Lantronix Reports Results for First Quarter of Fiscal 2025
Lantronix (LTRX) reported Q1 fiscal 2025 results with net revenue of $34.4 million, showing a 4% year-over-year increase but a sequential decline. The company posted GAAP EPS of ($0.07), down from ($0.05) in the prior year, and non-GAAP EPS of $0.06, compared to $0.07 last year. For Q2 fiscal 2025, Lantronix projects revenue between $29.0 million to $33.0 million and non-GAAP EPS of $0.01 to $0.05 per share, excluding potential contributions from the pending NetComm IoT product line acquisition.
Lantronix (LTRX) ha riportato i risultati del primo trimestre fiscale 2025 con un fatturato netto di 34,4 milioni di dollari, che mostra un aumento del 4% rispetto all'anno precedente, ma una diminuzione rispetto al trimestre precedente. L'azienda ha registrato un utile per azione GAAP di ($0,07), in calo rispetto a ($0,05) dell'anno scorso, e un utile per azione non-GAAP di $0,06, rispetto a $0,07 dello scorso anno. Per il secondo trimestre fiscale 2025, Lantronix prevede ricavi compresi tra 29,0 milioni di dollari e 33,0 milioni di dollari e un utile per azione non-GAAP di $0,01 a $0,05 per azione, escludendo eventuali contributi dalla prossima acquisizione della linea di prodotti IoT NetComm.
Lantronix (LTRX) informó los resultados del primer trimestre fiscal 2025 con ingresos netos de 34,4 millones de dólares, mostrando un aumento del 4% en comparación con el año anterior, pero una disminución secuencial. La empresa reportó una utilidad por acción GAAP de ($0,07), en comparación con ($0,05) del año anterior, y una utilidad por acción no-GAAP de $0,06, en comparación con $0,07 el año pasado. Para el segundo trimestre fiscal 2025, Lantronix proyecta ingresos entre 29,0 millones de dólares y 33,0 millones de dólares y una utilidad por acción no-GAAP de $0,01 a $0,05 por acción, excluyendo posibles contribuciones de la futura adquisición de la línea de productos IoT NetComm.
란트로닉스 (LTRX)는 2025 회계연도 1분기 실적을 발표하며 순매출 3,440만 달러를 기록하여 전년 대비 4% 증가했으나 분기별로는 감소했다고 보고했습니다. 회사는 GAAP 기준 주당순이익(EPS)이 ($0.07)로, 지난해의 ($0.05)에서 하락했으며, 비 GAAP 기준 EPS는 $0.06로, 작년의 $0.07과 비교되었습니다. 2025 회계연도 2분기에 대해 란트로닉스는 매출이 2,900만 달러에서 3,300만 달러 사이로 예상되며, 주당순이익 비 GAAP이 $0.01에서 $0.05 사이일 것으로 보이며, 예정된 NetComm IoT 제품 라인 인수로 인한 기여금을 제외합니다.
Lantronix (LTRX) a annoncé les résultats du premier trimestre de l'exercice 2025 avec un revenu net de 34,4 millions de dollars, enregistrant une augmentation de 4 % par rapport à l'année précédente, mais une baisse séquentielle. L'entreprise a affiché un BPA GAAP de ($0,07), en baisse par rapport à ($0,05) l'année dernière, et un BPA non-GAAP de $0,06, comparé à $0,07 l'année précédente. Pour le deuxième trimestre de l'exercice 2025, Lantronix prévoit des revenus entre 29,0 millions de dollars et 33,0 millions de dollars et un BPA non-GAAP de $0,01 à $0,05 par action, excluant les contributions potentielles de l'acquisition en cours de la gamme de produits IoT NetComm.
Lantronix (LTRX) berichtete über die Ergebnisse des ersten Quartals des Geschäftsjahres 2025 mit einem Nettoerlös von 34,4 Millionen US-Dollar, was einen Anstieg von 4 % im Vergleich zum Vorjahr zeigt, jedoch einen sequenziellen Rückgang. Das Unternehmen verzeichnete einen GAAP-EPS von ($0,07), ein Rückgang gegenüber ($0,05) im Vorjahr, und einen Non-GAAP-EPS von $0,06 im Vergleich zu $0,07 im letzten Jahr. Für das zweite Quartal des Geschäftsjahres 2025 erwartet Lantronix Einnahmen zwischen 29,0 Millionen US-Dollar und 33,0 Millionen US-Dollar sowie einen Non-GAAP-EPS von $0,01 bis $0,05 pro Aktie, ohne mögliche Beiträge aus der bevorstehenden Übernahme der NetComm IoT-Produktlinie.
