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|                                                               |   | Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |   |   |
| Record Quarterly and Annual Revenue Drives Increased Profitability |

|                                        |
|----------------------------------------|
|                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| GAAP Results                           |
| (in thousands, except per share data)  |   | Q4 2015 |   | Q4 2014 |   | YTD 2015 |   | YTD 2014 |
| Total Revenue                          |   | $ | 56,446 |  |   | $ | 51,612 |  |   | $ | 212,858 |  |   | $ | 192,701 |  |
| Gross Profit                           |   | $ | 26,682 |  |   | $ | 23,647 |  |   | $ | 98,031 |  |   | $ | 90,484 |  |
| Gross Margin                           |   | 47.3 | % |   | 45.8 | % |   | 46.1 | % |   | 47.0 | % |
| Operating Income                       |   | $ | 4,265 |  |   | $ | 426 |  |   | $ | 6,417 |  |   | $ | 125 |  |
| Operating Income as % of Total Revenue |   | 7.6 | % |   | 0.8 | % |   | 3.0 | % |   | 0.1 | % |
| Net Income                             |   | $ | 2,985 |  |   | $ | 426 |  |   | $ | 6,588 |  |   | $ | 1,751 |  |
| Net Income per Diluted Share           |   | $ | 0.12 |  |   | $ | 0.02 |  |   | $ | 0.26 |  |   | $ | 0.07 |  |

|                                                                                                                   |
|-------------------------------------------------------------------------------------------------------------------|
|                                                                                                                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Non-GAAP Results*                                                                                                 |
| (in thousands, except per share data)                                                                             |   | Q4 2015 |   | Q4 2014 |   | YTD 2015 |   | YTD 2014 |
| Adjusted Net Income                                                                                               |   | $ | 3,007 |  |   | $ | 419 |  |   | $ | 5,455 |  |   | $ | 216 |  |
| Adjusted Net Income per Diluted Share                                                                             |   | $ | 0.12 |  |   | $ | 0.02 |  |   | $ | 0.22 |  |   | $ | 0.01 |  |
|                                                                                                              |   |   |   |   |   |   |   |   |
| Adjusted EBITDA                                                                                                   |   | $ | 5,551 |  |   | $ | 2,547 |  |   | $ | 12,915 |  |   | $ | 7,772 |  |
| Adjusted EBITDA as % of Total Revenue                                                                             |   | 9.8 | % |   | 4.9 | % |   | 6.1 | % |   | 4.0 | % |
| * A table with a detailed reconciliation to non-GAAP information is provided at the end of this earnings release. |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

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|                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Revenue Detail QTD                     |
| (in thousands)                         |   | Q4 2015 |   | Q4 2014 |   | Change |   | % Change |
| Cellular routers and gateways          |   | $ | 16,218 |  |   | $ | 11,028 |  |   | $ | 5,190 |  |   | 47.1 |  |
| RF                                     |   | 9,558 |  |   | 8,104 |  |   | 1,454 |  |   | 17.9 |  |
| Embedded                               |   | 13,219 |  |   | 13,181 |  |   | 38 |  |   | 0.3 |  |
| Network                                |   | 13,460 |  |   | 14,681 |  |   | (1,221 | ) |   | (8.3 | ) |
| Total product revenue                  |   | 52,455 |  |   | 46,994 |  |   | 5,461 |  |   | 11.6 |  |
| Service                                |   | 3,991 |  |   | 4,618 |  |   | (627 | ) |   | (13.6 | ) |
| Total revenue                          |   | $ | 56,446 |  |   | $ | 51,612 |  |   | $ | 4,834 |  |   | 9.4 |  |
|                                   |   |   |   |   |   |   |   |   |
| Growth                                 |   | $ | 32,395 |  |   | $ | 25,539 |  |   | $ | 6,856 |  |   | 26.8 |  |
| Mature                                 |   | 20,060 |  |   | 21,455 |  |   | (1,395 | ) |   | (6.5 | ) |
| Total product revenue                  |   | 52,455 |  |   | 46,994 |  |   | 5,461 |  |   | 11.6 |  |
| Service                                |   | 3,991 |  |   | 4,618 |  |   | (627 | ) |   | (13.6 | ) |
| Total revenue                          |   | $ | 56,446 |  |   | $ | 51,612 |  |   | $ | 4,834 |  |   | 9.4 |  |
|                                   |   |   |   |   |   |   |   |   |
| North America, primarily United States |   | $ | 38,892 |  |   | $ | 31,644 |  |   | $ | 7,248 |  |   | 22.9 |  |
| Europe, Middle East and Africa         |   | 10,924 |  |   | 12,356 |  |   | (1,432 | ) |   | (11.6 | ) |
| Asia                                   |   | 5,699 |  |   | 6,014 |  |   | (315 | ) |   | (5.2 | ) |
| Latin America                          |   | 931 |  |   | 1,598 |  |   | (667 | ) |   | (41.7 | ) |
| Total revenue                          |   | $ | 56,446 |  |   | $ | 51,612 |  |   | $ | 4,834 |  |   | 9.4 |  |

