Evolv Technologies Holdings Inc - Class A
Q1 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +4.10%.
Did EVLV Beat Earnings? Q1 2025 Results
Evolv Technologies delivered a sharply stronger-than-expected first quarter in 2025, posting revenue of $32.01 million, a 44.3% year-over-year increase that cleared the $27.99 million consensus estimate by 14.37%, while its loss per share of $0.02 came in well ahead of the $0.05 loss analysts had anticipated, a 60% beat. The most material driver behind the quarter's momentum was a dramatic narrowing in losses, with net loss shrinking to $1.69 million from $11.27 million a year ago and Adjusted EBITDA flipping to positive $1.74 million from negative $10.37 million, reflecting both gross margin expansion to 59.8% from 54.8% and a meaningful pullback in adjusted operating expenses to $23.18 million from $27.29 million. Recurring revenue rose 36% year-over-year to $25.75 million, and Annual Recurring Revenue reached $105.99 million at quarter-end. New CEO John Kedzierski framed the results as early evidence of improved operational execution. Looking ahead, Evolv guided full-year 2025 revenues to $125 million to $130 million, representing 20% to 25% growth, with positive Adjusted EBITDA and positive free cash flow expected in the fourth quarter.
- 44% year-over-year revenue growth driven by subscription and recurring revenue expansion
- Recurring revenue grew 36% YoY to $25.8 million
- Non-recurring revenue nearly doubled with 94% YoY growth
- ARR reached $106.0 million, up 34% year-over-year
- Gross margin improved to 59.8% from 54.8% in Q1 2024
- Adjusted operating expenses declined to $23.2 million from $27.3 million in Q1 2024
- Surpassed 6,600 total subscriptions
“I am pleased with our solid first quarter results and the foundation we're building for continued growth and operational excellence.”
Evolv Technologies CEO, on the earnings call
Forward Guidance & Outlook
Evolv expects total revenues in 2025 of $125 million to $130 million, reflecting growth of 20% to 25% compared to 2024. The company expects positive full-year Adjusted EBITDA with margins in the low to mid-single digits, inclusive of approximately $2 million in near-term investments in systems and processes to enhance internal controls and drive efficiencies. The company expects to deliver positive free cash flow in Q4 2025.
EVLV YoY Financials
EVLV Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.