Cellebrite (NASDAQ:CLBT) shares rallied nearly 12% in pre-market trading Wednesday after the digital forensics specialist reported stronger-than-expected fourth-quarter results and issued an encouraging forecast for 2026.
The AI-driven investigative solutions provider posted adjusted earnings per share of $0.14, topping analyst expectations of $0.11. Quarterly revenue rose 18% year over year to $128.8 million, ahead of the $125.92 million consensus estimate.
Subscription revenue, which accounts for the majority of the company’s business, increased 21% to $115.5 million compared with the same quarter last year.
Annual recurring revenue (ARR) reached $480.8 million, up 21% year over year, including a $16.1 million contribution from recently acquired Corellium. Excluding the acquisition, organic ARR grew 17% to $464.7 million.
“Cellebrite closed 2025 with a solid fourth quarter that capped a year of meaningful strategic progress,” said Thomas E. Hogan, Cellebrite’s CEO. “Despite a challenging U.S. Federal spending environment, we drove 21% ARR growth in 2025, which reflects expansion across all of our major geographies and our flagship offerings.”
For full-year 2025, Cellebrite reported revenue of $475.7 million, up 19% from 2024, while its adjusted EBITDA margin expanded to 26.8% from 24.8% the prior year.
Looking to 2026, the company expects first-quarter revenue of $126 million to $128 million, above analyst estimates of $125.2 million. For the full year, Cellebrite projects revenue between $565 million and $571 million, well ahead of the $554.5 million consensus.
Cellebrite also announced plans to acquire SCG Canada, a provider of portable drone forensics technology, which Hogan said could become “the second most valuable data source behind mobile/cell phones in the pursuit of justice and safety.”