# EDGAR Filing Document

**Accession Number:** 0001114925
**File Stem:** 0001683168-25-007988
**Filing Date:** 2025-11
**Character Count:** 40103
**Document Hash:** 2c6c53aa19e0ce958ca2c8f9006bb90b
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001683168-25-007988.hdr.sgml**: 20251105

**ACCESSION NUMBER**: 0001683168-25-007988

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 15

**CONFORMED PERIOD OF REPORT**: 20251105

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20251105

**DATE AS OF CHANGE**: 20251105

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** LANTRONIX INC
- **CENTRAL INDEX KEY:** 0001114925
- **STANDARD INDUSTRIAL CLASSIFICATION:** COMPUTER COMMUNICATIONS EQUIPMENT [3576]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 330362767
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 0630

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-16027
- **FILM NUMBER:** 251454217

**BUSINESS ADDRESS:**
- **STREET 1:** 48 DISCOVERY, SUITE 250
- **CITY:** IRVINE
- **STATE:** CA
- **ZIP:** 92618
- **BUSINESS PHONE:** 9494533990

**MAIL ADDRESS:**
- **STREET 1:** 48 DISCOVERY, SUITE 250
- **CITY:** IRVINE
- **STATE:** CA
- **ZIP:** 92618

?xml version='1.0' encoding='ASCII'? LANTRONIX, INC. 8-K

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 8-K**

**CURRENT REPORT**

**Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934**

Date of Report (Date of earliest event reported): November 5, 2025

**LANTRONIX, INC.**

**(Exact Name of Registrant as Specified in Charter)**

---

| | | |
|:---|:---|:---|
| **Delaware** | **1-16027** | **33-0362767** |
| (State or other jurisdiction<br> of incorporation) | (Commission File Number) | (IRS Employer<br> Identification No.) |
| **48 Discovery, Suite 250**<br> **Irvine, California 92618** | **48 Discovery, Suite 250**<br> **Irvine, California 92618** | **48 Discovery, Suite 250**<br> **Irvine, California 92618** |
| (Address of Principal Executive Offices, including zip code) | (Address of Principal Executive Offices, including zip code) | (Address of Principal Executive Offices, including zip code) |
| Registrant's telephone number, including area code: **(949) 453-3990** | Registrant's telephone number, including area code: **(949) 453-3990** | Registrant's telephone number, including area code: **(949) 453-3990** |
| **Not Applicable** | **Not Applicable** | **Not Applicable** |
| (Former name or former address, if changed since last report) | (Former name or former address, if changed since last report) | (Former name or former address, if changed since last report) |

---

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

◻ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

◻ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

◻ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

◻ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

**Securities registered pursuant to Section 12(b) of the Act:**

---

| | | |
|:---|:---|:---|
| **Title of each Class** | **Trading Symbol** | **Name of each exchange on which registered** |
| Common Stock, $0.0001 par value | LTRX | The Nasdaq Stock Market LLC |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 7(a)(2)(B) of Securities Act. ☐

---

| | |
|:---|:---|
| **Item 2.02.** | **Results of Operations and Financial Condition.** |

---

On November 5, 2025, Lantronix, Inc., a Delaware corporation (the "Company"), issued a press release setting forth the Company's financial results for its first fiscal quarter ended September 30, 2025. A copy of the press release is attached hereto as Exhibit 99.1. In addition, a transcript of management's prepared remarks for the Company's first quarter fiscal 2026 investor conference call and audio webcast, scheduled for 1:30 p.m. Pacific Time (4:30 p.m. Eastern Time) on November 5, 2025, is attached hereto as Exhibit 99.2.

Following the conference call, a replay of the webcast will be available on the Company's website at www.lantronix.com for one year from the date of the call.

The information furnished under this Item 2.02, including Exhibits 99.1 and 99.2, shall not be deemed "filed" for purposes of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (the "Securities Act"), or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

---

| | |
|:---|:---|
| **Item 7.01.** | **Regulation FD Disclosure.** |

---

The information disclosed in Item 2.02 of this Current Report on Form 8-K is incorporated by reference into this Item 7.01.

