Powerfleet reports strong FY25 results, optimistic FY26 outlook

Published 23/05/2025, 12:10
© PowerFleet PR

WOODCLIFF LAKE, N.J. - Powerfleet, Inc. (NASDAQ:AIOT), a global leader in AI-powered data solutions for mobile asset management with a market capitalization of $746 million, has announced its preliminary financial results for fiscal year 2025 and provided an initial outlook for fiscal 2026. According to InvestingPro data, the company currently trades at $5.63 per share and appears fairly valued based on its Fair Value assessment.

The company expects total revenue for FY25 to reach approximately $362.5 million, marking a 25% increase year-over-year and aligning with previous guidance. This growth significantly outpaces the company’s 5-year revenue CAGR of 11%. Adjusted EBITDA is anticipated to be around $71 million, a significant 65% growth from the previous year, though InvestingPro analysis indicates the company currently trades at a high EBITDA multiple. Powerfleet also reported $16 million in annual cost synergies, with $11 million reflected within the fiscal year. This has led to a proforma adjusted EBITDA of $76 million, surpassing the prior base guidance of $75 million. Net adjusted debt is projected to be better than expected at approximately $230 million.

CEO Steve Towe highlighted the year as a milestone, citing strong demand, disciplined execution, and effective integration efforts as key drivers of the company’s robust performance.

Looking ahead to FY26, Powerfleet continues to see positive business momentum despite challenges such as tariff-related pressures and extended customer decision cycles. The company presents a cautious yet optimistic outlook, expecting total revenue growth of 20% to 25% and adjusted EBITDA growth of 45% to 55%. While currently unprofitable, InvestingPro analysts expect the company to achieve profitability this year, with additional insights available in the comprehensive Pro Research Report covering 1,400+ top stocks. These projections take into account a modest step down in revenue due to accounting changes and the discontinuation of legacy FSM revenue.

Powerfleet’s confidence in long-term growth is bolstered by the success of Unity, its device-agnostic platform, which is rapidly maturing and expanding its role in unifying customer operations.

The company will attend the 22nd Annual Craig-Hallum Institutional Investor Conference on May 28 and William Blair’s 45th Annual Growth Stock Conference on June 4. Additionally, a conference call to discuss Q4 and full-year FY25 results is scheduled for June 16, 2025.

This business update is based on a press release statement and provides investors with a snapshot of Powerfleet’s financial health and future prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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