Axon Enterprise — Nov 7, 2024 release

Q4 2024 • For the fourth quarter, we expect revenue within the range of $560 million to $570 million, representing greater than 30% annual growth at the midpoint. • We expect Adjusted EBITDA within the range of $130 million to $135 million, representing Adjusted EBITDA margin of approximately 23.5%. ◦ We provide Adjusted EBITDA guidance, rather than net income guidance, due to the inherent difficulty of forecasting certain types of expenses and gains such as stock-based compensation, income tax expenses and gains or losses on marketable securities and strategic investments, which affect net income but not Adjusted EBITDA. We are unable to reasonably estimate the impact of such expenses, which could be material, on net income. Accordingly, we do not provide a reconciliation of projected net income to projected Adjusted EBITDA. Full Year • Axon’s full year 2024 revenue expectation has improved to approximately $2.07 billion, representing greater than 32% annual growth. This is an increase from our prior revenue guidance range of $2.00 billion to $2.05 billion, or 29.5% annual growth at the midpoint. • Axon expects full year 2024 Adjusted EBITDA dollars of approximately $510 million, representing Adjusted EBITDA margin of approximately 24.6%. This is an increase from our prior Adjusted EBITDA guidance range of $460 million to $475 million, which implied Adjusted EBITDA margin of approximately 23.1% • We expect stock-based compensation expenses to be approximately $360 million t