ScanSource, Inc. (NASDAQ: SCSC), a leading provider of
technology products and solutions, today announced financial
results for the second quarter ended December 31, 2019.
Quarter ended December
31,
2019
2018
Change
(in millions, except per share
data)
Net sales
$
989.5
$
1,046.0
(5
)%
Non-GAAP net sales, excluding Planned
Divestitures(1)
833.7
872.4
(4
)%
Operating income
18.5
29.7
(38
)%
Non-GAAP operating income(1)
(2)
28.6
34.6
(17
)%
Net income
11.4
20.0
(43
)%
Non-GAAP net income(1) (2)
19.5
24.7
(21
)%
Diluted EPS
$
0.45
$
0.78
(42
)%
Non-GAAP diluted EPS(1) (2)
$
0.77
$
0.96
(20
)%
(1) A reconciliation of non-GAAP financial
information to GAAP financial information is presented in the
Supplementary Information (Unaudited) below.
(2) Non-GAAP results exclude amortization
of intangible assets related to acquisitions, change in fair value
of contingent consideration, the impact of Planned Divestitures and
other non-GAAP items. A reconciliation of non-GAAP to GAAP
financial information is presented below.
"The second quarter's financial results were below our
expectations, as we reorganized our North American VAR sales teams
and lost sales from a group of customers," said Mike Baur, Chairman
and CEO, ScanSource, Inc. "We are committed to our One ScanSource
strategy to drive higher value and recurring revenue growth for our
customers."
Quarterly Results
Net sales were $990 million for the second quarter of fiscal
year 2020, 5% lower than the second quarter of fiscal year 2019,
principally from lower sales volumes in North America. This
decrease was partially offset by increases for the Intelisys
recurring revenue business and the addition of SaaS sales with the
acquisition of intY. Operating income for the second quarter
decreased to $18.5 million year-over-year, and non-GAAP operating
income decreased to $28.6 million from the prior-year quarter,
primarily from investments for our recurring revenue and
services-based businesses.
On a GAAP basis, net income for the second quarter of fiscal
year 2020 totaled $11.4 million, or $0.45 per diluted share,
compared with net income of $20.0 million, or $0.78 per diluted
share, for the prior-year quarter. GAAP diluted EPS included a
higher than expected expense for the change in fair value of
contingent consideration for Intelisys as a result of better than
expected actual results. Non-GAAP net income totaled $19.5 million,
or $0.77 per diluted share, compared to $24.7 million, or $0.96 per
diluted share, for the prior-year quarter.
Plan to Divest Certain Businesses Outside of US, Canada and
Brazil
On August 20, 2019, ScanSource announced plans to divest its
physical products distribution businesses outside of the United
States, Canada and Brazil. ScanSource will continue to operate and
invest in its digital distribution business in these geographies.
These plans are part of a strategic portfolio repositioning to
align investments with higher-growth, higher-margin businesses. The
Company has begun the process to market and sell the Planned
Divestitures. There can be no assurance that this sale process will
result in a transaction or regarding the timing of any transaction.
The Planned Divestitures, comprised of physical product businesses
in Europe, UK, Mexico, Colombia, Chile, Peru and the Miami-based
export operations, had net sales of $156 million for the second
quarter fiscal year 2020 and at December 31, 2019 had working
capital of $167 million.
Forecast for Next Quarter
For the third quarter of fiscal year 2020, ScanSource expects
GAAP net sales to range from $865 million to $915 million and
non-GAAP net sales excluding the Planned Divestitures to range from
$725 million to $775 million. For the third quarter of fiscal year
2020, ScanSource expects diluted earnings per share to range from
$0.16 to $0.26 and non-GAAP diluted earnings per share to range
from $0.44 to $0.54. Non-GAAP diluted earnings per share exclude
amortization of intangible assets related to acquisitions, change
in fair value of contingent consideration, the impact of Planned
Divestitures and other non-GAAP items.
Webcast Details and CFO Commentary
At approximately 4:15 p.m. ET today, a CFO commentary, as a
supplement to this press release and the Company's conference call,
will be available on ScanSource's website, www.scansource.com
(Investor Relations section). ScanSource will present additional
information about its financial results and outlook in a conference
call today, February 4, 2020, at 5:00 p.m. ET. A webcast of the
call will be available for all interested parties and can be
accessed at www.scansource.com (Investor Relations section). The
webcast will be available for replay for 60 days.