- Revenue increased 4% year-over-year to $34.4 million
- Maintained positive non-GAAP EPS at $0.06
- GAAP EPS declined to ($0.07) from ($0.05) year-over-year
- Sequential revenue decline from previous quarter
- Lower guidance for Q2 with expected revenue decline to $29-33 million
- Projected decrease in non-GAAP EPS to $0.01-$0.05 for Q2
Insights
Lantronix's Q1 FY2025 results present a mixed picture with concerning trends. While revenue grew
The Q2 guidance suggests further challenges ahead, with projected revenue of
- First Quarter Net Revenue of
$34.4 Million , up 4 Percent Year-Over-Year - First Quarter GAAP EPS of (
$0.07) vs. ($0.05) in the Prior Year - First Quarter Non-GAAP EPS of
$0.06 vs.$0.07 in the Prior Year
IRVINE, Calif., Nov. 07, 2024 (GLOBE NEWSWIRE) -- Lantronix Inc. (NASDAQ: LTRX), a global leader of compute and connectivity IoT solutions, today reported results for its first quarter of fiscal 2025.
Net revenue totaled
GAAP EPS of (
Non-GAAP EPS of
Business Outlook
For the second fiscal quarter of 2025, the company expects revenue in a range of
Conference Call and Webcast
Management will host an investor conference call and audio webcast on Thursday, Nov. 7, 2024, at 3:30 p.m. Pacific Time (6:30 p.m. Eastern Time) to discuss its results for the first quarter of fiscal 2025 that ended Sept. 30, 2024. To access the live conference call, investors should dial 1-844-802-2442 (US) or 1-412-317-5135 (international) and indicate that they are participating in the Lantronix Q1 FY 2025 call. The webcast will be available simultaneously via the investor relations section of the company’s website.
Investors can access a replay of the conference call starting at approximately 7:00 p.m. Pacific Time on Nov. 7, 2024, at the Lantronix website. A telephonic replay will also be available through Nov. 14, 2024, by dialing 1-877-344-7529 (US) or 1-412-317-0088 (international) or Canada toll-free at 1-855-669-9658 and entering passcode 8899754.
About Lantronix
Lantronix Inc. is a global leader of compute and connectivity IoT solutions that target high-growth industries, including Smart Cities, Automotive and Enterprise. Lantronix’s products and services empower companies to succeed in the growing IoT markets by delivering customizable solutions that address each layer of the IoT Stack. Lantronix’s leading-edge solutions include Intelligent Substations infrastructure, Infotainment systems and Video Surveillance, supplemented with advanced Out-of-Band Management (OOB) for Cloud and Edge Computing.
For more information, visit the Lantronix website.
Discussion of Non-GAAP Financial Measures
Lantronix believes that the presentation of non-GAAP financial information, when presented in conjunction with the corresponding GAAP measures, provides important supplemental information to management and investors regarding financial and business trends relating to the company’s financial condition and results of operations. Management uses the aforementioned non-GAAP measures to monitor and evaluate ongoing operating results and trends to gain an understanding of our comparative operating performance. The non-GAAP financial measures disclosed by the company should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and reconciliations of the non-GAAP financial measures to the financial measures calculated in accordance with GAAP should be carefully evaluated. The non-GAAP financial measures used by the company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. The company has provided reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures.
Non-GAAP net income consists of net loss excluding (i) share-based compensation and the employer portion of withholding taxes on stock grants, (ii) depreciation and amortization, (iii) interest income (expense), (iv) other income (expense), (v) income tax provision (benefit), (vi) restructuring, severance and related charges, (vii) acquisition related costs, (viii) impairment of long-lived assets, (ix) amortization of purchased intangibles, (x) amortization of manufacturing profit in acquired inventory, (xi) fair value remeasurement of earnout consideration, and (xii) loss on extinguishment of debt.
Non-GAAP EPS is calculated by dividing non-GAAP net loss by non-GAAP weighted-average shares outstanding (diluted). For purposes of calculating non-GAAP EPS, the calculation of GAAP weighted-average shares outstanding (diluted) is adjusted to exclude share-based compensation, which for GAAP purposes is treated as proceeds assumed to be used to repurchase shares under the GAAP treasury stock method.
