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DGII

Digi International Inc.

DGII

Digi International Inc. • NASDAQ
$41.83 ▼ -1.25% (-0.53)
Market Cap $1.56 B
52w High $44.79
52w Low $22.39
Dividend Yield 0%
P/E 38.73
Volume 117.47K
Outstanding Shares 37.23M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2025 $114.338M ▲ $58.797M ▲ $9.981M ▼ 8.729% ▼ $0.27 ▼ $21.526M ▼
Q3-2025 $107.514M ▲ $53.345M ▲ $10.243M ▼ 9.527% ▼ $0.28 $23.26M ▲
Q2-2025 $104.503M ▲ $51.206M ▲ $10.497M ▲ 10.045% ▲ $0.28 ▲ $21.913M ▼
Q1-2025 $103.866M ▼ $51.039M ▲ $10.083M ▼ 9.708% ▼ $0.27 ▲ $21.957M ▼
Q4-2024 $105.052M $49.333M $11.863M 11.293% $-0.29 $23.59M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2025 $21.902M ▲ $922.646M ▲ $286.569M ▲ $636.077M ▲
Q3-2025 $20.104M ▼ $770.341M ▼ $148.834M ▼ $621.507M ▲
Q2-2025 $26.296M ▲ $781.024M ▼ $175.806M ▼ $605.218M ▲
Q1-2025 $25.935M ▼ $796.113M ▼ $205.438M ▼ $590.675M ▲
Q4-2024 $27.51M $815.075M $234.04M $581.035M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2025 $9.981M ▼ $28.001M ▲ $-146.184M ▼ $119.915M ▲ $1.798M ▲ $30.149M ▲
Q3-2025 $10.243M ▼ $23.953M ▼ $-1.013M ▼ $-29.254M ▼ $-6.192M ▼ $22.94M ▼
Q2-2025 $10.497M ▲ $26.286M ▼ $-558K ▲ $-25.497M ▲ $361K ▲ $25.728M ▼
Q1-2025 $10.083M ▼ $29.719M ▲ $-577K ▲ $-30.54M ▼ $-1.575M ▼ $29.142M ▲
Q4-2024 $11.863M $26.435M $-944K $-26.432M $-827K $25.491M

Revenue by Products

Product Q1-2025Q2-2025Q3-2025Q4-2025
Product
Product
 $70.00M ▲$70.00M ▲$70.00M ▲$80.00M ▲
Service
Service
 $30.00M ▲$30.00M ▲$30.00M ▲$40.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Digi’s income statement shows a business that has grown meaningfully over the past few years and has shifted from operating losses to steady profitability. Revenue has climbed compared with a few years ago, though the most recent year shows a slight step back from the prior peak, suggesting some cooling or normalization. Gross profit has held up well, indicating that the company is managing pricing and costs effectively even as growth moderates. Operating and net income have both moved from red to black and stayed there, but at modest levels, which points to a healthy but not yet highly scaled profit engine. Overall, the trend is toward a more mature, consistently profitable business, but not without some year‑to‑year bumps in topline growth.

Balance Sheet

Balance Sheet The balance sheet reflects a company that has expanded its asset base and steadily built shareholder equity over time. Equity has grown each year, which is a positive sign of value accumulation and retained earnings. Debt usage increased sharply a couple of years ago and has since been reduced, suggesting management has been willing to lever up for growth or acquisitions and then pay down as conditions allow. Cash on hand is relatively modest compared to total assets and has been lower in recent years than it was earlier, which points to a more tightly managed liquidity position and some reliance on ongoing cash generation and credit lines. Overall, the financial structure looks reasonably solid but does carry moderate leverage and less of a cash cushion than in the past.

Cash Flow

Cash Flow Cash flow from operations has been consistently positive, which supports the view that reported profits are backed by real cash generation. Operating cash flow dipped in the middle of the period but has recovered in the most recent year, showing improved cash efficiency. Free cash flow closely tracks operating cash flow because capital spending is relatively light, underscoring Digi’s asset‑light, software‑and‑services‑leaning model. This gives the company flexibility to fund growth, service debt, and pursue selective acquisitions without heavy ongoing investment in physical assets. The main watchpoint is that the absolute cash balance is not large, so continued strong cash generation remains important.

Competitive Edge

Competitive Edge Digi operates in a crowded IoT and communication equipment space but has carved out a durable niche in industrial and mission‑critical connectivity. Its long operating history, reputation for reliability, and deep relationships with customers and partners provide meaningful staying power. The combination of embedded hardware, secure connectivity software, and cloud management tools creates high switching costs once deployed, making customers less likely to change vendors. Growing subscription and recurring revenue from platforms like Digi Remote Manager strengthens this moat by tying customers into ongoing services rather than one‑off hardware sales. The main competitive risks come from rapid technology shifts, aggressive pricing from larger networking and cloud players, and the need to continuously prove superior security and reliability.

Innovation and R&D

Innovation and R&D Innovation is at the core of Digi’s strategy, with significant resources directed into R&D to stay ahead in IoT connectivity, security, and edge computing. Platforms such as XBee, ConnectCore system‑on‑modules, TrustFence security, and the Digi Remote Manager and X‑ON cloud services demonstrate a move from simple hardware toward integrated, intelligent solutions. The company is leaning into trends like 5G, edge AI, and subscription bundles that combine hardware, software, and services, positioning itself for higher‑value, recurring business. A steady pace of targeted acquisitions complements internal R&D, broadening capabilities in remote management and workflow automation. The key uncertainty is execution: success depends on strong adoption of these newer platforms and smooth integration of acquired technologies into a coherent, easy‑to‑use ecosystem.

Summary

Digi International looks like a maturing IoT connectivity company that has successfully transitioned from a more hardware‑centric, unevenly profitable past to a more software‑enabled, consistently profitable present. The income statement and cash flows show healthier margins and reliable cash generation, while the balance sheet reflects growing equity and manageable, though noticeable, use of debt. Strategically, Digi’s strength lies in its combination of rugged hardware, secure connectivity, and cloud management tools that create sticky, recurring customer relationships. Its ongoing investment in innovation, especially around 5G, edge computing, security, and subscription platforms, offers clear growth avenues but also requires continued flawless execution in a fast‑moving competitive landscape. Overall, the company appears financially stable, operationally more efficient than a few years ago, and strategically focused on deepening its role as a full‑stack IoT solutions provider rather than a pure hardware vendor.

NEWS

November 12, 2025 · 4:05 PM UTC

Digi International Reports Fourth Fiscal Quarter and Full Fiscal 2025 Results

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October 28, 2025 · 9:00 AM UTC

Digi International Announces Digi XBee 3 Global LTE Cat 4 Cellular Modem for IoT Applications

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October 15, 2025 · 8:30 AM UTC

Digi International to Release Fourth Fiscal Quarter 2025 and Full Fiscal 2025 Earnings Results and Host a Conference Call on November 12, 2025

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September 24, 2025 · 9:00 AM UTC

Digi Z45 Industrial Controller Now Certified on T-Mobile

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September 12, 2025 · 9:00 AM UTC

Digi International Launches Serial Server: Digi Connect EZ 4 WS For Use in Medical Settings

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