Safe Harbor Statement
This press release contains “forward-looking” statements,
including the forecast of sales and earnings per share for next
quarter and regarding the Planned Divestitures, that involve risks
and uncertainties. Any number of factors could cause actual results
to differ materially from anticipated or forecasted results,
including, but not limited to, changes in interest and exchange
rates and regulatory regimes impacting the Company's international
operations, the impact of tax reform laws, the failure of
acquisitions to meet the Company's expectations, the failure to
manage and implement the Company's organic growth strategy, credit
risks involving the Company's larger customers and suppliers,
termination of the Company's relationship with key suppliers or a
significant modification of the terms under which it operates with
a key supplier, the decline in demand for the products and services
that the Company provides, reduced prices for the products and
services that the Company provides due both to competitor and
customer action, the Company's ability to complete the Planned
Divestitures on acceptable terms or to otherwise dispose of the
operations, changes in the Company's operating strategy and other
factors set forth in the "Risk Factors" contained in the Company's
annual report on Form 10-K for the year ended June 30, 2019, filed
with the Securities and Exchange Commission. Except as may be
required by law, the Company expressly disclaims any obligation to
update these forward-looking statements to reflect events or
circumstances after the date of this press release or to reflect
the occurrence of unanticipated events.
Non-GAAP Financial Information
In addition to disclosing results that are determined in
accordance with United States Generally Accepted Accounting
Principles ("GAAP"), the Company also discloses certain non-GAAP
financial measures, which are summarized below. Non-GAAP financial
measures are used to understand and evaluate performance, including
comparisons from period to period. Non-GAAP results exclude
amortization of intangible assets related to acquisitions, change
in fair value of contingent consideration, acquisition costs,
restructuring costs and other non-GAAP adjustments.
Net sales on a constant currency basis, excluding Planned
Divestitures and acquisitions: The Company discloses the percentage
change in net sales excluding the translation impact from changes
in foreign currency exchange rates between reporting periods and
excluding the net sales from Planned Divestitures, as well as
acquisitions prior to the first full year from the acquisition
date. This measure enhances the comparability between periods to
help analyze underlying trends on an organic basis.
Income Statement Non-GAAP Metrics: To evaluate current period
performance on a more consistent basis with prior periods, the
Company discloses non-GAAP net sales, non-GAAP gross profit,
non-GAAP operating income, non-GAAP other expense, net, non-GAAP
pre-tax income, non-GAAP net income and non-GAAP diluted earnings
per share (non-GAAP diluted "EPS"). Non-GAAP results exclude
amortization of intangible assets related to acquisitions, changes
in fair value of contingent consideration, acquisition and
divestiture costs, impact of Planned Divestitures and other
non-GAAP adjustments. Non-GAAP metrics are useful in assessing and
understanding the Company's operating performance, especially when
comparing results with previous periods or forecasting performance
for future periods.
Return on invested capital ("ROIC"): Management uses ROIC as a
performance measurement to assess efficiency in allocating capital
under the Company's control to generate returns. Management
believes this metric balances the Company's operating results with
asset and liability management, is not impacted by capitalization
decisions and correlates with shareholder value creation. In
addition, it is easily computed, communicated and understood. ROIC
also provides management a measure of the Company's profitability
on a basis more comparable to historical or future periods.
ROIC assists management in comparing the Company's performance
over various reporting periods on a consistent basis because it
removes from operating results the impact of items that do not
reflect core operating performance. ROIC is calculated as adjusted
EBITDA over invested capital. Adjusted earnings before interest
expense, income taxes, depreciation and amortization ("Adjusted
EBITDA") excludes the change in fair value of contingent
consideration, in addition to other non-GAAP adjustments. Invested
capital is defined as average equity plus average daily funded
interest-bearing debt for the period. Management believes the
calculation of ROIC provides useful information to investors and is
an additional relevant comparison of the Company's performance
during the year.
These non-GAAP financial measures have limitations as analytical
tools, and the non-GAAP financial measures that the Company reports
may not be comparable to similarly titled amounts reported by other
companies. Analysis of results and outlook on a non-GAAP basis
should be considered in addition to, and not in substitution for or
as superior to, measurements of financial performance prepared in
accordance with GAAP. A reconciliation of the Company's non-GAAP
financial information to GAAP is set forth in the Supplementary
Information (Unaudited) below.
