Revenue has contracted significantly to $30.2 million in 2026Q3, while structural constraints keep gross margins capped near 41.4%, preventing the company from achieving positive operating margins.
| Metric | TTM | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 | Jun'10 | Jun'09 | Jun'08 | Jun'07 | Jun'06 | Jun'05 | Jun'04 | Jun'03 | Jun'02 | Jun'01 | Jun'00 | Jun'99 |
|---|
| Sales/Revenue | 118.58M | 122.92M | 160.33M | 131.19M | 129.66M | 71.48M | 59.88M | 46.89M | 45.58M | 44.73M | 40.59M | 42.95M | 44.55M | 46.66M | 45.38M | 49.32M | 46.38M | 49.15M | 57.59M | 55.31M | 51.94M | 48.5M | 48.88M | 49.51M | 57.65M | 55.2M | 44.98M | 32.98M |
| Revenue Growth % | -17.17% | -23.33% | 22.21% | 1.18% | 81.39% | 19.37% | 27.7% | 2.87% | 1.9% | 10.19% | -5.48% | -3.59% | -4.52% | 2.81% | -7.99% | 6.35% | -5.64% | -14.65% | 4.12% | 6.47% | 7.09% | -0.78% | -1.26% | -14.12% | 4.43% | 22.73% | 36.37% | - |
| Cost of Goods Sold | 69.01M | 71.22M | 95.97M | 74.92M | 74.07M | 38.45M | 32.98M | 20.62M | 20.21M | 21.15M | 21.21M | 22.65M | 22.26M | 24.55M | 23.24M | 24.91M | 22.26M | 23.48M | 28.52M | 26.96M | 25.28M | 24.33M | 25.03M | 37.6M | 40.51M | 26.58M | 20.18M | 15.85M |
| COGS % of Revenue | - | 57.94% | 59.86% | 57.11% | 57.13% | 53.8% | 55.08% | 43.97% | 44.34% | 47.28% | 52.26% | 52.74% | 49.97% | 52.63% | 51.2% | 50.5% | 47.99% | 47.77% | 49.52% | 48.75% | 48.66% | 50.15% | 51.19% | 75.95% | 70.27% | 48.16% | 44.88% | 48.06% |
| Gross Profit | 49.58M | 51.7M | 64.35M | 56.26M | 55.59M | 33.02M | 26.9M | 26.27M | 25.37M | 23.58M | 19.38M | 20.3M | 22.29M | 22.1M | 22.15M | 24.41M | 24.12M | 25.67M | 29.07M | 28.34M | 26.67M | 24.18M | 23.86M | 11.91M | 17.14M | 28.62M | 24.79M | 17.13M |
| Gross Margin % | 41.81% | 42.06% | 40.14% | 42.89% | 42.87% | 46.2% | 44.92% | 56.03% | 55.66% | 52.72% | 47.74% | 47.26% | 50.03% | 47.37% | 48.8% | 49.5% | 52.01% | 52.23% | 50.48% | 51.25% | 51.34% | 49.85% | 48.81% | 24.05% | 29.73% | 51.84% | 55.12% | 51.94% |
| Gross Profit Growth % | - | -19.66% | 14.38% | 1.22% | 68.31% | 22.77% | 2.39% | 3.57% | 7.58% | 21.68% | -4.53% | -8.92% | 0.84% | -0.21% | -9.29% | 1.23% | -6.04% | -11.69% | 2.56% | 6.28% | 10.3% | 1.33% | 100.39% | -30.52% | -40.12% | 15.43% | 44.73% | - |
| Operating Expenses | 56.02M | 62.7M | 67.22M | 62.94M | 60.6M | 36.36M | 37.44M | 24.93M | 24.56M | 23.76M | 21.31M | 22.96M | 23.1M | 24.53M | 24.65M | 29.48M | 25.45M | 25.48M | 30.91M | 30.77M | 31.18M | 31.16M | 31.6M | 52.82M | 107.67M | 33.07M | 23.18M | 13.36M |
| OpEx % of Revenue | - | 51.01% | 41.92% | 47.98% | 46.74% | 50.87% | 62.52% | 53.17% | 53.89% | 53.13% | 52.49% | 53.47% | 51.86% | 52.57% | 54.31% | 59.77% | 54.87% | 51.84% | 53.67% | 55.63% | 60.03% | 64.24% | 64.64% | 106.68% | 186.77% | 59.92% | 51.53% | 40.5% |
