Arlo Technologies, Inc. (NYSE: ARLO) has announced the adoption of a stock repurchase program, with the board of directors approving the repurchase of up to an aggregate of $50 million of shares of its common stock through open market purchases.
Matthew McRae, the Chief Executive Officer of Arlo Technologies, stated that the decision to launch the share repurchase program is driven by the company's improving profitability, increasing cash position, and belief in the upside potential as it executes its long-range plan. The program is designed to maximize shareholder return over time and serves as one pillar of the company's capital allocation plan.
The repurchase program is expected to continue through December 31, 2026, unless extended or shortened by the board of directors. The repurchases will be effected through open market purchases in a manner deemed to be in the best interests of the company and its stockholders, considering the economic cost and prevailing market conditions.
Arlo Technologies, Inc. is a leading smart home security company known for its advanced home, business, and personal security solutions. The company's expertise in AI* and CV-powered analytics, cloud services, user experience and product design, and innovative wireless and RF connectivity enables the delivery of a seamless, smart security experience for its users.
To date, Arlo has launched several categories of award-winning connected devices, software, and services, including wire-free, smart Wi-Fi, and LTE-enabled security cameras, video doorbells, floodlights, security systems, and subscription services.
As of now, the company has not provided specific financial metrics or comparisons to previous periods following the announcement of the stock repurchase program. The market has reacted to these announcements by moving the company's shares 1.1% to a price of $11.85. For more information, read the company's full 8-K submission here.
