@import url(‘https://fonts.googleapis.com/css2?family=Handlee&display=swap’);
h3 {
font-weight: bold;
font-size: 24px;
color: #2C4F9E;
}
.chart {
border: 3px solid #404144;
padding: 15px;
margin-top: 25px;
margin-bottom: 25px;
}
figcaption {
color: #404144;
font-family: “Montserrat”, sans-serif;
font-size: 14px;
padding: 10px;
text-align: left;
}
.highlight {
padding: 3%;
border-top: 8px solid #207BBC;
border-bottom: 3px solid #207BBC;
width: 100%;
font-family: “Montserrat”, sans-serif;
font-size: 15px;
background-color: #EAF1F7;
margin-top: 25px;
margin-bottom: 25px;
}
.pqFull {
display: block;
border-width: 2px 0;
border-style: solid;
border-color: #404144;
padding: 1.5em 0 0.5em;
margin: 1.5em 0;
position: relative;
font-family: “Handlee”, Arial, sans-serif;
font-size: 20px;
text-align: center;
color: #0067A6;
}
.pqFull:before {
content: ‘275D’;
position: absolute;
top: -.10em;
left: 50%;
transform: translate(-50%, -50%);
background: #fff;
width: 4rem;
height: 2rem;
font: 6em/1.08em sans-serif;
color: #666;
text-align: center;
}
.pqFull:after {
content: “2013 2003” attr(cite);
display: block;
text-align: center;
font-size: 18px;
color: #404144;
}
.tableContainer {
overflow-x: auto;
margin: 0px;
padding: 0px;
}
#widgetContainer {
display: inline-block;
width: 100%;
padding: 0px;
margin: 0px;
margin-top: 0px;
margin-bottom: 0px;
margin-left: auto;
margin-right: auto;
}
.pageCategory {
text-align: left;
margin-top: 20px;
margin-bottom: 50px;
display: none;
animation: fadeInFromRightCategory 0.3s;
position: relative;
}
@keyframes fadeInFromRightCategory {
from {
right: -40px;
opacity: 0;
}
to {
right: 0;
opacity: 1;
}
}
.pageCategory a:link {
border-bottom: none;
}
.mainMenu {
display: block;
animation: fadeInFromLeftCategory 0.3s;
position: relative;
}
@keyframes fadeInFromLeftCategory {
from {
left: -40px;
opacity: 0;
}
to {
left: 0;
opacity: 1;
}
}
.categoryButton {
display: inline-block;
margin-left: 10px;
margin-right: 10px;
margin-top: 10px;
margin-bottom: 10px;
color: #ffffff;
font-size: 16px;
font-weight: bold;
font-family: “Montserrat”, sans-serif
text-shadow: 1px 1px #696969;
text-align: center;
line-height: 1.1;
background-color: #2C4F9E;
background-size: 100% 100%;
padding: 8px;
cursor: pointer;
border-radius: 10px;
border: 2px solid #ffffff;
box-shadow: 0 4px 8px 0 rgba(0, 0, 0, 0.2), 0 6px 20px 0 rgba(0, 0, 0, 0.19);
width: 25%;
}
@media screen and (max-width: 1200px) {
.categoryButton {
width: 35%;
font-size: 16px;
margin-top: 8px;
margin-bottom: 8px;
margin-left: auto;
margin-right: auto;
}
}
@media screen and (max-width: 500px) {
.categoryButton {
font-size: 12px;
display: block;
}
}
.categoryButton:hover {
background: #000;
}
.wideButton {
width: 100%;
text-align: center;
margin-left: auto;
margin-right: auto;
background-color: #2C4F9E;
color: #ffffff;
font-weight: bold;
font-size: 16px;
}
.backButtonContainer img {
max-height: 16px;
}
.page-article-show .body .buttonIconContainer img {
margin-left: auto;
margin-right: auto;
}
.left-arrow {
float: left;
}
.centeredContent {
padding: 0px;
margin: 0px;
text-align: center;
background-color: #000;
border-top: 2px solid #000;
border-bottom: 2px solid #000;
}
.w3-bar {
width: 100%;
overflow: hidden;
display: inline-block;
width: auto
}
.w3-bar .w3-bar-item {
padding: 8px 16px;
width: auto;
border: none;
display: block;
outline: 0
}
.w3-bar {
position: static;
float: right
}
.w3-bar .w3-button {
white-space: normal
}
.w3-bar-item {
width: 100%;
display: block;
padding: 8px 16px;
text-align: center;
border: none;
white-space: normal;
float: none;
outline: 0
}
.w3-bar-item {
text-align: center;
font-family: “Montserrat”, sans-serif;
font-size: 12px;
}
.w3-bar:before,.w3-bar:after {
content: “”;
display: table;
clear: both
}
.w3-red,.w3-hover-red:hover {
color: #fff!important;
background-color: #cc0000!important
}
.w3-button {
border: none;
display: inline-block;
padding: 8px 16px;
vertical-align: middle;
overflow: hidden;
text-decoration: none;
color: #fff!important;
background-color: inherit;
text-align: center;
cursor: pointer;