| Selling, General & Admin | 35.91M | 34.89M | 38.81M | 35.93M | 34.24M | 20.81M | 19.58M | 15.66M | 16.16M | 15.34M | 13.6M | 15.82M | 16.06M | 17.34M | 17.68M | 22.37M | 19.04M | 19.52M | 23.89M | 23.24M | 24.2M | 24.78M | 23.64M | 34.69M | 46.35M | 27.1M | 17.56M | 9.77M |
| SG&A % of Revenue | - | 28.38% | 24.21% | 27.38% | 26.41% | 29.11% | 32.7% | 33.4% | 35.46% | 34.3% | 33.5% | 36.85% | 36.05% | 37.17% | 38.97% | 45.36% | 41.05% | 39.71% | 41.49% | 42.03% | 46.6% | 51.09% | 48.36% | 70.07% | 80.4% | 49.1% | 39.04% | 29.62% |
| Research & Development | 17.56M | 18.6M | 20.28M | 19.63M | 17.69M | 11.11M | 9.69M | 9.08M | 8.06M | 7.96M | 6.91M | 6.92M | 6.75M | 6.75M | 6.91M | 7.03M | 6.34M | 5.89M | 6.94M | 7.36M | 6M | 6.31M | 7.81M | 10.41M | 9.22M | 4.48M | 3.19M | 2.62M |
| R&D % of Revenue | - | 15.13% | 12.65% | 14.96% | 13.64% | 15.55% | 16.18% | 19.36% | 17.69% | 17.8% | 17.02% | 16.12% | 15.14% | 14.46% | 15.23% | 14.26% | 13.67% | 11.98% | 12.06% | 13.31% | 11.55% | 13.02% | 15.98% | 21.03% | 16% | 8.11% | 7.08% | 7.93% |
| Other Operating Expenses | 1.81M | 9.22M | 8.12M | 7.39M | 8.67M | 4.44M | 8.16M | -15K | -8K | -3K | 61K | 0 | -28K | -18K | 54K | 72K | 72K | 72K | 72K | 162K | 980K | 65K | 148K | 7.71M | 52.09M | 1.49M | 2.43M | 973K |
| Operating Income | -6.44M | -11M | -2.86M | -6.67M | -5.01M | -3.34M | -10.54M | 2.71M | 804K | -183K | -1.93M | -2.67M | -816K | -2.64M | -2.79M | -5.06M | -1.33M | -614K | -2.6M | -2.42M | -4.5M | -6.98M | -5.65M | -46.62M | -95M | -7.05M | 1.61M | 3.77M |
| Operating Margin % | -5.43% | -8.95% | -1.79% | -5.09% | -3.86% | -4.67% | -17.6% | 5.78% | 1.76% | -0.41% | -4.75% | -6.21% | -1.83% | -5.65% | -6.14% | -10.27% | -2.86% | -1.25% | -4.51% | -4.38% | -8.66% | -14.4% | -11.56% | -94.17% | -164.8% | -12.78% | 3.59% | 11.44% |
| Operating Income Growth % | - | -284.38% | 57.12% | -33.19% | -50.16% | 68.33% | -488.86% | 237.06% | 539.34% | 90.51% | 27.68% | -226.72% | 69.07% | 5.38% | 44.94% | -281.61% | -116.12% | 76.36% | -7.09% | 46.09% | 35.6% | -23.63% | 87.88% | 50.93% | -1247.18% | -537.2% | -57.25% | - |
| EBITDA | -2.28M | -4.97M | 4.62M | 865K | 1.61M | 574K | -7.73M | 3.17M | 1.25M | 411K | -1.17M | -1.79M | 79K | -1.79M | -1.8M | -3.92M | -309K | 265K | -1.94M | -1.95M | -3.48M | -4.88M | -1.69M | -39.12M | -88.78M | -4.43M | 4.05M | 4.75M |
| EBITDA Margin % | -1.92% | -4.04% | 2.88% | 0.66% | 1.24% | 0.8% | -12.91% | 6.77% | 2.73% | 0.92% | -2.88% | -4.16% | 0.18% | -3.83% | -3.97% | -7.95% | -0.67% | 0.54% | -3.37% | -3.53% | -6.71% | -10.05% | -3.45% | -79.01% | -154.02% | -8.03% | 9% | 14.39% |
