IOT Samsara began fiscal year 2026 with strong results, posting a 31% year-over-year revenue increase to $367 million—exceeding estimates by $15 million. Adjusted earnings per share came in at $0.11, beating forecasts by $0.05. Annual recurring revenue (ARR) reached $1.54 billion, also up 31% from the prior year, while the number of large customers (those generating $100K+ in ARR) rose 35% to 2,638. The company achieved a record gross margin of 77%, and its operating loss margin improved significantly to 9%, down from 24% a year ago, reflecting greater operational efficiency.Key wins included expanded integration of AI-driven safety tools and partnerships with major OEMs like Stellantis, Rivian, and Hyundai Translead—highlighting Samsara’s push to become more embedded in its customers’ operations. Despite these strong figures and an upward revision to full-year revenue guidance (~$1.55 billion), management noted ongoing challenges due to longer sales cycles, especially in tariff-impacted industries such as transportation and construction. Nonetheless, the company remains optimistic, focusing on AI innovations, gamified safety solutions, and growing international traction particularly in Europe, where average contract value hit new highs to sustain long-term growth.
