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Axon Enterprise, Inc. AXON Software and Services — Cost of Sales

Other segment segments

Connected Devices
-$232.16M-36.4%

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Other financials

Income statement

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Revenue$807.3M+33.7%
Gross profit$477.3M+30.5%
Operating income$29.2M+433%
Net income$169.3M+92.4%
EPS (diluted)$2.05+89.8%

Balance sheet

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Cash & equivalents$458.9M-58.0%
Total debt$1.8B-10.7%
Total equity$3.5B+38.3%
Total assets$7.1B+16.2%

Cash flow

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Operating cash flow-$31.5M-222%
CapEx$23.1M-7.0%
Free cash flow-$54.6M-5,963%

Valuation

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Market cap$37.47B-39.4%
Enterprise value$38.84B-38.6%
P/E181.9×-7.6×
P/S12.6×-13.3×

Profitability

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Gross margin59.3%-1.3pp
Operating margin-0.8%
Net margin6.9%-8.0pp
FCF margin0.7%-15.6pp

Returns & leverage

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Return on equity6.8%-8.4pp
Debt / equity0.5×-0.3×
Current ratio2.3×-0.6×

Where this comes from

Reported directly by Axon Enterprise, Inc. in its filing.

Tagged under the XBRL concept us-gaap:CostOfGoodsAndServicesSold.

The official record: Axon Enterprise, Inc.’s 10-Q, filed May 7, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Axon Enterprise, Inc.'s software and services — cost of sales?
Axon Enterprise, Inc. (AXON) reported software and services — cost of sales of -$97.9M in Q1 2026.
How has Axon Enterprise, Inc.'s software and services — cost of sales changed year-over-year?
Axon Enterprise, Inc.'s software and services — cost of sales decreased by 44.6% year-over-year, from -$67.71M to -$97.9M.
What is the long-term trend for Axon Enterprise, Inc.'s software and services — cost of sales?
Over 3 years (2021 to 2025), Axon Enterprise, Inc.'s software and services — cost of sales has grown at a 0.8% compound annual growth rate (CAGR), from $172.59M to $176.68M.
What does software and services — cost of sales mean?
Includes all direct costs associated with delivering software and services, such as cloud hosting fees, customer support personnel, and software maintenance costs. This metric is critical for evaluating the direct profitability and operational efficiency of the software business model. It excludes indirect overheads to provide a clear view of the cost to serve.