Name: Axon Enterprise Inc. (NASDAQ:AXON) | Income Statement (Quarterly)
Creator: Stock Analysis on Net

Income Statement
Quarterly Data

The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

Download chart

Axon Enterprise Inc., consolidated income statement (quarterly data)

US$ in thousands

3 months ended:	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019	Dec 31, 2018	Sep 30, 2018	Jun 30, 2018	Mar 31, 2018
Net sales from products	219,389)	214,735)	210,398)	200,051)	176,204)	145,409)	165,803)	156,427)	140,886)	174,116)	120,091)	98,755)	107,288)	134,497)	96,497)	80,391)	88,089)	89,017)	80,923)	76,721)	80,974)
Net sales from services	123,654)	121,407)	101,356)	85,562)	80,222)	72,169)	66,186)	62,368)	54,133)	52,024)	46,351)	42,504)	39,874)	37,354)	34,340)	31,971)	27,721)	25,774)	23,913)	22,505)	20,241)
Net sales	343,043)	336,142)	311,754)	285,613)	256,426)	217,578)	231,989)	218,795)	195,019)	226,140)	166,442)	141,259)	147,162)	171,851)	130,837)	112,362)	115,810)	114,791)	104,836)	99,226)	101,215)
Cost of product sales	(107,584)	(102,641)	(93,724)	(87,502)	(79,352)	(64,845)	(71,336)	(65,301)	(58,616)	(73,624)	(57,798)	(43,825)	(48,884)	(70,418)	(42,445)	(38,220)	(39,600)	(42,863)	(32,953)	(31,087)	(32,434)
Cost of service sales	(31,357)	(27,822)	(24,773)	(24,148)	(21,335)	(17,672)	(16,086)	(15,565)	(13,050)	(11,210)	(10,404)	(9,257)	(9,670)	(8,793)	(8,223)	(8,582)	(7,293)	(6,582)	(6,250)	(4,996)	(4,320)
Cost of sales	(138,941)	(130,463)	(118,497)	(111,650)	(100,687)	(82,517)	(87,422)	(80,866)	(71,666)	(84,834)	(68,202)	(53,082)	(58,554)	(79,211)	(50,668)	(46,802)	(46,893)	(49,445)	(39,203)	(36,083)	(36,754)
Gross margin	204,102)	205,679)	193,257)	173,963)	155,739)	135,061)	144,567)	137,929)	123,353)	141,306)	98,240)	88,177)	88,608)	92,640)	80,169)	65,560)	68,917)	65,346)	65,633)	63,143)	64,461)
Sales, general and administrative	(116,567)	(114,418)	(102,023)	(95,005)	(90,129)	(111,453)	(99,295)	(177,662)	(126,597)	(97,523)	(74,443)	(72,293)	(63,027)	(78,281)	(48,424)	(43,362)	(42,892)	(42,099)	(39,685)	(39,343)	(35,759)
Research and development	(70,927)	(68,720)	(59,127)	(57,547)	(48,416)	(50,674)	(42,382)	(53,952)	(47,018)	(38,008)	(29,246)	(29,560)	(26,381)	(28,745)	(25,129)	(23,493)	(23,354)	(21,254)	(21,982)	(18,501)	(15,119)
Operating expenses	(187,494)	(183,138)	(161,150)	(152,552)	(138,545)	(162,127)	(141,677)	(231,614)	(173,615)	(135,531)	(103,689)	(101,853)	(89,408)	(107,026)	(73,553)	(66,855)	(66,246)	(63,353)	(61,667)	(57,844)	(50,878)
Income (loss) from operations	16,608)	22,541)	32,107)	21,411)	17,194)	(27,066)	2,890)	(93,685)	(50,262)	5,775)	(5,449)	(13,676)	(800)	(14,386)	6,616)	(1,295)	2,671)	1,993)	3,966)	5,299)	13,583)
Interest and other income (expense), net	25,276)	12,189)	(11,249)	47,026)	55,299)	(10,148)	(5,530)	41,841)	585)	3,265)	2,040)	1,613)	941)	2,486)	1,820)	1,845)	2,313)	1,021)	1,274)	(295)	1,263)
Income (loss) before (provision for) benefit from income taxes	41,884)	34,730)	20,858)	68,437)	72,493)	(37,214)	(2,640)	(51,844)	(49,677)	9,040)	(3,409)	(12,063)	141)	(11,900)	8,436)	550)	4,984)	3,014)	5,240)	5,004)	14,846)
(Provision for) benefit from income taxes	3,255)	(5,555)	(8,727)	(17,475)	(17,622)	23,706)	51,164)	4,727)	1,760)	16,794)	2,536)	(18,696)	3,933)	(479)	(2,332)	188)	1,435)	(931)	471)	3,481)	(1,920)
Net income (loss)	45,139)	29,175)	12,131)	50,962)	54,871)	(13,508)	48,524)	(47,117)	(47,917)	25,834)	(873)	(30,759)	4,074)	(12,379)	6,104)	738)	6,419)	2,083)	5,711)	8,485)	12,926)

Net sales exhibit a strong upward trajectory, growing from $101.2 million in March 2018 to $343.0 million by March 2023. This growth is driven by increases in both product and service streams, though the composition of revenue has shifted significantly. While product sales remain the primary contributor, service sales have grown at a faster relative rate, increasing more than six-fold over the period, suggesting a strategic transition toward recurring revenue models.

Gross Profitability and Margin Trends: Gross margin has expanded in absolute terms, rising from $64.5 million in the first quarter of 2018 to $204.1 million in the first quarter of 2023. Despite the increase in total volume, the cost of sales has scaled alongside revenue. Product cost of sales shows higher volatility, whereas service cost of sales has grown more linearly, reflecting the predictable nature of service delivery costs compared to hardware manufacturing.
Operating Expense Evolution: Operating expenses have increased substantially, driven by consistent investments in Research and Development (R&D) and fluctuations in Sales, General and Administrative (SG&A) costs. R&D spending grew from $15.1 million in March 2018 to $70.9 million in March 2023, indicating a sustained commitment to product innovation. SG&A expenses peaked in June 2021 at $177.7 million before stabilizing, suggesting a period of aggressive scaling followed by a shift toward cost optimization.
Operating Income and Profitability Path: Income from operations has transitioned from a period of high volatility and periodic losses to sustained profitability. Between 2019 and early 2021, the company experienced several quarters of operating losses, notably peaking at a loss of $93.7 million in June 2021. However, a turnaround occurred in 2022, with operating income remaining consistently positive and reaching $32.1 million in September 2022, demonstrating improved operational leverage as revenue growth began to outpace the growth of operating expenses.
Net Income and Non-Operating Influence: Net income has been characterized by extreme variance, influenced heavily by non-operating items and tax provisions. Significant spikes in "Interest and other income," particularly in June 2021 ($41.8 million) and March 2022 ($55.3 million), decoupled net income from operating performance during those periods. Despite these anomalies, the most recent quarters show a strengthening bottom line, with net income reaching $45.1 million in March 2023, supported by both improved operating results and positive non-operating income.

AI Ask an analyst for more

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.

How can I help you?

Axon Enterprise Inc. (NASDAQ:AXON)

Income StatementQuarterly Data

Income Statement
Quarterly Data