v3.26.1
Pay vs Performance Disclosure - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Pay vs Performance Disclosure          
Pay vs Performance Disclosure, Table
Pay Versus Performance
The disclosure included in this section is prescribed by SEC rules and does not necessarily align with how the Company or the Compensation and Human Capital Committee view the link between the Company’s performance and named executive officer pay. For additional information about our pay-for-performance philosophy and how we align executive compensation with Company performance, refer to the Compensation Discussion and Analysis.
Required Tabular Disclosure of Pay Versus Performance
The following table reports the compensation of our principal executive officer (“PEO”) and the average compensation of the other named executive officers (“NEO”) as disclosed in the Summary Compensation Table (“SCT”) for the past four fiscal years, as well as their “compensation actually paid,” as defined and calculated pursuant to Item 402(v) of Regulation S-K, and certain performance measures required by the rules. The table also provides information on our cumulative TSR, the cumulative TSR of our peer group, net income (loss), and adjusted EBITDA. Use of the term “compensation actually paid” (“CAP”) is required by the SEC’s rules and as a result of the calculation methodology required by the SEC, such amounts differ from compensation actually received by the individuals and the compensation decisions described in the “Compensation Discussion and Analysis” section above.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Value of initial fixed $100
investment based on:
 
 
 
 
 
 
 
 
Year(1)
 
 
Summary
compensation
table total for
PEO
 
 
Compensation
actually paid
to PEO(2)
 
 
Average SCT
total for
Non-PEO NEOs
 
 
Average
compensation
actually paid to
Non-PEO NEOs(2)
 
 
Arlo
TSR(3)
 
 
Peer group
TSR(3)
 
 
Net income
(loss)
(in thousands)
 
 
Adjusted
EBITDA
(in thousands)(4)
 
 
2025
 
 
$7,358,402
 
 
$20,816,002
 
 
$3,313,152
 
 
$6,049,638
 
 
$179.59
 
 
$138.92
 
 
$14,926
 
 
$74,749
 
 
2024
 
 
$23,268,296
 
 
$41,102,735
 
 
$6,600,417
 
 
$11,016,997
 
 
$143.65
 
 
$116.91
 
 
$(30,504)
 
 
$40,321
 
 
2023
 
 
$9,911,634
 
 
$36,543,991
 
 
$1,367,684
 
 
$8,011,446
 
 
$122.21
 
 
$118.16
 
 
$(22,036)
 
 
$29,013
 
 
2022
 
 
$15,405,950
 
 
$(4,020,347)
 
 
$4,282,541
 
 
$(18,473)
 
 
$45.06
 
 
$97.95
 
 
$(56,626)
 
 
$(1,296)
 
 
2021
 
 
$10,458,023
 
 
$17,399,037
 
 
$1,691,808
 
 
$2,843,554
 
 
$134.66
 
 
$126.53
 
 
$(56,029)
 
 
$(5,251)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)
Mr. McRae served as our PEO for 2025, 2024, 2023, 2022, and 2021. The non-PEO NEOs included for purposes of calculating the average amounts in each applicable year are as follows: (i) for 2025, 2024 and 2023, Kurtis Binder and Brian Busse; (ii) for 2022, Kurtis Binder, Brian Busse and Gordon Mattingly; and (iii) for 2021, Brian Busse and Gordon Mattingly.
(2)
Represents compensation actually paid to Mr. McRae and the average amount paid to our non-PEO NEOs as a group, as computed in accordance with Item 402(v) of Regulation S-K. The dollar amounts do not reflect the actual amount of compensation earned during the applicable year. In accordance with the requirements of Item 402(v) of Regulation S-K, the following adjustments were made to Mr. McRae’s total compensation and average total reported compensation for our non-PEO NEOs as a group for 2025 as reported in the Summary Compensation Table to determine the CAP. The following table reflects the value of equity calculated in accordance with the SEC methodology for determining CAP for each year shown. We use the closing price on the applicable date as a basis for fair value. Fair values for certain PSU award are measured using a Monte Carlo simulation model as PSUs contain a market condition at the time of grant (as calculated in accordance with FASB ASC Topic 718), and the valuation assumptions used to calculate fair values did not materially differ from those disclosed at the time of the grant.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Year and position
 
