SCSC

ScanSource’s first quarter performance reflected steady execution on its strategy to support channel partners amid ongoing technology market convergence. While revenue growth outpaced Wall Street expectations, management highlighted the impact of delayed large deals and a shift toward smaller, recurring run-rate orders. CEO Mike Baur attributed gross profit expansion to supplier price actions and a favorable mix, emphasizing ScanSource’s focus on “profitable growth” over pure top-line expansion. The company also noted the contribution of recent acquisitions and ongoing investments in technical capabilities. Is now the time to buy SCSC? Find out in our full research report (it’s free). Revenue: $766.8 million vs analyst estimates of $722.9 million (8.8% year-on-year growth, 6.1% beat) Adjusted EPS: $0.94 vs analyst estimates of $0.92 (1.8% beat) Adjusted EBITDA: $35.62 million vs analyst estimates of $33.23 million (4.6% margin, 7.2% beat) The company reconfirmed its revenue guidance for the full year of $3.05 billion at the midpoint EBITDA guidance for the full year is $145 million at the midpoint, above analyst estimates of $141.9 million Operating Margin: 3.1%, in line with the same quarter last year Market Capitalization: $853.8 million While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Keith Housum (Northcoast Research) questioned management on persistent top-line pressure over the past year and a half. CEO Mike Baur responded that ScanSource remains focused on profitable growth and does not believe it is losing market share, emphasizing gross profit growth as a key success measure. Keith Housum (Northcoast Research) also asked if supplier rebates and vendor payments would be sustainable. CFO Stephen Jones explained that the shift toward activity-based supplier programs should support ongoing benefits, with some margin gains linked to last year’s price actions. Guy Drummond Hardwick (Barclays) queried how supplier performance compared to ScanSource’s, noting some suppliers had revenue growth while ScanSource’s segment declined. Baur explained that supplier direct sales to end users can impact channel trends and tha...

Interested in ScanSource, Inc.? Here are five stocks we like better. ScanSource delivered a strong third quarter, with net sales and non-GAAP EPS both up 9% year over year as improved hardware demand boosted performance across most technologies, especially networking and security. Free cash flow and profitability improved materially, with the company generating $69 million in quarterly free cash flow and $119 million year to date, while adjusted EBITDA and ROIC also rose from the prior year. Management kept full-year revenue and EBITDA guidance unchanged but raised fiscal 2026 free cash flow guidance to at least $90 million, while also launching a new converged communications unit to better combine hardware and cloud offerings. ScanSource (NASDAQ:SCSC) reported stronger third-quarter results as improved hardware demand lifted sales and helped drive gains in adjusted earnings, free cash flow and return on invested capital, executives said on the company’s quarterly earnings call. Chairman and CEO Mike Baur said the company delivered “strong third quarter results,” with adjusted EBITDA, EPS, free cash flow and ROIC all increasing from the prior year. He attributed the sales improvement to better hardware demand, with net sales rising 9% year-over-year and growth across most technologies, particularly networking and security. → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% Chief Financial Officer Steve Jones said consolidated net sales and non-GAAP EPS each grew 9% from a year earlier. ScanSource also generated $69 million in free cash flow during the quarter, bringing year-to-date free cash flow to $119 million. In the Specialty Technology Solutions segment, net sales increased 9% year-over-year, led by North America hardware sales growth across most technologies, Jones said. Segment gross profit rose 10% to $81 million. → Light Speed Returns: Corning Cashes In on NVIDIA Growth Jones said approximately 15% of the segment’s gross profit came from recurring revenue, led by managed connectivity growth tied to the company’s Advantix and DataXoom acquisitions. Segment adjusted EBITDA increased 6% to $24.7 million, with an adjusted EBITDA margin of 3.3%. During the question-and-answer session, Northcoast Research analyst Keith Housum asked about improved gross margins in the Specialty Technology Solutions segment. Jones said freight costs had norm...