|         |                                                                                                                                                                                                                                                           |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Product revenue increased by $5.4 million, or 11.6% in the fourth fiscal quarter of 2015 compared to the prior year's comparable quarter, driven primarily by cellular router and gateway products and RF modules, which are part of our growth products. |

|         |                                                                                                                                                                                  |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Service revenue decreased by $0.6 million, or 13.6% in the fourth fiscal quarter of 2015 compared to the prior year's comparable quarter, primarily in wireless design services. |

|         |                                                                                                                                                                                                                                                                                 |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Revenue growth in the quarter was partially offset by a weakening of the Euro and British Pound, as the foreign currency translation from local currencies to the U.S. dollar resulted in a decrease of $0.6 million when compared to the same period in the prior fiscal year. |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

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|                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Revenue Detail YTD                     |
| (in thousands)                         |   | YTD 2015 |   | YTD 2014 |   | Change |   | % Change |
| Cellular routers and gateways          |   | $ | 58,666 |  |   | $ | 39,215 |  |   | $ | 19,451 |  |   | 49.6 |  |
| RF                                     |   | 34,373 |  |   | 29,094 |  |   | 5,279 |  |   | 18.1 |  |
| Embedded                               |   | 51,063 |  |   | 49,681 |  |   | 1,382 |  |   | 2.8 |  |
| Network                                |   | 51,395 |  |   | 54,856 |  |   | (3,461 | ) |   | (6.3 | ) |
| Total product revenue                  |   | 195,497 |  |   | 172,846 |  |   | 22,651 |  |   | 13.1 |  |
| Service                                |   | 17,361 |  |   | 19,855 |  |   | (2,494 | ) |   | (12.6 | ) |
| Total revenue                          |   | $ | 212,858 |  |   | $ | 192,701 |  |   | $ | 20,157 |  |   | 10.5 |  |
|                                   |   |   |   |   |   |   |   |   |
| Growth                                 |   | $ | 116,211 |  |   | $ | 89,908 |  |   | $ | 26,303 |  |   | 29.3 |  |
| Mature                                 |   | 79,286 |  |   | 82,938 |  |   | (3,652 | ) |   | (4.4 | ) |
| Total product revenue                  |   | 195,497 |  |   | 172,846 |  |   | 22,651 |  |   | 13.1 |  |
| Service                                |   | 17,361 |  |   | 19,855 |  |   | (2,494 | ) |   | (12.6 | ) |
| Total revenue                          |   | $ | 212,858 |  |   | $ | 192,701 |  |   | $ | 20,157 |  |   | 10.5 |  |
|                                   |   |   |   |   |   |   |   |   |
| North America, primarily United States |   | $ | 136,603 |  |   | $ | 116,421 |  |   | $ | 20,182 |  |   | 17.3 |  |
| Europe, Middle East and Africa         |   | 47,523 |  |   | 47,729 |  |   | (206 | ) |   | (0.4 | ) |
| Asia                                   |   | 22,907 |  |   | 22,762 |  |   | 145 |  |   | 0.6 |  |
| Latin America                          |   | 5,825 |  |   | 5,789 |  |   | 36 |  |   | 0.6 |  |
| Total revenue                          |   | $ | 212,858 |  |   | $ | 192,701 |  |   | $ | 20,157 |  |   | 10.5 |  |

|         |                                                                                                                                                                                                                                                                                                                                                                            |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Product revenue increased by $22.7 million, or 13.1%, in fiscal 2015 compared to fiscal 2014.  This increase was driven primarily by cellular router and gateway products and RF modules, which are part of our growth products.  Network revenue, which is primarily comprised of mature products, decreased by $3.5 million, or 6.3%, and was in line with expectations. |

|         |                                                                                                                                    |
|---------|------------------------------------------------------------------------------------------------------------------------------------|
| • | Service revenue decreased by $2.5 million, or 12.6%, in fiscal 2015 compared to fiscal 2014 primarily in wireless design services. |

