PowerFleet Inc (AIOT) Q4 2025 Earnings Report

PowerFleet reported a transformative Q4 2025, underscored by the continued integration of two acquisitions (MiX and Fleet Complete) and the rapid monetization of the Unity platform. Revenue reached $103.638 million, up 40% year over year, while adjusted EBITDA rose to $20.0 million (an 80% year-over-year increase), signaling meaningful scale and operating leverage as the company shifts toward a subscription-first model with recurring revenue comprising 79% of total ARR in the period. Management emphasized that the year was defined by synergies, revenue expansion, and accelerated platform adoption across enterprise and mid-market customers.

Management also highlighted a successful synergy program, delivering the full $16 million in EBITDA synergies on time and in full, while simultaneously expanding growth vectors and investments in product and go-to-market capabilities. The Unity platform drove meaningful mix improvement, with more than half of Q4 new sales revenue attributed to AI video and in-warehouse solutions. The company's geographic and channel momentum remains robust, including TELUS’ May 15 launch with pipeline in the millions and EverDriven’s multi-state deployment across 34 states. The long-run implication for investors is a durable, platform-led growth trajectory in FY26 and beyond, supported by a broadened addressable market, a rising multi-product footprint, and a disciplined integration program.

Looking ahead, PowerFleet is framing FY26 as activation and value realization rather than purely integration. The management narrative emphasizes three market drivers—data fragmentation costs, resilience needs, and safety as a governance priority—and positions Unity as the end-to-end solution to address these. While the company has not issued explicit revenue targets for FY26 in this release, the commentary around pipeline acceleration, higher deal sizes, and cross-sell velocity points to continued upside from platform-based renewals and new logo wins. Investors should monitor ARR progression (not disclosed for Q4), retention trends in legacy MiX/Fleet Complete customers, and progress with Telco partnerships as meaningful near-term value drivers.