Financial Performance - Net sales for the fiscal third quarter 2024 were $11.8 billion, a decrease of 1.4% compared to $11.9 billion in the prior fiscal third quarter[6]. - Gross profit was $845.5 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 $77.0 million, or $0.35 per diluted share, compared to $86.8 million, or $0.39 per diluted share in the prior year[5][11]. - Non-GAAP net income was $159.2 million, or $0.72 per diluted share, compared to $148.6 million, or $0.67 per diluted share in the prior year[5][11]. - Income from operations was $218.2 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 $331.6 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, 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 $0.35 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, 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, 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, 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 $277.0 million, with adjusted free cash flow at $(254.6) million, an improvement from $(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 $106.1 million, compared to $59.8 million and $6.5 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) 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 $864,627,000 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) 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 $6,473,000 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 $15,354,317 as of December 30, 2023[32]. - Total liabilities stood at $14,948,818 as of September 28, 2024, slightly up from $14,914,025 at the end of the previous year[31]. - Retained earnings increased to $1,254,283 as of September 28, 2024, compared to $1,079,776 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 $2,655,776 at the end of 2023[33]. - Long-term debt as of September 28, 2024, was $3,344,033,000, a decrease from $3,619,081,000 as of September 30, 2023[49]. Future Outlook - For the fiscal fourth quarter 2024, the company expects net sales between $13.0 billion and $13.5 billion, with non-GAAP diluted EPS guidance of $0.85 to $0.98[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].
Ingram Micro Holding Corporation(INGM) - 2024 Q3 - Quarterly Results