white-space: nowrap
}
.w3-button:hover {
color: #fff!important;
background-color: #000!important
}
.w3-blue,.w3-hover-blue:hover {
color: #fff!important;
background-color: #2C4F9E!important
}
#myBtn {
display: none;
/* Hidden by default */
position: fixed;
/* Fixed/sticky position */
bottom: 20px;
/* Place the button at the bottom of the page */
right: 30px;
/* Place the button 30px from the right */
z-index: 99;
/* Make sure it does not overlap */
border: none;
/* Remove borders */
outline: none;
/* Remove outline */
background-color: #cc0000;
/* Set a background color */
color: white;
/* Text color */
cursor: pointer;
/* Add a mouse pointer on hover */
padding: 15px;
/* Some padding */
border-radius: 10px;
/* Rounded corners */
font-size: 18px;
/* Increase font size */
}
#myBtn:hover {
background-color: #555;
/* Add a dark-grey background on hover */
}
In the open-ended comments to the SDM 100 survey, one word was repeated over and over again — “strategic.” Similar to 2024, companies still reported a mixed bag of results, but there were several bright spots, and, collectively, this group of top security dealers amassed their largest total recurring monthly revenue in the history of this report: $740 million.
As No. 7, Bay Alarm Company put it, “We achieved our sales and profitability goals in 2025 despite a volatile and challenging economic environment.”
No. 25, EMC Security, noted that a softer market in 2025 “required discipline in project selection and margin management on individual projects.”
This sentiment was echoed by No. 35, RapidFire Safety & Security: “The market was largely the same in 2025 as 2024, but with some upward margin pressure due to tariffs, and we have adjusted pricing models accordingly.”
And again, by No. 46, Beacon Protection: “Being able to successfully navigate inventory levels and allocation of equipment to projects was a vital factor to our continued success.”
No. 54, Sentry Alarm Systems, described the market in 2025 as “weird,” adding that there were “lots of bids and we didn’t lose many, but customers were not pulling the trigger. It seemed like everyone was holding their breath.”
No. 85, Haig Service Corporation, wrote, “For all of 2025, the market seemed ready to ‘run’ but never quite got up to speed. It felt like a lot of buyers were in a holding pattern. I’m not sure if this was inflationary, tariffs or interest-rate driven. I tend to think it was no single reason but rather the cumulative uncertainty.”
In spite of this, as a group, this year’s top 100 companies achieved some remarkable numbers — repeating the highest total annual revenue in a decade, $17.4 billion, for the second year in a row. Residential sales revenue grew 22% to $864 million, more than doubling in just four years. Non-residential sales revenue ($3.2 billion) kept its gains from last year, and, as noted above, RMR was the highest-ever reported after a slight dip last year. Profits did take a dip, with 43% reporting an increase last year versus 56% in 2024; however, the corresponding increase in those who reported it stayed the same (34% versus 18% last year) shows a steady state rather than a decline.
#ask-sdm-ec a {
display: inline-flex;
align-items: center;
gap: 10px;
padding: 10px 20px;
font-size: 16px;
font-weight: 600;
color: #348089;
background-color: #fff;
text-decoration: none;
border-radius: 4px;
border: 2px solid #348089;
box-shadow: none;
transition: all 0.25s ease-in-out;
}
#ask-sdm-ec a:hover {
background-color: #348089 !important;
color: #fff !important;
}
#ask-sdm-ec a svg {
width: 18px;
height: 18px;
stroke: currentColor;
stroke-width: 1.8;
fill: none;
stroke-linecap: round;
stroke-linejoin: round;
flex-shrink: 0;
transition: inherit;
}
Looking for quick answers on security topics?
Try Ask SDM, our new smart AI search tool.
Ask SDM →
One of the ways these companies achieved this level of success was by being very disciplined in their approach, as well as by taking advantage of some major technology trends, both for their customers and their own companies.
