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Digi International Inc. (DGII+0.38%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing includes financial statements for the quarter, showing a total revenue of $103.9 million, a decrease from $106.1 million in the same quarter the previous year. The decrease is attributed to a decline in one-time sales within the IoT Products & Services segment.
The company's gross profit increased to $64.4 million from $61.1 million, with the gross profit margin rising to 62.0% from 57.6% in the previous year. This improvement was driven by a favorable margin mix among product sales.
Operating expenses for the quarter were $51.0 million, up from $49.0 million in the previous year, due to increased labor expenses.
Net income for the quarter was $10.1 million, compared to a net loss of $3.1 million in the previous year. The improvement is partly due to a decrease in interest expenses and the absence of a debt issuance cost write-off that occurred in the prior year.
Cash provided by operating activities was $29.7 million, while cash used in investing and financing activities was $577,000 and $30.5 million, respectively.
Digi International reported a total of $796.1 million in assets as of December 31, 2024, with liabilities amounting to $205.4 million.
The company highlighted its focus on increasing Annualized Recurring Revenue (ARR), which reached $120 million at the end of the quarter, an 11% increase from the previous year.
The filing also discusses the company's credit agreement, which provides a $250 million senior secured revolving credit facility, replacing the previous credit agreement.
Digi International continues to focus on expanding its IoT Products & Services and IoT Solutions segments, with an emphasis on transitioning to complete solutions that include software and service offerings.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Digi International Inc. quarterly 10-Q report dated February 5, 2025. To report an error, please email earnings@qz.com.