ADT Inc. Reports Strong Q1 2025 Results

By Tamara Parker • Thursday, April 24 10:12 • Permanent Link

ADT Inc. (NYSE: ADT) has reported its first quarter 2025 results, with several key highlights showcasing the company's strong performance. Total revenue increased by 7% to $1.3 billion, and end-of-period recurring monthly revenue (RMR) increased by 2% to $360 million.

The company achieved a record customer retention with gross revenue attrition at 12.6%, and revenue payback at 2.3 years. GAAP income from continuing operations was $142 million, or $0.16 per diluted share, down $21 million, while adjusted income from continuing operations was $186 million, or $0.21 per diluted share, up $15 million.

Net cash provided by operating activities was $467 million, up $103 million, and adjusted free cash flow (including interest rate swaps) was $226 million, up $116 million.

ADT returned $445 million to shareholders through share repurchases and dividends. The company repurchased and retired 53 million shares of its common stock for an aggregate price of $397 million.

The first quarter also saw the company fortifying its balance sheet by issuing a new $600 million first lien seven-year term loan facility and using the proceeds to partially redeem $500 million of the first lien notes due 2026, as well as for other general corporate purposes.

In terms of its innovative offerings, ADT continued the rollout of its new proprietary ADT+ platform, which integrates professional monitoring with Google Nest devices, and launched the ADT+ translator, which converts signals from legacy sensors into a format that ADT+ can process.

Looking ahead, the company is reiterating its financial guidance for 2025, with a total revenue range of $5,025 * $5,225 million, adjusted EBITDA range of $2,650 * $2,750 million, adjusted EPS range of $0.77 * $0.85, and adjusted free cash flow (including interest rate swaps) range of $800 * $900 million.

The company's board of directors also declared a cash dividend of $0.055 per share to holders of the company’s common stock and class B common stock of record as of June 12, 2025, to be paid on July 8, 2025.

The market has reacted to these announcements by moving the company's shares -2.0% to a price of $7.75. For more information, read the company's full 8-K submission here.

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