Exhibit 99.1

Lantronix Reports Fiscal Fourth Quarter and Full Year 2025 Financial Results

IRVINE, Calif., Aug. 27, 2025 – Lantronix Inc. (NASDAQ: LTRX), a global leader in compute and connectivity IoT solutions enabling Edge AI Intelligence, today reported results for the fiscal fourth quarter and full year ended June 30, 2025.

Management Commentary

“Fiscal 2025 was a year of strategic transformation for Lantronix, one in which we executed with discipline, streamlined our operations and made targeted investments in high-value markets,” said Saleel Awsare, president and CEO of Lantronix. “We strengthened our foundation for sustainable, profitable growth by aligning our resources with our highest-impact opportunities, enhancing supply chain resilience and advancing our platform capabilities. Recent design wins in drones, commercial Edge AI solutions and network infrastructure highlight our evolution into a strategic platform partner, helping customers accelerate intelligence at the edge. With expanding customer engagements, growing momentum across our Edge IoT and Network Infrastructure growth vectors as well as increasing operating leverage in our model, we enter fiscal 2026 well-positioned to capture multi-year, high-margin opportunities and maximize value for our shareholders.”

Q4 FY2025 Financial Results

FY2025 Financial Results

Q4 FY2025 and Recent Business Highlights

Q1 FY2026 Financial Outlook

Conference Call and Webcast

Management will host an investor conference call and audio webcast today (Wednesday, Aug. 27, 2025) at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss its results for the fiscal fourth quarter and full year of 2025. 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 2025 fourth-quarter call.

Investors can access a conference call replay starting at approximately 5:00 p.m. Pacific Time on Aug. 27, 2025, on the Lantronix website. A telephonic replay will also be available through Sept. 3, 2025, by dialing 1-877-344-7529 (US) or 1-412-317-0088 (international) or Canada Toll-Free 855-669-9658 and entering passcode 3326088.

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 Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2025, filed with the Securities and Exchange Commission (the “SEC”) on May 9, 2025, including in the section entitled “Risk Factors” in Item 1A of Part II of such report; in our Annual Report on Form 10-K for the fiscal year ended June 30, 2025, to be filed with the SEC on or about 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.

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Lantronix Analyst and Investor Contact:

[email protected]

LANTRONIX, INC.

Unaudited Consolidated Balance Sheets

(In thousands, except share and par value data)

LANTRONIX, INC.

Unaudited Consolidated Statements of Operations

(In thousands, except per share data)

LANTRONIX, INC.

Unaudited Reconciliation of Non-GAAP Adjustments

(In thousands)

LANTRONIX, INC.

Unaudited Net Revenues by Product Line and Region

(In thousands)

Exhibit 99.2

FYQ4’25 COMBINED Script

Intro: Brent Stringham

Good afternoon, and thank you for joining our fiscal fourth quarter and full year 2025 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:

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

Fiscal 2025 marked a turning point for Lantronix — a year of disciplined execution, meaningful transformation, and building the foundation for sustainable, long-term growth. That progress was evident in our fourth quarter results, with revenue of $28.8 million and non-GAAP EPS of $0.01, both well within our quarterly guidance range. These results reflect a return to growth in our core revenue base, excluding the impact of Gridspertise, our EMEA smart grid customer.

As we enter the new fiscal year, we see powerful industry dynamics creating significant opportunities for Lantronix. We believe we are entering a multi-year growth cycle for unmanned aerial systems, supported by record defense funding and favorable regulatory momentum. According to the U.S. Department of Defense, more than $13 billion is earmarked for unmanned platforms in 2026, with an increased focus on secure, U.S.-made technologies. We believe the demand environment for our solutions has never been stronger.

Against this backdrop of growing demand, we are beginning to see meaningful traction in the market, highlighted by our most recent win with Red Cat’s Teal Drones, which we formally announced last week. We’ve been collaborating with their team for some time, and our TAA- and NDAA-compliant solution now powers Teal’s Black Widow drones for the U.S. Army’s Short-Range Reconnaissance Program. As a Blue UAS-approved platform, this program highlights both the rigor of the qualification process and the mission-critical role of our technology. We began shipments in the June quarter, generating initial revenue and strengthening visibility into fiscal 2026.

