Digi International(US:DGII)2025-11-12 21:24Revenue and Growth - Revenue for the fourth fiscal quarter was $114 million, an increase of 9% year-over-year[8] - Annualized Recurring Revenue (ARR) at the end of the quarter was $152 million, reflecting a 31% increase[8] - The IoT Products & Services segment reported fourth quarter revenue of $82 million, a 4% increase year-over-year[10] - The IoT Solutions segment's fourth quarter revenue was $32 million, a 23% increase year-over-year[12] - Revenue for the three months ended September 30, 2025, was $114,338 thousand, representing a 8.3% increase from $105,052 thousand in the same period of 2024[30] - For fiscal 2026, the company projects ARR growth of approximately 10% and revenue growth of 10-15%[16] Profitability - Gross profit margin improved to 63.9%, up 280 basis points compared to the previous year[8] - Net income for the fourth quarter was $10 million, a decrease of 16% year-over-year[8] - Adjusted EBITDA for the full year was $108 million, an increase of 11%[8] - Gross profit for the year ended September 30, 2025, increased to $270,677 thousand, up from $249,906 thousand in 2024, reflecting a growth of 8.3%[30] - Adjusted EBITDA for the three months ended September 30, 2025, was $29,236 thousand, accounting for 25.6% of total revenue, compared to $26,254 thousand or 25.0% in 2024[36] - Net income for the year ended September 30, 2025, was $40,804 thousand, significantly higher than $22,505 thousand in 2024, marking an 81.3% increase[30] Cash Flow and Assets - Cash flow from operations for the fourth quarter was $28 million, compared to $26 million in the same quarter last year[14] - The company reported a net cash provided by operating activities of $107,959 thousand for the year ended September 30, 2025, compared to $83,092 thousand in 2024, indicating a 30.0% increase[34] - Cash and cash equivalents decreased to $21,902 thousand as of September 30, 2025, down from $27,510 thousand in 2024[32] - Total assets increased to $922,646 thousand as of September 30, 2025, compared to $815,075 thousand in 2024, reflecting a growth of 13.2%[32] Equity and Debt - Total stockholders' equity increased to $636,077 thousand as of September 30, 2025, up from $581,035 thousand in 2024, representing a growth of 9.5%[32] - The company’s long-term debt rose to $159,152 thousand as of September 30, 2025, compared to $123,185 thousand in 2024, indicating a 29.2% increase[32] Acquisitions - The acquisition of Jolt Software was completed for $145.7 million, enhancing the IoT Solutions Segment[14] Operating Income - Operating income for the three months ended September 30, 2025, was $14,281 thousand, slightly down from $14,897 thousand in the same period of 2024[30]