Powerfleet Q4 Revenue Climbs 11% to $114.5M; Adjusted EBITDA Jumps 42%
AIOT•Powerfleet reported Q4 revenue of $114.5 million, up 11% year-over-year, with services revenue rising 14% to $92.9 million and adjusted EBITDA climbing 42% to $26.4 million. The company secured a five-year South African National Treasury agreement valued at $100–120 million, boosting its contract backlog.
1. Fourth Quarter Fiscal 2026 Results
Powerfleet delivered Q4 revenue of $114.5M, up 11% year-over-year, driven by 14% growth in services revenue to $92.9M and gross margin expansion to 56.5%. Income from operations swung to an $11.0M profit from a $7.0M loss, and adjusted EBITDA rose 42% to $26.4M with a 23% margin.
2. Full-Year Fiscal 2026 Performance
For fiscal 2026, revenue rose 22% to $443.8M with services comprising $359.8M, a 30% increase, and gross margin improved 180 basis points to 55.5%. Net loss narrowed 60% to $20.6M, operating cash flow turned positive at $30.5M, and net debt-to-EBITDA fell to 2.47x.
3. Landmark Contracts and Cash Flow Outlook
The company secured three contracts exceeding $10M each and a five-year South African National Treasury deal valued at $100–120M. With second-half free cash flow up $17.8M, Powerfleet expects over $30M in free cash flow for fiscal 2027 and continued margin expansion.
