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Ingram Micro Holding Corporation(INGM) - 2024 Q3 - Quarterly Results
INGMIngram Micro Holding Corporation(INGM)2024-11-12 21:16

Financial Performance - Net sales for the fiscal third quarter 2024 were 11.8billion,adecreaseof1.411.8 billion, a decrease of 1.4% compared to 11.9 billion in the prior fiscal third quarter[6]. - Gross profit was 845.5million,downfrom845.5 million, down from 854.8 million in the prior fiscal third quarter, with a gross margin of 7.19%, slightly up from 7.17%[6][7]. - Net income on a GAAP basis was 77.0million,or77.0 million, or 0.35 per diluted share, compared to 86.8million,or86.8 million, or 0.39 per diluted share in the prior year[5][11]. - Non-GAAP net income was 159.2million,or159.2 million, or 0.72 per diluted share, compared to 148.6million,or148.6 million, or 0.67 per diluted share in the prior year[5][11]. - Income from operations was 218.2million,anincreasefrom218.2 million, an increase from 212.4 million in the prior fiscal third quarter, with an income from operations margin of 1.85%[9][10]. - Adjusted EBITDA was 331.6million,comparedto331.6 million, compared to 314.0 million in the prior fiscal third quarter[10]. - Net income for the thirteen weeks ended September 28, 2024, was 76,969,adecreaseof11.376,969, a decrease of 11.3% from 86,783 in the prior year[34]. - Basic and diluted earnings per share for Class A and Class B shares were 0.35forthethirteenweeksendedSeptember28,2024,downfrom0.35 for the thirteen weeks ended September 28, 2024, down from 0.39 in the same period of 2023[34]. - Adjusted Income from Operations for the thirteen weeks ended September 28, 2024, was 253,949,000,down4.3253,949,000, down 4.3% from 265,481,000 in the prior year[47]. - Adjusted EBITDA for the thirty-nine weeks ended September 28, 2024, was 900,573,000,down1.9900,573,000, down 1.9% from 917,702,000 for the same period in 2023[48]. - Adjusted net income for the thirty-nine weeks ended September 28, 2024, was 506,929,000,adecreaseof6.3506,929,000, a decrease of 6.3% from 540,740,000 for the same period in 2023[51]. Cash Flow and Operations - Cash used in operations was 277.0million,withadjustedfreecashflowat277.0 million, with adjusted free cash flow at (254.6) million, an improvement from (281.5)millioninthepriorfiscalthirdquarter[8].−Year−to−datecashprovidedbyoperationswas(281.5) million in the prior fiscal third quarter[8]. - Year-to-date cash provided by operations was 23.9 million, with adjusted free cash flow at 106.1million,comparedto106.1 million, compared to 59.8 million and 6.5millioninthesameperiodin2023[13].−Cashprovidedbyoperatingactivitieswas6.5 million in the same period in 2023[13]. - Cash provided by operating activities was (277,040,000) for the thirteen weeks ended September 28, 2024, compared to (256,008,000)forthesameperiodin2023[36].−Cashandcashequivalentsattheendoftheperiodwere(256,008,000) for the same period in 2023[36]. - Cash and cash equivalents at the end of the period were 849,472,000, a slight decrease from 864,627,000attheendofthesameperiodin2023[38].−CashandcashequivalentsasofSeptember28,2024,were864,627,000 at the end of the same period in 2023[38]. - Cash and cash equivalents as of September 28, 2024, were (849,472,000), slightly improved from (864,627,000)asofSeptember30,2023[49].−Adjustedfreecashflowforthethirty−nineweeksendedSeptember28,2024,was(864,627,000) as of September 30, 2023[49]. - Adjusted free cash flow for the thirty-nine weeks ended September 28, 2024, was 106,112,000, compared to 6,473,000forthesameperiodin2023[55].AssetsandLiabilities−Totalcurrentassetsincreasedto6,473,000 for the same period in 2023[55]. Assets and Liabilities - Total current assets increased to 15,481,854 as of September 28, 2024, compared to 15,354,317asofDecember30,2023[32].−Totalliabilitiesstoodat15,354,317 as of December 30, 2023[32]. - Total liabilities stood at 14,948,818 as of September 28, 2024, slightly up from 14,914,025attheendofthepreviousyear[31].−Retainedearningsincreasedto14,914,025 at the end of the previous year[31]. - Retained earnings increased to 1,254,283 as of September 28, 2024, compared to 1,079,776attheendof2023,reflectingagrowthofapproximately16.21,079,776 at the end of 2023, reflecting a growth of approximately 16.2%[33]. - The company reported a total of 2,643,807 in additional paid-in capital as of September 28, 2024, down from 2,655,776attheendof2023[33].−Long−termdebtasofSeptember28,2024,was2,655,776 at the end of 2023[33]. - Long-term debt as of September 28, 2024, was 3,344,033,000, a decrease from 3,619,081,000asofSeptember30,2023[49].FutureOutlook−Forthefiscalfourthquarter2024,thecompanyexpectsnetsalesbetween3,619,081,000 as of September 30, 2023[49]. Future Outlook - For the fiscal fourth quarter 2024, the company expects net sales between 13.0 billion and 13.5billion,withnon−GAAPdilutedEPSguidanceof13.5 billion, with non-GAAP diluted EPS guidance of 0.85 to 0.98[22].−Thecompanyprovidedforward−lookingestimatesofnon−GAAPdilutedEPSforfiscalQ42024,butcannotreconcilethesetoGAAPdilutedEPSduetouncertainties[58].−Aone−timechargeof0.98[22]. - The company provided forward-looking estimates of non-GAAP diluted EPS for fiscal Q4 2024, but cannot reconcile these to GAAP diluted EPS due to uncertainties[58]. - A one-time charge of 32.4 million ($0.14 per share) will impact GAAP diluted EPS in October 2024, related to the conversion of the participation plan to share-based compensation[58]. - The charge mentioned will be excluded from calculations of non-GAAP diluted EPS, Adjusted EBITDA, and non-GAAP net income[58]. Strategic Focus - The company is focused on expanding its technical reach and scope through its Xvantage platform, aiming for profitable growth and quality of net sales[5]. - The company continues to focus on integrating acquisitions and expanding its market presence, despite facing various risks and uncertainties[29].