“In 2025, the security market remained strong, but more strategic than in 2024,” wrote No. 68, KMT Systems Inc. “Customers were more intentional with spending due to interest rates and longer approval cycles, but demand for technology-driven security solutions continued to grow. Video surveillance was by far our strongest area of growth, significantly outpacing our other divisions. … Tariffs and inflation continued to impact equipment costs, and interest rates influenced project timelines, [but] by focusing on higher-value solutions and recurring revenue models, we were able to maintain margins and continue growing despite market pressures.”
Market Challenges & Changes
Looking more closely at the top market trends in 2025, outside pressures definitely played a large role in how companies adjusted their business models. Tariffs and their fallout, in particular, were a dominant theme.
We achieved our sales and profitability goals in 2025 despite a volatile and challenging economic environment.
No. 100, Northeast Security Solutions Inc., described the market as “uneven” in 2025. “From our vantage point, the market slowed noticeably in the months leading up to the November 2024 presidential election, with many customers choosing to pause or delay capital decisions,” the company wrote. “In early 2025, activity began to pick up again, and there was a sense that projects were starting to move forward. However, renewed concerns around tariffs and broader economic uncertainty in the later part of Q1/early Q2 cooled the market once more, causing many customers to slow decision-making or reassess timing and scope. While demand eventually improved later in the year, it was not strong enough to fully recover from the two distinct slowdowns. One notable dynamic through 2025 was that interest and inquiry remained high. … In fact, we struggled at times to keep up with the volume of proposal requests. The challenge was not a lack of opportunity, but rather a lower conversion rate from proposals to signed contracts.”
While noting that demand remained strong both in commercial and residential sectors, No. 98, Astra Security, also pointed to tariffs, higher interest rates and inflation, which contributed to higher equipment and labor costs. “We made a deliberate effort to limit the amount of these increases passed on to customers by focusing on volume, operational efficiency and strategic pricing,” the company wrote. “However, balancing competitive pricing with rising costs was more challenging than in prior years and required ongoing adjustment. Despite these pressures, we maintained growth and customer satisfaction by emphasizing value, reliability and professional installation rather than competing solely on price.”
Of the top 100 ranked security companies, about 50% sell residential systems (down from 60% last year), 76% commercial, and more than half sell both. This multi-year trend, which appears to be accelerating, is seeing security dealers getting more and more into the commercial sector.
“Overall, the market was slightly better than 2024,” noted No. 31, General Security Inc. “Commercial continued to be stronger than residential. Tariffs were easily passed along on the commercial market but not as easily on the residential side.”
Commercial projects were strong growth drivers in 2025, wrote No. 83, Silent Guard: “Customers were more receptive to comprehensive system upgrades rather than piecemeal improvements, especially when the value proposition centered around workflow efficiency, remote management and long-term cost control. Our residential new construction segment remained steady, and interest rates did not impact us as significantly as some in the industry, largely due to strong builder relationships and consistent regional demand. Residential retrofit activity was relatively flat year over year in total project volume; however, we improved profitability within that segment by focusing on better system design, disciplined pricing and upselling higher-value smart and connected solutions. Tariffs and inflation continued to create pricing pressure on equipment and materials, but we mitigated much of that impact through proactive vendor relationships, strategic inventory planning and maintaining pricing discipline. While cost volatility remans a concern, it has also accelerated conversations around quality [and] reliability.”
This tactic was also key to success for No. 10, Guardian Protection. “Escalating internal costs, particularly labor and benefit costs, combined with tariff-related increases in hardware pricing, forced us to carefully evaluate whether to absorb costs or pass them on to customers,” wrote April Maloney, vice president sales, Guardian Protection. “Our strategy shifted from simply increasing price to enhancing value. One example is the bundling of incremental services and service plans, which strengthens the overall solution and supports higher price points without damaging perceived customer value. We believe this value-driven approach is essential to protecting margins while sustaining long-term growth and customer retention.”
While some companies saw the DIY trend as either diminishing as a factor or helping grow business, others saw it contributing to the ongoing trend to skew more commercial to stay profitable. “The trends we are seeing and experiencing along with our peers in the industry indicate that the residential security market has declined significantly compared to previous years,” wrote No. 56, Advanced Security Systems. “Today’s homeowner often opts for a single device, such as a video doorbell, and considers that sufficient protection. … Nationally marketed, self-installed systems appeal to cost-conscious consumers and those seeking quick, app-based solutions. … Conversely, the commercial market is evolving in the opposite direction. We are experiencing increased demand and higher expectations from business clients. … The modern commercial customer expects a fully integrated solution. … Businesses are prioritizing risk management, employee safety, operational efficiency and liability reduction. They want systems that not only protect assets but also provide actionable insights, audit trails, remote management capabilities and scalability for future growth. As a result, projects are more complex, more technology-driven and more consultative in nature.”
