Business Segments · Warranty reserve expense

Connected Devices — Warranty reserve expense

Axon Enterprise, Inc. Connected Devices — Warranty reserve expense increased by 37.3% to $3.09M in Q1 2026 compared to the prior quarter. Year-over-year, this metric declined by 18.3%, from $3.78M to $3.09M. Over 2 years (FY 2023 to FY 2025), Connected Devices — Warranty reserve expense shows an upward trend with a 20.1% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementSegment
CategoryRisk
SignalLower is better
VolatilityModerate
First reportedQ1 2023
Last reportedQ1 2026

How to read this metric

An increase may signal declining product quality or higher-than-expected failure rates, while a stable or decreasing trend suggests reliable product performance.

Detailed definition

This metric captures the estimated future costs associated with honoring product warranties for hardware sold within the...

Peer comparison

Similar to warranty accruals or product liability provisions found in the financial statements of consumer electronics and hardware manufacturers.

Metric ID: axon_segment_connected_devices_warranty_reserve_expense

Historical Data

13 periods
 Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Value$2.02M$2.02M$2.02M$2.02M$1.12M$694.00K$3.05M$732.00K$3.78M$3.02M$2.58M$2.25M$3.09M
QoQ Change+0.0%+0.0%+0.0%-44.5%-38.0%+339.0%-76.0%+416.3%-20.2%-14.3%-12.9%+37.3%
YoY Change-44.5%-65.6%+51.2%-63.7%+237.7%+334.4%-15.2%+207.4%-18.3%
Range$694.00K$3.78M
CAGR+15.3%
Avg YoY Growth+69.3%
Median YoY Growth-15.2%

Frequently Asked Questions

What is Axon Enterprise, Inc.'s connected devices — warranty reserve expense?
Axon Enterprise, Inc. (AAXN) reported connected devices — warranty reserve expense of $3.09M in Q1 2026.
How has Axon Enterprise, Inc.'s connected devices — warranty reserve expense changed year-over-year?
Axon Enterprise, Inc.'s connected devices — warranty reserve expense decreased by 18.3% year-over-year, from $3.78M to $3.09M.
What is the long-term trend for Axon Enterprise, Inc.'s connected devices — warranty reserve expense?
Over 2 years (2023 to 2025), Axon Enterprise, Inc.'s connected devices — warranty reserve expense has grown at a 20.1% compound annual growth rate (CAGR), from $8.06M to $11.63M.
What does connected devices — warranty reserve expense mean?
The estimated cost set aside to cover future product warranty claims.