 
Summary
compensation
table total
 
 
Less:
Grant date
fair value of
equity awards
reported in the
summary
compensation
table
 
 
Plus:
Fair value of
equity awards
granted
during the
year that
remain
unvested as of
year end
 
 
Plus:
Fair value of
equity awards
granted
during the
year that
vested during
the year
 
 
Plus:
Change in
fair value of
prior years’
equity
awards that
outstanding
and unvested
as of year end
 
 
Plus:
Change in
fair value of
prior years’
equity
awards
vested
during the
year
 
 
Less:
Fair value of
prior years’
equity
awards that
failed to
meet vesting
conditions
 
 
Compensation
actually paid
 
 
PEO
 
 
2025
 
 
$7,358,402
 
 
$5,590,000
 
 
$6,995,000
 
 
$2,735,020
 
 
$574,389
 
 
$8,743,191
 
 
$—
 
 
$20,816,002
 
 
Average Non-PEO Named Executive Officers
 
 
2025
 
 
$3,313,152
 
 
$2,515,500
 
 
$3,147,750
 
 
$1,246,166
 
 
$201,758
 
 
$656,312
 
 
$—
 
 
$6,049,638
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(3)
Arlo TSR is cumulative for the measurement periods beginning on December 31, 2021 and ending on December 31, 2025, respectively, calculated in accordance with Item 201(e) of Regulation S-K. Peer Group TSR is calculated based on the S&P 600 Information Technology Index, which is used for purposes of Item 201(e) of Regulation S-K.
(4)
As required by Item 402(v) of Regulation S-K, we have determined adjusted EBITDA as the company selected measure starting with 2025. Refer to Annex A of this Proxy Statement for reconciliations of non-GAAP financial measures.
       
Company Selected Measure Name adjusted EBITDA        
Named Executive Officers, Footnote
(1)
Mr. McRae served as our PEO for 2025, 2024, 2023, 2022, and 2021. The non-PEO NEOs included for purposes of calculating the average amounts in each applicable year are as follows: (i) for 2025, 2024 and 2023, Kurtis Binder and Brian Busse; (ii) for 2022, Kurtis Binder, Brian Busse and Gordon Mattingly; and (iii) for 2021, Brian Busse and Gordon Mattingly.
       
Peer Group Issuers, Footnote
(3)
Arlo TSR is cumulative for the measurement periods beginning on December 31, 2021 and ending on December 31, 2025, respectively, calculated in accordance with Item 201(e) of Regulation S-K. Peer Group TSR is calculated based on the S&P 600 Information Technology Index, which is used for purposes of Item 201(e) of Regulation S-K.
       
PEO Total Compensation Amount $ 7,358,402 $ 23,268,296 $ 9,911,634 $ 15,405,950 $ 10,458,023
PEO Actually Paid Compensation Amount $ 20,816,002 41,102,735 36,543,991 (4,020,347) 17,399,037
Adjustment To PEO Compensation, Footnote
(2)
Represents compensation actually paid to Mr. McRae and the average amount paid to our non-PEO NEOs as a group, as computed in accordance with Item 402(v) of Regulation S-K. The dollar amounts do not reflect the actual amount of compensation earned during the applicable year. In accordance with the requirements of Item 402(v) of Regulation S-K, the following adjustments were made to Mr. McRae’s total compensation and average total reported compensation for our non-PEO NEOs as a group for 2025 as reported in the Summary Compensation Table to determine the CAP. The following table reflects the value of equity calculated in accordance with the SEC methodology for determining CAP for each year shown. We use the closing price on the applicable date as a basis for fair value. Fair values for certain PSU award are measured using a Monte Carlo simulation model as PSUs contain a market condition at the time of grant (as calculated in accordance with FASB ASC Topic 718), and the valuation assumptions used to calculate fair values did not materially differ from those disclosed at the time of the grant.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Year and position
 
