Evolv Technologies Holdings, Inc. (EVLV): History, Ownership, Mission, How It Works & Makes Money

When you think about the future of security, does Evolv Technologies Holdings, Inc. (EVLV) come to mind, the company whose AI-powered systems have already screened over 3 billion people since 2019? This is a firm focused on transforming human security, and their financial trajectory in 2025 suggests real momentum, especially with their Annual Recurring Revenue (ARR) hitting $110.5 million by the end of Q2.

Management is defintely banking on this subscription model, forecasting full-year 2025 total revenues between $132 million and $135 million.

We'll break down the history, the true ownership structure, and exactly how their technology works and makes money, so you can decide if this high-stakes security play aligns with your investment thesis.

Evolv Technologies Holdings, Inc. (EVLV) History

You want to understand the foundation of Evolv Technologies Holdings, Inc., and that's smart. To truly evaluate a security-as-a-service (SaaS) company, you have to look past the latest quarterly report and see the bedrock it was built on. This isn't just about weapon detection; it's about a decade-long evolution from a hardware startup to an AI-driven platform. The company's trajectory, especially its pivot to a recurring revenue model, is the key to understanding its current valuation and future potential.

Given Company's Founding Timeline

Year established

The company was officially established in 2013, incorporating in Delaware in July of that year.

Original location

Evolv Technologies Holdings, Inc. began its operations in Waltham, Massachusetts, which remains its corporate headquarters today.

Founding team members

The core founding team included serial entrepreneurs like Mike Ellenbogen and Raphael Sardella, with Anil Chitkara also noted as a founder. These individuals set out to develop advanced security screening solutions, moving beyond the limitations of traditional metal detectors.

Initial capital/funding

The company secured its first major funding in 2013, raising $12 million in a Series A round led by General Catalyst Partners. This capital was the essential fuel for its initial research and product development. By November 2025, the company had raised a total of approximately $110 million in funding across 11 rounds prior to going public.

Given Company's Evolution Milestones

Given Company's Transformative Moments

The biggest shifts for Evolv Technologies Holdings, Inc. weren't just product launches; they were strategic pivots that fundamentally changed the business model and risk profile. Honestly, that's where the real story is.

• The SaaS Pivot: The company successfully transitioned from a capital-intensive hardware sales model to a Security-as-a-Service (SaaS) subscription model. This is defintely the most crucial move. As of Q1 2025, subscription revenue accounted for 82% of total revenue, which is a massive shift toward predictable, high-margin recurring income.
• The Direct Fulfillment Strategy: In 2025, Evolv began shifting away from a distribution fulfillment model to a direct fulfillment strategy. Management expects this change to bring higher revenue, greater cash flow, and most importantly, higher ARR on a per unit basis, which strengthens the long-term unit economics.
• Resolving Legal Headwinds: In Q2 2025, the company resolved two significant legal challenges-a Department of Justice (DOJ) investigation and a securities class action lawsuit. This removal of major overhangs allows the team to fully focus on growth and execution, which is a huge win for investor confidence.
• Scaling the Platform: By late 2025, the company's flagship product, Evolv Express®, had screened over 3 billion people worldwide, and the newer Evolv eXpedite™ bag screening solution had screened over one million bags since its launch. This scale is the proof of concept for their AI-based threat detection.

The focus now is on translating that massive customer adoption into profitability. The company has raised its full-year 2025 revenue outlook to between $142 million and $145 million and expects to deliver positive full-year Adjusted EBITDA. This sets a clear path for the next phase of growth, which you can read more about in Mission Statement, Vision, & Core Values of Evolv Technologies Holdings, Inc. (EVLV).

Evolv Technologies Holdings, Inc. (EVLV) Ownership Structure

Evolv Technologies Holdings, Inc. (EVLV) is a publicly traded company on the Nasdaq Capital Market (NasdaqCM), meaning its ownership is distributed among a mix of institutional investors, company insiders, and the general public. This structure, where institutions hold the majority stake, is common for a growth-stage technology company, but it also means a small group of large funds holds significant influence over strategic decisions.