We believe our competitive edge lies in our deep camera expertise — military and other high performance drone requirements include advanced camera tuning, sensor fusion, and complex software integration — capabilities we have refined over many years. Equally important, being North America-based and fully compliant with NDAA and TAA regulations further positions us as a trusted supplier to OEMs and defense contractors engaged in U.S. government programs. Red Cat’s Teal Drones exemplifies how our secure edge compute solutions drive long-term growth opportunities in the drone market.

Beyond defense, our partnership with Aerora highlights our ability to deliver high-performance Edge AI solutions for commercial drone applications. By combining our compute module with Teledyne FLIR’s thermal camera and Prism’s AI software, we enable more intelligent, real-time decision-making for applications like autonomous flight, surveillance, and industrial inspection. Early market feedback has been very positive, and we expect revenue contribution from these solutions to begin in fiscal 2026.

Looking ahead, we see broader industry trends, including government investment and rising demand for U.S.-based suppliers, creating a strong runway for both defense and commercial growth.

Moving to our next win, we recently signed a multi-year agreement with a major U.S. mobile carrier to provide devices and services as they modernize over 50,000 backup power systems at wireless cell sites nationwide. This win is a strong validation of our edge infrastructure strategy, enabling resilient network uptime, improved lifecycle management, and real-time operational visibility across thousands of distributed locations. So far, we’ve booked nearly all the initial units and have begun shipping in the June quarter, with additional orders expected as the rollout continues. We believe this is a long-term opportunity with this customer, and expect additional volume beyond this initial deployment, reflecting the depth of our relationship and the strategic nature of this program.

In addition to the sizable hardware deployment, this design win also incorporates our Percepxion platform, enabling remote monitoring and ongoing management of connected assets. As these devices are brought online, we expect they will contribute to our growing base of high-margin annual recurring revenue. This win also opens the door to broader collaboration with the carrier over time, including additional software-enabled services and potential expansion across their larger network footprint.

These types of wins highlight our transition from a traditional hardware supplier to a strategic platform partner, helping customers accelerate intelligence at the edge. This evolution positions us to capture a larger share of customer wallet, deepen long-term relationships, and embed our solutions more directly into their critical operations. By moving up the value chain, we are not only expanding revenue opportunities but also creating a stickier, higher-margin business over time.

Turning to our growth outlook…

As we turn the corner into a new fiscal year, we’re seeing growing momentum fueled by recent design wins that are expanding our customer base and enhancing the predictability of our business. This diversification marks an important step forward as we move past the impact of Gridspertise and underscores the underlying strength of our core platform.

Q1 is off to a strong start, with healthy engagement from both new and existing customers across multiple verticals. Our core business has stabilized and is now positioned to deliver growth over the longer term. At the same time, we’re beginning to see encouraging traction in our Edge AI strategy.

Looking ahead, our visibility into fiscal 2026 has improved, supported by momentum across the two strategic pillars of our platform: Edge IoT — spanning compute and connectivity — and Network Infrastructure, encompassing Out-of-Band management and networking solutions. This momentum is being driven by:

Together, these initiatives reinforce our ability to scale profitably and capture long-term opportunities at the intelligent edge. With that, I’ll turn the call over to Brent to provide more detail on our financial performance.

Brent?

Brent Stringham:

Thanks, Saleel.

Building on that strategic context, I’ll now walk through our fourth quarter and fiscal 2025 financial results, highlight the key drivers behind our performance, and provide our outlook for the first quarter of fiscal 2026.

Looking back on fiscal 2025, we delivered revenue of $123 million, reflecting the transition from a record fiscal 2024 to a more normalized revenue base. As we’ve noted before, fiscal 2024 included a significant contribution from Gridspertise, which accounted for roughly 25% of revenue that year.

