- Fiscal fourth quarter revenue of $15.8 billion, above our
outlook of $14.9 - $15.7 billion.
- Fiscal fourth quarter non-GAAP gross billings(1) of $21.2
billion, above the midpoint of our outlook of $20.5 - $21.5
billion.
- Fiscal fourth quarter net income of $195 million and non-GAAP
net income(1) of $263 million.
- Fiscal fourth quarter diluted earnings per share (“EPS”) of
$2.29 and non-GAAP diluted EPS(1) of $3.09, above the midpoint of
our outlook.
- Fiscal fourth quarter cash provided by operations of $562
million and free cash flow(1) of $513 million.
- Fiscal 2024 cash provided by operations of $1.2 billion and
free cash flow(1) of $1.0 billion.
- Returned $750 million to stockholders in fiscal 2024 in the
form of $612 million of share repurchases and $138 million in
dividends.
- Announced that the Board of Directors has declared a Q1
dividend per share of $0.44 per common share, up 10% from the prior
fiscal fourth quarter.
TD SYNNEX (NYSE: SNX) today announced financial results for the
fiscal fourth quarter and fiscal year ended November 30, 2024.
Consolidated Financial Highlights for the Fiscal 2024 Fourth
Quarter:
GAAP
($ in millions, except earnings
per share)
Q4 FY24
Q4 FY23
Net Change from Q4
FY23
Revenue
$
15,844.6
$
14,407.3
10.0
%
Gross profit
$
1,040.9
$
1,018.6
2.2
%
Gross margin
6.57
%
7.07
%
(50) bps
Operating income
$
324.8
$
286.8
13.2
%
Operating margin
2.05
%
1.99
%
6 bps
Net income
$
194.8
$
187.5
3.9
%
Diluted EPS
$
2.29
$
2.06
11.2
%
Non-GAAP
($ in millions, except earnings
per share)
Q4 FY24
Q4 FY23
Net Change from Q4
FY23
Gross billings(1)
$
21,211.2
$
19,744.4
7.4
%
Gross to net %(1)
(25.3
)%
(27.0
)%
170 bps
Revenue
$
15,844.6
$
14,407.3
10.0
%
Operating income(1)
$
421.5
$
426.6
(1.2
)%
Operating margin(1)
2.66
%
2.96
%
(30) bps
Net income(1)
$
263.4
$
285.6
(7.8
)%
Diluted EPS(1)
$
3.09
$
3.13
(1.3
)%
“We delivered strong results this quarter, driven by our
end-to-end portfolio, global reach and differentiated value
proposition that enable us to capture a wide range of technology
spend and grow our market presence,” said Patrick Zammit, CEO of TD
SYNNEX. “Gross billings in Q4 grew 7% year-over-year and we
returned 72% of our free cash flow to shareholders in fiscal year
2024. Building on our momentum, we believe we’re well-positioned
for the year ahead as we anticipate the IT spending environment
will continue to improve.”
Consolidated Fiscal 2024 Fourth Quarter Highlights
- Revenue was $15.8 billion, compared to $14.4 billion in the
prior fiscal fourth quarter, representing an increase of 10.0% and
above our outlook. On a constant currency(1) basis, revenue
increased by 9.2% compared to the prior fiscal fourth quarter
driven by growth in both our Advanced Solutions and Endpoint
Solutions portfolios. A greater percentage of our revenue was
presented on a gross basis, which positively impacted our revenue
compared to the prior fiscal fourth quarter by approximately
3%.
- Non-GAAP gross billings(1) were $21.2 billion, compared to
$19.7 billion in the prior fiscal fourth quarter.
- Gross profit was $1,041 million, compared to $1,019 million in
the prior fiscal fourth quarter.
- Gross margin was 6.6%, compared to 7.1% in the prior fiscal
fourth quarter, primarily due to higher margins in the prior year
in strategic technologies and product mix. The presentation of
additional revenues on a gross basis negatively impacted our gross
margin by approximately 16 basis points.
- Operating income was $325 million, compared to $287 million in
the prior fiscal fourth quarter primarily due to a decrease in
acquisition, integration and restructuring costs. Non-GAAP
operating income(1) was $422 million, compared to $427 million in
the prior fiscal fourth quarter.
- Operating margin was 2.1%, compared to 2.0% in the prior fiscal
fourth quarter. Non-GAAP operating margin(1) was 2.7%, compared to
3.0% in the prior fiscal fourth quarter.
- Diluted EPS was $2.29, compared to $2.06 in the prior fiscal
fourth quarter. Non-GAAP diluted EPS(1) was $3.09, compared to
$3.13 in the prior fiscal fourth quarter.
- Cash provided by operations of $562 million, compared to $211
million in the prior fiscal fourth quarter, and free cash flow(1)
of $513 million, compared to $168 million in the prior fiscal
fourth quarter.
- We returned $136 million to stockholders in the form of share
repurchases and dividends, compared to $374 million in the prior
fiscal fourth quarter.
Regional Fiscal 2024 Fourth Quarter Highlights
- Americas:
- Revenue was $9.2 billion, compared to $8.4 billion in the prior
fiscal fourth quarter, representing an increase of 10.6%. On a
constant currency(1) basis, revenue increased by 10.8% compared to
the prior fiscal fourth quarter. A greater percentage of our
revenue was presented on a gross basis, which positively impacted
our revenue compared to the prior fiscal fourth quarter by
approximately 4%.
- Non-GAAP gross billings(1) were $12.9 billion, compared to
$12.0 billion in the prior fiscal fourth quarter, representing an
increase of 7.0%.
- Operating income was $228 million, compared to $177 million in
the prior fiscal fourth quarter. Non-GAAP operating income(1) was
$284 million, compared to $278 million in the prior fiscal fourth
quarter.
- Operating margin was 2.5%, compared to 2.1% in the prior fiscal
fourth quarter. Non-GAAP operating margin(1) was 3.1%, compared to
3.3% in the prior fiscal fourth quarter.
- Europe:
- Revenue was $5.5 billion, compared to $5.2 billion in the prior
fiscal fourth quarter, representing an increase of 5.5%. On a
constant currency(1) basis, revenue increased by 3.2%. A greater
percentage of our revenue was presented on a gross basis, which
positively impacted our revenue compared to the prior fiscal fourth
quarter by approximately 1%.
- Non-GAAP gross billings(1) were $7.0 billion, compared to $6.7
billion in the prior fiscal fourth quarter, representing an
increase of 4.5%.
