ADT / Tyco Security Revenue: Still Weak but Signs of Stabilizing

Calendar Q1 2010 financial results for Tyco's security/surveillance business units show continued weakness with potential signs of stabilizing. Note: Tyco's financial quarter is one quarter 'ahead' of the calendar (i.e., this report covers Jan-March but is marked for the 2nd financial quarter).

The Q2 2010 financial quarter Review pdf notes the following key points:

• System installation and service for ADT worldwide declined 8% year over year.
• North American commercial 'organic' revenue declined 9% year over year [Note: breakouts for systems installation were not provided but the other results indicate that systems installation revenue was considerably worse than overall 'organic' revenue. Growing recurring revenue was the strongest element in ADT's performance]
• Asia Pacific and Latin America 'organic' revenue increased 8% year over year
• Electronic security products declined 1% year over year.

These results are better than calendar Q4 2010 for ADT/Tyco Security. However, this quarter's results (Q1 2010) compare against the bottom of the recession (Winter 2009).