Samsara Inc. Reports 31% Revenue Growth to $366.9 Million with Improved Net Loss

Samsara Inc. reported significant financial results for the three months ending May 3, 2025, with total revenue reaching $366.9 million, a 31% increase from $280.7 million in the same period last year. The company's gross profit also saw an increase, rising to $283.7 million, resulting in a gross margin of 77%, up from 76% in the prior year. Despite the revenue growth, Samsara recorded a net loss of $22.1 million, an improvement from a net loss of $56.3 million in the previous year, indicating a narrowing of losses as the company continues to scale its operations.

The increase in revenue was primarily driven by a rise in customer count and higher subscription purchases from existing customers. The company reported a total of $359.6 million in subscription revenue, which constituted the bulk of its earnings, while other revenue sources contributed $7.3 million. The cost of revenue increased by 21% to $83.2 million, largely due to higher infrastructure costs and increased amortization of IoT device costs, reflecting the company's investment in its Connected Operations Platform.

Samsara's operational metrics also showed positive trends, with the number of customers generating over $100,000 in annual recurring revenue (ARR) increasing, reflecting the company's focus on larger enterprise clients. The company reported a total of $2.76 billion in remaining performance obligations, indicating strong future revenue potential. Additionally, Samsara's cash and cash equivalents rose to $259 million, bolstered by effective cash management strategies, which included a net cash provided by operating activities of $52.6 million for the quarter.

Strategically, Samsara continues to invest in research and development, with expenses in this area increasing by 14% to $83.2 million, as the company aims to enhance its product offerings and maintain competitive advantages in the market. The sales and marketing expenses also rose by 12% to $165.4 million, reflecting ongoing efforts to expand its customer base and brand presence. The company remains committed to its growth strategy, which includes potential international expansion and further product innovation.

Looking ahead, Samsara expressed optimism about its growth trajectory, citing a strong pipeline of customer contracts and ongoing investments in its platform. The company anticipates that its existing cash reserves will support its operational needs for at least the next 12 months, while also acknowledging the potential impact of macroeconomic factors on its business. As it continues to navigate a competitive landscape, Samsara aims to leverage its Connected Operations Platform to drive efficiency and sustainability for its customers.