Financial Performance - Revenue for fiscal 2024 was $424 million, a decrease of 5% compared to fiscal 2023[182] - Net income for fiscal 2024 was $23 million, down from $25 million in fiscal 2023[182] - Total revenue for fiscal 2024 was $424.046 million, a decrease of 4.7% from $444.849 million in fiscal 2023[204] - Net income for fiscal 2024 was $22.505 million, representing 5.3% of total revenue, compared to $24.770 million or 5.6% in fiscal 2023[204] - Adjusted EBITDA for fiscal 2024 was $98.110 million, which is 23.1% of total revenue, up from $96.500 million or 21.7% in fiscal 2023[204] Revenue Breakdown - Annual Recurring Revenue (ARR) grew by 9% to over $116 million at the end of fiscal 2024[183] - IoT Products & Services revenue decreased by 6.1% to $324.4 million, driven by lower demand and inventory adjustments[188] - IoT Solutions revenue increased by 0.4% to $99.6 million, with a $5.6 million increase in recurring revenue[189] Profitability Metrics - Gross profit margin increased by 220 basis points to 58.9% in fiscal 2024[182] - The gross profit for IoT Solutions increased by 820 basis points to 73.0% due to higher margin subscription revenues[193] Operating Expenses and Cash Flow - Total operating expenses were $201.8 million, a slight decrease of 0.1% from fiscal 2023[194] - Cash flows from operating activities increased by $46.3 million to $83.092 million in fiscal 2024, driven by various factors including a $9.7 million debt issuance cost write-off[214] Debt and Financing - The company entered into a new credit agreement providing a $250 million senior secured revolving credit facility, replacing a prior $350 million term loan[210] - Debt payments in fiscal 2024 totaled $304.7 million, including $213.6 million to retire the prior credit facility[217] Tax and Reserves - The company reported an effective income tax rate of 1.5% for fiscal 2024, compared to 0.6% in fiscal 2023[197] - The company’s reserve for uncertain tax positions was $3.6 million as of September 30, 2024[221] Foreign Revenue and Currency Exposure - Revenue from foreign customers for fiscal years 2024, 2023, and 2022 was approximately $121.6 million, $121.1 million, and $85.8 million, respectively, with only $0.4 million, $0.8 million, and $0.8 million denominated in foreign currencies[223] - The average exchange rate for the Euro increased by 4.0% from 2023 to 2024, while the British Pound increased by 8.5%[245] - The company has not implemented a formal hedging strategy to manage foreign currency transaction risk, despite exposure to foreign currency translation risk[244] - A 10.0% change in the average exchange rate for major currencies would have resulted in an immaterial impact on fiscal 2024 annual revenue and a 1.0% change in stockholders' equity[245] Goodwill and Impairment - The company reported a total of $32.7 million of goodwill for the Cellular Routers unit, $57.1 million for Console Servers, $64.2 million for OEM Solutions, $20.4 million for Infrastructure Management, $48.9 million for SmartSense by Digi, and $118.6 million for Ventus, with no impairment recorded as of June 30, 2024[240] - The goodwill balance was $341.9 million as of June 30, 2024, allocated as follows: $32.7 million for Cellular Routers, $48.9 million for Smart Sense, and $118.6 million for Ventus[255] - The evaluation of goodwill for impairment involves significant estimates related to discount rates and forecasts of future revenue growth rates, gross margins, and EBITDA margins[255] - The audit identified goodwill for the Cellular Routers, Smart Sense, and Ventus reporting units as a critical audit matter due to the significant judgments made by management[256] Audit and Internal Controls - The financial statements for the year ended September 30, 2024, were presented fairly in all material respects in conformity with U.S. GAAP[250] - The Company received an unqualified opinion on its internal control over financial reporting as of September 30, 2024[251] - The audit was conducted in accordance with PCAOB standards to ensure reasonable assurance that the financial statements are free of material misstatement[253]

Group 1 - Digi International reported quarterly earnings of $0.52 per share, exceeding the Zacks Consensus Estimate of $0.50 per share, with an earnings surprise of 4% [1] - The company posted revenues of $105.05 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.89%, although this represents a decline from year-ago revenues of $112.16 million [2] - Over the last four quarters, Digi International has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times [2] Group 2 - The stock has gained approximately 25.5% since the beginning of the year, matching the S&P 500's gain of 25.5% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $0.48 on revenues of $104 million, and for the current fiscal year, it is $2.07 on revenues of $433.55 million [7] Group 3 - The Zacks Industry Rank indicates that the Computer - Networking industry is currently in the top 21% of over 250 Zacks industries, suggesting a favorable outlook for stocks in this sector [8] - The estimate revisions trend for Digi International is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6]

Digi International Inc. (NASDAQ:DGII) Q4 2024 Earnings Conference Call November 13, 2024 5:00 PM ET Company Participants Ron Konezny - President and Chief Executive Officer Jamie Loch - Chief Financial Officer Conference Call Participants Tommy Moll - Stephens Inc. Quinton Gabrielli - Piper Sandler Josh Nichols - B. Riley Securities Operator Good day and thank you for standing by. Welcome to Quarter Four 2024 Digi International Inc. Earnings Conference Call. At this time all participants are in a listen-onl ...

