Digi International Raises FY2026 Revenue and Earnings Guidance
Digi expects fourth-quarter fiscal 2026 revenue of $138 million to $142 million and adjusted EPS of 75 to 78 cents. It raised full-year revenue guidance to $529 million to $533 million and adjusted EPS to $2.67 to $2.70, with annual recurring revenue expected to grow at least 27% year over year. The pending Disruptive Technologies acquisition is expected to close before year-end 2026, subject to regulatory approval.
For the fourth quarter of fiscal 2026, Digi International expects revenues between $138 million and $142 million, with adjusted earnings projected between 75 and 78 cents per share. For the full fiscal year 2026, the company raised its revenue guidance to a range of $529 million to $533 million and adjusted earnings to between $2.67 and $2.70 per share. Management also noted that annual recurring revenues are expected to grow by at least 27% year over year. Additionally, the company provided an update on its pending acquisition of Disruptive Technologies, which was announced in October.
The transaction is expected to close before the end of 2026, subject to regulatory approval, and is projected to contribute approximately $9 million in additional adjusted EBITDA and free cash flow in fiscal 2028.