EATONTOWN, N.J., May 13, 2025 (GLOBE NEWSWIRE) -- Climb Channel Solutions (Climb), an international specialty technology distributor and wholly owned subsidiary of Climb Global Solutions, Inc. (NASDAQ: CLMB) is pleased to announce the promotion of Carlos Rodrigues to President of North America. Carlos has been a key leader within Climb since 2020, demonstrating exceptional leadership and strategic vision across North America. Throughout his tenure, he has played a critical role in driving company-wide growt ...

Q1 2025 Performance Highlights - Net sales reached $123 billion, up 108% year-over-year on an FX neutral basis, exceeding guidance by 56%[14, 10] - Adjusted income from operations was $229 million, a 66% increase year-over-year[14] - Non-GAAP net income increased by 66% year-over-year to $144 million[14] - Adjusted EBITDA was $291 million, a 01% increase year-over-year[14] - Non-GAAP diluted EPS was $061, exceeding guidance by $005[14] Financial Position - The company repaid $125 million of debt in Q1 2025, bringing the total repayment to $169 billion since 2022[10, 32] - Available liquidity under the Revolving Credit Facility is $35 billion[33] - Net Debt / Q1 2025 TTM Adjusted EBITDA decreased to 20x, down from 23x in Q1 2024[33] Xvantage Digital Platform - The platform facilitated 12 million searches for hardware, software, cloud, and services[20] - Self-serve orders more than tripled year-over-year[21] - Thousands of dormant customers were reactivated through the platform[22] Q2 2025 Guidance - Net revenue is projected to be between $11765 billion and $12165 billion, representing year-over-year growth of 19% to 54%[35] - Non-GAAP diluted EPS is expected to be between $053 and $063[35]

Financial Data and Key Metrics Changes - Gross billings in Q1 2025 increased by 34% to $474.6 million compared to $355.3 million in the prior year quarter [12] - Net sales rose by 49% to $138 million from $92.4 million, driven by organic growth and the acquisition of DSS [12] - Net income increased by 35% to $3.7 million or $0.81 per diluted share, compared to $2.7 million or $0.60 per diluted share in Q1 2024 [14] - Adjusted EBITDA grew by 38% to $7.6 million, with an effective margin increase of 20 basis points to 32.7% [15] Business Line Data and Key Metrics Changes - Distribution segment gross billings increased by 36% to $453.6 million, while Solutions segment gross billings rose by 2% to $21 million [12] - SG&A expenses increased to $16.8 million from $12.5 million, with SG&A as a percentage of gross billings remaining flat at 3.5% [13] Market Data and Key Metrics Changes - The company reported solid organic growth in both the U.S. and Europe, indicating a strong market presence [5] - The initial interaction with Darktrace has resulted in a growing pipeline exceeding $30 million in potential gross billings [7] Company Strategy and Development Direction - The company is focused on sustaining momentum and driving organic growth while remaining active in M&A to enhance service offerings [11] - The implementation of a new ERP system is expected to improve efficiency and data insights across global operations [8] Management's Comments on Operating Environment and Future Outlook - Management noted that the economic environment has not significantly impacted business, with over 80% of operations in the U.S. [23] - The company is optimistic about future growth, particularly with new vendor relationships and ongoing enhancements to operational systems [30] Other Important Information - The Board of Directors declared a quarterly dividend of $0.17 per share, payable on May 16, 2025 [17] - The company recognized Freshworks as its strategic partner of the year during its annual client partner conference [9] Q&A Session Summary Question: Were there any large deals in the quarter or was it broad-based demand? - Management indicated that the growth was broad-based with no standout deals in Q1, although they expect stronger performance in the education sector as the fiscal year progresses [21][22] Question: Has there been any change in sentiment given the uncertain economic environment? - Management reported no significant impact from economic uncertainties, as the majority of their business is U.S.-based [23] Question: Are synergies in Europe starting to materialize? - Management confirmed that synergies are beginning to show, particularly with the integration of DSS into their ERP system [26][27] Question: Did organic growth trends continue into April? - Management refrained from discussing specific April results but expressed optimism about ongoing relationships and growth potential [28][30]

Core Insights - Climb Channel Solutions has announced a new partnership with Accelsius to enhance its offerings in high-performance computing environments [1][2] - The partnership aims to provide innovative liquid cooling solutions to meet the increasing demands of AI, cloud, and data-intensive workloads [2][3] Company Overview - Climb Channel Solutions is a global specialty technology distributor focusing on various sectors including Security, Data Management, and Cloud technologies [5] - Accelsius specializes in next-generation liquid cooling solutions, particularly its proprietary NeuCool™ system, which is designed for high-performance computing [2][6] Partnership Details - The collaboration will leverage Accelsius' two-phase, direct-to-chip cooling technology, which is noted for its energy efficiency and hardware protection [3][4] - Climb's expertise in emerging technologies and strong channel relationships positions it well to scale the deployment of Accelsius' solutions [3][4] Market Positioning - The partnership is expected to empower resellers, integrators, and service providers to deliver advanced cooling solutions more effectively, addressing the growing demand for sustainable infrastructure [3][4] - Climb's commitment to expanding its portfolio with cutting-edge technologies is reinforced through this partnership, enhancing its position in the high-performance infrastructure market [4]