|         |                                                                                                                                                                                                                                 |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Total revenue in fiscal 2015 was impacted negatively by $3.2 million when compared to the prior fiscal year due to foreign currency translation.  Specifically, a weakening of the Euro and British Pound produced this result. |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

|         |                                                                                                                                                                                                                                                                                                                                                                                                    |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Our cash and cash equivalents and marketable securities balance, including long-term marketable securities, was $105.8 million at September 30, 2015, an increase of $13.9 million over the comparable balance at September 30, 2014 and an increase of $5.0 million over the balance at June 30, 2015.  Please refer to the Condensed Consolidated Statements of Cash Flows for more information. |

|         |                                                               |
|---------|---------------------------------------------------------------|
| • | We had no debt on the balance sheet as of September 30, 2015. |

|         |                                                                                                   |
|---------|---------------------------------------------------------------------------------------------------|
| • | At September 30, 2015, our current ratio was 6.9 to 1 compared to 6.8 to 1 at September 30, 2014. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Honeywell Sensing & Productivity Solutions (S&PS), a global leader providing custom engineered sensors, switches and controls, and productivity solutions built around their high performance data collection solutions including rugged mobile computers, voice-enabled software, barcode scanners, workflow printing, and RFID, has established a strategic relationship with Digi to use our Wireless Vehicle Adapter (WVA) for secure and reliable wireless communications between their Dolphin CT50 and the vehicle bus of class 5-8 commercial trucks for their Transportation Solutions. The Dolphin CT50 is Honeywell’s most advanced enterprise-ready 4G/LTE handheld computer. |

|         |                                                                                                                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | AgriDry, a leader in the grain bin monitoring market whose products are used globally, selected our ConnectPort® X4 cellular gateways for remote monitoring and management of remotely distributed grain bins. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                  |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | FLIR Systems, Inc. designs, develops, manufactures, markets and distributes technologies that enhance perception and awareness, including professional thermal cameras used to monitor and track the eco-friendliness of residential and commercial buildings.  FLIR’s new T1K/T1020 camera is a high-end infrared camera that captures both still images and video footage using our ConnectCore® 6. |

|         |                                                                                                                                                                                                                                                                                              |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The North Indiana Commuter Transportation District (NICTD) has selected Digi TransPort® WR44 R cellular routers for installation of WiFi on South Shore train cars for a pilot. We expect NICTD will equip the rest of the fleet of 87 commuter rail cars, as phase two of the project. |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

|         |                                                                                                                                                                                                                                                                                                                                                         |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | OC Transpo provides comprehensive transit services to nearly one million people in Ottawa with a fleet of over 900 buses and three trains.  OC Transpo has selected Digi’s TransPort® WR44 R cellular routers for its onboard video system. This will allow live video feed during emergencies and offload recorded video from daily routes. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Cool Creek Energy and Rocky Mountain Energy offers fuel and lubricant products for a wide range of industries including agriculture, rail, forestry, residential, mining and construction. The organization, a regional distributor for all Mobil products, has selected Digi Connect Tank, a fully integrated cellular-enabled remote access tank level sensor, to reduce truck rolls, improve operational efficiencies, and ensure customers' diesel tanks are always full. |

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|                                                                   |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                              | Three months ended September 30, |   | Twelve months ended September 30, |
|                                                              | 2015 |   | 2014 |   | 2015 |   | 2014 |
| Net income and net income per common share, diluted               | $ | 2,985 |  |   | $ | 0.12 |  |   | $ | 426 |  |   | $ | 0.02 |  |   | $ | 6,588 |  |   | $ | 0.26 |  |   | $ | 1,751 |  |   | $ | 0.07 |  |
| Restructuring reserve, net of taxes                               | — |  |   | — |  |   | — |  |   | — |  |   | 331 |  |   | 0.01 |  |   | 53 |  |   | NM |  |
| Gain from insurance recovery, net of taxes                        | — |  |   | — |  |   | — |  |   | — |  |   | (894 | ) |   | (0.04 | ) |   | — |  |   | — |  |
| Discrete tax provision (benefits) (1)                             | 22 |  |   | NM |  |   | (7 | ) |   | NM |  |   | (570 | ) |   | (0.02 | ) |   | (1,588 | ) |   | (0.06 | ) |
| Adjusted net income and adjusted net income per diluted share (2) | $ | 3,007 |  |   | $ | 0.12 |  |   | $ | 419 |  |   | $ | 0.02 |  |   | $ | 5,455 |  |   | $ | 0.22 |  |   | $ | 216 |  |   | $ | 0.01 |  |
| Diluted weighted average common shares                            |   |   | 25,846 |  |   |   |   | 24,988 |  |   |   |   | 25,227 |  |   |   |   | 25,730 |  |

