Overview
ScanSource fiscal Q1 net sales decline 4.6%, missing analyst expectations
Non-GAAP diluted EPS for fiscal Q1 beats consensus, growing 26.2% yr/yr
Gross profit margin improved to 14.5% from 13.1% due to favorable sales mix
Outlook
ScanSource reaffirms FY26 net sales guidance of $3.1 bln to $3.3 bln
Company expects FY26 adjusted EBITDA between $150 mln and $160 mln
ScanSource anticipates FY26 free cash flow of at least $80 mln
Result Drivers
SALES DECLINE - Net sales decreased 4.6% due to lower large deals in Specialty Technology Solutions
GROSS PROFIT MARGIN - Improved to 14.5% from 13.1% due to favorable supplier program recognition and sales mix
ACQUISITION IMPACT - Intelisys & Advisory net sales increased 4.0% due to the addition of an acquisition
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Sales | Miss | $739.65 mln | $787.37 mln (3 Analysts) |
Q1 Adjusted EPS | Beat | $1.06 | $0.93 (4 Analysts) |
Q1 Adjusted Net Income | $23.69 mln | ||
Q1 Adjusted EBITDA | $38.59 mln | ||
Q1 Gross Profit | $107.47 mln | ||
Q1 Operating Income | $25.90 mln |
Press Release: ID:nBw6ff4yZa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)