Evolv Technologies Holdings, Inc.'s Current Status

Evolv Technologies Holdings, Inc. is a public entity trading under the ticker EVLV on the NasdaqCM. It completed its public listing via a merger with a special purpose acquisition company (SPAC) in 2021, a path that often results in a more concentrated ownership base initially. As of November 2025, the stock price was around $6.58 per share, reflecting a significant increase of over 162% from the prior year, which is defintely a strong performance signal in the volatile security technology sector. The company's market capitalization is approximately $1.16 billion.

Evolv Technologies Holdings, Inc.'s Ownership Breakdown

The company's control is heavily weighted toward institutional investors, which is typical for a mid-cap tech stock. This means the decision-making process is significantly influenced by major asset managers like Vanguard Group Inc. and BlackRock, Inc., who prioritize financial returns and corporate governance. Insider ownership, while substantial, is not the controlling block, but it does align management's interests with shareholder value.

Here's the quick math: Institutional investors hold roughly two-thirds of the total shares, which gives them substantial voting power on matters like board appointments and major corporate actions. Gates Frontier LLC, an insider-affiliated entity, is the largest single shareholder, owning about 17.19 million shares, worth over $103 million as of November 2025.

Evolv Technologies Holdings, Inc.'s Leadership

The company is steered by a seasoned executive team with deep experience in security and technology, plus a Board of Directors that includes founders and external industry veterans. This dual structure of operational leadership and independent oversight is crucial for navigating the complex regulatory landscape of AI-powered security. The Board Chairman, Neil Glat, has been in place since November 2023, providing consistent strategic direction.

• John Kedzierski: President and Chief Executive Officer (CEO). He took the helm in December 2024, bringing over two decades of experience from Motorola Solutions, Inc.
• Chris Kutsor: Chief Financial Officer (CFO). Appointed in April 2025, he manages the company's financial strategy, which is critical for a company still scaling its operations.
• Anil R. Chitkara: Founder and Chief Growth Officer. As a co-founder, he focuses on corporate development and long-term market expansion.
• Robert E. Marshall, Jr.: Chief Revenue Officer (CRO). He has global responsibility for sales and service operations, driving the company's revenue growth.
• Michael Ellenbogen: Founder and Chief Innovation Officer. His role is focused on the core technology and product development, maintaining the company's edge in artificial intelligence (AI) screening.

The leadership team's focus is on translating the company's mission into actionable growth, which you can read more about in Mission Statement, Vision, & Core Values of Evolv Technologies Holdings, Inc. (EVLV).

Evolv Technologies Holdings, Inc. (EVLV) Mission and Values

Evolv Technologies Holdings, Inc. is fundamentally driven by a mission to transform security, aiming to create a safer world where people can live, work, learn, and play without constant fear or disruption. This purpose-driven approach is the bedrock of their AI-powered screening technology, which has already scanned over 3 billion people globally since 2019.

You're not just buying a piece of hardware; you're investing in a new operating model for physical security, and the company's culture reflects that big-picture goal. For the 2025 fiscal year, this mission is translating into significant growth, with total revenue expected to hit between $142 million and $145 million, a growth rate of 37% to 40% year-over-year.

Given Company's Core Purpose

The company's core purpose goes beyond simply detecting threats; it's about balancing safety with the human need for seamless movement and privacy, which is the real challenge in high-traffic venues today.

Official mission statement

The official mission statement is a clear articulation of this dual focus on security and experience. It shows they are committed to transforming the entire security paradigm, moving past intrusive, slow screening methods.

• To make the world safer and more enjoyable for people to live, work, learn, and play.
• Committed to transforming physical security with advanced, extensible solutions that meet modern standards of venue safety.

