Lantronix, Inc. (LTRX) Bundle
An Overview of Lantronix, Inc. (LTRX)
General Summary of Lantronix, Inc.
Lantronix, Inc. (LTRX) is a global provider of secure data access and management solutions for the Internet of Things (IoT). Established in 1989, the company has evolved from a manufacturer of serial-to-Ethernet devices to a leader in IoT solutions, focusing on Embedded IoT and IoT System Solutions. As of 2024, Lantronix offers a range of products and services that include:
- Embedded IoT Solutions
- IoT System Solutions
- Software and Services
In the latest financial reports, Lantronix reported total sales of $34.423 million for the three months ended September 30, 2024, representing a 4.2% increase from $33.031 million in the prior year period.
Company's Financial Performance in the Latest Financial Reports
For the three months ended September 30, 2024, Lantronix reported:
- Net Revenue: $34.423 million
- Cost of Revenue: $19.948 million
- Gross Profit: $14.475 million
- Loss from Operations: $(2.128) million
- Net Loss: $(2.502) million
- Net Loss per Share: $(0.07)
The increase in revenue was driven by a significant rise in the Embedded IoT Solutions segment, which generated $13.387 million, a 17.7% increase from $11.373 million in the prior year. However, the IoT System Solutions segment saw a slight decline to $18.759 million from $19.036 million, reflecting a 1.5% decrease.
Operating expenses totaled $16.603 million, which included:
- Selling, General and Administrative: $9.496 million
- Research and Development: $4.956 million
- Restructuring Charges: $0.900 million
This resulted in a gross profit margin of 42.1%, slightly down from 42.7% in the previous year.
Introduction to Company as a Leader in the Industry
Lantronix is recognized as a leader in the IoT industry, leveraging its extensive experience and engineering expertise to deliver innovative solutions that meet the evolving needs of global markets. The company's strategic focus on embedded solutions and systems integration has positioned it well in the rapidly expanding IoT market. As of September 30, 2024, Lantronix maintained a robust cash position of $26.395 million and total assets amounting to $137.858 million. The company's commitment to innovation and quality continues to drive its success and growth within the IoT sector.
Mission Statement of Lantronix, Inc. (LTRX)
Mission Statement of Lantronix, Inc. (LTRX)
Lantronix, Inc. (LTRX) is committed to delivering innovative IoT solutions that enhance connectivity and improve operational efficiencies for businesses around the globe. The company's mission statement encapsulates its dedication to providing high-quality products and services that meet the evolving needs of its customers.
Core Component 1: Innovation
At the heart of Lantronix's mission is a strong emphasis on innovation. This commitment is reflected in their ongoing investment in research and development (R&D). For the three months ended September 30, 2024, Lantronix reported R&D expenses of $4,956,000, which constituted approximately 14.4% of its net revenue of $34,423,000. This investment in innovation aims to drive product enhancements and the development of next-generation IoT solutions.
Core Component 2: Quality
Another essential element of the mission statement is the focus on quality. Lantronix strives to ensure that its products meet stringent quality standards. For instance, the company reported a gross profit of $14,475,000 for the same quarter, indicating a gross margin of approximately 42%. This margin reflects the effectiveness of their quality assurance processes and their ability to manage production costs while delivering value to customers.
Core Component 3: Customer-Centric Solutions
Lantronix's mission also highlights its dedication to providing customer-centric solutions. The company aims to understand and anticipate customer needs, offering tailored solutions that enhance their operational capabilities. In the recent quarter, Lantronix generated $18,759,000 from its IoT System Solutions, accounting for 54.5% of total revenues. This demonstrates their ability to deliver solutions that resonate with market demands.
| Financial Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Net Revenue | $34,423,000 | $33,031,000 | 4.2% |
| Gross Profit | $14,475,000 | $14,097,000 | 2.7% |
| R&D Expenses | $4,956,000 | $5,106,000 | -2.9% |
| Gross Margin | 42% | 42.7% | -1.7% |
| IoT System Solutions Revenue | $18,759,000 | $19,036,000 | -1.5% |
Vision Statement of Lantronix, Inc. (LTRX)
Vision Statement of Lantronix, Inc. (LTRX)
As of 2024, Lantronix, Inc. aims to empower organizations by delivering innovative, reliable, and high-quality IoT solutions, enhancing operational efficiency and connectivity in a rapidly evolving digital landscape.
Innovation and Technology Leadership
Lantronix positions itself as a leader in innovative IoT solutions. In the three months ended September 30, 2024, the company reported a net revenue of $34.4 million, reflecting a 4.2% increase from $33.0 million in the same period of 2023. This growth was driven by a 17.7% increase in the Embedded IoT Solutions segment, which generated $13.4 million, accounting for 38.9% of total revenue.
| Segment | Net Revenue (Q3 2024) | Net Revenue (Q3 2023) | Change (%) |
|---|---|---|---|
| Embedded IoT Solutions | $13,387,000 | $11,373,000 | 17.7% |
| IoT System Solutions | $18,759,000 | $19,036,000 | -1.5% |
| Software & Services | $2,277,000 | $2,622,000 | -13.2% |
Commitment to Customer Success
Lantronix emphasizes a strong commitment to customer success, focusing on delivering tailored solutions that meet specific needs. The company’s gross profit for the three months ended September 30, 2024, was $14.5 million, with a gross margin of approximately 42.0%. This reflects the company's ability to maintain profitability while investing in product development and customer service.