Guidance on earnings per share growth is provided only on a non-GAAP basis due to the inherent difficulty of forecasting the timing or amount of certain items that have been excluded from the forward-looking non-GAAP measures, and a reconciliation to the comparable GAAP guidance has not been provided because certain factors that are materially significant to Lantronix’s ability to estimate the excluded items are not accessible or estimable on a forward-looking basis without unreasonable effort.
Forward-Looking Statements
This news release contains forward-looking statements, including statements concerning our revenue and earnings expectations for the second fiscal quarter of 2025. These forward-looking statements are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. We have based our forward-looking statements on our current expectations and projections about trends affecting our business and industry and other future events. Although we do not make forward-looking statements unless we believe we have a reasonable basis for doing so, we cannot guarantee their accuracy. Forward-looking statements are subject to substantial risks and uncertainties that could cause our results or experiences, or future business, financial condition, results of operations or performance, to differ materially from our historical results or those expressed or implied in any forward-looking statement contained in this news release. Other factors which could have a material adverse effect on our operations and future prospects or which could cause actual results to differ materially from our expectations include, but are not limited to: the effects of negative or worsening regional and worldwide economic conditions or market instability on our business, including effects on purchasing decisions by our customers; our ability to mitigate any disruption in our and our suppliers’ and vendors’ supply chains due to the COVID-19 pandemic or other outbreaks, wars and recent conflicts in Europe, Asia and the Middle East, hostilities in the Red Sea, or other causes; our ability to successfully convert our backlog and current demand; the impact of the COVID-19 pandemic or another pandemic or similar outbreak, including the emergence of new more contagious and/or vaccine-resistant strains, on our business, employees, supply and distribution chains and the global economy; our ability to successfully implement our acquisitions strategy or integrate acquired companies; uncertainty as to the future profitability of acquired businesses, and delays in the realization of, or the failure to realize, any accretion from acquisition transactions; acquiring, managing and integrating new operations, businesses or assets, and the associated diversion of management attention or other related costs or difficulties; our ability to continue to generate revenue from products sold into mature markets; our ability to develop, market, and sell new products; our ability to succeed with our new software offerings; fluctuations in our revenue due to the project-based timing of orders from certain customers; unpredictable timing of our revenues due to the lengthy sales cycle for our products and services and potential delays in customer completion of projects; our ability to accurately forecast future demand for our products; delays in qualifying revisions of existing products; constraints or delays in the supply of, or quality control issues with, certain materials or components; difficulties associated with the delivery, quality or cost of our products from our contract manufacturers or suppliers; risks related to the outsourcing of manufacturing and international operations; difficulties associated with our distributors or resellers; intense competition in our industry and resultant downward price pressure; rises in inventory levels and inventory obsolescence; undetected software or hardware errors or defects in our products; cybersecurity risks; our ability to obtain appropriate industry certifications or approvals from governmental regulatory bodies; changes in applicable U.S. and foreign government laws, regulations, and tariffs; our ability to protect patents and other proprietary rights and avoid infringement of others’ proprietary technology rights; issues relating to the stability of our financial and banking institutions and relationships; the level of our indebtedness, our ability to service our indebtedness and the restrictions in our debt agreements; the impact of rising interest rates; our ability to attract and retain qualified management; and any additional factors included in our Report on Form 10-K for the fiscal year ended June 30, 2024, filed with the Securities and Exchange Commission (the “SEC”) on Sept. 9, 2024, including in the section entitled “Risk Factors” in Item 1A of Part I of that report, and in our other public filings with the SEC. In addition, actual results may differ as a result of additional risks and uncertainties of which we are currently unaware or which we do not currently view as material to our business. For these reasons, investors are cautioned not to place undue reliance on any forward-looking statements. The forward-looking statements we make speak only as of the date on which they are made. We expressly disclaim any intent or obligation to update any forward-looking statements after the date hereof to conform such statements to actual results or to changes in our opinions or expectations, except as required by applicable law or the rules of the Nasdaq Stock Market LLC. If we do update or correct any forward-looking statements, investors should not conclude that we will make additional updates or corrections.
© 2024 Lantronix Inc. All rights reserved. Lantronix is a registered trademark.