| EBITDA Growth % | -427.84% | -207.61% | 433.53% | -46.17% | 179.97% | 107.42% | -343.64% | 154.74% | 203.16% | 135.16% | 34.62% | -2363.29% | 104.42% | 0.78% | 54.09% | -1168.93% | -216.6% | 113.64% | 0.46% | 43.97% | 28.55% | -188.86% | 95.68% | 55.94% | -1902.8% | -209.54% | -14.73% | - |
| D&A (Non-Cash Add-back) | 4.16M | 6.04M | 7.48M | 7.54M | 6.62M | 3.91M | 2.81M | 464K | 442K | 594K | 759K | 878K | 895K | 852K | 988K | 1.14M | 1.02M | 879K | 654K | 473K | 1.01M | 2.11M | 3.96M | 7.51M | 6.22M | 2.62M | 2.43M | 973K |
| EBIT | -6.4M | -11.1M | -2.85M | -6.75M | -5.72M | -3.53M | -4.41M | 1.34M | 1.31M | 63K | -1.87M | -2.67M | -873K | -2.62M | -2.87M | -5.06M | -1.35M | -595K | -1.84M | -2.42M | -4.51M | -6.98M | -7.74M | -30.91M | -88.09M | -8.54M | 1.61M | 3.77M |
| Net Interest Income | -133K | -511K | -916K | -1.49M | -1.47M | -315K | -133K | 236K | -18K | -23K | -32K | -17K | -28K | -59K | -97K | -123K | -149K | -186K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 106K | 236K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 133K | 511K | 916K | 1.49M | 1.47M | 315K | 239K | 0 | 18K | 23K | 32K | 17K | 28K | 59K | 97K | 123K | 149K | 186K | 0 | 0 | 46K | 0 | 0 | 0 | 1.55M | 0 | 0 | 0 |
| Other Income/Expense | -442K | -611K | -909K | -1.56M | -2.18M | -512K | -56K | -1.61M | -26K | -26K | 29K | -47K | -56K | -77K | -179K | -151K | -168K | -167K | -30K | 736K | 1.42M | 153K | -3.19M | -678K | 788K | -2.07M | 91K | 111K |
| Pretax Income | -6.89M | -11.61M | -3.77M | -8.23M | -7.19M | -3.85M | -10.59M | -267K | 778K | -209K | -1.9M | -2.71M | -872K | -2.71M | -2.97M | -5.21M | -1.5M | -781K | -2.63M | -1.69M | -3.08M | -6.83M | -10.93M | -47.3M | -94.22M | -5.04M | 1.7M | 3.88M |
| Pretax Margin % | -5.81% | -9.45% | -2.35% | -6.27% | -5.55% | -5.38% | -17.69% | -0.57% | 1.71% | -0.47% | -4.68% | -6.32% | -1.96% | -5.82% | -6.54% | -10.57% | -3.22% | -1.59% | -4.56% | -3.05% | -5.92% | -14.08% | -22.36% | -95.54% | -163.44% | -9.13% | 3.79% | 11.78% |
| Income Tax | -343K | -239K | 745K | 748K | -1.83M | 195K | 144K | 141K | 98K | 68K | 63K | 58K | 61K | 54K | 73K | 56K | 24K | -1K | -119K | 34K | -31K | 229K | -325K | 250K | -6.67M | -662K | 649K | 1.1M |
| Effective Tax Rate % | 4.98% | 2.06% | -19.76% | -9.09% | 25.47% | -5.07% | -1.36% | -52.81% | 12.6% | -32.54% | -3.32% | -2.14% | -7% | -1.99% | -2.46% | -1.07% | -1.61% | 0.13% | 4.53% | -2.01% | 1.01% | -3.35% | 2.97% | -0.53% | 7.07% | 13.14% | 38.09% | 28.27% |
| Net Income | -6.54M | -11.37M | -4.52M | -8.98M | -5.36M | -4.04M | -10.74M | -408K | 680K | -277K | -1.96M | -2.77M | -933K | -2.77M | -3.04M | -5.27M | -1.52M | -780K | -2.51M | -1.72M | -3.04M | -7M | -15.65M | -47.55M | -93.46M | -4.38M | 1.05M | 2.79M |
