Business
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--(BUSINESS WIRE)-- Digi International® Inc. (Nasdaq:
About this update from Digi International Inc.
[{"type":"text","content":"\nRevenue of $105M, Record End of Quarter ARR of $113M \n\n\nCash Flow From Operations of $25M\n\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 third fiscal quarter ended June 30, 2024.\n\n\nThird Fiscal Quarter 2024 Results Compared to Third Fiscal Quarter 2023 Results\n\n\n\nRevenue was $105 million, a decrease of 6%.\n\n\n\n\nGross profit margin was 59.2%, an increase of 230 basis points.\n\n\n\n\nNet income was $10 million, compared to $7 million.\n\n\n\n\nNet income per diluted share was $0.26, compared to $0.18.\n\n\n\n\nAdjusted net income per diluted share was $0.50, flat year over year.\n\n\n\n\nAdjusted EBITDA was $25 million, an increase of 2%.\n\n\n\n\nAnnualized Recurring Revenue (ARR) was $113 million at quarter end, an increase of 9%.\n\n\n\nReconciliations of GAAP and non-GAAP financial measures appear at the end of this release.\n\n\n“Digi continues to execute on its top priority, providing valuable IoT solutions. This focus propelled ARR to a record $113M which drove record gross margins. Strong operating discipline helped notch record A-EBITDA margins and strong cash generation,” stated Ron Konezny, President and CEO. “Digi is well positioned in an increasingly challenging market where cybersecurity and data protection have risen to top priorities. Our team is strengthening, pairing expert service with our solutions which offer compelling choices for our channel and end users.”\n\n\nAdditional Financial Highlights\n\n\n\nWe made payments against our revolving credit facility, reducing our net outstanding debt to $152 million at quarter end and debt net of cash and cash equivalents to $123 million.\n\n\n\n\nWe had $3.2 million of interest expense in the third quarter of fiscal 2024, compared to $6.6 million a year ago. The decrease was driven by decreased debt outstanding and a reduction of our effective interest rate.\n\n\n\n\nCash flow from operations was $25 million in the third quarter of fiscal 2024, compared to $18 million a year ago, driven by year over year changes in inventory.\n\n\n\n\nNet inventory ended the quarter at $57 million, compared to $74 million at September 30, 2023, reflecting continued efforts...