 
Summary
compensation
table total
 
 
Less:
Grant date
fair value of
equity awards
reported in the
summary
compensation
table
 
 
Plus:
Fair value of
equity awards
granted
during the
year that
remain
unvested as of
year end
 
 
Plus:
Fair value of
equity awards
granted
during the
year that
vested during
the year
 
 
Plus:
Change in
fair value of
prior years’
equity
awards that
outstanding
and unvested
as of year end
 
 
Plus:
Change in
fair value of
prior years’
equity
awards
vested
during the
year
 
 
Less:
Fair value of
prior years’
equity
awards that
failed to
meet vesting
conditions
 
 
Compensation
actually paid
 
 
PEO
 
 
2025
 
 
$7,358,402
 
 
$5,590,000
 
 
$6,995,000
 
 
$2,735,020
 
 
$574,389
 
 
$8,743,191
 
 
$—
 
 
$20,816,002
 
 
Average Non-PEO Named Executive Officers
 
 
2025
 
 
$3,313,152
 
 
$2,515,500
 
 
$3,147,750
 
 
$1,246,166
 
 
$201,758
 
 
$656,312
 
 
$—
 
 
$6,049,638
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        
Non-PEO NEO Average Total Compensation Amount $ 3,313,152 6,600,417 1,367,684 4,282,541 1,691,808
Non-PEO NEO Average Compensation Actually Paid Amount $ 6,049,638 11,016,997 8,011,446 (18,473) 2,843,554
Adjustment to Non-PEO NEO Compensation Footnote
(2)
Represents compensation actually paid to Mr. McRae and the average amount paid to our non-PEO NEOs as a group, as computed in accordance with Item 402(v) of Regulation S-K. The dollar amounts do not reflect the actual amount of compensation earned during the applicable year. In accordance with the requirements of Item 402(v) of Regulation S-K, the following adjustments were made to Mr. McRae’s total compensation and average total reported compensation for our non-PEO NEOs as a group for 2025 as reported in the Summary Compensation Table to determine the CAP. The following table reflects the value of equity calculated in accordance with the SEC methodology for determining CAP for each year shown. We use the closing price on the applicable date as a basis for fair value. Fair values for certain PSU award are measured using a Monte Carlo simulation model as PSUs contain a market condition at the time of grant (as calculated in accordance with FASB ASC Topic 718), and the valuation assumptions used to calculate fair values did not materially differ from those disclosed at the time of the grant.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Year and position
 
 
Summary
compensation
table total
 
 
Less:
Grant date
fair value of
equity awards
reported in the
summary
compensation
table
 
 
Plus:
Fair value of
equity awards
granted
during the
year that
remain
unvested as of
year end
 
 
Plus:
Fair value of
equity awards
granted
during the
year that
vested during
the year
 
 
Plus:
Change in
fair value of
prior years’
equity
awards that
outstanding
and unvested
as of year end
 
 
Plus:
Change in
fair value of
prior years’
equity
awards
vested
during the
year
 
 
Less:
Fair value of
prior years’
equity
awards that
failed to
meet vesting
conditions
 
 
Compensation
actually paid
 
 
PEO
 
 
2025
 
 
$7,358,402
 
 
$5,590,000
 
 
$6,995,000
 
 
$2,735,020
 
 
$574,389
 
 
$8,743,191
 
 
$—
 
 
$20,816,002
 
 
Average Non-PEO Named Executive Officers
 
 
2025
 
 
$3,313,152
 
 
$2,515,500
 
 
$3,147,750
 
 
$1,246,166
 
 
$201,758
 
 
$656,312
 
 
$—
 
 
$6,049,638
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
        
Compensation Actually Paid vs. Total Shareholder Return        
Compensation Actually Paid vs. Net Income        
Compensation Actually Paid vs. Company Selected Measure        
Total Shareholder Return Vs Peer Group        
Tabular List, Table
Required Tabular Disclosure of Most Important Financial Performance Measures
Listed below are the financial measures that in our assessment represent the most important performance measures we use to link CAP for the last fiscal year to company performance:
•
Adjusted EBITDA
•
Cumulative paid accounts
•
Annual recurring revenue
       
