Samsara delivered a robust QQ2 2025 performance characterized by durable topâline growth and meaningful operating leverage, underpinned by a broad multiâproduct platform. Ending ARR at $1.264B, up 36% year over year, the company extended its growth runway through stronger largeâcustomer penetration, expanded crossâsell of multiple products within a single platform, and the rapid monetization of newer offerings, notably Asset Tag, Connected Workflows and Connected Training. NonâGAAP gross margin reached a quarterly record of 77% with a 6% nonâGAAP operating margin, highlighting improving operating leverage even as Samsara invests in product development and goâtoâmarket capacity to support multiâproduct adoption.
Management framed the results as validation of the flywheel: a larger data asset base fuels AIâdriven insights, which in turn drives higher adoption of existing products and the onboarding of new ones across a increasingly diversified customer base. Growth is increasingly led by nonâtransport verticals and international markets, with Europe delivering the fourth straight quarter of accelerating ARR growth. The company reaffirmed an upbeat longerâterm trajectory by raising guidance across key metrics for FYâ25, emphasizing ROI for customers and a multiâyear opportunity in digitizing physical operations. Investors should monitor: (1) progression of Asset Tag monetization and its impact on ARR mix, (2) continued crossâsell velocity into large enterprise accounts, (3) international expansion, especially Europe, and (4) sustained nonâGAAP profitability trajectory as the company scales.