The information furnished pursuant to this Item 7.01 shall not be deemed "filed" for purposes of Section 18 of the Exchange Act or incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

---

| | |
|:---|:---|
| **Item 9.01.** | **Financial Statements and Exhibits.** |

---

(d) Exhibits

The following exhibits are filed with this Current Report on Form 8-K:

---

| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| 99.1 | [Press Release, dated November 5, 2025, reporting the Company's financial results for the first fiscal quarter ended September 30, 2025](lantronix_ex9901.htm) |
| 99.2 | [Transcript of management's prepared remarks for first quarter fiscal 2026 investor conference call and audio webcast, scheduled for November 5, 2025.](lantronix_ex9902.htm) |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |

---

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | |
|:---|:---|
| **LANTRONIX, INC.** | **LANTRONIX, INC.** |
| By: | /s/ Brent Stringham |
|  | Brent Stringham<br>Chief Financial Officer |

---

Date: November 5, 2025

## Exhibit 99.1

**Exhibit 99.1**

![](image_005.jpg)

**Lantronix Reports Fiscal First Quarter 2026 Financial Results**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **First Quarter 2026 Net Revenue of $29.8 Million** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **First Quarter 2026 GAAP EPS of ($0.04)** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **First Quarter 2026 Non-GAAP EPS of $0.04** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **Grew Drone OEM Engagements to 17 in Q1, Underscoring Demand in the UAS Market** 

**IRVINE, Calif., Nov. 5, 2025 –** Lantronix Inc. (NASDAQ: LTRX), a global leader in compute and connectivity IoT solutions powering Edge AI applications, today reported results for the fiscal first quarter ended Sept. 30, 2025.

**Management Commentary**

"Fiscal 2026 is off to a strong start, with revenue and earnings per share both at the high end of our guidance ranges," said Saleel Awsare, president and CEO of Lantronix. "Our results reflect margin expansion, disciplined cost management and growing contributions from our high-growth platforms. In drones, we secured new design wins and expanded OEM engagements, which are supported by record defense funding and regulatory momentum that drive long-term opportunities in the UAS market."

"We also advanced our asset monitoring strategy with the launch of Kompress.ai and expanded adoption of EdgeFabric.ai for visual orchestration at the edge. Combined with steady performance in our core network infrastructure business, these initiatives highlight the strength of our diversified model and the progress we are making in executing our long-term strategy to deliver profitable growth and shareholder value," Awsare added.

**Q1 FY2026 Financial Results**

&nbsp;&nbsp;&nbsp;&nbsp;· **Net Revenue:** $29.8 million

· **GAAP EPS:** ($0.04)

· **Non-GAAP EPS:** $0.04

**Q1 FY2026 and Recent Business Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;· **Increased the number of OEM engagements** from 10 in Q4 to 17 at the
end of Q1, underscoring growing demand for Lantronix's solutions and strengthening momentum in the Unmanned Aircraft Systems (UAS)
market.

&nbsp;&nbsp;&nbsp;&nbsp;· **Integrated Gremsy and Teledyne FLIR technologies** into Lantronix's
Edge AI drone solution, improving flight endurance, imaging performance and operational efficiency for autonomous and surveillance applications.

&nbsp;&nbsp;&nbsp;&nbsp;· **Partnered with Sightline Intelligence** to integrate Lantronix's
NDAA/TAA-compliant Edge AI technology into its new, high-performing video processing solution for defense and commercial drone applications.

&nbsp;&nbsp;&nbsp;&nbsp;· **Launched EdgeFabric.ai™ Visual Orchestration platform** to accelerate
Edge AI deployment, enabling seamless integration, management and scaling of visual AI workloads across cameras, industrial monitors and
intelligent devices from cloud to edge.