- Operating income was $64 million, compared to $79 million in
the prior fiscal fourth quarter. Non-GAAP operating income(1) was
$102 million, compared to $117 million in the prior fiscal fourth
quarter.
- Operating margin was 1.2%, compared to 1.5% in the prior fiscal
fourth quarter. Non-GAAP operating margin(1) was 1.9%, compared to
2.2% in the prior fiscal fourth quarter.
- Asia-Pacific and Japan:
- Revenue was $1.1 billion, compared to $0.8 billion in the prior
fiscal fourth quarter, representing an increase of 31.7%. On a
constant currency(1) basis, revenue increased by 30.5% compared to
the prior fiscal fourth quarter. A greater percentage of our
revenue was presented on a gross basis, which positively impacted
our revenue compared to the prior fiscal fourth quarter by
approximately 1%.
- Non-GAAP gross billings(1) were $1.4 billion, compared to $1.0
billion in the prior fiscal fourth quarter, representing an
increase of 31.2%.
- Operating income was $33 million, compared to $31 million in
the prior fiscal fourth quarter. Non-GAAP operating income(1) was
$36 million, compared to $32 million in the prior fiscal fourth
quarter.
- Operating margin was 3.0%, compared to 3.7% in the prior fiscal
fourth quarter. Non-GAAP operating margin(1) was 3.2%, compared to
3.9% in the prior fiscal fourth quarter.
Consolidated Financial Highlights for Fiscal 2024:
GAAP
($ in millions, except earnings
per share)
FY24
FY23
Net Change from FY23
Revenue
$
58,452.4
$
57,555.4
1.6
%
Gross profit
$
3,981.3
$
3,956.8
0.6
%
Gross margin
6.81
%
6.87
%
(6) bps
Operating income
$
1,194.2
$
1,078.0
10.8
%
Operating margin
2.04
%
1.87
%
17 bps
Net income
$
689.1
$
626.9
9.9
%
Diluted EPS
$
7.95
$
6.70
18.7
%
Non-GAAP
($ in millions, except earnings
per share)
FY24
FY23
Net Change from FY23
Gross billings(1)
$
80,065.0
$
77,246.1
3.6
%
Gross to net %(1)
(27.0
)%
(25.5
)%
(150) bps
Revenue
$
58,452.4
$
57,555.4
1.6
%
Gross profit(1)
$
3,981.3
$
3,971.9
0.2
%
Gross margin(1)
6.81
%
6.90
%
(9) bps
Operating income(1)
$
1,627.0
$
1,642.3
(0.9
)%
Operating margin(1)
2.78
%
2.85
%
(7) bps
Net income(1)
$
1,011.9
$
1,053.6
(4.0
)%
Diluted EPS(1)
$
11.68
$
11.26
3.7
%
Consolidated Fiscal 2024 Highlights
- Revenue was $58.5 billion, compared to $57.6 billion in the
prior fiscal year, representing an increase of 1.6%. On a constant
currency(1) basis, revenue increased by 1.3%, compared to the prior
fiscal year driven primarily by growth in our Advanced Solutions
portfolio. The presentation of additional revenues on a net basis
negatively impacted our revenue compared to the prior fiscal year
by approximately 2%.
- Non-GAAP gross billings(1) were $80.1 billion, compared to
$77.2 billion in the prior fiscal year.
- Gross profit was $4.0 billion in both the current and prior
fiscal years.
- Gross margin and non-GAAP gross margin(1) were both 6.8%,
compared to 6.9% in the prior fiscal year. The presentation of
additional revenues on a net basis positively impacted our gross
margin and non-GAAP gross margin(1) by approximately 14 basis
points.
- Operating income was $1.2 billion, compared to $1.1 billion in
the prior fiscal year. Non-GAAP operating income(1) was $1.6
billion in both the current and prior fiscal years.
- Operating margin was 2.0%, compared to 1.9% in the prior fiscal
year. Non-GAAP operating margin(1) was 2.8%, compared to 2.9% in
the prior fiscal year.
- Diluted EPS was $7.95, compared to $6.70 in the prior fiscal
year. Non-GAAP diluted EPS(1) was $11.68, compared to $11.26 in the
prior fiscal year.
- Cash provided by operations of $1.2 billion, compared to $1.4
billion in the prior fiscal year, and free cash flow(1) of $1.0
billion, compared to $1.3 billion in the prior fiscal year.
- We returned $750 million to stockholders in the form of $612
million of share repurchases and $138 million of dividends,
compared to $751 million returned to stockholders in the prior
fiscal year in the form of $621 million of share repurchases and
$130 million of dividends.
Regional Fiscal 2024 Highlights
- Americas:
- Revenue was $34.8 billion, compared to $34.6 billion in the
prior fiscal year, representing an increase of 0.6%. On a constant
currency(1) basis, revenue increased by 0.7% compared to the prior
fiscal year. A greater percentage of our revenue was presented on a
net basis which negatively impacted our revenue compared to the
prior fiscal year by approximately 3%.
- Non-GAAP gross billings(1) were $49.7 billion, compared to
$48.0 billion in the prior fiscal year.
- Operating income was $818 million, compared to $737 million in
the prior fiscal year. Non-GAAP operating income(1) was $1,082
million, compared to $1,108 million in the prior fiscal year.
- Operating margin was 2.4%, compared to 2.1% in the prior fiscal
year. Non-GAAP operating margin(1) was 3.1%, compared to 3.2% in
the prior fiscal year.
- Europe:
- Revenue was $19.6 billion, compared to $19.4 billion in the
prior fiscal year, representing an increase of 1.1%. On a constant
currency(1) basis, revenue decreased by 0.1% compared to the prior
fiscal year. A greater percentage of our revenue was presented on a
net basis which negatively impacted our revenue compared to the
prior fiscal year by approximately 1%.
- Non-GAAP gross billings(1) were $25.4 billion, compared to
$24.9 billion in the prior fiscal year.
- Operating income was $264 million, compared to $236 million in
the prior fiscal year. Non-GAAP operating income(1) was $425
million, compared to $422 million in the prior fiscal year.
- Operating margin was 1.3%, compared to 1.2% in the prior fiscal
year. Non-GAAP operating margin(1) was 2.2% for both the current
and prior fiscal years.