Transformative Technology Trends
While cloud-hosted, integration, and fire and life safety technologies were all notable this year, two technologies stood out as the ones that are expected to remain dominant in 2026 and beyond: video and AI.
“Consistent with 2024 trends, video-based and integrated systems outpaced demand for traditional intrusion alarm systems across our markets, reflecting customers’ increasing focus on intelligent, connected security ecosystems,” wrote No. 11, Zeus Fire and Security.
Escalating internal costs, particularly labor and benefit costs, combined with tariff-related increases in hardware pricing, forced us to carefully evaluate whether to absorb costs or pass them on to customers. … Our strategy shifted from simply increasing price to enhancing value.
Guardian Protection’s Maloney also noted the ongoing video trend on the residential side: “Compared with 2024, residential demand in 2025 remained strong for cameras and video doorbells, but growth was driven less by volume and more by services. Homeowners increasingly expect AI-enabled analytics that distinguish real threats, deterrents such as voice-down, and proactive alarm verification. … Overall, 2025 reinforced for us that visible cameras and monitored video are now synonymous with modern residential security. We saw traditional, intrusion-only systems experiencing slower relative growth unless paired with advanced video services.”
No. 89, Solid Security Services, also noted the video trend: “Video surveillance was the clearest bright spot, especially where customers moved from basic recording to ‘visual intelligence’ with higher resolution upgrades, analytics, cloud or hybrid VMS.”
On the commercial side, remote video monitoring is a growing trend that companies like No. 61, Custom Alarm, are increasingly investing in. “In 2025, Custom Alarm’s most significant accomplishment was advancing our video strategy from a traditional add-on to a core, scalable business solution that delivers real-time intelligence, proactive deterrence and measurable value for our customers,” the company wrote. “We made a deliberate shift toward AI-enabled video monitoring and remote video verification.”
AI is undisputably the largest technology trend in the security industry right now, and it was also a big factor for many of the SDM 100 companies.
“AI is fundamentally shifting our industry from reactive alarm notification to proactive risk detection and prevention,” Silent Guard wrote. “Security systems are no longer simply ‘noise makers’ on doors and windows. With AI-driven video analytics, intelligent alerts and proactive remote video monitoring, we are building a digital perimeter around our customers’ homes and businesses.”
Just as important as the implementation of AI for customers was the concept of using it for internal business decisions. “The most significant trends shaping our business center on the purposeful, practical application of AI and the infrastructure required to scale it responsibly across our organization,” wrote Don Young, CEO, Everon, No. 4. “While AI represents an extraordinary opportunity for our industry in the long-term, our focus this year is to leverage it with clear intent, building a foundation for the future both within our own operations and as we look to affect change on the traditional security approach. From an internal perspective, we’re focused on building the right data architecture to enable us to accelerate AI-driven capabilities like agent-assist tools, operational automation and intelligent workflows. … We also see a meaningful shift in how AI can elevate the elements of our work that have historically been commoditized. By automating routine tasks and enhancing speed and accuracy, we can deliver a more relationship-centered service experience.”
Looking Ahead
The AI trend is just starting to find its footing in the security industry, with many more companies predicting how it will influence the rest of this year and beyond. But ongoing tariffs are of equal concern this year as last, with several companies tying the two topics as the top trends to watch this year.
AI is fundamentally shifting our industry from reactive alarm notification to proactive risk detection and prevention. Security systems are no longer simply ‘noise makers’ on doors and windows. With AI-driven video analytics, intelligent alerts and proactive remote video monitoring, we are building a digital perimeter around our customers’ homes and businesses.
“Tariffs and the economy have been two factors that have had an impact on our business (particularly in the residential market), and that is likely to continue in 2026,” wrote No. 40, Custom Security Systems Inc. “AI will have a major impact on our business this year, not just in the use of AI technology in cameras, access, security and services we offer to our clients, but in how we run our business. We will find a balance that allows us to use AI to assist with tasks and processes while maintaining one of the core principles of our business — personal connection to our clients and employees.”
No. 18, American Alarm & Communications, wrote, “AI-powered analytics, proactive video threat detection and automation will create opportunities to deliver more intelligent and efficient systems, while also raising expectations around performance, data privacy and long-term system resilience … In 2026, economic conditions and supply chain pressures, including tariff volatility, will continue to have a significant impact on our business. Many core components in video surveillance, access control and intrusion systems are globally sourced, so pricing volatility and lead-time uncertainty will require careful vendor diversification and proactive inventory management.”
