ADTNYSEServices-Detective, Guard & Armored Car ServicesUS GAAP · USD

ADT Inc.

ADT Inc. sells and supports monitored security and smart home solutions for U.S. households and small businesses, combining installed equipment with ongoing monitoring and related services. The company’s model is built around a large subscriber base (about 6.1 million monitoring subscribers as of December 31, 2025) served through nationwide sales and service offices, monitoring centers, and installation/service technicians. ADT is shifting from a traditional installed-and-monitored security provider toward a platform-centric approach anchored by its proprietary ADT+ application, aiming to unify professional installation and self-install options in one ecosystem. The ADT brand—associated with home security since 1874—remains central to customer acquisition in a trust- and reputation-driven category.

Revenue5,129m USD
+4.7 %y/y
Operating profit (EBIT)1,309m USD
+8.3 %y/y
EBIT margin25.5%
+0.9 ppy/y
Net income596m USD
+18.9 %y/y
Free cash flow1,708m USD
−0.7 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

02,0004,0006,000m USD2020: 5,315 m USD2020: EBIT 41 m USD20202021: 5,307 m USD2021: EBIT 15 m USD20212022: 5,168 m USD2022: EBIT 471 m USD20222023: 4,653 m USD2023: EBIT 1,179 m USD20232024: 4,898 m USD2024: EBIT 1,208 m USD20242025: 5,129 m USD2025: EBIT 1,309 m USD20255,1291,309
RevenueOperating profit (EBIT)

Business

Share of revenue
Monitoring & related recurring services70 %

Monthly recurring fees for alarm monitoring and associated support services.

Installation & equipment (professional install and outright sales)20 %

Revenue from selling and installing security/smart home systems, including outright equipment sales and company-owned equipment models.

Smart home/automation platform & value-added features10 %

Software-enabled features and integrations delivered through the ADT+ ecosystem across security, life safety, automation, and analytics.

Products

Reported · share of revenue
82.2%FY2025100 %
  • Recurring Monthly Revenue82.2 %
  • Installation Revenue8.1 %
  • Amortization of Deferred Subscriber Acquisition Revenue7.0 %
  • Other Related Services2.7 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

ADT’s core customers are residential households and small businesses in the United States that want professionally monitored security and life-safety coverage, often bundled with smart home automation. Customers typically choose ADT for perceived reliability, brand trust, and the convenience of installation, monitoring, and service delivered through a national footprint of offices and technicians. ADT also reaches customers through multiple acquisition channels—direct response marketing, call centers, field sales, door-to-door, referrals, and lead-generation partners—alongside retail and e-commerce pathways. Partnerships (e.g., dealers, home builders, property managers, homeowners’ associations, retailers, and first responders) are used to expand distribution and improve conversion in specific local markets and customer cohorts.

Residential monitoring subscribers

Buy installed security systems and pay monthly monitoring for protection, reliability, and emergency response support.

Small business customers

Purchase security and monitoring to protect premises and improve operational peace of mind with service coverage.

Retail/e-commerce and DIY-oriented buyers

Adopt ADT+ and compatible devices through online/retail channels for flexible purchasing and self-install convenience.

Partner-sourced customers (builders, dealers, affinity partners)

Enter via third-party channels that bundle or promote ADT solutions to targeted customer bases to reduce acquisition friction.

Strategy

ADT is repositioning its offering around a platform-centric model built on the proprietary ADT+ application, aiming to deliver a unified experience across security, automation, and analytics while supporting both professional and self-install use cases. The company is also adjusting its commercial approach by expanding retail and e-commerce distribution and supplementing traditional direct channels to meet consumers where they prefer to shop. Operationally, ADT is using AI to improve marketing effectiveness and call-center efficiency (including AI virtual agents) and to reduce service costs through programs like Remote Assistance that can avoid truck rolls. Partnerships and alliances (including with dealers, builders, property managers, retailers, and other third parties) are used to expand reach and drive subscriber growth while maintaining brand positioning.

