Filing Flows › Digi International (DGII) › Q3 FY26 › vs Q3 FY25
Digi International (DGII) Q3 FY26 vs Q3 FY25 (year over year)
Digi International's revenue rose $31.2M (+29%) from $108M in Q3 FY25 to $139M in Q3 FY26. The biggest changes: Service +$16.0M (+48%); Product +$15.2M (+20%). Gross margin 64.8% against 63.5% (+1.4 pts).
Digi International, Q3 FY26: revenue $139M (+29% year over year), operating margin 16.5%, net earnings $15.7M, operating cash flow $33.3M. The chart draws each line against Q3 FY25, the increases inside each band.
Margins
| Q3 FY26 | Q3 FY25 | Change | |
|---|---|---|---|
| Gross margin | 64.8% | 63.5% | +1.4 pts |
| Operating margin | 16.5% | 13.9% | +2.6 pts |
| Net margin | 11.4% | 9.5% | +1.8 pts |
| Free cash flow margin | 23.4% | 21.3% | +2.1 pts |
Every line
| Line | Q3 FY26 | Q3 FY25 | Change | % |
|---|---|---|---|---|
| Product | $89.3M | $74.1M | $15.2M | +20% |
| Service | $49.4M | $33.4M | $16.0M | +48% |
| Revenue | $139M | $108M | $31.2M | +29% |
| Gross profit | $89.9M | $68.3M | $21.7M | +32% |
| Cost of revenue | $48.7M | $39.2M | $9.5M | +24% |
| Operating profit | $22.9M | $14.9M | $8.0M | +53% |
| Operating expenses | $67.0M | $53.3M | $13.7M | +26% |
| Pre-tax earnings | $21.3M | $14.0M | $7.3M | +52% |
| Other expense, net | $1.6M | $963K | $674K | +70% |
| Research & development | $20.3M | $16.2M | $4.1M | +25% |
| Sales & marketing | $29.1M | $23.0M | $6.0M | +26% |
| General & admin | $17.6M | $14.1M | $3.5M | +25% |
| Net earnings | $15.7M | $10.2M | $5.5M | +54% |
| Income tax | $5.5M | $3.7M | $1.8M | +48% |
| Depreciation | $3.3M | $3.1M | $243K | +8% |
| Share-based compensation | $4.9M | $3.9M | $1.0M | +27% |
| Working capital & other | $9.4M | $6.8M | $2.6M | +38% |
| Operating cash flow | $33.3M | $24.0M | $9.4M | +39% |
| Free cash flow (OCF − capex) | $32.5M | $22.9M | $9.5M | +41% |
| Capital expenditures | $861K | $1.0M | −$152K | -15% |
Questions
How much did Digi International's revenue grow year over year in Q3 FY26?
Digi International's revenue rose $31.2M (+29%) from $108M in Q3 FY25 to $139M in Q3 FY26.
What drove Digi International's revenue change in Q3 FY26?
Service +$16.0M (+48%); Product +$15.2M (+20%).