Sustainability and Social Responsibility
In line with its vision, Lantronix is committed to sustainability and social responsibility. The company is actively engaged in reducing its environmental footprint. As of September 30, 2024, Lantronix's inventory levels increased to $29.5 million, which includes a focus on sustainable materials. The company’s efforts in sustainability are integral to its long-term strategy and vision.
Global Reach and Market Expansion
Lantronix has expanded its global footprint, with a notable presence in the Americas, EMEA, and APJ regions. For the three months ended September 30, 2024, revenue from the Americas was $17.4 million, which represented a decline of 24.0% year-over-year, primarily due to reduced demand in certain markets. However, EMEA and APJ regions showed significant growth, indicating the effectiveness of Lantronix’s strategic market expansion initiatives.
| Region | Net Revenue (Q3 2024) | Net Revenue (Q3 2023) | Change (%) |
|---|---|---|---|
| Americas | $17,420,000 | $22,933,000 | -24.0% |
| EMEA | $10,484,000 | $6,591,000 | 59.1% |
| APJ | $6,519,000 | $3,507,000 | 85.9% |
Employee Engagement and Development
Lantronix recognizes that employee engagement is crucial to achieving its vision. As of September 30, 2024, the company had a workforce of approximately 400 employees. The company invested $1.6 million in share-based compensation during the same period, demonstrating its commitment to attracting and retaining talent.
Core Values of Lantronix, Inc. (LTRX)
Integrity
Integrity is a fundamental core value at Lantronix, Inc. (LTRX), guiding the company's operations and decision-making processes. The importance of integrity lies in building trust with customers, partners, and employees.
Lantronix demonstrates its commitment to integrity through transparent communications and ethical business practices. For instance, during the fiscal quarter ending September 30, 2024, the company reported a net loss of $2,502,000, which was disclosed promptly in its financial statements to maintain transparency with stakeholders.
Innovation
Innovation is crucial for Lantronix as it operates in the rapidly evolving technology sector. This value is essential for maintaining competitiveness and meeting customer demands.
The company has introduced several new products in its Embedded IoT Solutions line, contributing to a 17.7% increase in revenue from this segment, reaching $13,387,000 for the three months ended September 30, 2024. Furthermore, Lantronix's investment in research and development amounted to $4,956,000 during the same period, underscoring its dedication to innovation.
Customer Focus
Customer focus is a core value that emphasizes the importance of understanding and addressing customer needs. This value is essential for fostering long-term relationships and ensuring customer satisfaction.
Lantronix actively engages with its customers to tailor its IoT solutions effectively. The company reported a significant increase in revenues from the Asia Pacific Japan (APJ) region, which grew by 85.9% to $6,519,000. This demonstrates how the company's customer-centric approach has resulted in tangible financial success.
Collaboration
Collaboration is vital at Lantronix as it promotes teamwork and the sharing of ideas across various departments and geographic regions. This value is critical for driving innovation and achieving common goals.
During the three months ending September 30, 2024, Lantronix's total assets increased to $137,858,000, reflecting the successful collaboration between its engineering and sales teams to enhance product offerings. The company also reported a workforce of 38,474 shares outstanding, indicative of the collaborative efforts in employee engagement and equity participation.
Accountability
Accountability is a core value that reinforces the responsibility of employees to meet their commitments and uphold the company's standards.
Lantronix has established clear financial covenants under its Senior Credit Facilities, which require maintaining minimum liquidity levels and compliance with certain financial metrics. As of September 30, 2024, the company maintained a liquidity of over $4,000,000, demonstrating its accountability to its financial obligations. Additionally, the company reported share-based compensation expenses of $1,600,000 for the quarter, reflecting responsible management of resources.
| Core Value | Importance | Recent Example |
|---|---|---|
| Integrity | Building trust with stakeholders | Net loss of $2,502,000 disclosed promptly |
| Innovation | Maintaining competitiveness | Revenue from Embedded IoT Solutions increased by 17.7% |
| Customer Focus | Understanding customer needs | APJ revenue increased by 85.9% to $6,519,000 |
| Collaboration | Promoting teamwork | Total assets increased to $137,858,000 |
| Accountability | Responsibility to meet commitments | Maintained liquidity over $4,000,000 |
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Resources:
- Lantronix, Inc. (LTRX) Financial Statements – Access the full quarterly financial statements for Q1 2025 to get an in-depth view of Lantronix, Inc. (LTRX)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Lantronix, Inc. (LTRX)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.