Filing Flows › Digi International (DGII) › Q3 FY25
Digi International (DGII) Q3 FY25 earnings results (third quarter fiscal 2025)
10-Q filed Aug 6, 2025
Digi International (DGII) reported revenue of $108M for the third quarter fiscal 2025 (Q3 FY25), +2% from a year earlier and +3% from the quarter before. Operating margin was 13.9%, net earnings $10.2M (9.5% of revenue).
Digi International, Q3 FY25: revenue $108M (+2% year over year), operating margin 13.9%, net earnings $10.2M, operating cash flow $24.0M. The chart follows the revenue to costs, profit and cash.
| Q3 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $108M | +3% | +2% |
| Gross profit | $68.3M | +5% | +10% |
| Operating profit | $14.9M | +9% | +16% |
| Net earnings | $10.2M | -2% | +6% |
| Operating cash flow | $24.0M | -9% | -4% |
| Free cash flow | $22.9M | -11% | -6% |
What changed
Revenue was $107.5M in Q3 FY25, up 2% year over year and up 3% from the previous quarter. Product was the largest line at 69% of revenue. Service added $2.8M year over year (up 9%), 121% of the total change. Product declined 1%.
Gross margin was 63.5%, up 4.3 points from a year earlier. Operating profit was $14.9M, a 13.9% margin (up 1.6 points year over year). Of the extra revenue versus a year earlier, 87% reached operating profit, above the 12% margin then. Operating expenses grew 8% against revenue growth of 2%. The fastest-growing cost line was General & admin (+11%). Net earnings were $10.2M, up 6% year over year. The effective tax rate was 26.6%.
Operating cash flow was $24.0M (down 4% year over year), 234% of net earnings. Non-cash charges added back $3.1M of depreciation and $3.9M of share-based compensation. Working capital and other items added $6.8M. Capital expenditures of $1.0M left free cash flow of $22.9M.
Questions
What was Digi International's revenue in the third quarter fiscal 2025?
Digi International (DGII) reported revenue of $108M for the third quarter fiscal 2025 (Q3 FY25), +2% from a year earlier and +3% from the quarter before.
Was Digi International profitable in the third quarter fiscal 2025?
Operating profit was $14.9M (13.9% of revenue) and net earnings $10.2M.
Source: Digi International 10-Q on SEC EDGAR.