Revenue growth remains under pressure with a 6.4% year-over-year decline in 2026Q1, while operating margins continue to struggle, reaching -13.2% in the most recent quarter.
| Sales/Revenue | 149.66M | 152.33M | 174.88M | 236.84M | 167.82M | 110.64M | 52.53M | 36.23M |
| Revenue Growth % | -9.7% | -12.9% | -26.16% | 41.13% | 51.69% | 110.6% | 44.99% | - |
| Cost of Goods Sold | 98.24M | 102.46M | 114.55M | 187.31M | 166.47M | 120.71M | 56.83M | 37.29M |
| COGS % of Revenue | - | 67.26% | 65.5% | 79.09% | 99.2% | 109.1% | 108.18% | 102.92% |
| Gross Profit | 51.43M | 49.87M | 60.34M | 49.53M | 1.35M | -10.07M | -4.3M | -1.06M |
| Gross Margin % | 34.36% | 32.74% | 34.5% | 20.91% | 0.8% | -9.1% | -8.18% | -2.92% |
| Gross Profit Growth % | - | -17.35% | 21.82% | 3574.26% | 113.38% | -134.42% | -306.14% | - |
| Operating Expenses | 79.21M | 87.55M | 102.11M | 92.69M | 105.6M | 61.58M | 31.42M | 29.05M |
| OpEx % of Revenue | - | 57.47% | 58.39% | 39.14% | 62.92% | 55.66% | 59.81% | 80.16% |
| Selling, General & Admin | 55.1M | 62.69M | 72.74M | 63.88M | 76.18M | 40.01M | 22.01M | 15.64M |
| SG&A % of Revenue | - | 41.16% | 41.59% | 26.97% | 45.39% | 36.16% | 41.9% | 43.18% |
| Research & Development | 24.11M | 26.22M | 29.37M | 28.8M | 29.42M | 21.57M | 9.41M | 7.73M |
| R&D % of Revenue | - | 17.22% | 16.79% | 12.16% | 17.53% | 19.5% | 17.9% | 21.34% |
| Other Operating Expenses | 0 | -1.37M | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -27.78M | -37.68M | -41.77M | -43.16M | -104.25M | -71.65M | -35.72M | -24.43M |
| Operating Margin % | -18.56% | -24.74% | -23.89% | -18.22% | -62.12% | -64.76% | -67.99% | -67.44% |
| Operating Income Growth % | - | 9.8% | 3.21% | 58.6% | -45.5% | -100.62% | -46.17% | - |
| EBITDA | -19.68M | -29.44M | -35.28M | -37.63M | -99.99M | -71.19M | -34.96M | -24.38M |
| EBITDA Margin % | -13.15% | -19.33% | -20.17% | -15.89% | -59.58% | -64.34% | -66.55% | -67.27% |
| EBITDA Growth % | 70.9% | 16.53% | 6.24% | 62.37% | -40.46% | -103.63% | -43.43% | - |
| D&A (Non-Cash Add-back) | 8.1M | 8.24M | 6.5M | 5.53M | 4.26M | 463K | 756K | 59K |
| EBIT | -48.06M | -37.68M | -41.77M | -43.16M | -104.25M | -71.65M | -36.4M | -24.43M |
| Net Interest Income | 3.86M | 3.92M | 8.24M | 8.58M | 1.95M | -249K | -559K | 158K |
| Interest Income | 3.96M | 4.3M | 8.24M | 8.58M | 1.95M | 0 | 0 | 158K |
| Interest Expense | 99K | 378K | 0 | 0 | 0 | 249K | 559K | 0 |
| Other Income/Expense | 2.93M | -22.84M | 8.4M | 8.46M | 2.54M | -194K | -1.24M | -427K |
| Pretax Income | -24.85M | -60.52M | -33.38M | -34.7M | -101.71M | -71.85M | -36.96M | -30.26M |
| Pretax Margin % | -16.6% | -39.73% | -19.08% | -14.65% | -60.61% | -64.94% | -70.35% | -83.52% |
| Income Tax | -27K | 41K | 267K | -108K | -5.39M | 115K | 149K | 0 |
| Effective Tax Rate % | 0.11% | -0.07% | -0.8% | 0.31% | 5.3% | -0.16% | -0.4% | 0% |
| Net Income | -24.82M | -60.56M | -33.64M | -34.59M | -96.32M | -71.96M | -37.11M | -33.47M |
| Net Margin % | -16.59% | -39.76% | -19.24% | -14.6% | -57.4% | -65.04% | -70.64% | -92.37% |
| Net Income Growth % | 62.47% | -80% | 2.73% | 64.09% | -33.85% | -93.92% | -10.88% | - |
| Net Income (Continuing) | -24.82M | -60.56M | -33.64M | -34.59M | -96.32M | -71.96M | -37.11M | -30.26M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.13 | -0.32 | -0.17 | -0.17 | -0.49 | -0.37 | -3.58 | -36.34 |
| EPS Growth % | 61.75% | -88.24% | 0% | 65.31% | -32.43% | 89.66% | 90.15% | - |
| EPS (Basic) | - | -0.32 | -0.17 | -0.17 | -0.49 | -0.37 | -3.58 | -36.34 |
| Diluted Shares Outstanding | 191.65M | 189.68M | 199.18M | 200.7M | 195.57M | 193.86M | 10.38M | 921K |
