% to $1.49 billion, and a dramatic acceleration in counter-drone hardware through Dedrone, which drove Platform Solutions revenue up 95% year over year to $111.22 million. AI-powered products also contributed meaningfully, with AI Era Plan revenue surging over 700% year over year. Management responded to the quarter's strength by raising full-year 2026 revenue growth guidance to 30% to 32%, up from a prior range of 27% to 30%, while maintaining an Adjusted EBITDA margin target of approximately 25.5%.

Key Takeaways
  • AI Era Plan product revenue up over 700% year over year
  • Counter-drone (Dedrone) product revenue up over 300% year over year
  • Strong demand for TASER 10 and Axon Body 4 deployments
  • Net revenue retention of 125% reflecting upsell of premium software
  • Annual recurring revenue of $1.5 billion, up 35% year over year
  • Future contracted bookings grew 44% year over year to $14.3 billion
  • Expansion into international, corrections, U.S. federal and enterprise markets

“Axon's customers are being asked to do more with greater transparency and higher expectations. We are breaking down information barriers and providing a secure, compliant foundation to help prevent harm, accelerate justice and protect life in the communities our customers serve.”

Axon Enterprise CEO, on the earnings call

Forward Guidance & Outlook

Axon raised its full-year 2026 revenue growth outlook to 30%–32%, up from 27%–30% previously. The company maintains Adjusted EBITDA margin guidance of approximately 25.5%. Full-year stock-based compensation is expected at $590–$620 million (including ~$230 million related to Employee XSP and CEO Performance Award). Capital expenditures are expected in the range of $160–$190 million. Management expects full-year operating cash flow of over $600 million and free cash flow of approximately $450 million.

AXON YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$300.0M$600.0M$603.6M$807.3MRevenue$365.7M$477.3MGross Profit$5.1M$29.2MOperating Income$88.0M$169.3MNet Income
$0$300.0M$600.0MRevenueGross ProfitOperating IncomeNet Income

AXON Revenue by Segment

Connected Devices$452.8M+32.8%
Software & Services$354.5M+34.9%
TASER$232.9M+19.0%
Platform Solutions$111.2M+95.0%
Personal Sensors$108.8M+23.0%

AXON Revenue by Geography

United States$646.5M+22.1%
Rest of World$160.8M+116.6%

Figures from SEC filings and company reports. Not investment advice.