Resideo Technologies, Inc. · NYSE:REZI
Resideo Technologies — Q2 2025 Earnings Presentation
38 slides from Resideo Technologies's earnings presentation, Aug 5, 2025
Slide 1: Q2'25 Results Presentation
August 5, 2025 Q2’25 Results Presentation
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation and the related conference call contain “forward-looking statements.” All statements, other than statements of fact, that address activities, events or developments that we or our management intend, expect, project, believe or anticipate will o
Slide 3: Agenda
Financial Results Quarterly Financial Trends Agenda Balance Sheet, Cash Flow & Outlook Tariffs Update Strategic, Value Creating Activities 3
Slide 4: Financial Results
Financial Results
Slide 5: Resideo – Q2'25 Highlights
Resideo – Q2’25 Highlights NET REVENUE ADJUSTED EBITDA ADJUSTED EPS $1.94B in Q2’25 $210M in Q2’25 $0.66 in Q2’25 +22% YoY +20% YoY +6% YoY • Record high net revenue and Adjusted EBITDA; all three • Cash provided by operating activities was $200 million, financial metrics above the high-end of outlo
Slide 6: Resideo – Q2'25 Financial Summary
Resideo – Q2’25 Financial Summary ($ in millions, except per share) Q2’25 Q2’24 YoY Change Net Revenue $1,943 $1,589 +22% P&S Revenue $666 $630 +6% ADI Revenue $1,277 $959 +33% Gross Margin 29.3% 28.1% +120 bps P&S Gross Margin 42.9% 41.3% +160 bps ADI Gross Margin 22.2% 19.4% +280 bps Income from O
Slide 7: Resideo – Q2'25 Highlights
Resideo – Q2’25 Highlights Products & Solutions ADI Global Distribution • Record high net revenue and Adjusted • Organic net revenue up 5% YoY, led by • Organic net revenue up 10% YoY driven EBITDA; all three financial metrics strength in the electrical distribution and primarily by continuing comme
Slide 8: Quarterly Financial Trends
Quarterly Financial Trends
Slide 9: Resideo - Key Q2'25 Financial Trends
Resideo - Key Q2’25 Financial Trends Net Revenue Adjusted EPS $ in M’s +22% Y/Y +6% Y/Y $0.70 $2,000 $1,900 $0.60 $1,800 $0.50 $1,700 $1,600 $0.40 $1,500 $0.30 $1,400 $1,300 $0.20 $1,200 $0.10 $1,100 $1,000 $0.00 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 NOTES: Amounts shown
Slide 10: Resideo - Key Q2'25 Financial Trends
Resideo - Key Q2’25 Financial Trends Adjusted EBITDA Cash Provided by Operations +20% Y/Y $ in M’s Change of $108M Y/Y $ in M’s 250 200 200 150 150 100 100 50 50 0 0 -50 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 NOTE: Amounts shown above include contributions from Snap One, which w
Slide 11: Products & Solutions – Key Q2'25 Financial Trends
Products & Solutions – Key Q2’25 Financial Trends P&S Revenue P&S Gross Margin Rate P&S Adjusted EBITDA +6% Y/Y +160 bps Y/Y +7% Y/Y $ in M’s $ in M’s $180 $700 45% 40% $150 $600 35% $500 $120 30% $400 25% $90 $300 20% 15% $60 $200 10% $30 $100 5% $- 0% $- Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q2'24 Q3'24 Q
Slide 12: ADI Global Distribution – Key Q2'25 Financial Trends
ADI Global Distribution – Key Q2’25 Financial Trends ADI Revenue ADI Gross Margin Rate ADI Adjusted EBITDA +33% Y/Y +280 bps Y/Y +39% Y/Y $ in M’s $ in M’s $100 $1,200 24% $1,000 20% $80 $800 16% $60 $600 12% $40 $400 8% $20 $200 4% $- 0% $- Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q2'24 Q3'24 Q4'24 Q1'25 Q2'2
Slide 13: Balance Sheet, Cash Flow & Outlook
Balance Sheet, Cash Flow & Outlook
Slide 14: Condensed Summary Balance Sheet
Condensed Summary Balance Sheet $ in millions June 28, 2025 December 31, 2024 Cash and cash equivalents $753 $692 Total debt $2,013 $2,015 Accounts receivable, net $1,135 $1,023 Inventories, net $1,259 $1,237 Current obligations payable under the Indemnification $1,625 $140 Agreement NOTE: In July 2