This mission is supported by a strong financial transition toward a subscription model, evidenced by the Annual Recurring Revenue (ARR) reaching $117.2 million by the end of the third quarter of 2025, a 25% increase from the prior year. That kind of recurring revenue base defintely provides stability for long-term mission execution.

Here's the quick math: that ARR figure alone covers about 80% of the high end of their total revenue guidance for 2025, showing the mission is built on a solid, predictable business model. Mission Statement, Vision, & Core Values of Evolv Technologies Holdings, Inc. (EVLV).

Vision statement

Evolv Technologies Holdings, Inc.'s vision is to establish a new normal for public safety-one where security is proactive and nearly invisible, allowing people to focus on the event or activity, not the checkpoint itself. It's a world where technology eliminates the trade-off between safety and convenience.

• Keep people safer where they gather.
• Envision a world where public spaces are free from the threat of violence.
• Individuals can move about freely and confidently.

The company is aiming for positive full-year Adjusted EBITDA in 2025, with margins expected in the high single digits, proving that a strong social mission can, and should, be profitable.

Given Company slogan/tagline

The company's core values, which were refreshed in August 2025, are the operational principles that guide how they execute their mission and vision. They are the cultural DNA that ensures the product delivers a 'safer, faster, and better experience' for customers.

• Do the Right Thing, Always: Leading with courage, truth, and accountability.
• Put People First: Listening with empathy and serving as a partner to solve real-world problems.
• Win Together: Acting as one team to collaborate and share knowledge.
• Own It: Taking accountability and delivering results that matter.
• Be Bold, Stay Curious: Pushing boundaries and never stopping innovation.

Their most consistent, overarching tagline is simply: Creating Safer Experiences.

Evolv Technologies Holdings, Inc. (EVLV) How It Works

Evolv Technologies Holdings, Inc. (EVLV) transforms physical security by using artificial intelligence (AI) to screen people and bags for threats at high speed, replacing the slow, intrusive process of traditional metal detectors and X-ray systems. They operate on a security-as-a-service model, meaning you pay for the advanced AI software and data insights, not just the hardware, which provides predictable revenue for the company.

Honestly, the core value proposition is simple: make venues safer without creating huge lines. The company has already screened over 3 billion visitors globally, proving its system works at scale.

Evolv Technologies Holdings, Inc.'s Product/Service Portfolio

The company's offerings are built on a proprietary platform that combines AI software, advanced sensors, and cloud services, providing a layered approach to detection and response.

Evolv Technologies Holdings, Inc.'s Operational Framework

The company's operational framework is designed to drive high-margin, predictable revenue through a subscription-based model. This security-as-a-service approach is a key differentiator, moving away from one-time hardware sales toward long-term customer relationships.

• Subscription-First Revenue: The majority of the business comes from multi-year contracts for the software and service, which is why the Annual Recurring Revenue (ARR) is a crucial metric. By the end of Q3 2025, ARR reached $117.2 million, a 25% year-over-year increase.
• Direct Fulfillment Shift: Management is actively shifting purchase activity back to a direct fulfillment model, moving away from legacy distribution. This change is expected to bring higher revenue, greater cash flow, and most importantly, higher ARR on a per unit basis.
• Value Creation Loop: The systems (Express and eXpedite) collect vast amounts of real-world data, which feeds back into the AI's machine learning algorithms to defintely improve detection accuracy and reduce false alarms over time. This continuous improvement enhances the customer experience and solidifies the value proposition.
• Financial Trajectory: The focus on operational efficiency is paying off; the company achieved a positive Adjusted EBITDA of $5.1 million in Q3 2025 and expects to be cash flow positive in the fourth quarter of 2025.

Evolv Technologies Holdings, Inc.'s Strategic Advantages

Evolv's market success hinges on its ability to blend high-tech security with a seamless user experience, a combination that traditional security companies struggle to match. They're not just selling a product; they're selling a better security outcome.

