Ingram Micro Holding Corporation (INGM) Q3 2025 Earnings Call Transcript
Revenue $12.6 billion, up 7.2% year-over-year. The increase was attributed to strong demand in client and endpoint solutions, particularly notebooks, desktops, and related products.
Non-GAAP diluted earnings per share (EPS) $0.72, flat year-over-year. The ransomware incident in July had a small impact, estimated at $0.02 to $0.03 per share.
Net sales $12.6 billion, up 7.2% year-over-year in U.S. dollars and 6.0% on an FX-neutral basis. Growth was driven by client and endpoint solutions, which grew nearly 13% on an FX-neutral basis.
Advanced solutions sales Down 4.5% year-over-year. Growth in servers and storage was offset by softer results in virtualization and infrastructure software.
Cloud net revenues Down 4% year-over-year. Excluding the impact of a noncore divestiture, cloud net revenues were up low single digits year-over-year.
Gross profit $870 million, up from $845 million last year. The increase was primarily related to increased net sales.
Gross margin Down 29 basis points year-over-year due to a higher sales mix towards lower-margin client and endpoint solutions and lower-margin server, storage, and AI enablement product sets.
Adjusted EBITDA $342 million, up 3% in U.S. dollars and 2% in constant currency year-over-year.
Non-GAAP net income $169 million, up 6.0% year-over-year from $159 million last year. The increase reflects strong operational performance despite the ransomware incident.
Net working capital $4.9 billion, up from $4.3 billion last year. The increase was driven by higher net sales and investments to capture growth opportunities.
Adjusted free cash flow Outflow of $110 million, better than typical Q3 seasonal norms and improved compared to an outflow of $255 million in the prior fiscal third quarter.
Cash and cash equivalents $830 million at the end of the quarter.
Debt $3.8 billion at the end of the quarter.
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S&P 500 Futures Rise in Pre-Market Trading; Lumentum Holdings and Equinox Gold Take the Lead
Market Opening: U.S. stock markets are set to open in two hours.
Lumentum Holdings Inc. Performance: Lumentum Holdings Inc. (LITE) saw a 5.4% increase in pre-market trading.
Equinox Gold Corp. Performance: Equinox Gold Corp. (EQX) experienced a 4.8% rise in pre-market trading.
Overall Market Sentiment: The pre-market gains indicate a positive sentiment among investors for these stocks.
Ingram Micro Holding (INGM) Experiences Oversold Conditions
Ingram Micro's Stock Performance: Ingram Micro Holding Corporation (INGM) shares have entered oversold territory with an RSI of 29.2, trading as low as $19.485 per share.
Comparison with S&P 500: The current RSI for the S&P 500 ETF (SPY) is 44.5, indicating that INGM's recent heavy selling may be nearing exhaustion, potentially signaling a buying opportunity.
52-Week Range: INGM's stock has a 52-week low of $14.25 and a high of $24.81, with the last trade recorded at $19.52.
Author's Opinion Disclaimer: The views expressed in the article are those of the author and do not necessarily reflect the opinions of Nasdaq, Inc.
Analysts Predict CGMM Will Hit $33
ETF Analysis: The Capital Group US Small and Mid Cap ETF (CGMM) has an implied analyst target price of $32.80 per unit, indicating a potential upside of 16.42% from its recent trading price of $28.17.
Notable Holdings: Key underlying holdings with significant upside potential include StepStone Group Inc (21.97% upside), KARMAN HOLDINGS INC (18.00% upside), and INGRAM MICRO HOLDING CORP (17.86% upside) based on their respective analyst target prices.
Investor Considerations: Questions arise regarding the validity of analysts' target prices, including whether they are justified or overly optimistic, and the need for further investor research into recent company and industry developments.
Market Sentiment: A high target price relative to a stock's current trading price may indicate optimism but could also lead to potential downgrades if the targets are outdated.
Ingram Micro Holding Corp (INGM) Q3 2025 Earnings Call Summary: Robust Revenue Growth Despite ...
Strong Financial Performance: Ingram Micro reported third-quarter revenues of $12.6 billion, a 7.2% increase year over year, and effectively managed a ransomware incident with minimal disruption to operations.
Market Trends and Challenges: The company is gaining market share and experiencing growth in core business lines, particularly in SMBs, but faces challenges in the European market and a decline in Advanced Solutions and cloud revenues.
AI and Digital Initiatives: Ingram Micro's AI initiatives, including the Enable AI program and the Xvantage platform, are driving significant revenue growth and are expected to contribute to future business outcomes.
Future Outlook: The company anticipates continued strength in the SMB sector and robust growth in cloud services, with key catalysts for the next few quarters including services, AI monetization, and security.
Ingram Micro Holding's YieldBoost Rises from 1.4% to 23.9% Through Options Strategy
Dividend Predictability: Dividend amounts for companies like Ingram Micro Holding Corporation are influenced by profitability, making them unpredictable; the recent dividend yield is estimated at 1.4%.