- Asia-Pacific and Japan:
- Revenue was $4.0 billion, compared to $3.6 billion in the prior
fiscal year, representing an increase of 13.1%. On a constant
currency(1) basis, revenue increased by 15.2% compared to the prior
fiscal year. A greater percentage of our revenue was presented on a
net basis which negatively impacted our revenue compared to the
prior fiscal year by approximately 2%.
- Non-GAAP gross billings(1) were $5.0 billion, compared to $4.4
billion in the prior fiscal year.
- Operating income was $113 million, compared to $105 million in
the prior fiscal year. Non-GAAP operating income(1) was $121
million, compared to $113 million in the prior fiscal year.
- Operating margin was 2.8%, compared to 3.0% in the prior fiscal
year. Non-GAAP operating margin(1) was 3.0%, compared to 3.2% in
the prior fiscal year.
Fiscal 2025 First Quarter Outlook
The following statements are based on TD SYNNEX’s current
expectations for the fiscal 2025 first quarter. These statements
are forward-looking and actual results may differ materially.
Non-GAAP gross billings(1) include the impact of costs incurred and
netted against revenue related to sales of third-party supplier
service contracts, software as a service arrangements and certain
fulfillment contracts, and the remaining non-GAAP financial
measures exclude the impact of acquisition, integration and
restructuring costs, amortization of intangible assets, share-based
compensation, and the related tax effects thereon.
Q1 2025 Outlook
Revenue
$14.4 - $15.2 billion
Non-GAAP gross billings(1)
$19.7 - $20.7 billion
Net income
$147 - $189 million
Non-GAAP net income(1)
$224 - $266 million
Diluted earnings per share
$1.74 - $2.24
Non-GAAP diluted earnings per share(1)
$2.65 - $3.15
Estimated outstanding diluted weighted
average shares
83.8 million
Dividend
TD SYNNEX announced today that its Board of Directors declared a
quarterly cash dividend of $0.44 per common share. The dividend is
payable on January 31, 2025 to stockholders of record as of the
close of business on January 24, 2025.
Conference Call and Webcast
TD SYNNEX will host a conference call today to discuss the 2024
fiscal fourth quarter results at 6:00 AM (PT)/9:00 AM (ET).
A live audio webcast of the earnings call will be accessible at
ir.tdsynnex.com and a replay of the webcast will be available
following the call.
About TD SYNNEX
TD SYNNEX (NYSE: SNX) is a leading global distributor and
solutions aggregator for the IT ecosystem. We’re an innovative
partner helping more than 150,000 customers in 100+ countries to
maximize the value of technology investments, demonstrate business
outcomes and unlock growth opportunities. Headquartered in
Clearwater, Florida and Fremont, California, TD SYNNEX’s over
23,000 co-workers are dedicated to uniting compelling IT products,
services and solutions from approximately 2,500 best-in-class
technology vendors. Our edge-to-cloud portfolio is anchored in some
of the highest-growth technology segments including cloud,
cybersecurity, big data/analytics, AI, IoT, mobility and everything
as a service.
TD SYNNEX is committed to serving customers and communities, and
we believe we can have a positive impact on our people and our
planet, intentionally acting as a respected corporate citizen. We
aspire to be a diverse and inclusive employer of choice for talent
across the IT ecosystem. For more information, visit TDSYNNEX.com,
follow our newsroom or find us on LinkedIn, Facebook and
Instagram.
(1)Use of Non-GAAP Financial Information
In addition to the financial results presented in accordance
with GAAP, TD SYNNEX refers to revenues on a constant currency
basis which adjusts for the translation effect of foreign
currencies so that certain financial results can be viewed without
the impact of fluctuations in foreign currency exchange rates,
thereby facilitating period-to-period comparisons of our
performance. Financial results adjusted for constant currency are
calculated by translating current period activity using the
comparable prior year periods’ currency conversion rate. TD SYNNEX
uses non-GAAP gross billings, which adjusts revenues to exclude
costs related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts. Non-GAAP gross billings are a useful non-GAAP metric in
understanding the volume of our business activity and serve as an
important performance metric in internally managing our operations.
TD SYNNEX uses “gross to net %” to refer to the percentage of
adjustments made to non-GAAP gross billings for costs incurred and
netted against revenue related to sales of third-party supplier
service contracts, software as a service arrangements and certain
fulfillment contracts. TD SYNNEX uses non-GAAP gross profit and
non-GAAP gross margin which exclude purchase accounting
adjustments. TD SYNNEX uses adjusted selling, general and
administrative expenses which is a non-GAAP financial measure that
excludes acquisition, integration and restructuring costs, the
amortization of intangible assets and share-based compensation
expense. TD SYNNEX uses adjusted selling, general and
administrative expenses as a percentage of non-GAAP gross billings,
which is a useful metric in considering our selling, general and
administrative expenses without the impact of gross to net revenue
adjustments to gross billings. TD SYNNEX uses adjusted selling,
general and administrative expenses as a percentage of gross
profit, which is a useful metric in considering the portion of
gross profit retained after selling, general and administrative
expenses. TD SYNNEX uses non-GAAP operating income and non-GAAP
operating margin which are non-GAAP financial measures that exclude
acquisition, integration and restructuring costs, the amortization
of intangible assets, share-based compensation expense and purchase
accounting adjustments. TD SYNNEX also uses non-GAAP net income and
non-GAAP diluted earnings per share, which are non-GAAP financial
measures that exclude acquisition, integration and restructuring
costs, the amortization of intangible assets, share-based
compensation expense, purchase accounting adjustments, and the
related tax effects thereon. TD SYNNEX uses earnings before
interest, taxes, depreciation and amortization (“EBITDA”), which
excludes interest expense and finance charges, net, the provision
for income taxes, depreciation, and amortization of intangibles.
The Company also uses adjusted earnings before interest, taxes,
depreciation and amortization (“Adjusted EBITDA”) which excludes
interest expense and finance charges, net, the provision for income
taxes, depreciation, amortization of intangibles, other income
(expense), net, acquisition, integration and restructuring costs,
share-based compensation expense and purchase accounting
adjustments. In prior periods, TD SYNNEX has excluded other items
relevant to those periods for purposes of its non-GAAP financial
measures.
Acquisition, integration and restructuring costs, which are
expensed as incurred, primarily represent professional services
costs for legal, banking, consulting and advisory services,
severance and other personnel-related costs, share-based
compensation expense and debt extinguishment fees that are incurred
in connection with acquisition, integration, restructuring, and
divestiture activities. From time to time, this category may also
include transaction-related gains/losses on divestitures/spin-off
of businesses, costs related to long-lived assets including
impairment charges and accelerated depreciation and amortization
expense due to changes in asset useful lives, as well as various
other costs associated with the acquisition or divestiture.