&nbsp;&nbsp;&nbsp;&nbsp;· **Introduced Kompress.ai by Lantronix,** an AI-powered optimization platform
leveraging Vodafone IoT connectivity to enhance performance and energy efficiency in high-compute industrial environments.

· **Expanded Power-over-Ethernet (PoE) portfolio** with new PoE++ injectors
and media converters for low-voltage network applications, providing reliable power and connectivity for enterprise, industrial and smart
city networks.

· **Delivered enhanced Out-of-Band Management solutions** to power next-generation
GPU-as-a-Service (GPUaaS) infrastructure, ensuring secure, resilient and remote management for AI and data center workloads.

· **Received multiple industry awards** recognizing innovation and execution
in Edge AI and IoT:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o Product of the Year Award for advanced solutions in drone development

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o IoT Evolution Asset Tracking Award for excellence in IoT-enabled asset tracking

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o Industry Recognition for powering the world's largest DC-powered warehouse, demonstrating leadership in large-scale industrial
deployments

**Q2 FY2026 Financial Outlook**

&nbsp;&nbsp;&nbsp;&nbsp;· **Revenue:** $28 million to $32 million, or $30 million at the midpoint

· **Non-GAAP EPS:** $0.02 to $0.04, or $0.03 at the midpoint

**Conference Call and Webcast**

Management will host an investor conference call and audio webcast today (Wednesday, Nov. 5, 2025) at 1:30 p.m. Pacific Time (4:30 p.m. Eastern Time) to discuss its results for the fiscal first quarter of 2026 and financial outlook. To access the live conference call, investors should dial 1-844-802-2442 (U.S.) or 1-412-317-5135 (international) and indicate they are participating in the Lantronix fiscal 2026 first-quarter call.

Investors can access a conference call replay starting at approximately 5:00 p.m. Pacific Time on Nov. 5, 2025, on the Lantronix website. A telephonic replay will also be available through Nov. 13, 2025, by dialing 1-877-344-7529 (US) or 1-412-317-0088 (international) or Canada Toll-Free 855-669-9658 and entering passcode 1779264.

**About Lantronix**

Lantronix Inc. (Nasdaq: LTRX) is a global leader in Edge AI and Industrial IoT solutions, delivering intelligent computing, secure connectivity and remote management for mission-critical applications. Serving high-growth markets, including smart cities, enterprise IT and commercial and defense unmanned systems, Lantronix enables customers to optimize operations and accelerate digital transformation. Its comprehensive portfolio of hardware, software and services powers applications from secure video surveillance and intelligent utility infrastructure to resilient out-of-band network management. By bringing intelligence to the network edge, Lantronix helps organizations achieve efficiency, security and a competitive edge in today's AI-driven world.

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 loss 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 income 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 first fiscal quarter of 2026, our positioning for sustainable, profitable growth and to capture multi-year, high-margin opportunities as a result of the strategic transformation executed during fiscal 2025, and our expectations regarding the short- and long-term benefits of our recent design wins and strategic hires. 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 changes in U.S. trade policy, including recently increased or future tariffs, a pandemic or similar outbreak, 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 a pandemic or similar outbreak on our business, employees, customers, supply and distribution chains and the global economy; our ability to successfully implement our acquisition 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; our use of AI may result in reputational, competitive or financial harm and liability; 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, 2025, filed with the Securities and Exchange Commission (the "SEC") on August 29, 2025, 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.©2025 Lantronix, Inc. All rights reserved. Lantronix is a registered trademark. Other trademarks and trade names are those of their respective owners.

