Alarm.com Holdings, Inc. (Nasdaq: ALRM) recently reported solid financial results for its fourth quarter and full year ended December 31, 2021 with the company gaining 21.2% in annual revenue to $749 million. For 2022, Alarm.com issued guidance anticipating revenue growth between 7.8% and 9.3%.
“We are pleased to report solid results for the quarter and the year,” says Steve Trundle, president and CEO of Alarm.com. “Despite the pandemic’s unpredictable course, our service provider partners continued to grow and drive the adoption of Alarm.com’s connected property technology. Our team also delivered innovative new capabilities that will expand the growth opportunities we see in multiple markets for both our service provider partners and Alarm.com.”
For 2021, the company’s recurring monthly revenue (RMR)-based software as a service (SaaS) and license revenue increased 17.1% to $460.4 million, compared to $393.3 million. Total revenue increased 21.2% to $749 million, compared to $618 million. EBITDA increased 13.7% to $142.5 million, compared to $125.3 million in 2020.
The company has a whopping $710.6 million in total cash and cash equivalents compared to $253.5 million as of December 31, 2020. The increase in cash and cash equivalents was primarily due to the January 2021 issuance of $500 million in senior notes.
For Q4, Alarm.com had a total revenue increase of 17.9% to $195.3 million. Its SaaS and license revenue increased 15.4% to $121.7 million, compared to $105.5 million. For 2022, the company expects its SaaS and license revenue to be in the range of $508 million to $509 million, with total revenue in the range of $808 million to $819 million.
Alarm.com Company Highlights for 2021
Among the company’s highlights in 2021 were:
Launched New Smart Thermostat
The Smart Thermostat HD has a high-resolution full-color touchscreen display with intuitive menus and is fully integrated with other connected devices to provide next-level comfort and control. Advanced intelligence proactively monitors the health of heating and cooling systems to detect issues before they escalate into costly repairs and system failures.
The Smart Thermostat HD was designed for nearly universal system compatibility while also simplifying installations through capabilities such as Smart System Configuration, Display Sync and automatic wire detection.
Developed by Building36, an Alarm.com subsidiary, the Smart Thermostat HD complements Alarm.com’s successful lineup of smart thermostats and is currently available to Building36’s service provider partners.
Continued Expansion of Alarm.com for Business
Alarm.com introduced a range of new commercial service capabilities designed to support multi-location commercial subscribers. The Alarm.com mobile app now includes mobile-optimized Enterprise Dashboards for easily accessing a unified interface for viewing the status of devices and systems across multiple properties.
Enterprise Dashboards include a security-based console that displays access control and security systems, a video dashboard for easily accessing cameras and stream video recorders, and energy dashboards for monitoring property temperature, smart thermostat set points and the temperature of refrigeration units.
The growing breadth of the Alarm.com connected device ecosystem further reinforces its position as the platform of choice for professionally installed and serviced connected property solutions. In the last 12 months, Alarm.com doubled the number of new third-party connected devices integrated into its ecosystem, and strategically integrated new connected device categories that support expanded partnership opportunities with home builders and network service providers.
New connected device integrations in 2021 include the latest models of security control panels and recognized automation brands such as Genie overhead garage door openers, ecobee, Lennox, Lutron, Kwikset, Yale, Schlage and Haven.
EnergyHub, an Alarm.com subsidiary, now works with 60 of North America’s leading energy utilities. Nearly 700,000 grid-edge devices are connected to EnergyHub’s distributed energy resource management solutions (DERMS) platform, the largest fleet of grid-edge devices of any DERMS provider in North America. These devices include smart thermostats, electric vehicle charging equipment, solar and storage systems, and other connected device categories. EnergyHub’s vision is to empower utilities, markets, and their customers to create a carbon-free, distributed energy future.