Axon Enterprise, Inc. Q3 FY2025 earnings call

Third - quarter revenue was $711 million, marking a 31% year - over - year increase. Software and services led the growth, surging 41% year over year to $305 million. This growth was driven by new customers and existing customers expanding their use of the platform. Net revenue retention was 124% for the quarter, and ARR grew 41% to $1.3 billion. Connected Devices revenue saw a 24% year - over - year rise to $405 million. TASER grew by 17%, with TASER 10 being the main driver, and Personal Sensors grew by 20% due to Axon Body 4. Platform solutions experienced a 71% growth, propelled by counter - drone, virtual reality, and fleet. Adjusted gross margin was 62.7%, a 50 - basis - point decrease year over year mainly because of tariffs. Adjusted EBITDA margin was 24.9%.