Total Shareholder Return Amount $ 179.59 143.65 122.21 45.06 134.66
Peer Group Total Shareholder Return Amount 138.92 116.91 118.16 97.95 126.53
Net Income (Loss) $ 14,926,000 $ (30,504,000) $ (22,036,000) $ (56,626,000) $ (56,029,000)
Company Selected Measure Amount 74,749,000 40,321,000 29,013,000 (1,296,000) (5,251,000)
PEO Name Mr. McRae Mr. McRae Mr. McRae Mr. McRae Mr. McRae
Additional 402(v) Disclosure
Required Disclosure of the Relationship Between Compensation Actually Paid and Financial Performance Measures
As required by Item 402(v) of Regulation S-K, we are providing the following graphs to illustrate the relationship between the pay and performance figures that are included in the pay versus performance tabular disclosure above. In addition, the first graph below further illustrates the relationship between Company TSR and that of the S&P 600 IT Index. As noted above, CAP for purposes of the tabular disclosure and the following graphs were calculated in accordance with SEC rules and do not fully represent the actual final amount of compensation earned by or actually paid to our named executive officers during the applicable years.
Our management team’s successful execution of Arlo’s transformation strategy resulted in Arlo developing a reputation for operational excellence and financial discipline. Consistently meeting and exceeding our operational targets generated a significant boost to Arlo’s financial outlook and resulted in TSR of nearly 300% since December 2022, which outperformed Arlo’s peer group and the S&P 600 IT Index.
        
Measure:: 1          
Pay vs Performance Disclosure          
Name Adjusted EBITDA        
Non-GAAP Measure Description
(4)
As required by Item 402(v) of Regulation S-K, we have determined adjusted EBITDA as the company selected measure starting with 2025. Refer to Annex A of this Proxy Statement for reconciliations of non-GAAP financial measures.
       
Measure:: 2          
Pay vs Performance Disclosure          
Name Cumulative paid accounts        
Measure:: 3          
Pay vs Performance Disclosure          
Name Annual recurring revenue        
PEO | Aggregate Grant Date Fair Value of Equity Award Amounts Reported in Summary Compensation Table          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount $ (5,590,000)        
PEO | Year-end Fair Value of Equity Awards Granted in Covered Year that are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 6,995,000        
PEO | Year-over-Year Change in Fair Value of Equity Awards Granted in Prior Years That are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 574,389        
PEO | Vesting Date Fair Value of Equity Awards Granted and Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 2,735,020        
PEO | Change in Fair Value as of Vesting Date of Prior Year Equity Awards Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 8,743,191        
PEO | Prior Year End Fair Value of Equity Awards Granted in Any Prior Year that Fail to Meet Applicable Vesting Conditions During Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
Non-PEO NEO | Aggregate Grant Date Fair Value of Equity Award Amounts Reported in Summary Compensation Table          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount (2,515,500)        
Non-PEO NEO | Year-end Fair Value of Equity Awards Granted in Covered Year that are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 3,147,750        
Non-PEO NEO | Year-over-Year Change in Fair Value of Equity Awards Granted in Prior Years That are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 201,758        
Non-PEO NEO | Vesting Date Fair Value of Equity Awards Granted and Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 1,246,166        
Non-PEO NEO | Change in Fair Value as of Vesting Date of Prior Year Equity Awards Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 656,312        
Non-PEO NEO | Prior Year End Fair Value of Equity Awards Granted in Any Prior Year that Fail to Meet Applicable Vesting Conditions During Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount $ 0