Business
Digi International Reports Second Fiscal Quarter 2020 Results
Record Results and Strengthened Balance Sheet MINNEAPOLIS--(BUSINESS WIRE)-- Digi International® Inc. (Nasdaq: DGII), a leading global provider of business
About this update from Digi International Inc.
[{"type":"text","content":"\nRecord Results and Strengthened Balance Sheet\n\n MINNEAPOLIS--(BUSINESS WIRE)--\nDigi 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 its second fiscal quarter ended March 31, 2020.\n\n\n“Ensuring our team and company are safe and healthy are the utmost priorities during this global pandemic,” said Ron Konezny, Digi’s Chief Executive Officer. “Digi’s core value of automating and enabling remote work for business and mission critical applications helps our customers during and after the pandemic. Our performance shows the durability of our team and our business model.”\n\n\nSecond Fiscal Quarter 2020 Results\n\n\n\nRevenue increased to $73.4 million compared to $65.8 million for the second fiscal quarter of 2019.\n\n\nNet income increased to $2.0 million compared to $1.3 million for the second fiscal quarter of 2019.\n\n\nNet income per diluted share increased to $0.07 per share compared to $0.05 for the second fiscal quarter of 2019.\n\n\nAdjusted EPS increased to $0.28 compared to $0.17 for the second fiscal quarter of 2019.\n\n\nAdjusted EBITDA increased to $11.2 million compared to $6.5 million for the second fiscal quarter of 2019.\n\n\n\nReconciliations of GAAP and non-GAAP financial measures appear at the end of this release.\n\n\nSegment Results\n\n\nIoT Product & Services\n\n\nThe segment's second fiscal quarter 2020 revenues of $66.9 million increased 19.4% from the same period in the prior fiscal year. This increase is primarily attributed to the incremental revenue associated with our acquisition of Opengear, Inc. (\"Opengear'\") on December 13, 2019. Gross profit margin increased 740 basis points to 53.0% of revenues for the second fiscal quarter of 2020 due primarily to the acquisition of Opengear.\n\n\nIoT Solutions\n\n\nThe segment's second fiscal quarter 2020 revenues of $6.5 million decreased 32.6% from the same period in the prior fiscal year. This was primarily due to lower site additions in the second fiscal quarter 2020 as well as purchases and equipment upgrades from existing customers that did not reoccur in the second fiscal quarter of 2020. We served approximately 68,500 sites as of March 31, 2020, compared to just over 57,000 sites a year ago. Gross p...