(Bloomberg) -- CoreWeave Inc. shares are on a scorching run in 2026 as demand for computing capacity to power artificial intelligence keeps growing. But now investors want to see some proof that the neo-cloud provider is executing on its ambitious plans. Most Read from Bloomberg Billionaire Duke of Westminster to Sell £700 Million of US Real Estate Assets US Has Opened a Passage Through Hormuz, Central Command Says DOJ Plans Intervention in Trump Supreme Court Carroll Appeal China Asks Banks to Pause New Loans to US-Sanctioned Refiner Sony to Pay Almost $4 Billion for Bieber, Neil Young Catalog The chance arrives when CoreWeave reports earnings after the bell on Thursday. Recent results from the biggest AI spenders like Alphabet Inc. and Meta Platforms Inc. made it clear that the need for computing power is insatiable as capital expenditures continue to rise. Considering the company rents access to AI infrastructure featuring the latest chips from Nvidia Corp., that plays right into its hands. “There is an insane amount of demand for AI compute,” said Tejas Dessai, director of thematic research at Global X ETFs. “The backdrop is extremely positive for CoreWeave.” Investors will be closely monitoring CoreWeave’s revenue acceleration, its outlook for the rest of the year and its backlog heading into 2027, he said. The stock is up 78% this year and a stunning 218% since the Livingston, New Jersey-based company went public in March 2025. The latest rally got going roughly a month ago as investors regained faith in the AI trade and CoreWeave announced deals with Meta, Anthropic PBC and Jane Street Group in quick succession. CoreWeave shares were down as much as 9.1% in intraday trading Thursday after rallying 7.9% on Wednesday. Of the 36 analysts tracked by Bloomberg who follow CoreWeave, 23 have buy ratings on the stock and only two have sells. But their average 12-month price target of $131 is below where the shares closed Wednesday, even though it’s been rising over the past six months. Wall Street expects the company to report revenue of nearly $2 billion in the first quarter, twice what it posted a year ago, and a loss of $1.20 per share, which would be an improvement from a loss of $1.49 a share in the first quarter of 2025. CoreWeave’s revenue backlog was nearly $67 billion as of Dec. 31, and the recent deals should raise its remaining performance obligati...

Net sales growth of 9% was primarily driven by a recovery in hardware demand, with broad-based strength across networking and security technologies. Management is launching a new Converged Communications business unit to unify Specialty Communications and Intelisys CX teams, aiming to simplify the partner experience across the full technology stack. The strategic pivot toward 'OneScanSource' is designed to help VARs capture more cloud recurring revenue while enabling Intelisys partners to attach more hardware to their deals. AI adoption is emerging as a key driver in the CX solutions space, with management highlighting use cases in both process automation and sales augmentation. Specialty Technology Solutions saw gross profit growth of 10%, supported by a mix shift toward higher-margin recurring revenue from recent acquisitions like Advantix and DataZoom. The company maintains a strong balance sheet with a net debt leverage ratio of approximately zero, providing flexibility for disciplined capital deployment and M&A. Full-year revenue and adjusted EBITDA projections remain unchanged, though the Q4 outlook assumes a cautious growth rate to avoid 'getting over skis' following a strong Q3. The fiscal year 2026 free cash flow expectation has been raised to at least $90 million, reflecting confidence in operational efficiency and cash generation. Management anticipates a 6-to-18-month lag before the new Converged Communications investments translate into visible new order growth and revenue. Strategic priorities for the next three years focus on expanding gross contributions from recurring revenue and maintaining a disciplined approach to share repurchases. The company is actively exploring acquisition opportunities to expand its technology stack and accelerate the transition toward recurring revenue models. Freight costs have normalized following a period of volatility, contributing to improved gross margins in the Specialty Technology segment. Resourcive sales experienced a decline due to the variable nature of services revenue within that business unit compared to its recurring revenue streams. Management flagged that Intelisys new order growth is not yet at the desired rate, prompting the current organizational restructuring to stimulate faster momentum. Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and...

Reaffirms Outlook for Net Sales and Adjusted EBITDA; Raises Free Cash Flow Outlook GREENVILLE, S.C., May 07, 2026--(BUSINESS WIRE)--ScanSource, Inc. (NASDAQ: SCSC), a leading technology distributor uniquely positioned to address complex, converging technologies, today announced financial results for the third quarter ended March 31, 2026. "The ScanSource team delivered strong third quarter results," said Mike Baur, Chair and CEO, ScanSource, Inc. "Our results give us confidence in our annual outlook and three-year strategic goals." Quarterly Results Net sales for the third quarter of fiscal year 2026 totaled $766.8 million, an increase of 8.8% year-over-year, or an increase of 7.6% on a non-GAAP basis. Net sales for products and services increased 9.1% year-over-year, and recurring revenue increased 3.6% year-over-year including acquisitions. For Specialty Technology Solutions, third quarter net sales of $740.8 million increased 9.2% year-over-year, driven by growth across most technologies in North America. Intelisys & Advisory net sales for the third quarter decreased 1.5% year-over-year to $26.0 million primarily from lower Resourcive sales. Gross profit for the third quarter of fiscal year 2026 increased 6.9% year-over-year to $107.1 million, with a gross profit margin of 14.0% versus 14.2% in the prior-year quarter. For the third quarter of fiscal year 2026, the percentage of gross profit from recurring revenue totaled 34.7% compared to 35.5% for the prior-year period. For the third quarter of fiscal year 2026, operating income increased to $23.1 million from $22.3 million in the prior-year quarter. Third quarter fiscal year 2026 non-GAAP operating income increased to $27.7 million from $26.6 million in the prior-year quarter. On a GAAP basis, net income for the third quarter of fiscal year 2026 totaled $16.9 million, or $0.78 per diluted share, compared to net income of $17.4 million, or $0.74 per diluted share, for the prior-year quarter. Third quarter fiscal year 2026 non-GAAP net income increased to $20.4 million, or $0.94 per diluted share, from $20.3 million, or $0.86 per diluted share, for the prior-year quarter. On a non-GAAP basis, adjusted EBITDA for the third quarter of fiscal year 2026 totaled $35.6 million, or 4.65% of net sales, compared to $35.1 million, or 4.97% of net sales, for the prior-year quarter. Balance Sheet and Cash Flow As of...