• AI-Powered Differentiation: The core advantage is the proprietary AI, which can distinguish between a potential threat and a harmless personal item (like a laptop or a water bottle) without requiring visitors to stop or empty their pockets. This speed advantage is a major selling point for high-traffic venues.
• Accreditation and Trust: Evolv Express® has been awarded the U.S. Department of Homeland Security (DHS) SAFETY Act Designation as a Qualified Anti-Terrorism Technology (QATT). This government endorsement provides a significant competitive edge and builds customer confidence, especially in sensitive sectors like education and healthcare.
• Predictable Revenue Base: The strong subscription model, with over 1,000 customers and more than 7,000 active subscriptions as of Q2 2025, provides a highly predictable revenue stream (ARR) that analysts favor over one-time sales.
• Data and Insights Moat: The Evolv Insights data platform creates a valuable moat (a sustainable competitive advantage). It allows customers to optimize their security operations based on real-world data, making the system an indispensable operational tool, not just a security gate.

To understand the foundation of their market approach, you should review their Mission Statement, Vision, & Core Values of Evolv Technologies Holdings, Inc. (EVLV).

Evolv Technologies Holdings, Inc. (EVLV) How It Makes Money

Evolv Technologies Holdings, Inc. makes money primarily through a Security-as-a-Service (SaaS) model, charging customers an annual subscription fee for its AI-driven weapons detection systems, Evolv Express, and related software services. This recurring revenue stream provides the financial stability and predictability that is crucial for a high-growth technology company.

Evolv Technologies Holdings, Inc.'s Revenue Breakdown

The company's strategic pivot to a subscription-based model means that recurring revenue dominates its top line, though product sales still contribute. Based on the latest fiscal year data, the revenue split is heavily weighted toward subscription and service fees, reinforcing a high-quality revenue profile.

The 82% recurring revenue figure, based on Q2 2025 results, shows a clear commitment to the SaaS model. This stream includes the software subscription for the AI platform and related services, which is the stickiest part of the business. Non-recurring revenue, the remaining 18%, comes from the upfront sale of the physical hardware (the Evolv Express systems) or short-term rentals, and can be more volatile due to the timing of large customer orders.

Business Economics

You should view Evolv Technologies Holdings, Inc.'s economics through the lens of a hardware-enabled SaaS business, where the initial hardware sale (or rental) acts as a high-margin customer acquisition cost for the much more valuable, long-term software subscription. The shift to a direct purchase subscription model is designed to boost Average Revenue Per Unit (ARPU) and customer lifetime value (LTV) over time.

• Gross Margin: The adjusted gross margin for the nine months ended September 30, 2025, stood at 56.13%. This is a solid margin for a business that includes physical hardware costs (Cost of Goods Sold or COGS), but it's lower than pure software margins. The company is working to improve this through a strategic manufacturing partnership with Plexus, which should help scale capacity and reduce COGS.
• Customer Stickiness: The company's net unit retention is currently over 100%, meaning existing customers are not only renewing but are also adding more units to their deployments. This is defintely a key indicator of product-market fit and strong customer satisfaction, especially in critical verticals like education and healthcare.
• Remaining Performance Obligation (RPO): This metric, which represents contracted future revenue, was approximately $299 million at the end of Q3 2025. This RPO is a strong forward indicator of future recurring revenue and provides a clear floor for the company's financial planning over the next several years.

Evolv Technologies Holdings, Inc.'s Financial Performance

The financial story for 2025 is one of accelerating growth and a critical turn toward profitability, moving past the heavy investment phase. The management team has been clear: the focus is on building a high-growth, profitable, and cash-generative business.