About ScanSource, Inc.
ScanSource, Inc. (NASDAQ: SCSC) is at the center of the
technology solution delivery channel, connecting businesses and
providing solutions for their complex needs. ScanSource sells
through multiple, specialized routes-to-market with digital,
physical and services offerings from the world’s leading suppliers
of point-of-sale (POS), payments, barcode, physical security,
unified communications and collaboration, telecom and cloud
services. ScanSource enables its sales partners to create, deliver
and manage solutions for end-customers across almost every vertical
market. Founded in 1992 and headquartered in Greenville, South
Carolina, ScanSource was named one of the Best Places to Work in
South Carolina and on FORTUNE magazine’s 2020 List of World’s Most
Admired Companies. ScanSource ranks #643 on the Fortune 1000. For
more information, visit www.scansource.com.
ScanSource, Inc. and
Subsidiaries
Condensed Consolidated Balance
Sheets (Unaudited)
(in thousands)
December 31, 2019
June 30, 2019*
Assets
Current assets:
Cash and cash equivalents
$
42,005
$
23,818
Accounts receivable, less allowance of
$37,672 at December 31, 2019 and $38,849 at June 30, 2019
645,270
654,983
Inventories
742,979
697,343
Prepaid expenses and other current
assets
109,075
101,171
Total current assets
1,539,329
1,477,315
Property and equipment, net
61,625
63,363
Goodwill
369,537
319,538
Identifiable intangible assets, net
117,981
127,939
Deferred income taxes
24,498
24,724
Other non-current assets
97,160
54,382
Total assets
$
2,210,130
$
2,067,261
Liabilities and Shareholders'
Equity
Current liabilities:
Accounts payable
$
672,906
$
558,101
Accrued expenses and other current
liabilities
105,649
91,407
Current portion of contingent
consideration
45,043
38,393
Income taxes payable
627
4,310
Short-term borrowings
2,098
4,590
Current portion of long-term debt
5,964
4,085
Total current liabilities
832,287
700,886
Deferred income taxes
1,248
1,395
Long-term debt, net of current portion
146,925
151,014
Borrowings under revolving credit
facility
202,758
200,817
Long-term portion of contingent
consideration
—
39,532
Other long-term liabilities
99,332
59,488
Total liabilities
1,282,550
1,153,132
Shareholders' equity:
Common stock
61,095
64,287
Retained earnings
962,825
939,930
Accumulated other comprehensive income
(loss)
(96,340
)
(90,088
)
Total shareholders' equity
927,580
914,129
Total liabilities and shareholders'
equity
$
2,210,130
$
2,067,261
* Derived from audited financial
statements.
ScanSource, Inc. and
Subsidiaries
Condensed Consolidated Income
Statements (Unaudited)
(in thousands, except per
share data)
Quarter ended December
31,
Six months ended December
31,
2019
2018
2019
2018
Net sales
$
989,503
$
1,046,021
$
1,996,430
$
2,018,921
Cost of goods sold
875,619
925,543
1,770,447
1,786,229
Gross profit
113,884
120,478
225,983
232,692
Selling, general and administrative
expenses
83,121
80,950
165,632
158,880
Depreciation expense
3,459
3,272
7,008
6,538
Intangible amortization expense
5,631
4,700
10,593
9,703
Change in fair value of contingent
consideration
3,176
1,850
5,649
6,434
Operating income
18,497
29,706
37,101
51,137
Interest expense
3,751
3,119
7,543
5,746
Interest income
(749
)
(264
)
(1,548
)
(715
)
Other expense, net
(225
)
201
(195
)
233
Income before income taxes
15,720
26,650
31,301
45,873
Provision for income taxes
4,354
6,668
8,405
11,570
Net income
$
11,366
$
19,982
$
22,896
$
34,303
Per share data:
Net income per common share, basic
$
0.45
$
0.78
$
0.90
$
1.34
Weighted-average shares outstanding,
basic
25,274
25,640
25,407
25,619
Net income per common share, diluted
$
0.45
$
0.78
$
0.90
$
1.33
Weighted-average shares outstanding,
diluted
25,358
25,750
25,488
25,752
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
Net Sales by Segment:
Quarter ended December
31,
2019
2018
% Change
Worldwide Barcode, Networking &
Security:
(in thousands)
Net sales, reported
$
686,237
$
701,639
(2.2
)%
Planned Divestitures