Options Trading Insights: The stock's historical volatility is calculated at 40%, and selling covered calls at the $25 strike may offer a favorable risk-reward balance.
Current Market Activity: On a recent trading day, S&P 500 put volume was 1.22M contracts compared to 2.94M call contracts, indicating a strong preference for calls among traders.
Author's Perspective: The views expressed in the article are those of the author and do not necessarily represent the opinions of Nasdaq, Inc.
Ingram Micro Set to Release Q3 Fiscal 2025 Financial Results on October 30, 2025
Conference Call Announcement: Ingram Micro will hold a conference call on October 30, 2025, at 2:00 p.m. PT to discuss its third quarter fiscal 2025 financial results, with a press release issued prior to the call.
Accessing Information: The conference call will be available via a live webcast on Ingram Micro's investor relations website, and a telephonic replay will be accessible until December 31, 2025.
S&P 500 Futures Rise in Pre-Market Trading; Lumentum Holdings and Equinox Gold Take the Lead
Market Opening: U.S. stock markets are set to open in two hours.
Lumentum Holdings Inc. Performance: Lumentum Holdings Inc. (LITE) saw a 5.4% increase in pre-market trading.
Equinox Gold Corp. Performance: Equinox Gold Corp. (EQX) experienced a 4.8% rise in pre-market trading.
Overall Market Sentiment: The pre-market gains indicate a positive sentiment among investors for these stocks.
Ingram Micro Holding (INGM) Experiences Oversold Conditions
Ingram Micro's Stock Performance: Ingram Micro Holding Corporation (INGM) shares have entered oversold territory with an RSI of 29.2, trading as low as $19.485 per share.
Comparison with S&P 500: The current RSI for the S&P 500 ETF (SPY) is 44.5, indicating that INGM's recent heavy selling may be nearing exhaustion, potentially signaling a buying opportunity.
52-Week Range: INGM's stock has a 52-week low of $14.25 and a high of $24.81, with the last trade recorded at $19.52.
Author's Opinion Disclaimer: The views expressed in the article are those of the author and do not necessarily reflect the opinions of Nasdaq, Inc.
Analysts Predict CGMM Will Hit $33
ETF Analysis: The Capital Group US Small and Mid Cap ETF (CGMM) has an implied analyst target price of $32.80 per unit, indicating a potential upside of 16.42% from its recent trading price of $28.17.
Notable Holdings: Key underlying holdings with significant upside potential include StepStone Group Inc (21.97% upside), KARMAN HOLDINGS INC (18.00% upside), and INGRAM MICRO HOLDING CORP (17.86% upside) based on their respective analyst target prices.
Investor Considerations: Questions arise regarding the validity of analysts' target prices, including whether they are justified or overly optimistic, and the need for further investor research into recent company and industry developments.
Market Sentiment: A high target price relative to a stock's current trading price may indicate optimism but could also lead to potential downgrades if the targets are outdated.
Ingram Micro Holding Corp (INGM) Q3 2025 Earnings Call Summary: Robust Revenue Growth Despite ...
Strong Financial Performance: Ingram Micro reported third-quarter revenues of $12.6 billion, a 7.2% increase year over year, and effectively managed a ransomware incident with minimal disruption to operations.
Market Trends and Challenges: The company is gaining market share and experiencing growth in core business lines, particularly in SMBs, but faces challenges in the European market and a decline in Advanced Solutions and cloud revenues.
AI and Digital Initiatives: Ingram Micro's AI initiatives, including the Enable AI program and the Xvantage platform, are driving significant revenue growth and are expected to contribute to future business outcomes.
Future Outlook: The company anticipates continued strength in the SMB sector and robust growth in cloud services, with key catalysts for the next few quarters including services, AI monetization, and security.
Ingram Micro Holding's YieldBoost Rises from 1.4% to 23.9% Through Options Strategy
Dividend Predictability: Dividend amounts for companies like Ingram Micro Holding Corporation are influenced by profitability, making them unpredictable; the recent dividend yield is estimated at 1.4%.
Options Trading Insights: The stock's historical volatility is calculated at 40%, and selling covered calls at the $25 strike may offer a favorable risk-reward balance.
Current Market Activity: On a recent trading day, S&P 500 put volume was 1.22M contracts compared to 2.94M call contracts, indicating a strong preference for calls among traders.
Author's Perspective: The views expressed in the article are those of the author and do not necessarily represent the opinions of Nasdaq, Inc.
Ingram Micro Set to Release Q3 Fiscal 2025 Financial Results on October 30, 2025
Conference Call Announcement: Ingram Micro will hold a conference call on October 30, 2025, at 2:00 p.m. PT to discuss its third quarter fiscal 2025 financial results, with a press release issued prior to the call.
Accessing Information: The conference call will be available via a live webcast on Ingram Micro's investor relations website, and a telephonic replay will be accessible until December 31, 2025.
