URGENT UPDATE: Cellebrite, a leader in AI-driven digital forensics, has just announced record fourth-quarter revenue of $128.8 million, marking an 18% increase year-over-year. This financial surge is part of a broader trend, with total Annual Recurring Revenue (ARR) hitting $480.8 million—a robust 21% growth for the year ending December 31, 2025.
The announcement, made earlier today, highlights the company’s resilience despite a challenging federal spending environment in the U.S. “Cellebrite closed 2025 with a solid fourth quarter that capped a year of meaningful strategic progress,” stated CEO Thomas E. Hogan. The statement underscores the company’s commitment to expanding its digital forensic capabilities and enhancing customer relationships across various sectors.
In an exciting development, Cellebrite confirmed its agreement to acquire SCG Canada Inc., a provider of portable drone forensics solutions. This acquisition will significantly enhance Cellebrite’s capacity to collect and analyze data from an increasingly critical area of technology. As global drone spending is projected to reach $53.5 billion in 2026, this move positions Cellebrite to tackle rising challenges, including an alarming 1.2 million drone violations reported in the U.S. last year.
Hogan emphasized the importance of drone data in modern investigations, stating, “We believe drone data and artifacts could emerge over the coming years as the second most valuable data source behind mobile/cell phones in the pursuit of justice and safety.” This strategic expansion aims to solidify Cellebrite’s role in supporting defense, law enforcement, and private sector clients in safeguarding communities.
Fourth-Quarter Highlights:
– Revenue: $128.8 million, up 18% year-over-year
– Subscription Revenue: $115.5 million, up 21%
– Net Income: $21.3 million
– Adjusted EBITDA: $38.3 million with a margin of 29.8%
Cellebrite’s 2025 results reflect a strong operational performance, with the company emphasizing its focus on responsible profitability and free cash flow generation. The company’s recurring revenue dollar-based net retention rate reached an impressive 116%, indicating solid customer retention and expansion.
As the company looks ahead, it anticipates accelerated ARR growth in 2026, supported by ongoing adoption of its SaaS and cloud-based solutions. The outlook includes expected revenue growth of 18% to 19%, with projections for first-quarter revenue ranging from $126 million to $128 million.
Cellebrite is also broadening its AI capabilities, having established an AI Innovation Center to enhance its machine learning and generative AI features. These innovations will be integrated into products such as the upcoming Guardian Investigate solution, aimed at strengthening case narratives and evidence analysis.
Cellebrite will host a live conference call today at 8:30 a.m. ET to discuss these results and provide further insights into its strategic direction. This call is crucial for investors and stakeholders eager to understand the implications of these financial results and the future landscape of digital forensics.
As developments unfold, Cellebrite’s commitment to enhancing public safety and supporting law enforcement remains at the forefront of its mission. This marks a pivotal moment for the company as it continues to expand its capabilities in an increasingly digital world.
Stay tuned for more updates on this developing story. The full financial results and additional information can be accessed through Cellebrite’s investor relations website.