*# # #* 

**Lantronix Analyst and Investor Contact:**

investors@lantronix.com

**LANTRONIX, INC.**

**UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS**

**(In thousands)**

---

| | | |
|:---|:---|:---|
|  | **September 30,**<br>**2025** | **June 30,**<br>**2025** |
| **Assets** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $22191 | $20098 |
| &nbsp;&nbsp;&nbsp;Accounts receivable, net | 21925 | 25092 |
| &nbsp;&nbsp;&nbsp;Inventories, net | 26755 | 26371 |
| &nbsp;&nbsp;&nbsp;Contract manufacturers' receivable | 452 | 3071 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 3101 | 2761 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 74424 | 77393 |
| Property and equipment, net | 2107 | 2456 |
| Goodwill | 31089 | 31089 |
| Intangible assets, net | 3141 | 3738 |
| Lease right-of-use assets | 8114 | 8422 |
| Other assets | 693 | 624 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $119568 | $123722 |
| **Liabilities and stockholders' equity** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $9634 | $13259 |
| &nbsp;&nbsp;&nbsp;Accrued payroll and related expenses | 3830 | 3471 |
| &nbsp;&nbsp;&nbsp;Current portion of long-term debt, net |  | 3070 |
| &nbsp;&nbsp;&nbsp;Other current liabilities | 11259 | 10622 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 24723 | 30422 |
| Long-term debt, net | 10662 | 8684 |
| Other non-current liabilities | 9733 | 10238 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 45118 | 49344 |
| Commitments and contingencies |  |  |
| Stockholders' equity: |  |  |
| &nbsp;&nbsp;&nbsp;Common stock | 4 | 4 |
| &nbsp;&nbsp;&nbsp;Additional paid-in capital | 309870 | 308397 |
| &nbsp;&nbsp;&nbsp;Accumulated deficit | (235795) | (234394) |
| &nbsp;&nbsp;&nbsp;Accumulated other comprehensive income | 371 | 371 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 74450 | 74378 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and stockholders' equity | $119568 | $123722 |

---

**LANTRONIX, INC.**

**UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

**(In thousands, except per share data)**

---

| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
|  | **September 30,**<br>**2025** | **June 30,**<br>**2025** | **September 30,**<br>**2024** |
| Net revenue | $29794 | $28839 | $34423 |
| Cost of revenue | 16448 | 17302 | 19948 |
| Gross profit | 13346 | 11537 | 14475 |
| Operating expenses: |  |  |  |
| &nbsp;&nbsp;&nbsp;Selling, general and administrative | 9542 | 9009 | 9496 |
| &nbsp;&nbsp;&nbsp;Research and development | 4598 | 4194 | 4956 |
| &nbsp;&nbsp;&nbsp;Restructuring, severance and related charges | 93 | 861 | 900 |
| &nbsp;&nbsp;&nbsp;Acquisition-related costs | 43 | 34 |  |
| &nbsp;&nbsp;&nbsp;Amortization of intangible assets | 597 | 573 | 1251 |
| Total operating expenses | 14873 | 14671 | 16603 |
| Loss from operations | (1527) | (3134) | (2128) |
| Interest expense, net | (15) | (107) | (119) |
| Other income (loss), net | 183 | (52) | (37) |
| Loss before income taxes | (1359) | (3293) | (2284) |
| Provision (benefit) for income taxes | 42 | (662) | 218 |
| Net loss | $(1401) | $(2631) | $(2502) |
| Net loss per share - basic and diluted | $(0.04) | $(0.07) | $(0.07) |
| Weighted-average common shares - basic and diluted | 39188 | 38975 | 38024 |