|     |                                                                                                                                                                                                                                                                                                                        |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (1) | Discrete tax provision (benefits) include extended research and development tax credits and expiration of statute of limitations in various tax jurisdictions, re-measurement and reversal of certain tax reserves as a result of a federal income tax audit, and adjustment of state rate on net deferred tax assets. |

|     |                                                                                                                         |
|-----|-------------------------------------------------------------------------------------------------------------------------|
| (2) | Earnings per share presented are calculated by line item and certain amounts may not add due to use of rounded numbers. |

|                                |
|--------------------------------|
|                                |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                           | Three months ended September 30, |   | Twelve months ended September 30, |
|                           | 2015 |   | 2014 |   | 2015 |   | 2014 |
|                           |   |   | % of totalrevenue |   |   |   | % of totalrevenue |   |   |   | % of totalrevenue |   |   |   | % of totalrevenue |
| Total revenue                  | $ | 56,446 |  |   | 100.0 | % |   | $ | 51,612 |  |   | 100.0 | % |   | $ | 212,858 |  |   | 100.0 | % |   | $ | 192,701 |  |   | 100.0 | % |
|                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net income                     | $ | 2,985 |  |   |   |   | $ | 426 |  |   |   |   | $ | 6,588 |  |   |   |   | $ | 1,751 |  |   |   |
| Gain from insurance recovery   | — |  |   |   |   | — |  |   |   |   | (1,375 | ) |   |   |   | — |  |   |   |
| Interest income, net           | (80 | ) |   |   |   | (44 | ) |   |   |   | (214 | ) |   |   |   | (171 | ) |   |   |
| Income tax provision (benefit) | 1,243 |  |   |   |   | 500 |  |   |   |   | 2,057 |  |   |   |   | (954 | ) |   |   |
| Depreciation and amortization  | 1,403 |  |   |   |   | 1,665 |  |   |   |   | 5,859 |  |   |   |   | 7,146 |  |   |   |
| Adjusted EBITDA                | $ | 5,551 |  |   | 9.8 | % |   | $ | 2,547 |  |   | 4.9 | % |   | $ | 12,915 |  |   | 6.1 | % |   | $ | 7,772 |  |   | 4.0 | % |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

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|--------------------------------------------------------------|
|                                                              |  |  |
| Mike Goergen                                                 |   |   |
| Senior Vice President, Chief Financial Officer and Treasurer |   |   |
| Digi International                                           |   |   |
| 952-912-3737                                                 |   |   |
| Email:  mike.goergen@digi.com                                |   |   |
|                                                         |   |   |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