In fiscal 2025, we recognized just over $11 million from Gridspertise in the first half, with minimal revenue contribution in the second half of the year as the customer continued to work through its prior deployments. Excluding this customer, our core revenue base stabilized in the second half of the year, and the operational discipline we’ve driven over the last 12 months positions us for more sustainable and diversified growth in fiscal 2026.

In the fourth quarter of fiscal 2025, we delivered revenue of $28.8 million, a sequential increase from $28.5 million in the prior quarter, and approximately 4% higher than fiscal Q4 2024 when excluding the impact of Gridspertise. This growth, driven by continued momentum in our Edge IoT products, underscores the strength of our core platform and the benefits of a more diversified revenue base.

Turning to margins…

In the fourth quarter, GAAP gross margin was 40.0%, compared to 43.5% in the prior quarter and 38.1% in the year-ago period. On a non-GAAP basis, gross margin was 40.6%, versus 44.1% last quarter and 38.8% in the year-ago quarter. The sequential decline primarily reflects inventory charges for aged inventory and higher duties and tariffs incurred in the quarter.

Despite these temporary impacts, margins remain above the year-ago period, reflecting benefits from our ongoing cost and supply chain initiatives as well as a favorable product mix. As we continue to carefully manage our inventories and the impact of tariffs, we expect gross margins to recover to the levels we achieved in the first half of fiscal 2025.

We’ve made strong progress on our 90-day plan to further improve our cost structure and supply chain efficiency. As of today, the vast majority of U.S.-bound products are now manufactured outside of China, reducing costs and minimizing potential tariff exposure going forward.

Turning to expenses and profitability…

GAAP operating expenses in the fourth quarter of fiscal 2025 were $14.7 million, down from $16.0 million in the prior quarter and $18.2 million in the year-ago period.

GAAP net loss for the fourth quarter of fiscal 2025 was $2.6 million, or 7 cents per share, compared to GAAP net income of $400 thousand, or 1 cent per share, in the year-ago quarter. GAAP results for both the fiscal fourth quarter and full year include restructuring charges of $900,000 and $3.5 million, respectively, related to the cost-reduction initiatives we executed during the year. On a non-GAAP basis, we reported net income of just under $400,000, or 1 cent per share, compared to non-GAAP net income of $1.1 million, or 3 cents per share, in the prior quarter.

The cost reductions that we have discussed in recent quarters continue to benefit our P&L, with non-GAAP operating expenses down by just under $200,000 from the prior quarter and approximately $1.9 million compared to the year-ago quarter.

Importantly, the proactive steps we took have reduced just over $4 million of costs relative to fiscal 2024, and the implemented efficiency measures have created a leaner operating structure and meaningful leverage in our model. We streamlined our operations, optimized our supply chain, and reduced operating expenses while continuing to invest in strategic growth initiatives. These actions allowed us to maintain profitability on a non-GAAP basis despite the year-over-year revenue decline.

Turning to the balance sheet……

We also recently refinanced this term debt into an asset-backed line of credit with the same lending partner. This refinancing reduces interest expense, provides greater flexibility on principal repayments, and extends the maturity to August 2028. Together with our debt reduction efforts, these actions strengthen liquidity and improve the efficiency of our capital structure.

Now turning to our outlook for the first quarter of fiscal 2026, which ends September 30, 2025:

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

Saleel Awsare:

Thanks, Brent.

To close, fiscal 2025 was a year of transformation for Lantronix — one in which we built a strong foundation for profitable growth and positioned the Company to capitalize on high-value opportunities in Edge AI and infrastructure modernization.

We reshaped our global operations, establishing four Centers of Excellence, streamlined our cost structure, and strengthened our balance sheet. We successfully integrated the NetComm IoT acquisition and deepened our strategic partnership with Qualcomm, expanding our capabilities in Edge IoT and AI-driven innovation.

On top of this, we proactively mitigated tariff exposure and re-aligned our supply chain, actions that reduce risk and support improved gross margin performance going forward.

Collectively, these initiatives have focused our resources on the highest impact opportunities, embedded meaningful operating leverage into our model, and strategically repositioned Lantronix to scale with sustained profitability as we enter fiscal 2026.

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