---

**LANTRONIX, INC.**

**UNAUDITED RECONCILIATION OF NON-GAAP ADJUSTMENTS**

**(In thousands, except per share data)**

---

| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
|  | **September 30,**<br>**2025** | **June 30,**<br>**2025** | **September 30,**<br>**2024** |
| GAAP net loss | $(1401) | $(2631) | $(2502) |
| &nbsp;&nbsp;&nbsp;Non-GAAP adjustments: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost of revenue: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based compensation | 35 | 40 | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Employer portion of withholding taxes on stock grants | 2 | 1 | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of manufacturing profit in acquired inventory | 18 | 44 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 106 | 97 | 123 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total adjustments to cost of revenue | 161 | 182 | 192 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based compensation | 1454 | 1095 | 1126 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Employer portion of withholding taxes on stock grants | 27 | 14 | 78 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 290 | 316 | 351 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total adjustments to selling, general and administrative | 1771 | 1425 | 1555 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Research and development: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based compensation | 284 | 367 | 410 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Employer portion of withholding taxes on stock grants | 6 | 2 | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 50 | 53 | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total adjustments to research and development | 340 | 422 | 498 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restructuring, severance and related charges | 93 | 861 | 900 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Acquisition related costs | 43 | 34 | 29 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fair value remeasurement of earnout consideration |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of purchased intangible assets | 597 | 573 | 1251 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Litigation settlement cost | – | – | 40 |
| &nbsp;&nbsp;&nbsp;Total non-GAAP adjustments to operating expenses | 2844 | 3315 | 4273 |
| &nbsp;&nbsp;&nbsp;Interest expense, net | 15 | 107 | 119 |
| &nbsp;&nbsp;&nbsp;Other (income) expense, net | (183) | 52 | 37 |
| &nbsp;&nbsp;&nbsp;Provision (benefit) for income taxes | 42 | (662) | 218 |
| Total non-GAAP adjustments | 2879 | 2994 | 4839 |
| Non-GAAP net income | $1478 | $363 | $2337 |
| Non-GAAP net income per share - diluted | $0.04 | $0.01 | $0.06 |
| Denominator for GAAP net income per share - diluted | 39188 | 38975 | 38024 |
| Non-GAAP adjustment | 2214 | 108 | 1257 |
| Denominator for non-GAAP net income per share - diluted | 41402 | 39083 | 39281 |
| GAAP cost of revenue | $16448 | $17302 | $19948 |
| Non-GAAP adjustments to cost of revenue | (161) | (182) | (192) |
| Non-GAAP cost of revenue | 16287 | 17120 | 19756 |
| Non-GAAP gross profit | $13507 | $11719 | $14667 |
| Non-GAAP gross margin | 45.3% | 40.6% | 42.6% |

---

**LANTRONIX, INC.**

**UNAUDITED NET REVENUES BY PRODUCT LINE AND REGION**

**(In thousands)**

---

| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
|  | **September 30, 2025** | **June 30, 2025** | **September 30, 2024** |
| Embedded IoT Solutions | $11467 | $10219 | $13387 |
| IoT System Solutions | 16459 | 16654 | 18759 |
| Software & Services | 1868 | 1966 | 2277 |
|  | $29794 | $28839 | $34423 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
|  | **September 30, 2025** | **June 30, 2025** | **September 30, 2024** |
| Americas | $20651 | $19823 | $17420 |
| EMEA | 5087 | 5330 | 10484 |
| Asia Pacific Japan | 4056 | 3686 | 6519 |
|  | $29794 | $28839 | $34423 |

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## Exhibit 99.2

**Exhibit 99.2**

**FYQ1'26 Combined CEO & CFO Script**

**Intro: Brent Stringham** 

Good afternoon, and thank you for joining our fiscal first quarter earnings call. Joining me today is our President and Chief Executive Officer Saleel Awsare.

A "live" and archived webcast of today's call will be available on the Company's website. In addition, you can find the call-in details for the phone replay in today's earnings release.

During this call, management may make forward-looking statements which involve risks and uncertainties that could cause our results to differ materially from management's current expectations.

We encourage you to review the cautionary statements and risk factors contained in the earnings release, which was furnished to the SEC today and is available on our website, and in the Company's SEC filings such as its 10-K and 10-Qs. Lantronix undertakes no obligation to revise or update publicly any forward-looking statements to reflect future events or circumstances.

Please refer to the news release and the financial information in the investor relations section of our website for additional details that will supplement management's commentary.

Furthermore, during the call, the Company will discuss non-GAAP financial measures. Today's earnings release, which is posted in the Investor Relations section of our website, describes the differences between our non-GAAP and GAAP reporting and presents reconciliations for the non-GAAP financial measures that we use.