Effective as of the third quarter of fiscal 2024, the Company
ceased recording expenses and gains associated with activities
related to the merger with Tech Data within acquisition,
integration and restructuring costs.
TD SYNNEX’s acquisition activities have resulted in the
recognition of finite-lived intangible assets which consist
primarily of customer relationships and vendor lists. Finite-lived
intangible assets are amortized over their estimated useful lives
and are tested for impairment when events indicate that the
carrying value may not be recoverable. The amortization of
intangible assets is reflected in the Company’s Statements of
Operations. Although intangible assets contribute to the Company’s
revenue generation, the amortization of intangible assets does not
directly relate to the sale of the Company’s products.
Additionally, intangible asset amortization expense typically
fluctuates based on the size and timing of the Company’s
acquisition activity. Accordingly, the Company believes excluding
the amortization of intangible assets, along with the other
non-GAAP adjustments, which neither relate to the ordinary course
of the Company’s business nor reflect the Company’s underlying
business performance, enhances the Company’s and investors’ ability
to compare the Company’s past financial performance with its
current performance and to analyze underlying business performance
and trends. Intangible asset amortization excluded from the related
non-GAAP financial measure represents the entire amount recorded
within the Company’s GAAP financial statements, and the revenue
generated by the associated intangible assets has not been excluded
from the related non-GAAP financial measure. Intangible asset
amortization is excluded from the related non-GAAP financial
measure because the amortization, unlike the related revenue, is
not affected by operations of any particular period unless an
intangible asset becomes impaired or the estimated useful life of
an intangible asset is revised.
Share-based compensation expense is a non-cash expense arising
from the grant of equity awards to employees and non-employee
members of the Company’s Board of Directors based on the estimated
fair value of those awards. Although share-based compensation is an
important aspect of the compensation of our employees, the fair
value of the share-based awards may bear little resemblance to the
actual value realized upon the vesting or future exercise of the
related share-based awards and the expense can vary significantly
between periods as a result of the timing of grants of new
stock-based awards, including grants in connection with
acquisitions. Given the variety and timing of awards and the
subjective assumptions that are necessary when calculating
share-based compensation expense, TD SYNNEX believes this
additional information allows investors to make additional
comparisons between our operating results from period to
period.
Purchase accounting adjustments are primarily related to the
impact of recognizing the acquired vendor and customer liabilities
related to the merger with Tech Data at fair value. These
adjustments benefited our non-GAAP operating income through the
third fiscal quarter of fiscal 2023 based on historical settlement
patterns with our vendors and in accordance with the timing defined
in our policy for releasing vendor and customer liabilities we deem
remote to be paid.
Trailing fiscal four quarters ROIC is defined as the last four
quarters’ tax effected operating income divided by the average of
the last five quarterly balances of borrowings and equity, net of
cash. Adjusted ROIC is calculated by excluding the tax effected
impact of non-GAAP adjustments from operating income and by
excluding the cumulative tax effected impact of current and prior
period non-GAAP adjustments on equity.
TD SYNNEX also uses free cash flow, which is cash flow from
operating activities, reduced by purchases of property and
equipment. TD SYNNEX uses free cash flow to conduct and evaluate
its business because, although it is similar to cash flow from
operations, TD SYNNEX believes it is an additional useful measure
of cash flows since purchases of property and equipment are a
necessary component of ongoing operations. Free cash flow reflects
an additional way of viewing TD SYNNEX’s liquidity that, when
viewed with its GAAP results, provides a more complete
understanding of factors and trends affecting its cash flows. Free
cash flow has limitations as it does not represent the residual
cash flow available for discretionary expenditures. For example,
free cash flow does not incorporate payments for business
acquisitions. Therefore, TD SYNNEX believes it is important to view
free cash flow as a complement to its entire Consolidated
Statements of Cash Flows.
TD SYNNEX management uses non-GAAP financial measures internally
to understand, manage and evaluate the business, to establish
operational goals, and in some cases for measuring performance for
compensation purposes. These non-GAAP measures are intended to
provide investors with an understanding of TD SYNNEX’s operational
results and trends that more readily enable investors to analyze TD
SYNNEX’s base financial and operating performance and to facilitate
period-to-period comparisons and analysis of operational trends, as
well as for planning and forecasting in future periods. Management
believes these non-GAAP financial measures are useful to investors
in allowing for greater transparency with respect to supplemental
information used by management in its financial and operational
decision-making. As these non-GAAP financial measures are not
calculated in accordance with GAAP, they may not necessarily be
comparable to similarly titled measures employed by other
companies. These non-GAAP financial measures should not be
considered in isolation or as a substitute for the comparable GAAP
measures, and should be read only in conjunction with TD SYNNEX’s
Consolidated Financial Statements prepared in accordance with GAAP.
A reconciliation of TD SYNNEX’s GAAP to non-GAAP financial
information is set forth in the supplemental tables at the end of
this press release.
Safe Harbor Statement
Statements in this news release regarding TD SYNNEX that are not
historical facts are “forward-looking statements” within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934. Such forward-looking
statements are inherently uncertain, and stockholders and other
potential investors must recognize that actual results may differ
materially from TD SYNNEX expectations as a result of a variety of
factors. These forward-looking statements may be identified by
terms such as believe, foresee, expect, may, will, provide, could
and should and the negative of these terms or other similar
expressions. These forward-looking statements include, but are not
limited to, statements about our strategy, demand, plans and
positioning, capital allocation, as well as guidance related to the
first quarter of 2025. Such forward-looking statements are based
upon management’s current expectations and include known and
unknown risks, uncertainties and other factors, many of which TD
SYNNEX is unable to predict or control, that may cause TD SYNNEX
actual results, performance, or plans to differ materially from any
future results, performance or plans expressed or implied by such
forward-looking statements.
