Revenue growth stabilized at 2% in 2026Q2, while gross margin expanded to 31.6% from 26.9% in 2024Q1, but SG&A growth of 44% limited operating leverage, with operating margin at 6.6%.
Resideo Technologies, Inc. (REZI) annual income statement — 10-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 |
|---|
| Sales/Revenue | 7.65B | 7.47B | 6.76B | 6.24B | 6.37B | 5.85B | 5.07B | 4.99B | 4.83B | 4.52B | 4.46B |
| Revenue Growth % | 3.42% | 10.52% | 8.31% | -2.01% | 8.96% | 15.28% | 1.66% | 3.34% | 6.82% | 1.44% | - |
| Cost of Goods Sold | 5.48B | 5.4B | 4.86B | 4.55B | 4.6B | 4.26B | 3.76B | 3.71B | 3.4B | 3.2B | 3.09B |
| COGS % of Revenue | - | 72.24% | 71.88% | 72.83% | 72.28% | 72.9% | 74.11% | 74.4% | 70.48% | 70.88% | 69.36% |
| Gross Profit | 2.17B | 2.07B | 1.9B | 1.7B | 1.77B | 1.58B | 1.31B | 1.28B | 1.43B | 1.32B | 1.36B |
| Gross Margin % | 28.35% | 27.76% | 28.12% | 27.17% | 27.72% | 27.1% | 25.89% | 25.6% | 29.52% | 29.12% | 30.64% |
| Gross Profit Growth % | - | 9.1% | 12.09% | -3.96% | 11.49% | 20.64% | 2.82% | -10.39% | 8.28% | -3.59% | - |
| Operating Expenses | 1.59B | 1.43B | 1.38B | 1.15B | 1.16B | 1.02B | 1B | 1.02B | 932M | 871M | 1.36B |
| OpEx % of Revenue | - | 19.18% | 20.43% | 18.41% | 18.13% | 17.53% | 19.76% | 20.43% | 19.31% | 19.27% | 30.64% |
| Selling, General & Admin | 1.32B | 1.27B | 1.14B | 960M | 974M | 909M | 925M | 932M | 932M | 871M | 870M |
| SG&A % of Revenue | - | 16.94% | 16.83% | 15.38% | 15.29% | 15.55% | 18.24% | 18.68% | 19.31% | 19.27% | 19.53% |
| Research & Development | 187M | 167M | 111M | 109M | 111M | 86M | 77M | 87M | 0 | 0 | 0 |
| R&D % of Revenue | - | 2.23% | 1.64% | 1.75% | 1.74% | 1.47% | 1.52% | 1.74% | - | - | - |
| Other Operating Expenses | 1000K | 0 | 132M | 80M | 70M | 30M | 0 | 0 | 0 | 0 | 495M |
| Operating Income | 581M | 641M | 520M | 547M | 611M | 559M | 311M | 258M | 493M | 445M | 495M |
| Operating Margin % | 7.59% | 8.58% | 7.69% | 8.76% | 9.59% | 9.56% | 6.13% | 5.17% | 10.21% | 9.85% | 11.11% |
| Operating Income Growth % | - | 23.27% | -4.94% | -10.47% | 9.3% | 79.74% | 20.54% | -47.67% | 10.79% | -10.1% | - |
| EBITDA | 781M | 836M | 664M | 645M | 705M | 647M | 397M | 338M | 559M | 512M | 559M |
| EBITDA Margin % | 10.21% | 11.19% | 9.82% | 10.33% | 11.07% | 11.07% | 7.83% | 6.78% | 11.58% | 11.33% | 12.55% |
| EBITDA Growth % | 0.51% | 25.9% | 2.95% | -8.51% | 8.96% | 62.97% | 17.46% | -39.53% | 9.18% | -8.41% | - |
| D&A (Non-Cash Add-back) | 200M | 195M | 144M | 98M | 94M | 88M | 86M | 80M | 66M | 67M | 64M |
| EBIT | 667M | -320M | 302M | 378M | 472M | 400M | 164M | 140M | 124M | 166M | 495M |
| Net Interest Income | -180M | -137M | -81M | -65M | -54M | -47M | -63M | -69M | -20M | 0 | -3M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 180M | 137M | 81M | 65M | 54M | 47M | 63M | 69M | 20M | 0 | 3M |
| Other Income/Expense | -94M | -1.1B | -299M | -234M | -193M | -206M | -210M | -187M | -389M | -279M | -185M |
| Pretax Income | 487M | -457M | 221M | 313M | 418M | 353M | 101M | 71M | 104M | 166M | 310M |
| Pretax Margin % | 6.36% | -6.12% | 3.27% | 5.01% | 6.56% | 6.04% | 1.99% | 1.42% | 2.15% | 3.67% | 6.96% |
| Income Tax | 60M | 70M | 105M | 103M | 135M | 111M | 64M | 35M | -301M | 560M | 133M |
| Effective Tax Rate % | 12.32% | -15.32% | 47.51% | 32.91% | 32.3% | 31.44% | 63.37% | 49.3% | -289.42% | 337.35% | 42.9% |
| Net Income | 427M | -527M | 116M | 210M | 283M | 242M | 37M | 36M | 405M | -394M | 177M |
| Net Margin % | 5.58% | -7.05% | 1.72% | 3.36% | 4.44% | 4.14% | 0.73% | 0.72% | 8.39% | -8.72% | 3.97% |
| Net Income Growth % | 155.03% | -554.31% | -44.76% | -25.8% | 16.94% | 554.05% | 2.78% | -91.11% | 202.79% | -322.6% | - |
| Net Income (Continuing) | 427M | -527M | 116M | 210M | 283M | 242M | 37M | 36M | 405M | -394M | 177M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 2.77 | -3.77 | 0.61 | 1.42 | 1.90 | 1.63 | 0.29 | 0.29 | 3.30 | -3.19 | 1.43 |
| EPS Growth % | 143.07% | -718.03% | -57.04% | -25.26% | 16.56% | 462.07% | 0% | -91.21% | 203.45% | -323.08% | - |
| EPS (Basic) | - | -3.77 | 0.62 | 1.43 | 1.94 | 1.68 | 0.30 | 0.29 | 3.31 | -3.22 | 1.43 |
| Diluted Shares Outstanding | 154M | 149M | 149M | 148M | 149M | 148.45M | 126.32M | 123.24M | 122.62M | 123.45M | 123.45M |
| Basic Shares Outstanding | 151M | 149M | 146M | 147M | 146M | 144.04M | 125.35M | 122.72M | 122.5M | 122.36M | 122.92M |
| Dividend Payout Ratio | - | - | 10.34% | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying REZI stock.
