TD Synnex's Q1 Earnings Exceed Expectations

TD Synnex Corp SNX reported first-quarter FY22 revenue growth of 213.2% year-over-year to $15.47 billion, beating the consensus of $15.31 billion. Revenue fell 0.9% Q/Q.
Adjusted EPS of $3.03 beat the consensus of $2.73.
The adjusted operating margin contracted by 37 bps to 2.79%.
The trailing fiscal four quarters ROIC was 9.7% compared to 16.8% in the prior year, and the adjusted ROIC was 13.9% versus 17.8% for the previous year.
TD Synnex used $1.3 billion in operating cash flow reflecting the temporary increase in net working capital to support revenue growth and strategic inventory purchases.
The company held cash and equivalents of $510.2 million.
Dividend: TD Synnex declared a quarterly dividend of $0.30/share.
2Q22 Outlook: TD Synnex sees revenue of $14.8 billion - $15.8 billion, versus the consensus of $15.1 billion. It sees non-GAAP EPS of $2.40 - $2.80 versus the consensus of $2.54.
FY22 Outlook: TD Synnex raised non-GAAP EPS outlook from $10.80 - $11.20 to $11.15 - $11.65 above the consensus of $11.08.
Price Action: SNX shares traded lower by 0.57% at $111.40 during the market session on Thursday.

Earnings Calendar