These risks and uncertainties include, but are not limited to:
the unfavorable outcome of any legal proceedings that have been or
may be instituted against us; the ability to retain key personnel;
general economic and political conditions; weakness in information
technology spending; seasonality; the loss or consolidation of one
or more of our significant original equipment manufacturer, or OEM,
suppliers or customers; market acceptance and product life of the
products we assemble and distribute; competitive conditions in our
industry and their impact on our margins; pricing, margin and other
terms with our OEM suppliers; our ability to gain market share;
variations in supplier-sponsored programs; changes in our costs and
operating expenses; the timing and amount of returns to our
stockholders via repurchases of our common stock and dividends;
changes in foreign currency exchange rates; increased inflation;
changes in tax laws; risks associated with our international
operations; uncertainties and variability in demand by our reseller
and integration customers; supply shortages or delays; any
termination or reduction in our floor plan financing arrangements;
credit exposure to our reseller customers and negative trends in
their businesses; any incidents of theft; the declaration, timing
and payment of dividends, and the Board’s reassessment thereof; and
other risks and uncertainties detailed in our Form 10-K for the
fiscal year ended November 30, 2023 and subsequent SEC filings.
Statements included in this press release are based upon
information known to TD SYNNEX as of the date of this release, and
TD SYNNEX assumes no obligation to update information contained in
this press release unless otherwise required by law.
Copyright 2025 TD SYNNEX CORPORATION. All rights
reserved. TD SYNNEX, the TD SYNNEX Logo, and all other TD SYNNEX
company, product and services names and slogans are trademarks or
registered trademarks of TD SYNNEX Corporation. Other names and
marks are the property of their respective owners.
TD SYNNEX Corporation
Consolidated Balance
Sheets
(Currency and share amounts in
thousands, except par value)
(Amounts may not add or
compute due to rounding)
(Unaudited)
November 30, 2024
November 30, 2023
ASSETS
Current assets:
Cash and cash equivalents
$
1,059,378
$
1,033,776
Accounts receivable, net
10,341,625
10,297,814
Receivables from vendors, net
958,105
964,334
Inventories
8,287,048
7,146,274
Other current assets
678,540
642,238
Total current assets
21,324,696
20,084,436
Property and equipment, net
457,024
450,024
Goodwill
3,895,077
3,904,170
Intangible assets, net
3,912,267
4,244,314
Other assets, net
685,415
729,870
Total assets
$
30,274,479
$
29,412,814
LIABILITIES AND EQUITY
Current liabilities:
Borrowings, current
$
171,092
$
983,585
Accounts payable
15,084,107
13,347,281
Other accrued liabilities
1,966,036
2,407,896
Total current liabilities
17,221,235
16,738,762
Long-term borrowings
3,736,399
3,099,193
Other long-term liabilities
468,648
498,656
Deferred tax liabilities
812,763
893,021
Total liabilities
22,239,045
21,229,632
Stockholders’ equity:
Preferred stock, $0.001 par value, 5,000
shares authorized, no shares issued or outstanding
—
—
Common stock, $0.001 par value, 200,000
shares authorized, 99,012 shares issued as of both November 30,
2024 and 2023
99
99
Additional paid-in capital
7,437,688
7,435,274
Treasury stock, 15,289 and 10,343 shares
as of November 30, 2024 and 2023, respectively
(1,513,017
)
(949,714
)
Accumulated other comprehensive loss
(645,117
)
(507,248
)
Retained earnings
2,755,781
2,204,771
Total stockholders' equity
8,035,434
8,183,182
Total liabilities and equity
$
30,274,479
$
29,412,814
TD SYNNEX Corporation
Consolidated Statements of
Operations
(Currency and share amounts in
thousands, except per share amounts)
(Amounts may not add or
compute due to rounding)
(Unaudited)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Revenue
$
15,844,563
$
14,407,306
$
58,452,436
$
57,555,416
Cost of revenue
(14,803,618
)
(13,388,727
)
(54,471,130
)
(53,598,587
)
Gross profit
1,040,945
1,018,579
3,981,306
3,956,829
Selling, general and administrative
expenses
(715,009
)
(685,187
)
(2,715,781
)
(2,672,562
)
Acquisition, integration and restructuring
costs
(1,124
)
(46,638
)
(71,314
)
(206,235
)
Operating income
324,812
286,754
1,194,211
1,078,032
Interest expense and finance charges,
net
(86,419
)
(66,130
)
(319,458
)
(288,318
)
Other (expense) income, net
(1,225
)
6,485
(8,718
)
(206
)
Income before income taxes
237,168
227,109
866,035
789,508
Provision for income taxes
(42,366
)
(39,567
)
(176,944
)
(162,597
)
Net income
$
194,802
$
187,542
$
689,091
$
626,911
Earnings per common share:
Basic
$
2.30
$
2.06
$
7.99
$
6.72
Diluted
$
2.29
$
2.06
$
7.95
$
6.70
Weighted-average common shares
outstanding:
Basic
84,154
90,077
85,494
92,572
Diluted
84,519
90,371
85,874
92,853
TD SYNNEX Corporation
Consolidated Statements of
Cash Flows