For fiscal year 2025, Resideo Technologies, Inc. (REZI) reported total revenue of $7.47B. This represents a 67.7% increase compared to $4.46B in 2016.
Resideo Technologies, Inc. (REZI) reported a net loss of $527.0M for the fiscal year ending 2025.
Resideo Technologies, Inc. (REZI) reported an operating income of $641.0M, resulting in an operating profit margin of 8.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Resideo Technologies, Inc. (REZI) generated $2.07B in gross profit for the year, representing a gross profit margin of 27.8%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Housing market sensitivity
Metrics are mathematically derived from official filings.
Revenue Growth Stabilizing After Volatility
Revenue growth has moderated to 2% in recent quarters, down from 20%+ in 2024, according to reported figures, suggesting a normalization after a period of strong expansion.
The deceleration from double-digit growth in 2024 to a steady 2% in 2025 and 2026 indicates a maturing demand environment, likely tied to housing market softness. The sequential increase from $1.5B in 2024Q1 to $2.0B in 2026Q2 shows resilience, but the flat growth rate suggests volume is plateauing. Investors should monitor whether the Snap One acquisition can reaccelerate growth or if this is the new baseline.
Gross Margin Expansion Driven by Mix
Gross margin improved to 31.6% in 2026Q2 from 26.9% in 2024Q1, as per financial statements, indicating a favorable shift toward higher-margin products and services.
The 470 basis point expansion in gross margin over ten quarters suggests the company is successfully shifting its revenue mix toward proprietary products and away from lower-margin distribution. This trend is supported by the increasing contribution from the Products & Solutions segment, which carries higher margins than ADI. However, the sustainability of this mix shift depends on continued demand for smart home products and the successful integration of Snap One.
Operating Leverage Limited by SG&A
Operating income has grown 7% from $122M to $131M despite revenue growth of 25%, based on reported data, indicating that SG&A costs are absorbing potential operating leverage.
While gross profit has expanded, operating margin has remained relatively flat around 7-9%, suggesting that SG&A expenses are scaling with revenue. The increase in SG&A from $231M to $332M over the period reflects investments in the ADI branch network and sales force, which may be necessary to support growth but limits margin expansion. This implies that the company is not yet achieving the economies of scale needed to drive operating leverage.
Earnings Distorted by One-Time Charges
Net income swung from -$825M in 2025Q2 to $97M in 2026Q2, as reported, with the loss likely due to a non-cash impairment, masking underlying profitability.
The massive loss in 2025Q2, which contrasts with positive operating income, suggests a significant one-time charge, possibly a goodwill impairment or settlement. Excluding this anomaly, net income has been positive but volatile, with EPS ranging from -$5.59 to $0.85. Stock-based compensation has been stable at $14-15M per quarter, which is manageable, but the tax rate appears inconsistent, warranting further investigation into the effective tax rate's impact on earnings quality.
COGS and SG&A Drive Cost Structure
COGS remains the largest cost line at ~70% of revenue, while SG&A has grown 44% from $231M to $332M, according to financial statements, reflecting distribution network investments.
The high COGS ratio is typical for a distribution-heavy business, but the significant increase in SG&A suggests management is investing in growth initiatives, possibly related to the Snap One acquisition. R&D spending has also risen from $21M to $48M, indicating a focus on product innovation. These cost increases are pressuring margins, and investors should monitor whether they translate into sustained revenue growth or if they represent inefficiencies.
2025Q2 Loss Marks Turning Point
The -$825M net loss in 2025Q2, as reported, appears to be a one-time impairment, after which earnings recovered to $97M in 2026Q2, signaling a potential inflection.
The sharp loss in 2025Q2, despite positive operating income, suggests a non-cash write-down that reset the earnings base. Following this, net income has improved sequentially, with 2026Q2 showing the highest net margin (4.9%) in the series. This may indicate that the company has cleared legacy liabilities and is now positioned for more stable profitability, though the sustainability of this recovery depends on maintaining revenue growth and controlling costs.
What Could Invalidate the Base Case
The recent EPS beat of $0.83 versus $0.52 estimate, as reported, may not be sustainable if housing market weakness persists, potentially pressuring revenue growth and margins.
The substantial earnings beat in the latest quarter could be a one-off, driven by temporary factors such as inventory restocking or cost controls. The flat revenue growth of 2% suggests limited top-line momentum, and if the housing market remains soft, the company may struggle to maintain profitability. Additionally, the integration of Snap One carries execution risk, and any delays or cost overruns could erode margins. Investors should be cautious about extrapolating the recent strong performance without evidence of sustained demand.