|                                 |
|---------------------------------|
|                                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                            | Three months endedSeptember 30, |   | Twelve months endedSeptember 30, |
|                            | 2015 |   | 2014 |   | 2015 |   | 2014 |
| Revenue:                        |   |   |   |   |   |   |   |
| Hardware product                | $ | 52,455 |  |   | $ | 46,994 |  |   | $ | 195,497 |  |   | $ | 172,846 |  |
| Service                         | 3,991 |  |   | 4,618 |  |   | 17,361 |  |   | 19,855 |  |
| Total revenue                   | 56,446 |  |   | 51,612 |  |   | 212,858 |  |   | 192,701 |  |
| Cost of sales:                  |   |   |   |   |   |   |   |
| Cost of hardware product        | 26,816 |  |   | 23,875 |  |   | 101,155 |  |   | 85,737 |  |
| Cost of service                 | 2,948 |  |   | 4,090 |  |   | 13,672 |  |   | 16,480 |  |
| Total cost of sales             | 29,764 |  |   | 27,965 |  |   | 114,827 |  |   | 102,217 |  |
| Gross profit                    | 26,682 |  |   | 23,647 |  |   | 98,031 |  |   | 90,484 |  |
| Operating expenses:             |   |   |   |   |   |   |   |
| Sales and marketing             | 9,019 |  |   | 10,099 |  |   | 39,544 |  |   | 40,576 |  |
| Research and development        | 8,332 |  |   | 7,868 |  |   | 32,047 |  |   | 29,789 |  |
| General and administrative      | 5,066 |  |   | 5,254 |  |   | 19,514 |  |   | 19,913 |  |
| Restructuring charges, net      | — |  |   | — |  |   | 509 |  |   | 81 |  |
| Total operating expenses        | 22,417 |  |   | 23,221 |  |   | 91,614 |  |   | 90,359 |  |
| Operating income                | 4,265 |  |   | 426 |  |   | 6,417 |  |   | 125 |  |
| Other (loss) income, net:       |   |   |   |   |   |   |   |
| Interest income, net            | 80 |  |   | 44 |  |   | 214 |  |   | 171 |  |
| Other (loss) income, net        | (117 | ) |   | 456 |  |   | 2,014 |  |   | 501 |  |
| Total other (loss) income, net  | (37 | ) |   | 500 |  |   | 2,228 |  |   | 672 |  |
| Income before income taxes      | 4,228 |  |   | 926 |  |   | 8,645 |  |   | 797 |  |
| Income tax provision (benefit)  | 1,243 |  |   | 500 |  |   | 2,057 |  |   | (954 | ) |
| Net income                      | $ | 2,985 |  |   | $ | 426 |  |   | $ | 6,588 |  |   | $ | 1,751 |  |
| Net income per common share:    |   |   |   |   |   |   |   |
| Basic                           | $ | 0.12 |  |   | $ | 0.02 |  |   | $ | 0.27 |  |   | $ | 0.07 |  |
| Diluted                         | $ | 0.12 |  |   | $ | 0.02 |  |   | $ | 0.26 |  |   | $ | 0.07 |  |
| Weighted average common shares: |   |   |   |   |   |   |   |
| Basic                           | 24,998 |  |   | 24,715 |  |   | 24,645 |  |   | 25,345 |  |
| Diluted                         | 25,846 |  |   | 24,988 |  |   | 25,227 |  |   | 25,730 |  |

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|                                                                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                   | Three months endedSeptember 30, |   | Twelve months endedSeptember 30, |
|                                                                                   | 2015 |   | 2014 |   | 2015 |   | 2014 |
| Net income                                                                             | $ | 2,985 |  |   | $ | 426 |  |   | $ | 6,588 |  |   | $ | 1,751 |  |
| Other comprehensive loss, net of tax:                                                  |   |   |   |   |   |   |   |
| Foreign currency translation adjustment                                                | (165 | ) |   | (3,259 | ) |   | (4,323 | ) |   | (2,713 | ) |
| Change in net unrealized (loss) gain on investments                                    | (19 | ) |   | (19 | ) |   | (21 | ) |   | 43 |  |
| Less income tax benefit (provision)                                                    | 6 |  |   | 7 |  |   | 7 |  |   | (17 | ) |
| Reclassification of realized loss on investments included  in net income (1) | — |  |   | — |  |   | 1 |  |   | — |  |
| Other comprehensive loss, net of tax                                                   | (178 | ) |   | (3,271 | ) |   | (4,336 | ) |   | (2,687 | ) |
| Comprehensive income (loss)                                                            | $ | 2,807 |  |   | $ | (2,845 | ) |   | $ | 2,252 |  |   | $ | (936 | ) |

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| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

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|--------------------------------------------------|
|                                                  |  |  |  |  |  |  |  |
|                                             |   |   |   |
|                                             | September 30,                                        2015 |   | September 30, 2014 |
| ASSETS                                           |   |   |   |
| Current assets:                                  |   |   |   |
| Cash and cash equivalents                        | $ | 45,018 |  |   | $ | 47,490 |  |
| Marketable securities                            | 47,191 |  |   | 32,898 |  |
| Accounts receivable, net                         | 29,205 |  |   | 28,576 |  |
| Inventories                                      | 31,877 |  |   | 31,247 |  |
| Deferred tax assets                              | 3,379 |  |   | 3,221 |  |
| Other                                            | 3,515 |  |   | 4,249 |  |
| Total current assets                             | 160,185 |  |   | 147,681 |  |
| Marketable securities, long-term                 | 13,626 |  |   | 11,541 |  |
| Property, equipment and improvements, net        | 14,357 |  |   | 13,231 |  |
| Identifiable intangible assets, net              | 4,179 |  |   | 6,785 |  |
| Goodwill                                         | 102,097 |  |   | 103,398 |  |
| Deferred tax assets                              | 5,666 |  |   | 7,383 |  |
| Other                                            | 250 |  |   | 440 |  |
| Total assets                                     | $ | 300,360 |  |   | $ | 290,459 |  |
| LIABILITIES AND STOCKHOLDERS’ EQUITY       |   |   |   |
| Current liabilities:                             |   |   |   |
| Accounts payable                                 | $ | 6,723 |  |   | $ | 10,451 |  |
| Income taxes payable                             | 828 |  |   | — |  |
| Accrued compensation                             | 11,502 |  |   | 8,133 |  |
| Other                                            | 4,136 |  |   | 3,170 |  |
| Total current liabilities                        | 23,189 |  |   | 21,754 |  |
| Income taxes payable                             | 1,546 |  |   | 2,724 |  |
| Deferred tax liabilities                         | 135 |  |   | 272 |  |
| Other noncurrent liabilities                     | 552 |  |   | 411 |  |
| Total liabilities                                | 25,422 |  |   | 25,161 |  |
|                                             |   |   |   |
| Total stockholders’ equity                 | 274,938 |  |   | 265,298 |  |
| Total liabilities and stockholders’ equity | $ | 300,360 |  |   | $ | 290,459 |  |