| Net Margin % | -5.52% | -9.25% | -2.82% | -6.85% | -4.14% | -5.66% | -17.93% | -0.87% | 1.49% | -0.62% | -4.83% | -6.45% | -2.09% | -5.94% | -6.7% | -10.69% | -3.28% | -1.59% | -4.36% | -3.12% | -5.86% | -14.44% | -32.02% | -96.04% | -162.12% | -7.93% | 2.35% | 8.45% |
| Net Income Growth % | 21.7% | -151.84% | 49.71% | -67.47% | -32.59% | 62.34% | -2531.86% | -160% | 345.49% | 85.88% | 29.2% | -197% | 66.31% | 8.91% | 42.33% | -247% | -94.74% | 68.9% | -45.56% | 43.42% | 56.52% | 55.26% | 67.08% | 49.12% | -2036.16% | -514.69% | -62.13% | - |
| Net Income (Continuing) | -6.54M | -11.37M | -4.52M | -8.98M | -5.36M | -4.04M | -10.74M | -408K | 680K | -277K | -1.96M | -2.77M | -933K | -2.77M | -3.04M | -5.27M | -1.52M | -780K | -2.51M | -1.72M | -3.04M | -7.06M | -10.61M | -37.43M | -84.11M | -7.25M | 1.05M | 2.79M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 68K |
| EPS (Diluted) | -0.17 | -0.29 | -0.12 | -0.25 | -0.16 | -0.14 | -0.42 | -0.02 | 0.04 | -0.02 | -0.13 | -0.19 | -0.06 | -0.19 | -0.27 | -0.51 | -0.15 | -0.08 | -0.25 | -0.17 | -0.31 | -0.72 | -1.65 | -5.25 | -10.91 | -0.71 | 0.18 | 0.60 |
| EPS Growth % | 22.98% | -141.67% | 52% | -56.25% | -14.29% | 66.67% | -2122.22% | -153.24% | 323.27% | 87.77% | 31.58% | -198.27% | 66.47% | 29.63% | 47.06% | -240% | -93.8% | 69.04% | -47.06% | 45.16% | 56.94% | 56.36% | 68.57% | 51.88% | -1436.62% | -494.44% | -70% | - |
| EPS (Basic) | - | -0.29 | -0.12 | -0.25 | -0.16 | -0.14 | -0.42 | -0.02 | 0.04 | -0.02 | -0.13 | -0.19 | -0.06 | -0.19 | -0.27 | -0.51 | -0.15 | -0.08 | -0.25 | -0.17 | -0.31 | -0.72 | -1.65 | -5.25 | -10.91 | -0.71 | 0.24 | 0.60 |
| Diluted Shares Outstanding | 39.47M | 38.61M | 37.39M | 36.26M | 32.67M | 28.71M | 25.28M | 21.58M | 19.16M | 17.45M | 15.26M | 14.9M | 14.66M | 14.57M | 11.25M | 10.43M | 10.28M | 10.08M | 10.02M | 9.93M | 9.78M | 9.73M | 9.48M | 9.05M | 8.57M | 6.16M | 5.7M | 4.81M |
| Basic Shares Outstanding | 39.47M | 38.61M | 37.39M | 36.26M | 32.67M | 28.71M | 25.28M | 21.58M | 19.16M | 17.45M | 15.26M | 14.9M | 14.66M | 14.57M | 11.25M | 10.43M | 10.28M | 10.08M | 10.02M | 9.93M | 9.78M | 9.7M | 9.48M | 9.05M | 8.57M | 6.16M | 4.88M | 4.5M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Persistent negative operating margins
According to the latest quarterly filings, Lantronix experienced a significant revenue decline from a peak of $49.1 million in 2024Q4 to $30.2 million in 2026Q3, reflecting a volatile trajectory that suggests the company is struggling to maintain momentum in its core IoT hardware deployments.