GREENVILLE, S.C. (AP) — GREENVILLE, S.C. (AP) — ScanSource Inc. (SCSC) on Thursday reported earnings of $16.9 million in its fiscal third quarter. The Greenville, South Carolina-based company said it had net income of 78 cents per share. Earnings, adjusted for amortization costs and non-recurring costs, came to 94 cents per share. The technology products distributor posted revenue of $766.8 million in the period. ScanSource expects full-year revenue in the range of $3 billion to $3.1 billion. _____ This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on SCSC at https://www.zacks.com/ap/SCSC

ScanSource (SCSC) came out with quarterly earnings of $0.94 per share, beating the Zacks Consensus Estimate of $0.91 per share. This compares to earnings of $0.86 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +3.30%. A quarter ago, it was expected that this technology products distributor would post earnings of $1 per share when it actually produced earnings of $0.8, delivering a surprise of -20%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. ScanSource, which belongs to the Zacks Technology Services industry, posted revenues of $766.79 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 6.52%. This compares to year-ago revenues of $704.85 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. ScanSource shares have added about 4.8% since the beginning of the year versus the S&P 500's gain of 7.6%. While ScanSource has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for ScanSource was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (...

GREENVILLE, S.C., April 21, 2026--(BUSINESS WIRE)--ScanSource, Inc. (NASDAQ: SCSC), a leading technology distributor uniquely positioned to address complex, converging technologies, announced today that it plans to release third quarter fiscal year 2026 results for the period ended March 31, 2026 on Thursday, May 7, 2026 at approximately 8:30 a.m. ET. ScanSource management will host an earnings conference call to discuss these results later that day, May 7, 2026, at 10:30 a.m. ET. The earnings conference call may be accessed via a live Internet webcast in the Investor Relations section of ScanSource, Inc.’s web site, www.scansource.com. A replay of the webcast will be available at www.scansource.com for 60 days. About ScanSource, Inc. ScanSource, Inc. (NASDAQ: SCSC) is a leading technology distributor uniquely positioned to address complex, converging technologies and to accelerate growth for channel partners across hardware, software as a service (SaaS), connectivity and cloud. ScanSource enables channel partners to deliver converging solutions for their end users. ScanSource uses multiple sales models to offer technology solutions from leading suppliers of specialty technologies, connectivity and cloud services. Founded in 1992 and headquartered in Greenville, South Carolina, ScanSource was named one of the 2025 Best Places to Work in South Carolina and on the Fortune World’s Most Admired Companies 2026 list. ScanSource ranks #875 on the Fortune 1000. For more information, visit www.scansource.com. View source version on businesswire.com: https://www.businesswire.com/news/home/20260421484223/en/ Contacts Mary Gentry, ScanSource, Inc. SVP, Finance and Treasurer 864.286.4892 [email protected] Steve Jones, ScanSource, Inc. Chief Financial Officer 864.286.4302 [email protected]

Earnings results often indicate what direction a company will take in the months ahead. With Q4 behind us, let’s have a look at ScanSource (NASDAQ:SCSC) and its peers. IT Distribution & Solutions will be buoyed by the increasing complexity of IT ecosystems, rising cloud adoption, and demand for cybersecurity solutions. Enterprises are less likely than ever to embark on these complicated journeys solo, and companies in the sector boast expertise and scale in these areas. However, cloud migration also means less need for hardware, which could dent demand for large portions of the product portfolio and hurt margins. Additionally, planning for potentially supply chain disruptions is ongoing, as the COVID-19 pandemic showed how damaging a pause in global trade could be in areas like semiconductor procurement. The 8 it distribution & solutions stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 2.3% while next quarter’s revenue guidance was 0.6% below. In light of this news, share prices of the companies have held steady as they are up 5% on average since the latest earnings results. Operating as a crucial link in the technology supply chain since 1992, ScanSource (NASDAQ:SCSC) is a hybrid distributor that connects hardware, software, and cloud services from technology suppliers to resellers and business customers. ScanSource reported revenues of $766.5 million, up 2.5% year on year. This print fell short of analysts’ expectations by 2%. Overall, it was a disappointing quarter for the company with full-year revenue guidance missing analysts’ expectations significantly and a significant miss of analysts’ revenue estimates. “For the quarter, our team delivered net sales and gross profit growth in both segments, along with strong free cash flow,” said Mike Baur, Chair and CEO, ScanSource, Inc. Unsurprisingly, the stock is down 14.1% since reporting and currently trades at $38.09. Read our full report on ScanSource here, it’s free. Starting as a financing company in 1990 before evolving into a full-service technology provider, ePlus (NASDAQ:PLUS) provides comprehensive IT solutions, professional services, and financing options to help organizations optimize their technology infrastructure and supply chain processes. ePlus reported revenues of $614.8 million, up 24.6% year on year, outperforming analysts’ expectations...