(111,237
)
(122,326
)
Non-GAAP net sales, excluding Planned
Divestitures
575,000
579,313
(0.7
)%
Foreign exchange impact(a)
1,799
—
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
576,799
$
579,313
(0.4
)%
Worldwide Communications &
Services:
Net sales, reported
$
303,266
$
344,382
(11.9
)%
Planned Divestitures
(44,530
)
(51,285
)
Non-GAAP net sales, excluding Planned
Divestitures
258,736
293,097
(11.7
)%
Foreign exchange impact(a)
5,187
—
Less: Acquisitions
(12,036
)
(98
)
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
251,887
$
292,999
(14.0
)%
Consolidated:
Net sales, reported
$
989,503
$
1,046,021
(5.4
)%
Planned Divestitures
(155,767
)
(173,611
)
Non-GAAP net sales, excluding Planned
Divestitures
833,736
872,410
(4.4
)%
Foreign exchange impact(a)
6,986
—
Less: Acquisitions
(12,036
)
(98
)
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
828,686
$
872,312
(5.0
)%
(a) Year-over-year net sales growth rate
excluding the translation impact of changes in foreign currency
exchange rates. Calculated by translating the net sales for the
quarter ended December 31, 2019 into U.S. dollars using the average
foreign exchange rates for the quarter ended December 31, 2018.
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
Net Sales by Segment:
Six months ended December
31,
2019
2018
% Change
Worldwide Barcode, Networking &
Security:
(in thousands)
Net sales, as reported
$
1,384,028
$
1,356,752
2.0
%
Planned Divestitures
(227,840
)
(240,693
)
Non-GAAP net sales, excluding Planned
Divestitures
1,156,188
1,116,059
3.6
%
Foreign exchange impact (a)
1,894
—
Less: Acquisitions
—
—
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
1,158,082
$
1,116,059
3.8
%
Worldwide Communications &
Services:
Net sales, as reported
$
612,402
$
662,169
(7.5
)%
Planned Divestitures
(83,442
)
(92,564
)
Non-GAAP net sales, excluding Planned
Divestitures
528,960
569,605
(7.1
)%
Foreign exchange impact (a)
5,431
—
Less: Acquisitions
(24,193
)
(1,062
)
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
510,198
$
568,543
(10.3
)%
Consolidated:
Net sales, as reported
$
1,996,430
$
2,018,921
(1.1
)%
Planned Divestitures
(311,282
)
(333,257
)
Non-GAAP net sales, excluding Planned
Divestitures
1,685,148
1,685,664
—
%
Foreign exchange impact (a)
7,325
—
Less: Acquisitions
(24,193
)
(1,062
)
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
1,668,280
$
1,684,602
(1.0
)%
(a) Year-over-year net sales growth rate
excluding the translation impact of changes in foreign currency
exchange rates. Calculated by translating the net sales for the six
months ended December 31, 2019 into U.S. dollars using the average
foreign exchange rates for the six months ended December 31,
2018.
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
Net Sales by Geography:
Quarter ended December
31,
2019
2018
% Change
United States and Canada:
(in thousands)
Net sales, as reported
$
736,129
$
779,455
(5.6
)%
Less: Acquisitions
(2,312
)
(98
)
Non-GAAP net sales, excluding
acquisitions
$
733,817
$
779,357
(5.8
)%
International:
Net sales, as reported
$
253,374
$
266,566
(4.9
)%
Planned Divestitures
(155,767
)
(173,611
)
Non-GAAP net sales, excluding Planned
Divestitures
97,607
92,955
5.0
%
Foreign exchange impact(a)
6,986
—
Less: Acquisitions
(9,724
)
—
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
94,869
$
92,955
2.1
%
Consolidated:
Net sales, as reported
$
989,503
$
1,046,021
(5.4
)%
Planned Divestitures
(155,767
)
(173,611
)
Non-GAAP net sales, excluding Planned
Divestitures
833,736
872,410
(4.4
)%
Foreign exchange impact(a)
6,986
—
Less: Acquisitions
(12,036
)
(98
)
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
828,686
$
872,312
(5.0
)%
(a) Year-over-year net sales growth rate
excluding the translation impact of changes in foreign currency
exchange rates. Calculated by translating the net sales for the
quarter ended December 31, 2019 into U.S. dollars using the average
foreign exchange rates for the quarter ended December 31, 2018.
