Electrical
Resideo’s 2025 Revenue Grew 11%; ADI Dips in 4Q
Overall, the company saw healthy gains in 4Q and full-year revenue, margins and EBITDA. Get all the key figures here.
Smart home and facility electrical products supplier Resideo reported its 2025 fourth quarter and full year financial results on Feb. 24, which showed modest year-over-year quarterly sales gains while gross margin, net profit and EBITDA all posted healthy gains.
4Q25
Scottsdale, AZ-based Resideo — which is set to spin off its ADI Global Distribution unit by the end of 2026 — reported 4Q total sales of $1.9 billion, up 2% year-over-year — same as in 3Q — carried by 6% growth in its Products and Solutions (P&S) segment while ADI was down 1%.
The company’s 4Q gross margin of 29.6% improved 110 basis points year-over-year (29.8% in 3Q), with ADI achieving its seventh straight quarter of YoY gross margin expansion (+110 bps to 22.7%) and 11th straight at P&S (+20 bps to 31.0%). 4Q net profit of $136 million dwarfed the $23 million of a year earlier and trailed the $156 million in 3Q. Adjusted EBITDA of $226 million jumped 21% YoY ($229M in 3Q).
ADI’s 4Q adjusted EBITDA fell 3% YoY to $88 million on 7.4% margin, while P&S’ adjusted EBITDA improved 6% YoY to $166 million on 23.3% margin. Resideo’s overall adjusted EBITDA of $226 million jumped 21%.
Full Year
For the full year, Resideo’s 2025 sales totaled $7.47 billion — up 11% annually. ADI revenue of $4.78 billion jumped 14% and P&S revenue of $2.69 billion improved 5%. 2025 gross margin of $29.4% increased 130 bps, with ADI’s 22.3% up 200 bps and P&S’ 42.1% up 110 bps.
ADI’s 2025 operating profit of $607 million increased 17%. The company took a net loss of $527 million that was largely driven by a one-time $1.59 billion payment made to Honeywell earlier in 2025 to terminate the indemnification agreement tied to Honeywell’s spin-off of Resideo in 2018. The company’s adjusted EBITDA of $833 million was a company record and up 21% annually.
Find all the details about Resideo’s planned ADI spinoff here.
2026 Guidance
In providing its 1Q and full year 2026 outlook, Resideo expects 1Q revenue of $1.87 billion to $1.89 billion and full year revenue of $7.8 billion to $7.9 billion.
