The headquarters for Axon Enterprise Inc, formerly Taser International, is seen in Scottsdale, Aizona, U.S., May 17, 2017. Picture taken May 17, 2017. To match Special Report USA-TASER/EXPERTS REUTERS/Ricardo Arduengo

(Reuters) -Taser-maker Axon Enterprise missed analysts' estimate for third-quarter profit on Tuesday, pressured by higher costs resulting from the implementation of tariffs, sending its shares slumping 20% in extended trading.

Earlier this year, the company had flagged that the tariff war could disrupt its operations by hindering the procurement of imported components for its products and limiting exports to overseas markets. Axon also indicated that it might consider raising prices due to tariff-driven cost pressures on suppliers.

The Arizona-based company is a leading provider of police body cameras in the United States and supplies drone systems to law enforcement across North America, Europe and Australia.

Chief Financial Officer Brittany Bagley had said in August the impact of tariffs would be more visible in the second half of the year.

On an adjusted basis, Axon earned $1.17 per share for the quarter ended September 30, while analysts on average estimated $1.52 per share, according to data compiled by LSEG.

Its quarterly revenue was $710.6 million, while the estimate was $703.5 million.

The company expects 2025 revenue to be about $2.74 billion, compared with its earlier forecast of $2.65 billion to $2.73 billion.

Separately, Axon said it would buy emergency communications and response platform Carbyne in a deal valuing it at $625 million. The transaction is expected to close in the first quarter of 2026.

(Reporting by Aatreyee Dasgupta and Anshuman Tripathy in Bengaluru; Editing by Shilpi Majumdar)