$ALARMay 28, 2026, 12:04 PMAI processed
ALAR Q1 revenue +64% YoY to $11.7M; adjusted EBITDA $2.1M, Q2 rev guide $12.2M
AI Summary
Alarum (ALAR) reported Q1 2026 revenue of $11.7M, up 64% year-over-year (down 0.9% sequentially), IFRS net income of $0.6M and adjusted EBITDA of $2.1M. Management says growth is being driven by AI/LLM workloads and rapid infrastructure scale (>50 PB/month, ~80M IPs, >85% success), but NRR was 0.93 as the company shifts to larger AI accounts and it guided Q2 revenue to ~$12.2M (+39% YoY) with adjusted EBITDA of about $1.8M (±$0.5M) and cautioned demand may remain volatile.
Positives
- Revenue grew 64% YoY to $11.7M
- Adjusted EBITDA improved to $2.1M and IFRS net income was positive ($0.6M)
- Infrastructure scale increased markedly ( >50 PB/month, ~80M IPs, >85% success rate) supporting AI/LLM demand
Negatives
- Net retention rate (NRR) was 0.93, indicating revenue from existing customers declined year-over-year
- Gross margin (61.7%) is below the year-ago quarter (67.5%)
- Q2 adjusted EBITDA guide (~$1.8M ±$0.5M) implies limited near-term margin expansion and management warns demand may fluctuate