Revenue Performance - Revenue for Q4 2024 was $105 million, a decrease of 6% compared to Q4 2023[3] - Annual revenue for fiscal 2024 was $424 million, a decrease of 5% year-over-year[4] - Revenue for Q4 2024 was $105,052, a decrease of 6.5% from $112,163 in Q4 2023[31] - Full year revenue for 2024 totaled $424,046, down 4.7% from $444,849 in 2023[31] - First fiscal quarter 2025 revenue guidance is estimated to be between $102 million and $106 million[16] Profitability - Gross profit margin for Q4 2024 was 61.1%, an increase of 400 basis points from the previous year[3] - Gross profit for Q4 2024 was $64,230, slightly up from $63,991 in Q4 2023[31] - Net income for Q4 2024 was $12 million, compared to $6 million in Q4 2023[3] - Net income for Q4 2024 increased to $11,863, compared to $6,365 in Q4 2023, representing an 86.9% increase[31] - Operating income for the full year 2024 was $48,089, down from $50,095 in 2023[31] - Adjusted EBITDA for Q4 2024 was $26,254, representing 25.0% of total revenue[36] Cash Flow and Liquidity - Cash flow from operations for Q4 2024 was $26 million, compared to $9 million in Q4 2023[8] - Cash and cash equivalents at the end of Q4 2024 were $27,510, down from $31,693 at the end of Q4 2023[33] - Net cash provided by operating activities for the full year 2024 was $83,092, a significant increase from $36,751 in 2023[34] Inventory and Assets - Net inventory at the end of Q4 2024 was $53 million, down from $74 million at the end of Q4 2023[9] - Total assets decreased to $815,075 in Q4 2024 from $835,531 in Q4 2023[33] - Total liabilities decreased significantly from $295,043 in Q4 2023 to $234,040 in Q4 2024[33] Future Projections and Strategy - Annualized Recurring Revenue (ARR) at the end of Q4 2024 was $116 million, an increase of 9% year-over-year[3] - The company projects ARR growth of approximately 10% for fiscal 2025, with revenue and Adjusted EBITDA expected to be flat year-over-year[16] - The company aims to focus on acquisitions that enhance scale and ARR as part of its capital allocation strategy[14]

Digi International Inc. (NASDAQ:DGII) Q3 2024 Earnings Call August 7, 2024 5:00 PM ET Company Participants Ron Konezny - President and Chief Executive Officer Jamie Loch - Chief Financial Officer Conference Call Participants Tommy Moll - Stephens Inc. Jim Fish - Piper Sandler Scott Searle - ROTH Capital Operator Good day and thank you for standing by. Welcome to the Q3 2024 Digi International Inc. Earnings Conference Call. [Operator Instructions] Please be advised that today’s conference is being recorded. ...

Digi International (DGII) came out with quarterly earnings of $0.50 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.50 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this provider of communication adapters would post earnings of $0.47 per share when it actually produced earnings of $0.49, delivering a surprise of 4.26%. Over the last four quarters, the company has surpassed consensus EPS estimates three time ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission file number: 001-34033 DIGI INTERNATIONAL INC. (Exact name of registrant as specified in its charter) Delaware 41-1532464 | --- | --- | --- | |-------- ...

Exhibit 99.1 Third Fiscal Quarter 2024 Results Compared to Third Fiscal Quarter 2023 Results Additional Financial Highlights Digi International Reports Third Fiscal Quarter 2024 Results Revenue of $105M, Record End of Quarter ARR of $113M Cash Flow From Operations of $25M ® (Minneapolis, MN, August 7, 2024) - Digi International Inc. (Nasdaq: DGII), a leading global provider of business and mission critical Internet of Things ("IoT") products, services and solutions, today announced its financial results for ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission file number: 001-34033 DIGI INTERNATIONAL INC. (Exact name of registrant as specified in its charter) Delaware 41-1532464 (State or other jurisdiction ...

Digi International Inc. (NASDAQ:DGII) Q2 2024 Earnings Conference Call May 2, 2024 10:00 AM ET Company Participants Jamie Loch - Executive Vice President, Chief Financial Officer & Treasurer Ron Konezny - President & Chief Executive Officer Conference Call Participants Mike Walkley - Canaccord Genuity Cole Couzens - Stephens Incorporated Josh Nichols - B. Riley Scott Searle - ROTH MKM Harsh Kumar - Piper Sandler Mike Walkley - Canaccord Genuity Operator Good day and thank you for standing by and welcome to ...