v3.25.1
Segment Data
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment Data Segment Data
Information relative to our reportable segments was as follows (in thousands):
For the year ended December 31, 2024
TASERSoftware and SensorsTotal
Net sales from products$763,761 $457,531 $1,221,292 
Net sales from services54,912 806,322 861,234 
Net sales818,673 1,263,853 2,082,526 
Cost of sales338,642 502,504 841,146 
Other segment items(1)
34,937 39,130 74,067 
Adjusted gross margin$514,968 $800,479 $1,315,447 
Other segment items(1)
74,067 
Selling, general and administrative741,247 
Research and development441,593 
Interest income, net36,595 
Other income (loss), net 286,369 
Income before provision for income taxes$381,504 
(1)    Other segment items includes the adjustment for noncash stock-based compensation expense, amortization of acquired intangible assets, and inventory step-up amortization related to acquisitions to arrive at the profit measure used by the CODM
For the year ended December 31, 2023
TASERSoftware and SensorsTotal
Net sales from products$577,610 $386,392 $964,002 
Net sales from services35,900 560,797 596,697 
Net sales613,510 947,189 1,560,699 
Cost of sales241,977 363,269 605,246 
Other segment items(1)
2,235 7,504 9,739 
Adjusted gross margin$373,768 $591,424 $965,192 
Other segment items(1)
9,739 
Selling, general and administrative494,884 
Research and development303,719 
Interest income, net42,112 
Other income (loss), net(41,901)
Income before provision for income taxes$157,061 
(1)    Other segment items includes the adjustment for noncash stock-based compensation expense and amortization of acquired intangible assets to arrive at the profit measure used by the CODM
For the year ended December 31, 2022
TASERSoftware and SensorsTotal
Net sales from products$511,057 $286,120 $797,177 
Net sales from services19,987 369,979 389,966 
Net sales531,044 656,099 1,187,143 
Cost of sales195,239 265,791 461,030 
Other segment items(1)
1,562 5,708 7,270 
Adjusted gross margin$337,367 $396,016 $733,383 
Other segment items(1)
7,270 
Selling, general and administrative399,330 
Research and development233,810 
Interest income, net4,294 
Other income (loss), net98,971 
Income before provision for income taxes$196,238 
(1)    Other segment items includes the adjustment for noncash stock-based compensation expense and amortization of acquired intangible assets to arrive at the profit measure used by the CODM
The following table presents supplemental information included within the measure of profit or loss, adjusted gross margin, reviewed by our CODM (in thousands). There are no other material items presented to our CODM by segment or included within adjusted gross margin for supplemental disclosure.
Year Ended December 31, 2024Year Ended December 31, 2023Year Ended December 31, 2022
TASER
S
Software and Sensors
Total
TASER
Software and Sensors
Total
TASER
Software and Sensors
Total
Depreciation and amortization
$18,789 $16,592 $35,381 $12,346 $5,223 $17,569 $7,049 $4,082 $11,131 
Significant noncash items:
Stock-based compensation expense
34,906 25,183 60,089 2,234 4,361 6,595 1,561 3,046 4,607 
Provisions for inventory
4,508 12,091 16,599 3,642 752 4,394 — — — 
Warranty reserve expense4,743 849 5,592 7,325 737 8,062 53 145 198