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
Net Sales by Geography:
Six months ended December
31,
2019
2018
% Change
United States and Canada:
(in thousands)
Net sales, as reported
$
1,505,766
$
1,517,412
(0.8
)%
Less: Acquisitions
(5,907
)
(1,062
)
Net sales, excluding acquisitions
$
1,499,859
$
1,516,350
(1.1
)%
International:
Net sales, as reported
$
490,664
$
501,509
(2.2
)%
Planned Divestitures
(311,282
)
(333,257
)
Non-GAAP net sales, excluding Planned
Divestitures
179,382
168,252
6.6
%
Foreign exchange impact (a)
7,325
—
Less: Acquisitions
(18,286
)
—
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
168,421
$
168,252
2.1
%
Consolidated:
Net sales, as reported
$
1,996,430
$
2,018,921
(5.4
)%
Planned Divestitures
(311,282
)
(333,257
)
Non-GAAP net sales, excluding Planned
Divestitures
1,685,148
1,685,664
(4.4
)%
Foreign exchange impact (a)
7,325
—
Less: Acquisitions
(24,193
)
(1,062
)
Non-GAAP net sales, constant currency
excluding Planned Divestitures and acquisitions
$
1,668,280
$
1,684,602
(5.0
)%
(a) Year-over-year net sales growth rate
excluding the translation impact of changes in foreign currency
exchange rates. Calculated by translating the net sales for the six
months ended December 31, 2019 into U.S. dollars using the average
foreign exchange rates for the six months ended December 31,
2018.
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
Non-GAAP Financial Information:
Quarter ended December 31,
2019
Reported
GAAP
measure
Intangible
amortization
expense
Change in
fair value of
contingent
consideration
Acquisition
and
Divestiture
costs(a)
Restructuring
costs
Impact of
Planned
Divestitures
Non-
GAAP
measure
in thousands, except per share
data
Net sales
$
989,503
$
—
$
—
$
—
$
—
$
(155,767
)
$
833,736
Gross profit
113,884
—
—
—
—
(15,471
)
98,413
Operating income
18,497
5,631
3,176
1,151
490
(371
)
28,574
Other expense, net
2,777
—
—
—
—
(238
)
2,539
Pre-tax income
15,720
5,631
3,176
1,151
490
(133
)
26,035
Net income
11,366
4,289
2,401
1,151
378
(121
)
19,464
Diluted EPS
$
0.45
$
0.17
$
0.09
$
0.05
$
0.01
$
—
$
0.77
Quarter ended December 31,
2018
Reported
GAAP
measure
Intangible
amortization
expense
Change in
fair value of
contingent
consideration
Acquisition
costs(a)
Restructuring
costs
Impact of
Planned
Divestitures
Non-
GAAP
measure
in thousands, except per share
data
Net sales
$
1,046,021
$
—
$
—
$
—
$
—
$
(173,611
)
$
872,410
Gross profit
120,478
—
—
—
—
(16,998
)
103,480
Operating income
29,706
4,700
1,850
414
—
(2,102
)
34,568
Other expense, net
3,056
—
—
—
—
(513
)
2,543
Pre-tax income
26,650
4,700
1,850
414
—
(1,588
)
32,026
Net income
19,982
3,567
1,408
414
—
(650
)
24,721
Diluted EPS
$
0.78
$
0.14
$
0.05
$
0.02
$
—
$
(0.03
)
$
0.96
(a) Acquisition and divestiture costs are
generally non-deductible for tax purposes.