With that, I will now turn the call over to Saleel.

**Saleel Awsare (Section 1):**

Thanks, Brent, and thank you, everyone, for joining today's call.

Turning to the overall market environment, industry dynamics remain favorable for Lantronix. We continue to see record defense funding and supportive regulatory momentum driving long-term opportunities across our key verticals. At the same time, demand for networking and connectivity solutions remains strong, creating continued tailwinds for our network infrastructure business and reinforcing our role as a trusted partner in government and smart city applications.

Starting with unmanned aerial systems — commonly known as drones — we're benefiting from broad-based demand across multiple customers. The AUSA event in Washington DC was highly productive, as we met with several strong existing and new partners, further strengthening our position in the market. We made good progress in fiscal Q1, as we expanded our presence and scaled production with Red Cat's Teal Drones, where we've already secured meaningful follow-on orders, a clear sign of customer confidence in our capabilities. We're also partnering with Red Cat on next-generation platforms designed to further enhance the drones' performance and mission readiness.

At the end of Q1, our OEM engagements grew from 10 last quarter to 17 today, highlighting accelerating customer adoption and market momentum.

This activity is supported by a few recent developments. We introduced our Edge AI drone solution, which integrates payloads from Gremsy and Teledyne FLIR. Working with these partners, we completed a reference design that validates the solution's performance and simplifies integration for OEM customers. The solution enables longer flight times, real-time edge data processing, and up to 80% faster integration for developers. Just as important, it meets stringent NDAA and TAA requirements for defense and government programs.

More recently, Sightline Intelligence selected our Edge AI technology for integration into its new high-performance video processing solution for defense and commercial drone applications, further expanding our reach within the UAS ecosystem. Together, these advancements underscore our ability to deliver secure, AI-enabled flight systems, at scale.

While still early in the fiscal year, we're encouraged by the momentum in our drone business. This is a growing contributor to Lantronix and positions us for potential upside to our initial expectations as these programs scale through the remainder of fiscal 2026.

Building on this momentum, we recently introduced EdgeFabric.ai, our new visual orchestration platform for Edge AI deployment, which debuted at Qualcomm's Imagine Conference in September. Purpose-built for our Open-Q System-on-Module, or SoM, solutions, EdgeFabric.ai enables customers to design and deploy AI applications in minutes instead of months — without needing a team of AI experts. Whether configuring smart cameras, industrial IoT monitors or other edge-AI-enabled devices, customers can now visually design their AI workflows and deploy them instantly – all without writing a single line of code. By simplifying development and automating deployment, EdgeFabric.ai strengthens customer engagement, accelerates time-to-market, and creates a foundation for recurring software and services revenue over time.

In asset monitoring, a key long-term component of our Industrial IoT strategy, we partnered with Vodafone IoT to launch Kompress.ai by Lantronix, a subscription-based SaaS platform targeting the $27 billion global industrial air compressor market.

While still in the early stages, we view this as a significant long-term opportunity – one that expands our reach, enhances our edge-to-cloud capabilities, and creates incremental, high-margin recurring revenue potential over time.

Together with our progress in drones and EdgeFabric.ai, Kompress.ai reinforces our execution of the long-term strategy to build scalable platforms that expand recurring revenue and strengthen our diversified model.

Our strategy is clear: *scale high-growth verticals, expand software-enabled recurring revenue, and drive operating leverage from a leaner cost structure*. This quarter marked another important step forward with increased engagement with Aerospace and Defense customers, the launch of EdgeFabric.ai and continued expansion in targeted platforms. At the same time, our core network infrastructure business delivered solid growth and margins in focus areas, demonstrating consistent execution and strengthening our diversified model.

I'll now pass it to Brent to cover financial results. Brent?

**Brent Stringham:** 

Thanks, Saleel.