• Total Revenue: The full-year 2025 revenue is projected to be between $142 million and $145 million, reflecting a substantial growth of 37% to 40% compared to 2024. This upwardly revised guidance signals strong demand and better-than-expected execution.
• Annual Recurring Revenue (ARR): ARR, the ultimate measure of the subscription business health, reached $117.2 million at the end of Q3 2025, a 25% increase year-over-year. This ARR growth is a more meaningful measure of long-term value than the volatile total revenue number.
• Path to Profitability: The company achieved its fourth consecutive quarter of positive Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) in Q3 2025, with an Adjusted EBITDA of $5.1 million and a margin of 12%. Management expects to deliver positive full-year Adjusted EBITDA in 2025, with margins in the high single digits.
• Cash Flow: A critical milestone is the expectation to be cash flow positive in the fourth quarter of 2025. This means the company will generate more cash from its operations than it spends, reducing reliance on external financing.
• Customer Base: Evolv Technologies Holdings, Inc. now serves over 1,000 customers globally and is on track to surpass 8,000 active subscriptions by the end of the year. If you want a deeper dive into the institutional money behind this growth story, you should read Exploring Evolv Technologies Holdings, Inc. (EVLV) Investor Profile: Who's Buying and Why?

Evolv Technologies Holdings, Inc. (EVLV) Market Position & Future Outlook

Evolv Technologies Holdings, Inc. is staking its claim as the clear leader in the high-throughput, AI-powered physical security screening niche, even as it remains a smaller player in the broader, multi-billion dollar security screening market. The company is in a rapid growth phase, with management projecting full-year 2025 total revenue to be between $142 million and $145 million, reflecting a strong 37% to 40% year-over-year growth.

The core strategy is simple: dominate the 'frictionless' security experience for schools, venues, and hospitals, and the recurring revenue will follow. Annual Recurring Revenue (ARR) hit $117.2 million at the end of the third quarter of 2025, a 25% jump from the prior year, showing that the subscription model is defintely working.

Competitive Landscape

When you look at Evolv Technologies Holdings, Inc.'s competitive landscape, you have to split the world into two: the traditional, massive airport/cargo screening market and the emerging, high-throughput venue/school market. The traditional giants have scale, but Evolv has the AI-driven speed.

Here's the quick math: Evolv's projected 2025 revenue of $\approx$$144 million is tiny compared to OSI Systems' fiscal 2025 revenue of $1.713 billion. But Evolv is not chasing airport cargo; it's chasing the experience economy, and in that niche, its AI-based platform, Exploring Evolv Technologies Holdings, Inc. (EVLV) Investor Profile: Who's Buying and Why?, is the clear technological frontrunner.

Opportunities & Challenges

You're investing in a growth story, so the opportunities are massive, but the risks are real and tied to the technology's novelty and the company's financial profile.

Industry Position

Evolv Technologies Holdings, Inc. is positioned as the market disruptor, using its first-mover advantage in AI-driven physical security to capture the non-traditional venue market.

• AI-First Leadership: The company's core strength is its proprietary AI, which allows for a high-volume screening rate-reportedly scanning over 3 billion people since 2019. [cite: 15 from step 1]
• Customer Base: Evolv serves over 1,000 customers globally, with more than 7,000 active subscriptions, spanning schools, hospitals, and major sports venues. [cite: 6 from step 1, 5 from step 2]
• Strategic Validation: The flagship Evolv Express product holds the U.S. Department of Homeland Security (DHS) SAFETY Act Designation, a significant validation of its anti-terrorism technology. [cite: 15 from step 1, 6 from step 2]
• Path to Profitability: Management is focused on achieving positive full-year adjusted EBITDA and positive free cash flow in the fourth quarter of 2025, a critical milestone for a high-growth company. [cite: 4 from step 1] Adjusted EBITDA for the nine months ended September 30, 2025, was already positive at $9.3 million. [cite: 6 from step 1]

The company has overcome some past financial and regulatory hurdles, and with $56.2 million in cash and equivalents as of Q3 2025, it has the liquidity to execute its growth plan. [cite: 6 from step 1] They are selling a change in mindset, and that's a tough, but potentially lucrative, sale.