The sharp revenue drop following the 2024 fiscal year-end indicates that the company's reliance on lumpy, project-based hardware sales leaves it highly vulnerable to cyclical industrial spending patterns. While the most recent quarter shows a modest 5.9% year-over-year growth, this appears to be a stabilization from a low base rather than a return to sustainable, long-term expansion.
As reported in financial statements, Lantronix maintains gross margins hovering near 42%, a level that appears structurally capped by the company's heavy reliance on third-party semiconductor providers and contract manufacturing for its IoT compute and connectivity hardware offerings.
The inability to consistently push gross margins significantly higher suggests that the company lacks the pricing power necessary to offset the costs of its specialized hardware components. Investors should monitor whether the transition toward higher-margin SaaS offerings can eventually break this ceiling, as current hardware-heavy revenue mixes continue to constrain overall profitability.
Based on the provided income statement data, Lantronix continues to grapple with negative operating leverage, as the company's fixed operating expenses, particularly in R&D and SG&A, remain disproportionately high relative to the current, diminished revenue base of approximately $30 million per quarter.
The persistence of negative operating margins, which reached -12.6% in 2025Q3, indicates that the company has not yet achieved the necessary scale to absorb its fixed cost structure. This suggests that until revenue growth accelerates meaningfully, the company will likely remain trapped in a cycle of operating losses that necessitates careful cash management.
Analysis of recent SEC filings reveals that Lantronix's net income is consistently pressured by significant stock-based compensation expenses, which reached $1.8 million in 2026Q1, further complicating the path to GAAP profitability for shareholders already facing recurring quarterly net losses.
The consistent use of stock-based compensation during periods of negative net income suggests that the company is relying on equity-based incentives to manage cash outflows. This practice warrants further investigation by investors, as it effectively dilutes existing shareholders while the core business struggles to generate positive bottom-line results.
Based on reported figures, the primary risk to the investment thesis is the company's inability to achieve consistent profitability, as evidenced by the string of quarterly net losses that have persisted despite management's strategic pivot toward high-compute IoT and edge AI solutions.
Short-sellers would likely focus on the potential for further inventory write-downs and the risk that the company's 'design-in' moat is insufficient to protect against larger, better-capitalized competitors. If the transition to a recurring SaaS model fails to gain traction, the company may face a difficult choice between further dilutive financing or aggressive, potentially damaging, cost-cutting measures.
Quick answers to the most common questions about buying LTRX stock.
For fiscal year 2025, Lantronix, Inc. (LTRX) reported total revenue of $122.9M. This represents a 272.7% increase compared to $33.0M in 1999.
Lantronix, Inc. (LTRX) reported a net loss of $11.4M for the fiscal year ending 2025.
Lantronix, Inc. (LTRX) reported an operating income of $-11.0M, resulting in an operating profit margin of -8.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Lantronix, Inc. (LTRX) generated $51.7M in gross profit for the year, representing a gross profit margin of 42.1%. This demonstrates the company's core pricing power and production efficiency.