With the business off to a strong start in fiscal 2026, I'll walk through our first quarter financial results, discuss the key drivers behind our performance, and then provide our outlook for the second quarter.

As Saleel mentioned, in the first quarter, we delivered revenue of $29.8 million, an increase of 3% from the prior quarter, and approximately 3% higher than the same period last year, when excluding the impact of Gridspertise. The sequential growth was primarily driven by strength in some of our Network Infrastructure products, continuing to highlight our diversified revenue base.

Turning to margins…

In the first quarter, GAAP gross margin was 44.8%, up from 40.0% last quarter and 42.1% a year ago. On a non-GAAP basis, gross margin was 45.3%, an improvement from 40.6% in Q4 and 42.6% in the prior year quarter. The increase reflects a more favorable product mix, lower inventory charges, and benefits from certain royalties.

We're encouraged by the continued strength in our underlying margin performance, supported by a higher mix of premium products and disciplined cost management. Looking ahead, we expect gross margin to remain healthy and generally consistent with first-half fiscal 2025 levels.

We continue to proactively manage our global footprint in a dynamic trade environment, and we are closely monitoring evolving tariff and trade developments. We're also working closely with customers to help them adapt to changing cross-border requirements.

Turning to expenses and profitability…

GAAP operating expenses in the first quarter of fiscal 2026 were $14.9 million, up less than 2% from the prior quarter and down 10% from $16.6 million in the year-ago period.

GAAP net loss for the first quarter of fiscal 2026 was $1.4 million, or 4 cents per share, compared to GAAP net loss of $2.5 million, or 7 cents per share, in the year-ago quarter. On a non-GAAP basis, we reported net income of $1.5 million, or 4 cents per share, compared to non-GAAP net income of $400 thousand, or 1 cent per share, in the prior quarter.

Turning to the balance sheet……

&nbsp;&nbsp;&nbsp;&nbsp;· Net inventories were $26.7 million as of September 30, 2025, compared to
$26.4 million in the prior quarter and $29.5 million in the year-ago quarter.

&nbsp;&nbsp;&nbsp;&nbsp;· We ended the quarter with cash and cash equivalents of $22.2 million, an
increase of over $2 million from the prior quarter. During the first quarter, we also generated positive operating cash flow of approximately
$3.6 million.

&nbsp;&nbsp;&nbsp;&nbsp;· As we noted on our last call, in August, we refinanced our term debt into
an asset-backed line of credit with the same lender. During the quarter, we paid down another $1 million of our outstanding debt, leaving
a remaining balance of approximately $10.7 million as of September 30, 2025, and a corresponding net cash position of $11.5 million.

Now turning to our outlook for the second quarter of fiscal 2026, which ends December 31, 2025:

&nbsp;&nbsp;&nbsp;&nbsp;· We expect revenue to be in the range of $28 million to $32 million.

&nbsp;&nbsp;&nbsp;&nbsp;· Non-GAAP EPS is expected to be in the range of 2 to 4 cents per share.

With that, I'll turn the call back to Saleel for closing remarks.

**Saleel Awsare (Section 2):**

Thanks, Brent. To close, fiscal 2026 is off to a strong start, and we remain confident in the trajectory ahead.

At the midpoint, our Q2 guidance implies sequential revenue growth and nearly 20% year-over-year growth excluding Gridspertise, together with another quarter of solid profitability. This outlook reflects the operating leverage and cost discipline we established last year, while enabling continued investment in our highest-growth opportunities.

We're encouraged by the sustained momentum across our drone and asset monitoring platforms, driven by new customer programs and growing adoption of our integrated AI solutions. At the same time, our core network infrastructure business is performing well, with steady demand in out-of-band management and strong contributions from switches and device servers — supported by healthy enterprise and industrial connectivity demand as we approach the calendar year-end.

With robust industry tailwinds, a strong balance sheet, and disciplined execution, we believe we are well-positioned to deliver growth and profitability in fiscal 2026 and beyond.

With that, we'll now open the call for questions.