Lantronix Investor Relations Contact:
investors@lantronix.com
| LANTRONIX, INC. | ||||||||
| UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
| (In thousands) | ||||||||
| September 30, | June 30, | |||||||
| 2024 | 2024 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 26,395 | $ | 26,237 | ||||
| Accounts receivable, net | 30,801 | 31,279 | ||||||
| Inventories, net | 29,533 | 27,698 | ||||||
| Contract manufacturers' receivables | 2,722 | 1,401 | ||||||
| Prepaid expenses and other current assets | 3,169 | 2,335 | ||||||
| Total current assets | 92,620 | 88,950 | ||||||
| Property and equipment, net | 3,642 | 4,016 | ||||||
| Goodwill | 27,824 | 27,824 | ||||||
| Intangible assets, net | 4,000 | 5,251 | ||||||
| Lease right-of-use assets | 9,165 | 9,567 | ||||||
| Other assets | 607 | 600 | ||||||
| Total assets | $ | 137,858 | $ | 136,208 | ||||
| Liabilities and stockholders' equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 17,149 | $ | 10,347 | ||||
| Accrued payroll and related expenses | 3,440 | 5,836 | ||||||
| Current portion of long-term debt, net | 3,057 | 3,002 | ||||||
| Other current liabilities | 11,859 | 10,971 | ||||||
| Total current liabilities | 35,505 | 30,156 | ||||||
| Long-term debt, net | 12,409 | 13,219 | ||||||
| Other non-current liabilities | 11,014 | 11,478 | ||||||
| Total liabilities | 58,928 | 54,853 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity: | ||||||||
| Common stock | 4 | 4 | ||||||
| Additional paid-in capital | 304,078 | 304,001 | ||||||
| Accumulated deficit | (225,523 | ) | (223,021 | ) | ||||
| Accumulated other comprehensive income | 371 | 371 | ||||||
| Total stockholders' equity | 78,930 | 81,355 | ||||||
| Total liabilities and stockholders' equity | $ | 137,858 | $ | 136,208 | ||||
| LANTRONIX, INC. | ||||||||||||
| UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||
| (In thousands, except per share data) | ||||||||||||
| Three Months Ended | ||||||||||||
| September 30, | June 30, | September 30, | ||||||||||
| 2024 | 2024 | 2023 | ||||||||||
| Net revenue | $ | 34,423 | $ | 49,075 | $ | 33,031 | ||||||
| Cost of revenue | 19,948 | 30,353 | 18,934 | |||||||||
| Gross profit | 14,475 | 18,722 | 14,097 | |||||||||
| Operating expenses: | ||||||||||||
| Selling, general and administrative | 9,496 | 11,059 | 9,170 | |||||||||
| Research and development | 4,956 | 5,265 | 5,106 | |||||||||
| Restructuring, severance and related charges | 900 | 523 | 20 | |||||||||
| Fair value remeasurement of earnout consideration | - | - | (9 | ) | ||||||||
| Amortization of intangible assets | 1,251 | 1,310 | 1,384 | |||||||||
| Total operating expenses | 16,603 | 18,157 | 15,671 | |||||||||
| Income (loss) from operations | (2,128 | ) | 565 | (1,574 | ) | |||||||
| Interest expense, net | (119 | ) | (175 | ) | (338 | ) | ||||||
| Other income (loss), net | (37 | ) | 9 | 19 | ||||||||
| Income (loss) before income taxes | (2,284 | ) | 399 | (1,893 | ) | |||||||
| Provision (benefit) for income taxes | 218 | 13 | (7 | ) | ||||||||
| Net income (loss) | $ | (2,502 | ) | $ | 386 | $ | (1,886 | ) | ||||
| Net income (loss) per share - basic | $ | (0.07 | ) | $ | 0.01 | $ | (0.05 | ) | ||||
| Net income (loss) per share - diluted | $ | (0.07 | ) | $ | 0.01 | $ | (0.05 | ) | ||||
| Weighted-average common shares - basic | 38,024 | 37,697 | 36,982 | |||||||||
| Weighted-average common shares - diluted | 38,024 | 38,096 | 36,982 | |||||||||
| LANTRONIX, INC. | ||||||||||||
| UNAUDITED RECONCILIATION OF NON-GAAP ADJUSTMENTS | ||||||||||||
| (In thousands, except per share data) | ||||||||||||
| Three Months Ended | ||||||||||||
