
• Reported GAAP EPS of $0.21 up 23.53% YoY • Reported revenue of $2.56B up 0.87% YoY • ADT expects Adjusted Free Cash Flow (including interest rate swaps) to grow approximately 20% versus the prior year for 2026, with revenue and Adjusted EPS anticipated to be approximately flat.
Bullish
ADT demonstrated strong cash generation, increasing Adjusted Free Cash Flow 83%, and returned $161 million to shareholders. The company also expanded its ADT+ ecosystem with new AI-powered offerings and improved operational efficiency.
Bearish
ADT experienced a gross revenue attrition rate of 13.1% in Q1 2026, alongside a 57% increase in net cash used in investing activities. The company also faces structural risks from third-party dependence and evolving AI regulations.