SmartRent Goes Public, Raises ~$500 Million at $2.2 Billion USD Valuation

By Isabella Cheng, Published Aug 25, 2021, 02:28pm EDT

SmartRent went public today, raising ~$500 million at a $2.2 billion valuation, bigger than Latch's SPAC earlier this year. SmartRent touts its open architecture and being hardware agnostic, as a differentiator vs Latch.

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In this report, IPVM examines SmartRent's plans, including:

  • SmartRent background
  • Big deal with powerful VC backing
  • 2020 financials
  • Q1 2021 financials
  • Modest gross margins
  • Open architecture
  • Customer churn
  • Video surveillance offerings
  • Future expansion

SmartRent **********

************** ****** ** "********** smart **** ********** *******" which ******* ** ************* for ****** **********. ****-****** tours, "***** *******", ****** control, *** **** ********** (e.g. **********, ***** *****, doorbells) *** **** ** the ********* ********* ********* offers.

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********* ******** ******** ******** and ******* * ****** interface *** *********** ********, coordinating ******, ********* **** controls, ***.

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*** ******* ***** ****** "hardware ********," ******* ********* can *** ******* *****-***** hardware **** *** ****** (although ********* **** **** its *** ******** *****, Alloy). *** *******,******* **** **** ********* *****-***** ************** ****** ** ********** hardware ** *********'* *******. Note **** **** *** not ****** *********'* ******** or ***, ** ** cannot ******* *** ******* of *** ********.

Deal ****** ***** ***, ******** ** *******

********* **** ****** ** merging **** * **** (special-purpose *********** *******) ********* by ***** ****, *** of *** **** ********* property ********** *** ** the **, **** $*.*+ billion ****** ***** **********.

**** ~$*** ******* ***** rivals **** ** ********* ***** **** ******* IPO-ed ******* ** ****. **** ***** *** unprecedented ** *** ****** control ********. *** **********,********************** $** *** $** million ************ ** ****. Although ***** **** ******** amounts, ***** *** *** SmartRent **** ****** *** more.

Current ********* *********** - ~$** ******* ******* ** ****

********* ******** ~$** ******* total ******* ** ****, in*** ************ ** *** SPAC. *** ******* ** now ****** ** ~$*.* billion ***, * ~*** valuation ******** ** *****.

********* *********** ******* *** revenue ** ***** $*.* billion *** ** ****, or *** ***** ******* to **** ~***.

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** ****, **** ****** to **** *.* ******* units ********** ** **** 155,000 ***** **** ****:

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*** ******* ******* ** turn * ****** ** 2022 *** ******* **** that ****** *********** **********:

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Q1 **** ***********

********* ********* *** ** 2021 ***** ******* *** $19.2 *******, ** **% from $**.* ******* ** Q1 ****. ** **** asked ********* ***** **** low ******** *** **** update ** **** ******* commentary.

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*******, ********* ******* *** revenue ** **** ~***% between **** *** ****, to $*** ******* ** the *** ** **** year. ******* *** ******* can *** **** **** remains ** ** ****.

Gross ******* ******

*********'* ***** ****** ******* are ***** **** **** and *** ********* ** rise ** ~**%, ** 2024.

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***** ****** ******* *** depressed ** ******** ***** which *** **** **** 20% *******, ** **** in *** ***** *****:

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***** *** ******* ******* to ******* ****** *** customer ****, ******** ***** are ******** ** ** ~75% ** ***** ******* even ** ****.

Key ************** - **** *********, "******** ********"

*********'* *** ************** ******* Latch, ***** **** ****** $500 ******* ******* **** year, ** **** ********* touts *** "**** ************" and **** *** ******* is "******** ********." ****-** models *** ****** ****** by *********, ***** ******** why ***** *** * 55x ***-***** ********* ******** to ***** **** ** made ~$** ******* ** net ******* ** ****.

**********, ********* **** ******* by *********'* *********, ****** it * *** ********* relative ** *****.

Latch ** ********* *******

*********'* **** ******* *** about ** **** ** Latch's. *****'* **** ******* was $** ******* *** versus *********'* $** *******. However, **** ********* *** raising ******* *** **** amount ** *****, ~$*** million ***. ******** ********* is * ****** ********* (~$2.2 *******) **. *****'* $1.56 *******, ***** *** a ****** ***** ** sales ***** ******* *** revenue *** **** */* of *********'*.

Zero ***** *********

********* *** ******** **** customer ***** ***** ********* in ****. *******, ********* customers ********* **** * 5-7 **** ******** ****, so *** ******* ********* would ** ** *** middle ** ********** ***** contract. ** **** ** important ** ***** ******* customers **** ******* ***** their ********* *** **.

Landgrab *********

*********, **** ** * landgrab ******* *** *** companies, **** ******** ** millions ** ******* ****, and ******* **** ****** rivals. *******, ** ******* to ** **** **** other ******** **** ** funded ** ***** **** might *** **** *** projected ***** ** ****.

Video ************ *********

*********, ********* ****** ****** and ******* ***** ************ through **** *******. ** is ***** **** ********* will ******** ** ****** its ***** *** ******** products ** *** ****** as ********* ** *** near-term ******* ******* ** the ********** ****:

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Potential *** *********

******* ~$*** ******* ******* gives ********* *** *********** and ******* ** ************ and ******* ****** *** offering. ********* ****** *&*, expansion *************** *** **** commercial **** ******, *** acquisitions ** ***** ***** the ***** **** ** used:

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*******, *** ******* ********* will ******* **** ***** Wall ** * ****-****** property ********** ******** ***** be ******* ** ********* expands. ** ****, *** company ******** ****** **** it *** **** ********** to * ****** ** Fifth **** ********:

***** *** ********** ** March ****, ***** **** has ******* *********** ** introductions **** ****** *** LP *** ******* *******, representing *.** ********* *****.

Import ******* ******

********* *** ******** ******** ***,***** *******, *** *********** from ******* *** ********, import ******* ****. *******, these ******* **** ***** throughout **** ****, *** there *** ** ******* records *** **** ****** SmartRent ******* ** ****. Screencap:

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****** *** ** *********'* shipments *** **** *** Plus ***** *.*.*, * Croatian ******* **** ***** smart **** ******** (*.*. locks, ***********, *******, ***** sensors) ***** *** ***********. *** **** ********** **** ** ********* on ********, *** ** ** possible * ****** ** employees *** *** ** LinkedIn. ***** ** ****** public *********** ***** *** Plus ***** *** ***** its ************* **** *********. However, * ********** ******* from ************* **** * ******** flaw ** *** ** Zipato's ***** ****"***** ** ****** ** open * ***** **** with * ***** ****."

Today ***** ***** ****

*********'* *********** ** $**.** * share **** *******, *** first **** *** ** trading, *** ** ********* down *% ** $**.**. The *****'* **** ***** was $**.**.

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Comments (2)

******* ***** *** **** there *** ***** ** be * *** ** bag *******.

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***** *** **** ******** NEO ********** **.,***

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