Slide 15: Durable Annual Free Cash Flow Generation
Durable Annual Free Cash Flow Generation Free Cash Flow (1) $ in millions June 28, 2025 $M $400 Cash and cash equivalents $753 $300 Gross debt $2,013 $200 June 28, 2025 $100 Cash provided by operating $485 activities (LTM) $0 2023 2024 Q2'24 Q2'25 Capital expenditures (LTM) $95 (1) Free cash flow is
Slide 16: Raised 2025 Outlook and Key Modeling Assumptions
Raised 2025 Outlook and Key Modeling Assumptions $ in Millions, except per share 2025 Key 2025 Modeling Assumptions Total net revenue $7,450 - $7,550 Stock-based compensation $60 - $65 Adjusted EBITDA(1) $845 - $885 Depreciation & amortization $195 - $200 Adjusted EPS(1) $2.75 - $2.87 Capital expend
Slide 17: Tariffs Update
Tariffs Update
Slide 18: Products & Solutions – Cost Profile and Tariff Mitigation Plans
Products & Solutions – Cost profile and tariff mitigation plans Of the approximately $1.1 billion of cost of goods sold related to products sold in the United States: ❑ Mexico represents approximately 90% of COGS, of which ~98% are USMCA compliant; and ❑ China represents approximately 4% Plans to mi
Slide 19: ADI Distribution – Cost Profile and Tariff Mitigation Plans
ADI Distribution – Cost profile and tariff mitigation plans Of the approximately $3.0 billion of cost of goods sold related to products sold in the United States (approximate percentages below): ❑ Mexico represents 23% ❑ China represents 21% ❑ USA represents 16% ❑ Vietnam represents 8%; and ❑ Poland
Slide 20: Strategic, Value Creating Activities
Strategic, Value Creating Activities
Slide 21: Resideo is Taking Significant Actions to Drive Value Creation
Resideo is Taking Significant Actions to Drive Value Creation Eliminating All Monetary Separating Into Two Obligations Under the Independent Companies Indemnification Agreement ◼ Entered into a definitive agreement with Honeywell to ◼ Creating two focused public companies with clear terminate the In
Slide 22: Simplifying the Story by Removing a Structural Impediment
Simplifying the Story by Removing a Structural Impediment Agreement Background Stakeholder Benefits Details ◼ Entered into the Indemnification ◼ Regularly scheduled $35 million ◼ Eliminates ongoing payments Agreement in connection with the payment was made in July 2025 under the Indemnification spin
Slide 23: Creating Two Leading, Focused Companies
Creating Two Leading, Focused Companies Security & Home Low Voltage Solutions Access Products Video Safety Control Surveillance Energy Data Security Fire Communications Water Air Residential Networking and Pro AV Wire Intrusion & Cable A Leading Manufacturer of Building Leading Global Wholesale Dist
Slide 24: Compelling Strategic Rationale to Separate
Compelling Strategic Rationale to Separate Operational focus and dedicated management Sharper Focus teams to win in their respective marketplaces Increased operating and financial flexibility Enhanced Flexibility to pursue growth opportunities Tailored Capital Positioned to capitalize on distinct in
Slide 25: Appendix
Appendix
Slide 26: Summary Financial Results - Q2'25
Summary Financial Results - Q2'25 (Unaudited) Q2 2025 YTD 2025 Products and ADI Global Products and ADI Global (in millions) Solutions Distribution Corporate Total Company Solutions Distribution Corporate Total Company Net revenue $ 666 $ 1,277 $ — $ 1,943 $ 1,315 $ 2,398 $ — $ 3,713 Cost of goods s
Slide 27: Summary Financial Results - Q2'25 (cont'd)
Summary Financial Results - Q2'25 (Unaudited) (cont'd) Q2 2025 % change compared with prior period YTD 2025 % change compared with prior period Products and ADI Global Products and ADI Global Solutions Distribution Corporate Total Company Solutions Distribution Corporate Total Company Net revenue 6