(Currency amounts in
thousands)
(Amounts may not add or
compute due to rounding)
(Unaudited)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Cash flows from operating
activities:
Net income
$
194,802
$
187,542
$
689,091
$
626,911
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization
102,438
103,398
407,532
418,315
Share-based compensation
22,105
21,259
69,201
84,983
Provision for doubtful accounts
(1,178
)
14,404
862
44,742
Deferred income taxes
(28,813
)
(91,572
)
(28,813
)
(91,572
)
Other
(6,292
)
2,748
2,635
(2,757
)
Changes in operating assets and
liabilities, net of acquisition of businesses:
Accounts receivable, net
(503,305
)
(1,381,331
)
(195,615
)
(656,630
)
Receivables from vendors, net
(110,758
)
(138,979
)
(6,606
)
(127,046
)
Inventories
(726,000
)
327,808
(1,214,505
)
2,032,202
Accounts payable
1,466,053
805,384
1,930,252
(971,747
)
Other operating assets and liabilities
152,889
360,007
(436,310
)
49,972
Net cash provided by operating
activities
561,941
210,668
1,217,724
1,407,373
Cash flows from investing
activities:
Purchases of property and equipment
(49,060
)
(42,590
)
(175,112
)
(150,007
)
Acquisition of businesses, net of cash
acquired
(11,255
)
—
(43,677
)
—
Proceeds from sale of fixed assets
42,890
—
42,890
—
Settlement of net investment hedges
—
—
(14,840
)
(556
)
Other
5,160
(664
)
(3,099
)
(5,848
)
Net cash used in investing activities
(12,265
)
(43,254
)
(193,838
)
(156,411
)
Cash flows from financing
activities:
Dividends paid
(34,026
)
(31,469
)
(138,081
)
(130,374
)
Proceeds from issuance of common stock and
reissuance of treasury stock
956
1,218
11,996
8,846
Repurchases of common stock
(102,011
)
(342,899
)
(611,892
)
(620,659
)
Repurchases of common stock for tax
withholdings on equity awards
(16,975
)
(10,333
)
(24,703
)
(18,926
)
Net (repayments) borrowings on revolving
credit loans
(144,819
)
24,886
(39,530
)
(2,571
)
Principal payments on long-term debt
(789
)
(21,662
)
(1,486,397
)
(74,408
)
Borrowings on long-term debt
—
—
1,349,376
51,837
Cash paid for debt issuance costs
—
—
(13,869
)
—
Other
—
—
—
375
Net cash used in financing activities
(297,664
)
(380,259
)
(953,100
)
(785,880
)
Effect of exchange rate changes on cash,
cash equivalents and restricted cash
(46,557
)
(4,251
)
(45,184
)
45,838
Net increase (decrease) in cash, cash
equivalents and restricted cash
205,455
(217,096
)
25,602
510,920
Cash, cash equivalents and restricted cash
at beginning of period
853,923
1,250,872
1,033,776
522,856
Cash, cash equivalents and restricted cash
at end of period
$
1,059,378
$
1,033,776
$
1,059,378
$
1,033,776
TD SYNNEX Corporation
Regional Financial Highlights
- Fiscal 2024 Fourth Quarter
(Currency in millions)
(Amounts may not add or
compute due to rounding)
Q4 FY24
Q4 FY23
Net Change from Q4
FY23
Americas
Revenue
$
9,241.2
$
8,356.2
10.6
%
Non-GAAP gross billings(1)
$
12,883.0
$
12,041.9
7.0
%
Operating income
$
227.7
$
177.2
28.5
%
Non-GAAP operating income(1)
$
284.0
$
277.6
2.3
%
Operating margin
2.46
%
2.12
%
34 bps
Non-GAAP operating margin(1)
3.07
%
3.32
%
(25) bps
Europe
Revenue
$
5,499.0
$
5,212.8
5.5
%
Non-GAAP gross billings(1)
$
6,969.1
$
6,666.4
4.5
%
Operating income
$
63.8
$
78.7
(18.9
)%
Non-GAAP operating income(1)
$
102.0
$
116.6
(12.5
)%
Operating margin
1.16
%
1.51
%
(35) bps
Non-GAAP operating margin(1)
1.85
%
2.24
%
(39) bps
Asia-Pacific and Japan
Revenue
$
1,104.4
$
838.3
31.7
%
Non-GAAP gross billings(1)
$
1,359.1
$
1,036.1
31.2
%
Operating income
$
33.3
$
30.8
8.1
%
Non-GAAP operating income(1)
$
35.6
$
32.3
10.2
%
Operating margin
3.02
%
3.68
%
(66) bps
Non-GAAP operating margin(1)
3.22
%
3.86
%
(64) bps
(1) A reconciliation of TD SYNNEX’s GAAP
to non-GAAP financial information is set forth in the supplemental
tables at the end of this press release.
TD SYNNEX Corporation
Regional Financial Highlights
- Fiscal Year 2024
(Currency in millions)
(Amounts may not add or
compute due to rounding)
FY24
FY23
Net Change from FY23
Americas
Revenue
$
34,791.8
$
34,573.9
0.6
%
Non-GAAP gross billings(1)
$
49,662.5
$
48,017.1
3.4
%
Operating income
$
817.5
$
736.6
11.0
%
Non-GAAP operating income(1)
$
1,081.8
$
1,108.0
(2.4
)%
Operating margin
2.35
%
2.13
%
22 bps
Non-GAAP operating margin(1)
3.11
%
3.20
%
(9) bps
Europe
Revenue
$
19,634.2
$
19,422.3
1.1
%
Non-GAAP gross billings(1)
$
25,403.6
$
24,875.9
2.1
%
Operating income
$
263.9
$
236.5
11.6
%
Non-GAAP operating income(1)
$
424.6
$
421.6
0.7
%
Operating margin
1.34
%
1.22
%
12 bps
Non-GAAP operating margin(1)
2.16
%
2.17
%
(1) bps
Asia-Pacific and Japan
Revenue
$
4,026.4
$
3,559.3
13.1
%
Non-GAAP gross billings(1)
$
4,999.0
$
4,353.1
14.8
%
Operating income
$
112.8
$
105.0
7.4
%
Non-GAAP operating income(1)
$
120.6
$
112.8
6.9
%
Operating margin
2.80
%
2.95
%
(15) bps
Non-GAAP operating margin(1)
3.00
%
3.17
%
(17) bps
(1) A reconciliation of TD SYNNEX’s GAAP
to non-GAAP financial information is set forth in the supplemental
tables at the end of this press release.