| September 30, | June 30, | September 30, | ||||||||||
| 2024 | 2024 | 2023 | ||||||||||
| GAAP net income (loss) | $ | (2,502 | ) | $ | 386 | $ | (1,886 | ) | ||||
| Non-GAAP adjustments: | ||||||||||||
| Cost of revenue: | ||||||||||||
| Share-based compensation | 64 | 66 | 41 | |||||||||
| Employer portion of withholding taxes on stock grants | 5 | 1 | 4 | |||||||||
| Amortization of manufacturing profit in acquired inventory | - | 126 | 317 | |||||||||
| Depreciation and amortization | 123 | 124 | 86 | |||||||||
| Total adjustments to cost of revenue | 192 | 317 | 448 | |||||||||
| Selling, general and administrative: | ||||||||||||
| Share-based compensation | 1,126 | 2,010 | 1,273 | |||||||||
| Employer portion of withholding taxes on stock grants | 78 | 19 | 37 | |||||||||
| Depreciation and amortization | 351 | 369 | 334 | |||||||||
| Total adjustments to selling, general and administrative | 1,555 | 2,398 | 1,644 | |||||||||
| Research and development: | ||||||||||||
| Share-based compensation | 410 | 471 | 428 | |||||||||
| Employer portion of withholding taxes on stock grants | 19 | 4 | 13 | |||||||||
| Depreciation and amortization | 69 | 72 | 108 | |||||||||
| Total adjustments to research and development | 498 | 547 | 549 | |||||||||
| Restructuring, severance and related charges | 900 | 523 | 20 | |||||||||
| Acquisition related costs | 29 | - | - | |||||||||
| Fair value remeasurement of earnout consideration | - | - | (9 | ) | ||||||||
| Amortization of purchased intangible assets | 1,251 | 1,310 | 1,384 | |||||||||
| Litigation settlement cost | 40 | 115 | - | |||||||||
| Total non-GAAP adjustments to operating expenses | 4,273 | 4,893 | 3,588 | |||||||||
| Interest expense, net | 119 | 175 | 338 | |||||||||
| Other (income) expense, net | 37 | (9 | ) | (19 | ) | |||||||
| Provision (benefit) for income taxes | 218 | 13 | (7 | ) | ||||||||
| Total non-GAAP adjustments | 4,839 | 5,389 | 4,348 | |||||||||
| Non-GAAP net income | $ | 2,337 | $ | 5,775 | $ | 2,462 | ||||||
| Non-GAAP net income per share - diluted | $ | 0.06 | $ | 0.15 | $ | 0.07 | ||||||
| Denominator for GAAP net income (loss) per share - diluted | 38,024 | 38,096 | 36,982 | |||||||||
| Non-GAAP adjustment | 1,257 | 771 | 693 | |||||||||
| Denominator for non-GAAP net income per share - diluted | 39,281 | 38,867 | 37,675 | |||||||||
| GAAP cost of revenue | $ | 19,948 | $ | 30,353 | $ | 18,934 | ||||||
| Non-GAAP adjustments to cost of revenue | (192 | ) | (317 | ) | (448 | ) | ||||||
| Non-GAAP cost of revenue | 19,756 | 30,036 | 18,486 | |||||||||
| Non-GAAP gross profit | $ | 14,667 | $ | 19,039 | $ | 14,545 | ||||||
| Non-GAAP gross margin | ||||||||||||
| LANTRONIX, INC. | ||||||||
| UNAUDITED NET REVENUES BY PRODUCT LINE AND REGION | ||||||||
| (In thousands) | ||||||||
| Three Months Ended | ||||||||
| September 30, | June 30, | September 30, | ||||||
| 2024 | 2024 | 2023 | ||||||
| Embedded IoT Solutions | $ | 13,387 | $ | 11,364 | $ | 11,373 | ||
| IoT System Solutions | 18,759 | 35,603 | 19,036 | |||||
| Software & Services | 2,277 | 2,108 | 2,622 | |||||
| $ | 34,423 | $ | 49,075 | $ | 33,031 | |||
| Three Months Ended | ||||||||
| September 30, | June 30, | September 30, | ||||||
| 2024 | 2024 | 2023 | ||||||
| Americas | $ | 17,420 | $ | 17,126 | $ | 22,933 | ||
| EMEA | 10,484 | 26,194 | 6,591 | |||||
| Asia Pacific Japan | 6,519 | 5,755 | 3,507 | |||||
| $ | 34,423 | $ | 49,075 | $ | 33,031 | |||
FAQ
What was Lantronix (LTRX) revenue in Q1 fiscal 2025?
What is Lantronix (LTRX) revenue guidance for Q2 fiscal 2025?
How did Lantronix (LTRX) Q1 fiscal 2025 GAAP EPS compare to previous year?