KMT had similar thoughts: “One of the biggest factors that could impact our business in 2026 is the direction of tariffs. If we see increases similar to what occurred in 2025, it will likely become one of the most significant cost pressures we face, particularly around hardware and imported components. … The other major influence will be artificial intelligence. AI has the potential to dramatically improve our internal efficiency, streamline workflows and enhance the overall customer experience. As AI capabilities continue to evolve, we expect it to play a central role in how we deliver value, support customers and differentiate our solutions in the market.”
Most dealers are still optimistic for the coming year, with virtually all of them predicting revenues will be at least as good (14%) or better (85%) than 2025.
“As far as the economy, we expect it to be ‘OK.’ Nothing earth shattering, but we don’t expect the bottom to fall out,” wrote No. 69, Security Alarm Corporation. “Overall, we predict average to steady growth in 2026.”
While concerns are higher than in previous years, Kevin Santelli, vice president, commercial, Guardian Protection, summed up the sentiment expressed in many ways by a number of companies this year: “The broader economy — particularly interest rates, housing starts and consumer confidence — will continue to shape the demand for our services. Tariff policy and supply chain dynamics remain important variables as well. … We must ensure that our purchasing strategies remain disciplined and that our supplier partnerships remain strong to keep us competitive. I also think AI will continue to have transformative impacts in 2026. … Overall, 2026 will reward us if we can balance cost/pricing discipline with meaningful innovation. While it’s difficult to maximize both at the same time, we must make an effort to do so.”
2026 SDM 100 Rankings
Total Annual Revenue
Non-Res Install Revenue
Residential Customers
SDM 100 Alphabetical Index
SDM 100 Charts
Back to Rankings and Charts Menu
Objective of the SDM 100
The SDM 100 has been published since 1991. Its primary objective is to measure consumer dollars gained by security companies, in order to present an account of the size of the market captured by the 100 largest providers. SDM 100 companies are ranked by their recurring monthly revenue. RMR is the revenue associated with the contractual agreement between a security company and its subscriber — derived from customer billing for services such as monitoring, contracted service/system maintenance, security-as-a-service and managed/cloud solutions, and leasing of security systems — and is typically the basis for valuation of a security company. RMR is the language of security company executives and is meaningful in comparative analysis among industry peers. Of the 100 security dealers ranked, 32 of them earned more than $1 million in RMR in 2025.
How to Use the SDM 100 Tables
The 2026 SDM 100 ranks U.S. companies that provide electronic security systems and services to both residential and non-residential customers. This ranking is based on information provided to or, in few cases, estimated by SDM. Ranked companies were asked to submit either an audited or reviewed financial statement, or a copy of their income tax return showing total gross receipts for the stated period. The vast majority of the firms ranked are privately held.
The main table ranks 100 companies by their recurring monthly revenue (RMR) of December 31, 2025. The company with the highest RMR is ranked as No. 1, and so on. For each of the 100 companies, the following information is provided, from left to right:
- Current year rank, which is based on Dec. 31, 2025, RMR.
- Prior year rank.
- Company name, as used in the marketplace (doing business as), and headquarters location.
- Amount of RMR billed on Dec. 31, 2025.
- Percentage of RMR increase/decrease compared with Dec. 31, 2024.
- Number of subscribers (recurring-billable customers) at year-end 2025.
- Amount of sales revenue from residential system installations in 2025.
- Amount of sales revenue from non-residential system installations in 2025.
- Total gross revenue, in calendar-year or (the company’s) fiscal-year 2025 from security system sales/installation, services, leasing, and monitoring.
- Number of full-time employees.
- Number of business locations, including headquarters.
SDM 100 companies are then re-ranked by several other criteria, including total annual gross revenue; residential subscribers; and non-residential sales revenue.
Note: An e following the figure indicates it is an SDM estimate.
How to Purchase the SDM 100 Directory
Wouldn’t it be useful to have more information about each of the 100 companies ranked here? The 2026 SDM 100 Directory includes contact names, mailing addresses, telephone numbers, website URLs, branch office locations, product buyer names, installation data, and more. The SDM 100 Directory comes in Microsoft Excel format. To order, contact Jackie Bean at 215-939-8967 or by e-mail to beanj@bnpmedia.com.
https://www.sdmmag.com/articles/105352-sdm-100-top-100-security-dealers-of-2026