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Revenue in constant currency
Consolidated
Revenue
$
15,844,563
$
14,407,306
$
58,452,436
$
57,555,416
Impact of changes in foreign
currencies
(115,696
)
—
(121,648
)
—
Revenue in constant currency
$
15,728,867
$
14,407,306
$
58,330,788
$
57,555,416
Americas
Revenue
$
9,241,168
$
8,356,228
$
34,791,848
$
34,573,859
Impact of changes in foreign
currencies
15,949
—
32,915
—
Revenue in constant currency
$
9,257,117
$
8,356,228
$
34,824,763
$
34,573,859
Europe
Revenue
$
5,498,968
$
5,212,809
$
19,634,156
$
19,422,297
Impact of changes in foreign
currencies
(121,403
)
—
(226,889
)
—
Revenue in constant currency
$
5,377,565
$
5,212,809
$
19,407,267
$
19,422,297
Asia-Pacific and Japan
Revenue
$
1,104,427
$
838,269
$
4,026,432
$
3,559,260
Impact of changes in foreign
currencies
(10,242
)
—
72,326
—
Revenue in constant currency
$
1,094,185
$
838,269
$
4,098,758
$
3,559,260
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP gross billings
Consolidated
Revenue
$
15,844,563
$
14,407,306
$
58,452,436
$
57,555,416
Costs incurred and netted against revenue
related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts
5,366,634
5,337,057
21,612,583
19,690,672
Non-GAAP gross billings
$
21,211,197
$
19,744,363
$
80,065,019
$
77,246,088
Americas
Revenue
$
9,241,168
$
8,356,228
$
34,791,848
$
34,573,859
Costs incurred and netted against revenue
related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts
3,641,867
3,685,629
14,870,628
13,443,238
Non-GAAP gross billings
$
12,883,035
$
12,041,857
$
49,662,476
$
48,017,097
Europe
Revenue
$
5,498,968
$
5,212,809
$
19,634,156
$
19,422,297
Costs incurred and netted against revenue
related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts
1,470,110
1,453,582
5,769,432
5,453,615
Non-GAAP gross billings
$
6,969,078
$
6,666,391
$
25,403,588
$
24,875,912
Asia-Pacific and Japan
Revenue
$
1,104,427
$
838,269
$
4,026,432
$
3,559,260
Costs incurred and netted against revenue
related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts
254,657
197,846
972,523
793,819
Non-GAAP gross billings
$
1,359,084
$
1,036,115
$
4,998,955
$
4,353,079
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP gross profit & non-GAAP
gross margin
Revenue
$
15,844,563
$
14,407,306
$
58,452,436
$
57,555,416
Gross profit
$
1,040,945
$
1,018,579
$
3,981,306
$
3,956,829
Purchase accounting adjustments
—
—
—
15,047
Non-GAAP gross profit
$
1,040,945
$
1,018,579
$
3,981,306
$
3,971,876
Gross margin
6.57
%
7.07
%
6.81
%
6.87
%
Non-GAAP gross margin
6.57
%
7.07
%
6.81
%
6.90
%
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Adjusted selling, general and
administrative expenses
Revenue
$
15,844,563
$
14,407,306
$
58,452,436
$
57,555,416
Costs incurred and netted against revenue
related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts
5,366,634
5,337,057
21,612,583
19,690,672
Non-GAAP gross billings
$
21,211,197
$
19,744,363
$
80,065,019
$
77,246,088
Gross profit
$
1,040,945
$
1,018,579
$
3,981,306
$
3,956,829
Selling, general and administrative
expenses(1)
$
716,133
$
731,825
$
2,787,095
$
2,878,797
Acquisition, integration and restructuring
costs
(1,124
)
(46,638
)
(71,314
)
(206,235
)
Amortization of intangibles
(73,495
)
(73,166
)
(292,304
)
(293,737
)
Share-based compensation
(22,105
)
(20,021
)
(69,201
)
(49,273
)
Adjusted selling, general and
administrative expenses
$
619,409
$
592,000
$
2,354,276
$
2,329,552
Selling, general and administrative
expenses(1) as a percentage of revenue
4.52
%
5.08
%
4.77
%
5.00
%
Adjusted selling, general and
administrative expenses as a percentage of non-GAAP gross
billings
2.92
%
3.00
%
2.94
%
3.02
%
Selling, general and administrative
expenses(1) as a percentage of gross profit
68.8
%
71.8
%
70.0
%
72.8
%
Adjusted selling, general and
administrative expenses as a percentage of gross profit
59.5
%
58.1
%
59.1
%
58.9
%
(1) Includes acquisition, integration and
restructuring costs, which are presented separately on the
Consolidated Statements of Operations.
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP operating income &
non-GAAP operating margin - Consolidated
Revenue
$
15,844,563
$
14,407,306
$
58,452,436
$
57,555,416
Operating income
$
324,812
$
286,754
$
1,194,211
$
1,078,032
Acquisition, integration and restructuring
costs
1,124
46,638
71,314
206,235
Amortization of intangibles
73,495
73,166
292,304
293,737
Share-based compensation
22,105
20,021
69,201
49,273
Purchase accounting adjustments
—
—
—
15,047
Non-GAAP operating income
$
421,536
$
426,579
$
1,627,030
$
1,642,324
Operating margin
2.05
%
1.99
%
2.04
%
1.87
%
Non-GAAP operating margin
2.66
%
2.96
%
2.78
%
2.85
%
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP operating income &
non-GAAP operating margin - Americas
Revenue
$
9,241,168
$
8,356,228
$
34,791,848
$
34,573,859
Operating income
$
227,682
$
177,235
$
817,548
$
736,605
Acquisition, integration and restructuring
costs
219
43,163
53,245
165,845
Amortization of intangibles
41,430
42,336
165,860
169,569
Share-based compensation
14,681
14,879
45,107
35,955
Non-GAAP operating income
$
284,012
$
277,613
$
1,081,760
$
1,107,974
Operating margin
2.46
%
2.12
%
2.35
%
2.13
%
Non-GAAP operating margin
3.07
%
3.32
%
3.11
%
3.20
%
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP operating income &
non-GAAP operating margin - Europe
Revenue
$
5,498,968
$
5,212,809
$
19,634,156
$
19,422,297
Operating income
$
63,813
$
78,684
$
263,913
$
236,477
Acquisition, integration and restructuring
costs
606
3,341
16,831
37,091
Amortization of intangibles
31,248
30,211
123,567
121,680
Share-based compensation
6,285
4,404
20,318
11,255
Purchase accounting adjustments
—
—
—
15,047
Non-GAAP operating income
$
101,952
$
116,640
$
424,629
$
421,550
Operating margin
1.16
%
1.51
%
1.34
%
1.22
%
Non-GAAP operating margin
1.85
%
2.24
%
2.16
%
2.17
%
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP operating income &
non-GAAP operating margin - Asia-Pacific and Japan
Revenue
$
1,104,427
$
838,269
$
4,026,432
$
3,559,260
Operating income
$
33,317
$
30,835
$
112,750
$
104,950
Acquisition, integration and restructuring
costs
299
134
1,238
3,299
Amortization of intangibles
817
619
2,877
2,488
Share-based compensation
1,139
738
3,776
2,063
Non-GAAP operating income
$
35,572
$
32,326
$
120,641
$
112,800
Operating margin
3.02
%
3.68
%
2.80
%
2.95
%
Non-GAAP operating margin
3.22
%
3.86
%
3.00
%
3.17
%
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Currency in thousands, except
per share amounts)
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
EBITDA & adjusted EBITDA
Net income
$
194,802
$
187,542
$
689,091
$
626,911
Interest expense and finance charges,
net
86,419
66,130
319,458
288,318
Provision for income taxes
42,366
39,567
176,944
162,597
Depreciation(1)
28,943
30,232
115,228
124,578
Amortization of intangibles
73,495
73,166
292,304
293,737
EBITDA
$
426,025
$
396,637
$
1,593,025
$
1,496,141
Other expense (income), net
1,225
(6,485
)
8,718
206
Acquisition, integration and restructuring
costs
1,124
45,511
65,828
188,871
Share-based compensation
22,105
20,021
69,201
49,273
Purchase accounting adjustments
—
—
—
15,047
Adjusted EBITDA
$
450,479
$
455,684
$
1,736,772
$
1,749,538
(1) Includes depreciation recorded in
acquisition, integration, and restructuring costs.
