Key Points – PowerFleet said fiscal 2026 was a turning point, with revenue up 22% to $443.8 million and services making up 81% of sales as the company shifted further toward higher-margin recurring revenue. – Profitability improved sharply: adjusted EBITDA rose 44% to $97…
llion, GAAP operating income turned positive, free cash flow improved significantly, and net leverage fell to 2.47x from 3.39x. – For fiscal 2027, PowerFleet guided to $485 million-$490 million in revenue, $122 million-$125 million in adjusted EBITDA, and $30 million-$35 million in positive free cash flow, while highlighting growth drivers such as the South African National Treasury contract, Accenture partnership, and expanding On-Site and AI Video bookings. – The Bottom Is in for Powerfleet: An Intelligent Time to Buy PowerFleet (NASDAQ:AIOT) said fiscal 2026 marked a major step in its post-combination strategy, with management pointing to stronger recurring revenue growth, higher profitability, improved cash flow and a reduced leverage profile during the company’s fourth-quarter and full-year earnings call. Chief Executive Officer Steve Towe said the company has delivered on a two-year plan built around consolidation, technology differentiation and financial discipline
He said PowerFleet restructured its global operating model, unified its product roadmap under Unity, centralized core functions and achieved more than $34 million in annualized cost synergies. “We did it while simultaneously accelerating organic revenue performance, expanding margins, and winning at a level in the enterprise market that the heritage PowerFleet could simply never have achieved,” Towe said. Recurring Services Drive Revenue Growth For fiscal 2026, PowerFleet generated total revenue of $443.8 million, up 22% from the prior year, according to Chief Financial Officer David Wilson. Services revenue grew to $360 million and accounted for 81% of total revenue, up from 76% in fiscal 2025.
In the fourth quarter, total…