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|                                                                             |  |  |  |  |
|                                                                        |   |   |   |   |
| Digi International Reports Fourth Fiscal Quarter and Full Year 2015 Results |

|                                                                                                                |
|----------------------------------------------------------------------------------------------------------------|
|                                                                                                                |  |  |  |  |  |  |  |
|                                                                                                           | Twelve months ended September 30, |
|                                                                                                           | 2015 |   | 2014 |
| Operating activities:                                                                                          |   |   |   |
| Net income                                                                                                     | $ | 6,588 |  |   | $ | 1,751 |  |
| Adjustments to reconcile net income to net cash provided by operating activities:                              |   |   |   |
| Depreciation of property, equipment and improvements                                                           | 2,949 |  |   | 3,557 |  |
| Amortization of identifiable intangible assets                                                                 | 2,910 |  |   | 3,589 |  |
| Stock-based compensation                                                                                       | 4,301 |  |   | 4,330 |  |
| Excess tax benefits from stock-based compensation                                                              | — |  |   | (44 | ) |
| Deferred income tax provision (benefit)                                                                        | (769 | ) |   | (2,783 | ) |
| Gain on insurance settlement related to property and equipment                                                 | (1,375 | ) |   | — |  |
| Bad debt/product return provision                                                                              | 357 |  |   | 98 |  |
| Inventory obsolescence                                                                                         | 1,284 |  |   | 860 |  |
| Restructuring charges, net                                                                                     | 509 |  |   | 81 |  |
| Other                                                                                                          | 87 |  |   | 3 |  |
| Changes in operating assets and liabilities                                                                    | (2,767 | ) |   | (9,633 | ) |
| Net cash provided by operating activities                                                                      | 14,074 |  |   | 1,809 |  |
| Investing activities:                                                                                          |   |   |   |
| Purchase of marketable securities                                                                              | (54,427 | ) |   | (27,420 | ) |
| Proceeds from maturities of marketable securities                                                              | 38,028 |  |   | 47,420 |  |
| Proceeds from insurance settlement related to property and equipment                                           | 1,400 |  |   | — |  |
| Proceeds from sale of property and equipment                                                                   | 45 |  |   | — |  |
| Purchase of property, equipment, improvements and certain     other intangible assets | (4,500 | ) |   | (3,421 | ) |
| Net cash (used in) provided by investing activities                                                            | (19,454 | ) |   | 16,579 |  |
| Financing activities:                                                                                          |   |   |   |
| Excess tax benefits from stock-based compensation                                                              | — |  |   | 44 |  |
| Proceeds from stock option plan transactions                                                                   | 6,559 |  |   | 3,689 |  |
| Proceeds from employee stock purchase plan transactions                                                        | 925 |  |   | 1,009 |  |
| Purchases of common stock                                                                                      | (2,339 | ) |   | (15,702 | ) |
| Net cash provided by (used in) financing activities                                                            | 5,145 |  |   | (10,960 | ) |
| Effect of exchange rate changes on cash and cash equivalents                                                   | (2,237 | ) |   | (1,258 | ) |
| Net (decrease) increase in cash and cash equivalents                                                           | (2,472 | ) |   | 6,170 |  |
| Cash and cash equivalents, beginning of period                                                                 | 47,490 |  |   | 41,320 |  |
| Cash and cash equivalents, end of period                                                                       | $ | 45,018 |  |   | $ | 47,490 |  |