Form 4: Lantronix Officer Gurusamy Reports RSU Vesting, Tax Withholding

Lantronix's Chief Product & Strategy Officer, Mathi Gurusamy, reported the vesting of restricted stock units and subsequent share disposal for tax obligations.

Summary

• Mathi Gurusamy, Chief Product & Strategy Officer of Lantronix, Inc. (LTRX), reported transactions on December 1, 2025.
• Gurusamy acquired 3,334 shares of common stock through the vesting of restricted stock units (RSUs) granted on July 1, 2024, with an exercise price of $0.
• An additional 7,975 shares of common stock were acquired through the vesting of RSUs granted on June 1, 2024, also with an exercise price of $0.
• Following these acquisitions, Gurusamy's direct beneficial ownership of common stock increased to 67,428 shares before tax withholding.
• To cover required tax withholding, 4,045 shares of Lantronix common stock were disposed of at a price of $5.21 per share.
• After the tax-related disposal, Gurusamy's direct beneficial ownership of common stock stands at 63,383 shares.
• The RSUs granted on July 1, 2024, are scheduled to vest one-third on July 1, 2025, with the remaining two-thirds vesting quarterly thereafter, fully vested by June 1, 2027.
• The RSUs granted on June 1, 2024, are scheduled to vest one-third on June 1, 2025, with the remaining two-thirds vesting quarterly thereafter, fully vested by June 1, 2027.

Sentiment

Score: 5

Explanation: The filing reports routine insider transactions related to executive compensation (RSU vesting and tax withholding). These events are generally neutral in sentiment as they are pre-scheduled and do not indicate discretionary buying or selling based on new information.

Positives

• The vesting of Restricted Stock Units (RSUs) represents a form of compensation for the Chief Product & Strategy Officer, aligning executive interests with shareholder value.
• The increase in direct beneficial ownership of common stock (before tax withholding) indicates continued equity stake by a key executive.

Negatives

• The disposal of 4,045 shares of common stock was solely for tax withholding purposes, a routine event associated with RSU vesting, and does not reflect a discretionary sale by the executive.

Future Outlook

The filing details future vesting schedules for the Restricted Stock Units, indicating that the remaining two-thirds of the granted RSUs will vest quarterly starting September 1, 2025, with full vesting expected by June 1, 2027.

Industry Context

This Form 4 filing is a routine disclosure of an insider transaction, specifically the vesting of executive compensation in the form of restricted stock units and the subsequent sale of shares to cover tax liabilities. Such transactions are common across all industries for publicly traded companies and do not inherently reflect specific industry trends or competitive positioning.

Stakeholder Impact

• Shareholders: The vesting of RSUs and subsequent tax-related share disposal are routine events that do not typically have a significant direct impact on the broader shareholder base or share price. It reflects ongoing executive compensation practices.
• Employees: The RSU vesting demonstrates the company's commitment to equity-based compensation for its executives, which can be a positive signal for other employees regarding compensation structures.

Next Steps

• Continued quarterly vesting of the remaining two-thirds of RSUs granted on July 1, 2024, starting September 1, 2025.
• Continued quarterly vesting of the remaining two-thirds of RSUs granted on June 1, 2024, starting September 1, 2025.
• Full vesting of all mentioned RSUs by June 1, 2027.

Key Dates

Keywords

Lantronix, LTRX, Insider Transaction, Form 4, Restricted Stock Units, RSU Vesting, Executive Compensation, Share Ownership, Tax Withholding