ScanSource (SCSC) stock is soaring 5.84% in pre-market trading on Thursday, following the release of its impressive third-quarter financial results and the announcement of a new share repurchase program. The technology products distributor has outperformed market expectations, signaling strong business momentum.
The company reported adjusted earnings per share of $0.86 for Q3, significantly beating the IBES estimate of $0.78. ScanSource's quarterly sales reached $704.847 million, with a gross profit of $100.202 million. The strong financial performance is further underscored by an operating income of $22.339 million and adjusted EBITDA of $35.053 million for the quarter.
Adding to investor optimism, ScanSource announced a new $200 million share repurchase authorization, demonstrating confidence in its financial position and commitment to delivering shareholder value. Furthermore, the company provided a positive outlook, projecting mid-term net sales growth of 5% to 7.5% per year and estimating full-year net sales of approximately $3 billion. These factors combined have likely fueled the substantial pre-market stock price increase, as investors react positively to ScanSource's strong performance and forward-looking strategies.
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