Topic: ARR momentum drivers, Q4 guidance, and NRR trends
Key points:
ARR acceleration driven by: (1) cross-selling Adlumin into existing base and mid-market via channel partners, (2) broadening channel presence with new distributors/resellers.
Q3 was best sequential ARR growth (ex-currency) in the year; Q4 expected to be above average for the year; second-half ARR growth > first-half.
NRR bottomed in Q1 and has built since; GRR improved through calendar 2025; long-term contract renewal rate ~90%.
XDR penetration still early; ASP per device rising; future add-ons (data protection, other SKUs) support NRR confidence.
Mgmt stance: Bullish — execution on Adlumin cross-sell and channel expansion driving momentum; high confidence NRR bottomed and will continue to climb.
Q2 — Matthew Calitri
Topic: ARR guidance sequential growth, FX impact, and new product launches (Cat-MIP, Anomaly Detection)
Key points:
Adlumin acquisition impact quantified at 4%–5% of ARR; Q4 sequential ARR growth lower on surface due to FX, but ex-currency would be ~$10 million higher (assuming Q3 rates).
Anomaly Detection as a Service: helps transition Cove from recovery to detection; alerts MSPs to threats/breaches earlier than MDR/XDR; monetizable and improves win rates.
Cat-MIP: standardizes connections for MSPs; addresses customer AI roadmap questions; enables more secure, efficient server connections; begins wave of innovation and monetization.
Mgmt stance: Bullish — both offerings directly address MSP demand; anomaly detection is both upsell lever and adoption driver; Cat-MIP positions N-able as AI leader.
Q3 — Unknown Analyst
Topic: Adlumin acquisition performance, AI investment, and 30% EBITDA margin commitment
Key points:
Adlumin acquisition thesis holding true: endpoint-agnostic, fits MSP hybrid world; scaling with hundreds of new SMB end customers; AI tech enables non-linear cost scaling.
Cross-sell opportunity: UEM, Cove, XDR create end-to-end cyber resiliency story resonating with MSPs and VARs; N-able is only vendor offering full stack.
AI investment not new; machine learning, generative AI, Agentic AI part of mix; lower-cost India site adds bandwidth with lower cost; Agentic agents coming soon to products.
30% EBITDA margin commitment for 2026; mgmt views 30% as a good number, not a floor; focus on capturing AI opportunity (data advantage, short/mid-term monetization).
Mgmt stance: Bullish — Adlumin exceeding expectations; AI investment is incremental opportunity, not margin risk; 30% margin is achievable and scalable.