Resideo Technologies(NYSE) REZI

Resideo makes tools that help people manage heat, air, and security in their homes. These products let homeowners and business owners stay safe and comfortable every day. The company sells its technology through professional installers and major retail stores.

Gear for Safety and Comfort

• Climate and Security: Systems for temperature, humidity, and home security; part of the $706 million Products and Solutions segment.
• Safety Tech: Smoke detectors and carbon monoxide sensors for residential use; sold within the $706 million Products and Solutions segment.
• Wholesale Distribution: Security and audio-visual gear for professional installers; generated $1.2 billion in ADI Global Distribution revenue.

Big Changes and Bold Moves

• Acquired Snap One on June 14, 2024, to expand its presence in smart home and security markets.
• Announced the future spin-off of the ADI Global Distribution segment on July 30, 2025.
• Terminated a long-standing environmental payment agreement with Honeywell on July 30, 2025, through a one-time cash payment.

Connecting Millions of Spaces

Resideo has products in over 150 million residential and commercial spaces globally. It uses a unique model that combines manufacturing with one of the world's largest specialty distribution networks for low-voltage products.

The Financial Scorecard

• Net revenue reached $1.9 billion in Q1 2026, up 8% from $1.8 billion in Q1 2025.
• Net income hit $38 million in Q1 2026, up 533% from the same period last year.
• Operating cash flow was negative $145 million in Q1 2026, which worsened by 123% year-over-year.
• Free cash flow dropped to negative $181 million in Q1 2026, a result that deepened by 88% from Q1 2025.

Bottom Line

Resideo is evolving into a more focused products company by planning to exit its distribution business. This transition aims to simplify its corporate structure and highlight its core manufacturing strengths.