Lantronix’s unmanned systems business emerged as a meaningful new revenue source during fiscal 2026, and management expects the operation to become substantially larger during fiscal 2027.
Unmanned systems generated $12.6 million of fiscal 2026 revenue, up from what the company described as a minimal contribution during the prior year.
Lantronix now expects unmanned systems to account for approximately 15% to 20% of total company revenue in fiscal 2027.
The number of active unmanned-systems engagements increased to more than 30 at fiscal year-end from approximately 10 at the beginning of the year.
Lantronix is working across several defense and autonomous systems programs.
The company partnered with Swarmer on a custom compute platform providing more than four times the onboard AI processing power for autonomous Group 1 drones used in Ukraine, the U.S. and allied defense programs.
It also announced integrations with DoD Solution’s AURA AI autonomy platform and AVT Australia’s advanced gimballed camera payloads.
Companywide fourth-quarter revenue increased 8% year-over-year to $31.2 million, marking Lantronix’s fifth consecutive quarter of sequential revenue growth.
Full-year revenue was $120.9 million.
Lantronix ended fiscal 2026 with approximately $60 million in cash and no debt and expects double-digit revenue growth during fiscal 2027.
Recurring revenue is also becoming a larger part of the business.
Lantronix acquired Vecima Networks’ Industrial IoT business, including its Nero Global Tracking SaaS platform. Management expects the acquired operation to contribute approximately $5.3 million of annual revenue, including $4.5 million of ARR.
On a pro forma basis, the transaction lifts Software & Services to more than 10% of total company revenue.
KEY QUOTE:
“Unmanned systems grew from a minimal contribution a year ago to $12.6 million in fiscal 2026 revenue, and we expect the business to represent 15% to 20% of total revenue in fiscal 2027.”
Saleel Awsare, President and CEO of Lantronix