Platform-centric rollout of ADT+Medium term

Creates a unified app-led ecosystem and supports new product features and integrations.

Channel expansion and purchasing flexibilityShort term

Improves subscriber growth by meeting customers in retail, online, and partner channels.

AI-enabled efficiency in marketing and customer careShort term

Targets lower acquisition and servicing costs while maintaining customer experience.

Geography

ADT’s operations are concentrated in the United States, where it serves residential and small business customers through a nationwide network of sales and service offices, monitoring centers, and installation/service professionals. This domestic focus ties demand to U.S. housing turnover, small business formation, and consumer discretionary spending on home technology and safety. The company’s scale in the U.S. supports broad service coverage and brand-driven marketing, but also concentrates exposure to U.S. regulatory requirements and competitive dynamics. The provided excerpts do not disclose an authoritative revenue-by-region table, so no formal geographic revenue split is presented here.

Risks

ADT’s performance depends on keeping pace with rapid technology change in smart home and security, where new entrants and shifting business models (including DIY offerings and outsourced monitoring) can pressure pricing and customer acquisition. The ADT+ platform introduces execution risk: defects, cybersecurity vulnerabilities, integration issues with third-party devices/cloud services, or rollout delays could harm customer experience and churn. The company has disclosed elevated cybersecurity and information-access risk due to transitional interdependence with systems and personnel associated with its former Commercial business following divestiture activities. More broadly, the subscription monitoring model is sensitive to customer attrition, service quality, and reputational damage from outages or security incidents, while marketing efficiency and lead costs can swing subscriber growth economics.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Need to keep pace with rapid technological and industry changes1Cybersecurity and unauthorized access risk tied to former Commercial business interdependence2ADT+ platform rollout and performance risk3
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Need to keep pace with rapid technological and industry changesImpact: HighLikelihood: High

    Growth depends on obtaining and maintaining new technologies via partnerships, internal development, and acquisitions that achieve market acceptance with acceptable margins.

    ExposureProduct roadmapPartnershipsAcquisition execution
  2. Cybersecurity and unauthorized access risk tied to former Commercial business interdependenceImpact: HighLikelihood: Medium

    Transitional dependence on former Commercial information systems and continued access by certain former employees increases risk of cyber attacks, information theft, and unauthorized system access.

    Exposure: Billing/monitoring systems for a portion of accounts; internal systems access

  3. ADT+ platform rollout and performance riskImpact: HighLikelihood: Medium

    Defects, bugs, security vulnerabilities, performance degradation, or third-party integration issues could cause service interruptions and negative customer experience; rollout may miss timing/budget targets.

    ExposurePlatform softwareDevice/OS/cloud integrationsCustomer experience

Accounting

Judgemental items
Revenue recognition and allocation of transaction price

Contracts include monitoring and equipment/installation; allocation uses estimated standalone selling prices that affect revenue timing and margins.

Impact: Can shift revenue between service and product components and alter period-to-period comparability.

Equipment model accounting (company-owned vs outright sales)

Different accounting treatments apply, and mix has shifted toward outright sales since 2Q 2024 with ADT+.

Impact: Changes the pattern of recognized revenue and subscriber system asset spending.

Indefinite-lived intangible asset impairment (ADT trade name)

Fair value is estimated using a relief-from-royalty method requiring assumptions such as revenue growth, royalty rate, and discount rate.

Impact: Assumption changes can affect impairment conclusions and reported intangible asset values.

Business combinations and goodwill valuation

Acquisitions require fair value measurement of acquired assets/liabilities; excess purchase price becomes goodwill subject to impairment testing.

Impact: Fair value and impairment judgments can materially affect earnings and balance sheet.

Uncertain tax positions

Recognition and measurement depend on more-likely-than-not assessments and probability-weighted outcomes.

Impact: Can drive volatility in effective tax rate and cash tax payments.

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026

ADT Inc. (ADT) Revenue, Earnings & Financials 2025 – Clarifo