TD SYNNEX Reports Fiscal 2025 Second Quarter Results

TD SYNNEX, a leading global distributor and solutions aggregator for the IT ecosystem, has released its financial results for the fiscal second quarter ended May 31, 2025. The company reported strong performance across various financial metrics, reflecting growth and operational efficiency.

Financial Highlights

TD SYNNEX reported revenue of $14.9 billion for the second quarter of fiscal 2025, marking a 7.2% increase year-over-year. On a constant currency basis, revenue grew by 6.3%. The company's non-GAAP gross billings reached $21.6 billion, a 12.1% increase from the previous year. Diluted earnings per share (EPS) were $2.21, while non-GAAP diluted EPS stood at $2.99, both exceeding the high end of the company's outlook.

Business and Operational Highlights

The company's gross profit for the quarter was $1,046 million, up from $974 million in the same period last year. Gross margin remained steady at 7.0%. Operating income increased to $328 million from $264 million, with a corresponding operating margin of 2.2%. Non-GAAP operating income was $414 million, with a non-GAAP operating margin of 2.8%.

Regionally, the Americas saw a revenue increase of 5.3% to $9.0 billion, while Europe experienced a 10.5% rise to $4.9 billion. The Asia-Pacific and Japan (APJ) region reported an 8.7% increase in revenue to $1.0 billion.

Strategic Initiatives and Corporate Developments

TD SYNNEX returned $186 million to stockholders through share repurchases and dividends. The company announced a quarterly cash dividend of $0.44 per common share, a 10% increase year-over-year. Additionally, the company generated $573 million in cash from operations and $543 million in free cash flow.

Management's Perspective

Patrick Zammit, CEO of TD SYNNEX, commented, "Our Q2 results demonstrate the continued strength of the IT Distribution and Hyperscaler markets. Our strategy and the execution of our team are enabling us to grow ahead of the market. Gross billings grew double digits, and non-GAAP diluted EPS exceeded the high end of our guidance with all regions and major technologies contributing."

Future Outlook

For the fiscal third quarter of 2025, TD SYNNEX expects revenue to be in the range of $14.7 billion to $15.5 billion. Non-GAAP gross billings are projected to be between $21.0 billion and $22.0 billion. The company anticipates net income to range from $159 million to $200 million, with non-GAAP net income expected to be between $227 million and $268 million. Diluted EPS is forecasted to be between $1.93 and $2.43, while non-GAAP diluted EPS is expected to range from $2.75 to $3.25.

SEC Filing: TD SYNNEX CORP [ SNX ] - 8-K - Jun. 24, 2025