| Basic Shares Outstanding | 191.65M | 189.68M | 199.18M | 200.7M | 195.57M | 193.86M | 10.38M | 921K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Persistent negative operating margins
As reported in recent financial statements, SmartRent's revenue has experienced a sustained downward trend, culminating in a 6.4% year-over-year decline in 2026Q1, which suggests that the company is struggling to maintain its previous growth momentum within the institutional multifamily and single-family rental sectors.
The consistent revenue decay over the last ten quarters indicates that the firm's reliance on new unit deployments is highly sensitive to the broader construction cycle and institutional capital expenditure budgets. Investors should monitor whether this contraction reflects a structural saturation of the core market or merely a temporary deferral of technology upgrades by property owners.
Based on the provided income statement data, SmartRent's gross margin has fluctuated significantly, reaching a low of 26.4% in 2025Q3 before recovering to 39.1% in 2026Q1, highlighting the inherent instability of a business model heavily dependent on hardware procurement and labor-intensive professional services.
The inability to maintain consistent gross margins suggests that the company lacks significant pricing power, likely due to the competitive nature of the smart home hardware market. Without a more pronounced shift toward high-margin SaaS revenue, the firm remains vulnerable to input cost volatility and the high fulfillment expenses associated with its current service-heavy infrastructure.
According to the company's quarterly filings, SmartRent continues to struggle with operating leverage, as evidenced by persistent negative operating margins that reached -13.2% in 2026Q1, indicating that fixed corporate overhead and R&D expenses are not yet scaling efficiently against the current revenue base.
The failure to achieve positive operating income despite various cost-cutting efforts suggests that the company's current scale is insufficient to absorb its fixed cost structure. This lack of operational efficiency implies that the business model may require a fundamental pivot to achieve profitability, as current revenue levels are clearly inadequate to cover existing corporate expenditures.
Analysis of the income statement suggests that SmartRent's reliance on hardware-driven customer acquisition creates a high-friction model, as evidenced by the 12.9% year-over-year revenue decline, which raises questions about the long-term viability of the firm's current growth-at-all-costs strategy in a high-interest-rate environment.
Short-sellers may focus on the potential for inventory obsolescence and the risk that the company is trapped in a perpetual cycle of low-margin hardware replacement. If the installed IoT hardware requires frequent upgrades to maintain software functionality, the company may never achieve the high-margin SaaS profile that its valuation currently implies.
Quick answers to the most common questions about buying SMRT stock.
For fiscal year 2025, SmartRent, Inc. (SMRT) reported total revenue of $152.3M. This represents a 320.4% increase compared to $36.2M in 2019.
SmartRent, Inc. (SMRT) reported a net loss of $60.6M for the fiscal year ending 2025.
SmartRent, Inc. (SMRT) reported an operating income of $-37.7M, resulting in an operating profit margin of -24.7%. This margin reflects the operational efficiency of the business before interest and taxes.
SmartRent, Inc. (SMRT) generated $49.9M in gross profit for the year, representing a gross profit margin of 32.7%. This demonstrates the company's core pricing power and production efficiency.