Slide 28: Consolidated Statements of Operations
Consolidated Statements of Operations (Unaudited) Three Months Ended Six Months Ended (in millions, except per share data) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Net revenue $ 1,943 $ 1,589 $ 3,713 $ 3,075 Cost of goods sold 1,374 1,142 2,633 2,228 Gross profit 569 447 1,080 847 Ope
Slide 29: Indemnification Agreement Detail
Indemnification Agreement Detail (Unaudited) Three Months Ended Six Months Ended (in millions) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Accrual for Indemnification Agreement liabilities deemed probable and reasonably estimable $ 882 $ 47 $ 972 $ 90 Cash payments made to Honeywell (35)
Slide 30: Consolidated Balance Sheets
Consolidated Balance Sheets (Unaudited) (in millions, except par value) June 28, 2025 December 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 753 $ 692 Accounts receivable, net 1,135 1,023 Inventories, net 1,259 1,237 Other current assets 245 220 Total current assets 3,392 3,172 Propert
Slide 31: Consolidated Statements of Cash Flows
Consolidated Statements of Cash Flows (Unaudited) Three Months Ended Six Months Ended (in millions) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Cash Flows From Operating Activities: Net (loss) income $ (825) $ 30 $ (819) $ 73 Adjustments to reconcile net (loss) income to net cash in oper
Slide 32: Consolidated Statements of Cash Flows (cont'd)
Consolidated Statements of Cash Flows (Unaudited) (cont'd) Three Months Ended Six Months Ended (in millions) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Cash Flows From Investing Activities: Acquisitions, net of cash acquired — (1,334) — (1,334) Capital expenditures (20) (15) (51) (36) O
Slide 33: Non-GAAP Financial Measures and Reconciliations
Non-GAAP Financial Measures and Reconciliations (Unaudited) Three Months Ended Six Months Ended (in millions, except per share data) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 GAAP Net (loss) income $ (825) $ 30 $ (819) $ 73 Less: preferred stock dividends 8 2 17 2 GAAP Net (loss) incom
Slide 34: Non-GAAP Financial Measures and Reconciliations
Non-GAAP Financial Measures and Reconciliations (Unaudited) (cont'd) Three Months Ended Six Months Ended June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 GAAP Net (loss) income per diluted common share $ (5.59) $ 0.19 $ (5.65) $ 0.48 Indemnification Agreement accrual increase, non-cash compon
Slide 35: Non-GAAP Financial Measures and Reconciliations
Non-GAAP Financial Measures and Reconciliations (Unaudited) (cont'd) Three Months Ended Six Months Ended (in millions) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Net revenue $ 1,943 $ 1,589 $ 3,713 $ 3,075 GAAP Net (loss) income $ (825) $ 30 $ (819) $ 73 GAAP Net (loss) income as a % of
Slide 36: Non-GAAP Financial Measures and Reconciliations
Non-GAAP Financial Measures and Reconciliations (Unaudited) (cont'd) PRODUCTS AND SOLUTIONS SEGMENT Three Months Ended Six Months Ended (in millions) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Net revenue $ 666 $ 630 $ 1,315 $ 1,250 GAAP Income from operations $ 142 $ 130 $ 278 $ 242 GA
Slide 37: Non-GAAP Financial Measures and Reconciliations
Non-GAAP Financial Measures and Reconciliations (Unaudited) (cont'd) ADI GLOBAL DISTRIBUTION SEGMENT Three Months Ended Six Months Ended (in millions) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Net revenue $ 1,277 $ 959 $ 2,398 $ 1,825 GAAP Income from operations $ 71 $ 62 $ 105 $ 111 G
Slide 38: www.resideo.com
www.resideo.com