Evolv Technologies Q3 net loss widens on large contract absence

Overview

• Security technology firm's Q3 revenue rose 10% yr/yr, beating analyst expectations

• Annual recurring revenue grew 20% yr/yr to $140.5 mln

• Company posted Q3 net loss of $15.6 mln

Outlook

• Evolv expects 2026 revenue of $182 mln to $185 mln

• Company sees 2026 ending ARR at $148 mln to $150 mln

• Evolv expects 2026 adjusted EBITDA of $15.5 mln to $16.5 mln

Result Drivers

• RECURRING REVENUE GROWTH - Co said expansion of recurring revenue base and strong net revenue retention drove results

• TOUGH COMPARISON - Co noted prior-year quarter included largest contract in its history, affecting year-over-year growth rates

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the communications & networking peer group is "buy"

• Wall Street's median 12-month price target for Evolv Technologies Holdings, Inc. is $10.00, about 110.1% above its November 9 closing price of $4.76

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)