Six months ended December 31,
2019
Reported
GAAP
measure
Intangible
amortization
expense
Change in
fair value of
contingent
consideration
Acquisition
and
divestiture
costs(a)
Restructuring
costs
Impact of
Planned
Divestitures
Non-
GAAP
measure
(in thousands, except per
share data)
Net sales
$
1,996,430
$
—
$
—
$
—
$
—
$
(311,282
)
$
1,685,148
Gross profit
225,983
—
—
—
—
(28,867
)
197,116
Operating income
37,101
10,593
5,649
1,909
659
136
56,047
Other expense, net
5,800
—
—
—
—
(378
)
5,422
Pre-tax income
31,301
10,593
5,649
1,909
659
514
50,625
Net income
22,896
8,035
4,270
1,909
505
323
37,938
Diluted EPS
$
0.90
$
0.32
$
0.17
$
0.07
$
0.02
$
0.01
$
1.49
Six months ended December 31,
2018
Reported
GAAP
measure
Intangible
amortization
expense
Change in
fair value of
contingent
consideration
Acquisition
and
divestiture
costs(a)
Restructuring
costs
Impact of
Planned
Divestitures
Non-
GAAP
measure
(in thousands, except per
share data)
Net sales
$
2,018,921
$
—
$
—
$
—
$
—
$
(333,257
)
$
1,685,664
Gross profit
232,692
—
—
—
—
(32,196
)
200,496
Operating income
51,137
9,703
6,434
769
1,328
(2,150
)
67,221
Other expense, net
5,264
—
—
—
—
(346
)
4,918
Pre-tax income
45,873
9,703
6,434
769
1,328
(1,804
)
62,303
Net income
34,303
7,365
4,895
769
955
(697
)
47,590
Diluted EPS
$
1.33
$
0.29
$
0.19
$
0.03
$
0.04
$
(0.03
)
$
1.85
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
(in thousands, except
percentages)
Non-GAAP Financial Information:
Quarter ended December
31,
2019
2018
Return on invested capital ratio (ROIC),
annualized (a)
9.9
%
12.7
%
Reconciliation of
net income to EBITDA:
Net income (GAAP)
$
11,366
$
19,982
Plus: Interest expense
3,751
3,119
Plus: Income taxes
4,354
6,668
Plus: Depreciation and amortization
9,700
8,935
EBITDA (non-GAAP)
29,171
38,704
Plus: Change in fair value of contingent
consideration
3,176
1,850
Plus: Acquisition and divestiture
costs
1,151
414
Plus: Restructuring costs
490
—
Plus: Impact of Planned Divestitures
(870
)
(1,864
)
Adjusted EBITDA (numerator for ROIC)
(non-GAAP)
$
33,118
$
39,104
Invested Capital
Calculation
Equity – beginning of the quarter
$
905,751
$
877,897
Equity – end of the quarter
927,580
899,503
Plus: Change in fair value of contingent
consideration, net of tax
2,401
1,408
Plus: Acquisition and divestiture
costs
1,151
414
Plus: Restructuring, net of tax
378
—
Plus: Impact of Planned Divestitures, net
of tax
(121
)
(650
)
Average equity
918,570
889,286
Average funded debt(b)
411,614
333,138
Invested capital (denominator for ROIC)
(non-GAAP)
$
1,330,184
$
1,222,424
(a) Calculated as earnings before interest
expense, income taxes, depreciation and amortization (EBITDA), plus
change in fair value of contingent consideration and other
adjustments, annualized and divided by invested capital for the
period. Invested capital is defined as average equity plus average
daily funded interest-bearing debt for the period.
(b) Average funded debt is calculated as
the average daily amounts outstanding on short-term and long-term
interest-bearing debt.
ScanSource, Inc. and
Subsidiaries
Supplementary Information
(Unaudited)
(in thousands, except per
share data)
Non-GAAP Financial Information:
Forecast for Quarter
ending
March 31, 2020
Range Low
Range High
GAAP net sales, reported
$
865,000
$
915,000
Adjustments:
Net sales for Planned Divestitures
(140,000
)
(140,000
)
Non-GAAP net sales, excluding Planned
Divestitures
$
725,000
$
775,000
GAAP diluted EPS
$
0.16
$
0.26
Adjustments:
Amortization of intangible assets
0.16
0.16
Change in fair value of contingent
consideration
0.06
0.06
Impact of Planned Divestitures(a)
0.03
0.03
Other (restructuring costs and divestiture
costs)
0.03
0.03
Non-GAAP diluted EPS
$
0.44
$
0.54
(a) Reflects operating results for Planned
Divestitures and does not include any non-cash charges from
write-downs or costs associated with a sale or liquidation of the
businesses and their assets.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200204005972/en/
Gerald Lyons Executive Vice President, Chief Financial Officer
ScanSource, Inc. (864) 286-4854
- or -
Mary M. Gentry Vice President, Treasurer and Investor Relations
ScanSource, Inc. (864) 286-4892
ScanSource (NASDAQ:SCSC)
Historical Stock Chart
From Mar 2024 to Apr 2024
ScanSource (NASDAQ:SCSC)
Historical Stock Chart
From Apr 2023 to Apr 2024