DIGI INTERNATIONAL INC — Form 8-K
Filed August 5, 2026 · analyzed by the 8-K Agent
8-K
▲ Likely positive
significance 68/100
What the filing says
Digi International reported Q3 FY2026 revenue of $139M (29% YoY growth) and record ARR of $191M (52% YoY growth), driven by organic demand and acquisitions of Particle (January 2026) and Jolt (August 2025). Adjusted EBITDA reached $40M (+47% YoY); net income $16M (+54%). Company raised FY2026 full-year guidance: revenue $529–$533M (23–24% growth), Adjusted EBITDA $146.0–$147.5M (35–36% growth), and ARR growth of at least 27%, all above prior guidance. Operating cash flow was $33M in Q3; net debt stands at ~$81M. Long-term targets remain $200M ARR and $200M Adjusted EBITDA.
Why this rating
Strong beat on ARR (+52%) and margin expansion (260 bps operating margin, 570 bps in Solutions) are substantial relative to $1.0B market cap. Raised full-year guidance significantly (ARR +27%, EBITDA +35–36%), demonstrates momentum from acquisitions and organic growth. Recurring revenue model and cash flow ($110M YTD) support leverage reduction. Material but execution-dependent; acquisition integration risk remains.
See more from August 5, 2026.
EDGAR·FLOW summarizes public SEC EDGAR filings with automated analysis. Materiality scores and stock-impact predictions are algorithmically generated and are not investment advice. Always verify against the source filing on SEC.gov.