NASDAQ$DGII

Digi Intl Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Digi reported second fiscal quarter 2024 results with revenue of $108M and record end of quarter ARR of $110M.

Digi International reported a slight decrease in revenue but maintained a strong ARR growth. The company's operating cash flow increased significantly due to inventory management and improved debt structure. While pleased with our first half results, we find our customers are more cautious on second half demand than we previously expected.

  • Revenue was $108 million, a decrease of 3%.
  • Gross profit margin was 57.9%, an increase of 130 basis points.
  • Net income was $4 million, compared to $6 million.
  • Annualized Recurring Revenue (ARR) was $110 million at quarter end, an increase of 11%.

Headline financials

Total Revenue

$108M

Previous: $111M-3.1%
EPS

$0.11

Previous: $0.50-78.0%
Adjusted EBITDA

$23.8M

Previous: $24M-0.7%
Annualized Recurring Revenue

$110M

Previous: $99M+10.9%
Gross Profit Margin

57.9%

Previous: 56.6%+2.3%
Cash Flow From Operations

$13M

No prior period
Free Cash Flow

$3.99M

No prior period
Net Income

$3.99M

Previous: $5.9M-32.3%
Operating Income

$8.15M

Previous: $12.2M-33.1%
Gross Profit

$62.3M

Previous: $62.9M-0.9%
Cash & Equivalents

$23.8M

Previous: $31.7M-24.8%
Total Assets

$825M

Previous: $848M-2.6%
R&D Expense

$15M

No prior period
Stock-Based Comp

$3.47M

Previous: $3.47M+0.2%

Revenue & EPS history

Digi · Revenue · Quarterly

$108M

Q2 2024-3.1%vs Q2 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Digi · $24M total across 1 segment · Q4 2023

  • IoT Solutions
    $24M-4.0%

Forward guidance

For the third fiscal quarter, revenues are estimated to be $103 million to $107 million. Adjusted EBITDA is estimated to be between $24.0 million and $25.5 million. Adjusted net income per share is anticipated to be between $0.47 and $0.51 per diluted share.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+1.6%

Avg return

Earnings day

+3.1%

Avg return

5 days after

+4.0%

Avg return

30 days after

55%

36 / 65 earnings

Positive

+18.2%

Q1 2019

Best reaction

-23.3%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+5.4%+4.5%+12.0%
Q1 2026-3.9%-1.1%+4.9%
Q4 2025+6.8%+7.1%+26.5%
Q2 2025+14.0%+21.4%+21.8%
Q1 2025+17.3%+15.5%-4.9%
Q4 2024-2.9%-5.0%+1.7%
Q3 2024+17.9%+16.9%+16.0%
Q2 2024-16.8%-11.9%-20.5%
Q1 2024+10.0%+13.3%+18.6%
Q4 2023-7.1%-1.0%+1.2%
Q3 2023-23.3%-22.4%-20.6%
Q2 2023+8.8%+9.0%+26.3%
Q1 2023+0.8%+2.7%-2.5%
Q4 2022+9.5%+13.6%+8.2%
Q3 2022+13.4%+9.1%+7.8%
Q2 2022+4.2%+3.1%+34.1%
Q1 2022-6.7%-9.5%-9.8%
Q4 2021+10.2%+6.6%+7.7%
Q3 2021-2.3%-0.1%+5.7%
Q2 2021-2.0%-2.0%+5.5%
Q1 2021+17.3%+28.3%-9.3%
Q4 2020-5.4%-0.7%+6.4%
Q3 2020+12.3%+8.6%+6.7%
Q2 2020+14.5%+5.9%+10.7%
Q1 2020-3.7%-15.2%-19.3%
Q4 2019+17.5%+23.2%+15.1%
Q3 2019+4.8%+10.2%+4.4%
Q2 2019-1.3%-3.4%-15.7%
Q1 2019+18.2%+17.7%+14.0%
Q4 2018+13.5%+6.1%+0.4%
Q3 2018+0.7%+0.4%-1.9%
Q2 2018-1.3%+1.3%+4.8%
Q1 2018+1.0%+0.5%+2.4%
Q4 2017+1.4%+0.5%+0.5%
Q3 2017-1.0%+2.5%-7.2%
Q2 2017-13.0%-18.9%-19.5%
Q1 2017-1.1%-4.0%-5.1%
Q4 2016-10.6%-10.1%+24.9%
Q3 2016-1.7%-3.0%+3.7%
Q2 2016+13.5%
Q1 2016-15.6%
Q4 2015+8.7%
Q3 2015+3.0%
Q2 2015+6.4%
Q1 2015+8.3%
Q4 2014+4.2%
Q3 2014-6.2%
Q2 2014-11.3%
Q1 2014-16.7%
Q4 2013+1.6%
Q3 2013+4.3%
Q2 2013-0.2%
Q1 2013-0.9%
Q4 2012-1.7%
Q3 2012+1.8%
Q2 2012-16.0%
Q1 2011+3.6%
Q1 2012-3.8%
Q2 2011+4.4%
Q4 2009+4.4%
Q4 2011+4.4%
Q4 2010-2.2%
Q3 2011-2.2%
Q3 2010-2.2%
Q2 2010+1.3%

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