Three Months Ended
Twelve Months Ended
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Non-GAAP net income & non-GAAP
diluted EPS(1)
Net income
$
194,802
$
187,542
$
689,091
$
626,911
Acquisition, integration and restructuring
costs
1,124
47,139
71,314
213,585
Amortization of intangibles
73,495
73,166
292,304
293,737
Share-based compensation
22,105
20,021
69,201
49,273
Purchase accounting adjustments
—
—
—
15,047
Income taxes related to the above
(28,112
)
(42,294
)
(109,973
)
(144,994
)
Non-GAAP net income
$
263,414
$
285,574
$
1,011,937
$
1,053,559
Diluted EPS(1)
$
2.29
$
2.06
$
7.95
$
6.70
Acquisition, integration and restructuring
costs
0.01
0.52
0.83
2.28
Amortization of intangibles
0.86
0.79
3.37
3.14
Share-based compensation
0.26
0.22
0.80
0.53
Purchase accounting adjustments
—
—
—
0.16
Income taxes related to the above
(0.33
)
(0.46
)
(1.27
)
(1.55
)
Non-GAAP Diluted EPS(1)
$
3.09
$
3.13
$
11.68
$
11.26
(1) Diluted EPS is calculated using the
two-class method. Unvested restricted stock awards granted to
employees are considered participating securities. For purposes of
calculating Diluted EPS, net income allocated to participating
securities was approximately 0.8% and 0.9% of net income for the
three and twelve months ended November 30, 2024, respectively, and
was approximately 0.9% and 0.8% of net income for the three and
twelve months ended November 30, 2023, respectively.
TD SYNNEX Corporation
Reconciliation of GAAP to
Non-GAAP financial measures
(Amounts may not add or
compute due to rounding)
Three Months Ended
Twelve Months Ended
(Currency in thousands)
November 30, 2024
November 30, 2023
November 30, 2024
November 30, 2023
Free cash flow
Net cash provided by operating
activities
$
561,941
$
210,668
$
1,217,724
$
1,407,373
Purchases of property and equipment
(49,060
)
(42,590
)
(175,112
)
(150,007
)
Free cash flow
$
512,881
$
168,078
$
1,042,612
$
1,257,366
Forecast
Three Months Ending
February 28, 2025
(Currency in millions, except per share
amounts)
Low
High
Net income
$
147
$
189
Amortization of intangibles
75
75
Share-based compensation
25
25
Income taxes related to the above
(23
)
(23
)
Non-GAAP net income
$
224
$
266
Diluted EPS(1)
$
1.74
$
2.24
Amortization of intangibles
0.89
0.89
Share-based compensation
0.29
0.29
Income taxes related to the above
(0.27
)
(0.27
)
Non-GAAP Diluted EPS(1)
$
2.65
$
3.15
(1) Diluted EPS is calculated using the
two-class method. Unvested restricted stock awards granted to
employees are considered participating securities. Net income
allocable to participating securities is estimated to be
approximately 0.9% of the forecast net income for the three months
ending February 28, 2025.
Forecast
Three Months Ending
(Currency in billions)
February 28, 2025
Non-GAAP gross billings
Low
High
Revenue
$
14.4
$
15.2
Costs incurred and netted against revenue
related to sales of third-party supplier service contracts,
software as a service arrangements and certain fulfillment
contracts
5.3
5.5
Non-GAAP gross billings
$
19.7
$
20.7
TD SYNNEX Corporation
Calculation of Financial
Metrics
Return on Invested Capital
(“ROIC”)
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
November 30, 2024
November 30, 2023
ROIC
Operating income (trailing fiscal four
quarters)
$
1,194,211
$
1,078,032
Income taxes on operating income(1)
(243,995
)
(222,018
)
Operating income after taxes
$
950,216
$
856,014
Total invested capital comprising equity
and borrowings, less cash (last five quarters average)
$
11,186,988
$
11,510,953
ROIC
8.5
%
7.4
%
Adjusted ROIC
Non-GAAP operating income (trailing fiscal
four quarters)
$
1,627,030
$
1,642,324
Income taxes on non-GAAP operating
income(1)
(359,411
)
(371,130
)
Non-GAAP operating income after taxes
$
1,267,619
$
1,271,194
Total invested capital comprising equity
and borrowings, less cash (last five quarters average)
$
11,186,988
$
11,510,953
Tax effected impact of cumulative non-GAAP
adjustments (last five quarters average)
1,451,601
1,068,366
Total non-GAAP invested capital (last five
quarters average)
$
12,638,589
$
12,579,319
Adjusted ROIC
10.0
%
10.1
%
(1) Income taxes on GAAP operating income
was calculated using the effective year-to-date tax rates during
the respective periods. Income taxes on non-GAAP operating income
was calculated by excluding the tax effect of taxable and
deductible non-GAAP adjustments using the effective year-to-date
tax rate during the respective periods.
TD SYNNEX Corporation
Calculation of Financial
Metrics
Cash Conversion Cycle
(Currency in
thousands)
(Amounts may not add or
compute due to rounding)
Three Months Ended
November 30, 2024
November 30, 2023
Days sales outstanding
Revenue
(a)
$
15,844,563
$
14,407,306
Accounts receivable, net
(b)
10,341,625
10,297,814
Days sales outstanding
(c) = ((b)/(a))*the number of
days during the period
60
65
Days inventory outstanding
Cost of revenue
(d)
$
14,803,618
$
13,388,727
Inventories
(e)
8,287,048
7,146,274
Days inventory outstanding
(f) = ((e)/(d))*the number of
days during the period
51
49
Days payable outstanding
Cost of revenue
(g)
$
14,803,618
$
13,388,727
Accounts payable
(h)
15,084,107
13,347,281
Days payable outstanding
(i) = ((h)/(g))*the number of
days during the period
93
91
Cash conversion cycle
(j) = (c)+(f)-(i)
18
23
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250110670224/en/
Jack Huddleston Investor Relations 510-668-8436
IR@tdsynnex.com
Bobby Eagle Global Corporate Communications 727-538-5864
bobby.eagle@tdsynnex.com
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