Image source: The Motley Fool. Thursday, February 5, 2026 at 10:30 a.m. ET Chairman & Chief Executive Officer — Michael L. Baur Senior Executive Vice President & Chief Financial Officer — Stephen T. Jones Michael L. Baur: Thanks, Mary, and thanks, everyone, for joining us today. In the second quarter, we generated strong free cash flow and delivered net sales and gross profit growth in both segments. However, our profitability was negatively impacted due to some unexpected expenses contained in the quarter. This resulted in declines in both gross profit and EBITDA margins compared to our very strong first quarter. In Q2, we had organic net sales growth for both segments, though slower than expected for our Specialty Technology Solutions segment. Today, we're excited to announce the launching of a new converged communication sales team at ScanSource, Inc. This communications team unifies the ScanSource communications products and the Intelisys products and services to fully embrace the accelerating convergence of hardware, cloud, and customer experience technologies. We believe end users are embracing cloud-based UCaaS and CX platforms, and this is a growth opportunity for our channel partners. We're bringing together the expertise of our people to form one unified sales team. A team with deep knowledge of communications products and Intelisys cloud-based CX solutions. By giving this one team responsibility for both the hardware and recurring cloud business for these partners, we are strengthening partner alignment, expanding our share of wallet, and positioning ScanSource, Inc. at the center of this converging ecosystem. In our Intelisys and advisory segment, our investment strategy is driving growth and momentum in new orders. We make these investments ahead of the revenue understanding that it typically takes about a year for new orders to convert into billings. As a result, we're seeing our new orders increase at a faster rate than our current revenue from billings. New investments for Intelisys include building out our new Converge communication sales team, which is designed to further accelerate growth and capture new end-user solution opportunities. As we move ahead, our strategy centers on helping our channel partners deliver innovative converged solutions driving both organic net sales and free cash flow through solid execution of our strategic plan....

This article first appeared on GuruFocus. Net Sales Growth: 3% year-over-year in both segments. Gross Profit Increase: 1% year-over-year. Specialty Technology Solutions Net Sales: 3% year-over-year increase, 4% quarter-over-quarter increase. Specialty Technology Solutions Gross Profit: 1% year-over-year increase. Specialty Technology Solutions Adjusted EBITDA Margin: 2.8%. Intelisys & Advisory Net Sales: 3% year-over-year increase. Intelisys & Advisory Annual Net Billings: Approximately $2.85 billion. Intelisys & Advisory Gross Profit Increase: 3% year-over-year. Intelisys & Advisory Adjusted EBITDA Margin: 41%. Cash Position: Approximately $83 million at the end of Q2. Net Debt Leverage Ratio: Approximately 0 on a trailing 12-month adjusted EBITDA basis. Adjusted ROIC: 11.9% for the quarter, 13.3% for the first half of FY26. Share Repurchases: $18 million for the quarter, $179 million remaining under authorization. Gross Profit Margin (First Half FY26): Close to 14%. Adjusted EBITDA Margin (First Half FY26): Over 4.6%. Full Year Revenue Projection: $3 billion to $3.1 billion. Full Year Adjusted EBITDA Projection: $140 million to $150 million. Annual Free Cash Flow Expectation: At least $80 million. Warning! GuruFocus has detected 7 Warning Sign with SCSC. Is SCSC fairly valued? Test your thesis with our free DCF calculator. Release Date: February 05, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. ScanSource Inc (NASDAQ:SCSC) generated strong free cash flow in the second quarter. Net sales and gross profit grew in both segments year-over-year. The company launched a new converged communication sales team to unify communications products and services, aiming to capitalize on the growth of cloud-based UCaaS and CX platforms. The Intelisys & Advisory segment showed growth in new orders, indicating future revenue potential. ScanSource Inc (NASDAQ:SCSC) closed on a new five-year credit facility to support strategic objectives and capital priorities. Profitability was negatively impacted by unexpected expenses, leading to declines in gross profit and EBITDA margins compared to the first quarter. The Specialty Technology Solutions segment experienced slower-than-expected growth, particularly due to higher period expenses such as freight costs. Large deals were broken into smaller pieces, affecting the timin...