NASDAQ$DGII

Digi Intl Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported record quarterly revenue and record annual recurring revenues.

Digi International reported record quarterly revenues of $79.1 million and record annual recurring revenues of $36.0 million. Demand for Digi’s solutions was at an all-time high, with bookings surpassing the ability to fulfill all orders due to supply chain challenges.

  • Revenue increased to $79.1 million, a 12.4% increase.
  • Gross margin was 53.8% versus 53.1% of revenue.
  • Net income per diluted share increased to $0.09, a 50.0% increase.
  • Adjusted EPS increased to $0.25 per diluted share, an 8.7% increase.

Headline financials

Total Revenue

$79.1M

Previous: $70.3M+12.4%
EPS (adj)

$0.25

Previous: $0.23+8.7%
Adjusted EBITDA

$11.6M

Previous: $10.5M+10.2%
Annualized Recurring Revenue

$36M

No prior period
Free Cash Flow

$3.16M

Previous: $1.77M+78.8%
Net Income

$3.16M

Previous: $1.77M+78.8%
Operating Income

$4.02M

Previous: $2.86M+40.7%
Gross Profit

$42.6M

Previous: $37.3M+13.9%
Cash & Equivalents

$147M

Previous: $55.1M+166.8%
Total Assets

$613M

Previous: $527M+16.4%
Stock-Based Comp

$2.11M

Previous: $1.88M+12.1%

Revenue & EPS history

Digi · Revenue · Quarterly

$79.1M

Q3 2021+12.4%vs Q3 2020
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

Digi · $12.3M total across 1 segment · Q3 2021

  • IoT Solutions
    $12.3M+78.3%

Forward guidance

For the fourth fiscal quarter 2021, Digi projects revenue to be in a range of $75 million to $79 million, or approximately 3%-8% annual growth. Adjusted EBITDA is projected to be in a range of $10.9 million to $11.9 million. EPS to be in a range of $0.07 to $0.09 per diluted share, while adjusted EPS is projected to be in a range of $0.23 to $0.25 per diluted share.

Tailwinds

  • Revenue projected to be in a range of $75 million to $79 million, representing 3%-8% annual growth.

Headwinds

  • Supply chain challenges are expected to continue.
  • High demand will be tempered by access to key components.

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 Q3 2021

Historical avgQ3 2021

+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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