Samsara (IOT) Q1 2027 earnings summary

Executive summary

• Q1 FY27 revenue reached $479 million, up 31% year-over-year (29% in constant currency), driven by new and existing customer growth, with ARR at $1.99–$2.0 billion, up 30% year-over-year.

• Net new ARR was $100.7–$101 million, up 30% year-over-year (27% in constant currency).

• Large customer momentum: 3,363 customers with $100K+ ARR (up 169 in Q1), $1.2B ARR from this group, and 190 customers with $1M+ ARR (up 15 in Q1); large customer ARR grew 37% year-over-year.

• Strong multi-product adoption: 96% of $100K+ ARR customers use two or more products, 70% use three or more; 20%+ of net new ACV from emerging products.

• Third consecutive quarter of GAAP EPS profitability, with Q1 GAAP EPS at $0.08 and net income of $44.5M–$45M.

Financial highlights

• Q1 revenue: $478.8M–$479M, up 31% year-over-year (29% in constant currency), beating guidance by 5%.

• Non-GAAP operating margin: 19% in Q1, up five points year-over-year; GAAP operating margin: 2%.

• Free cash flow margin: 15% in Q1, up from 12% year-over-year; adjusted free cash flow was $73.2M.

• Non-GAAP net income: $98M; GAAP net income: $44.5M–$45M; non-GAAP EPS: $0.17; GAAP EPS: $0.08.

• Gross margin: 75% GAAP (down 2 pts), 76% non-GAAP; COGS as % of revenue increased to 24%.

Outlook and guidance

• Q2 FY27 revenue guidance: $482M–$484M (23%–24% year-over-year growth); non-GAAP operating margin 18%; non-GAAP EPS $0.15–$0.16; GAAP profitable.

• FY27 revenue guidance: $2.005B–$2.013B (23%–24% year-over-year growth); non-GAAP operating margin 20%; non-GAAP EPS $0.70–$0.72; GAAP profitable, even excluding $30M arbitration award.

• Guidance includes a positive constant currency impact of $11M for FY27.

• Management expects continued investment in R&D, sales, and marketing to support growth.

• Existing liquidity is expected to be sufficient for at least the next 12 months.