ScanSource reports Q4 sales up 17%, names MicroAge deal

On Thursday, ScanSource (NASDAQ: SCSC ) discussed fourth-quarter financial results during its earnings call.

The full transcript is provided below.

APIs provide real-time access to earnings call transcripts and financial data.

Visit to learn more.

The full earnings call is available at Summary ScanSource, Inc. reported a strong Q4 with sales up 17% year-over-year and 6% for the full year, driven by increased demand and strategic execution.

The company announced the acquisition of MicroAge, which will expand its total addressable market and service offerings in high-growth technologies.

Financial highlights include a 43% increase in non-GAAP EPS to $1.46, a record for the company, and annual free cash flow of $114 million.

The Specialty Technology Solutions segment saw an 18% increase in net sales and a 16% increase in gross profits year-over-year.

ScanSource ended Q4 with $88 million in cash and a net debt leverage ratio of approximately zero, with $121 million remaining under share repurchase authorization.

Guidance for FY27 includes expected revenue growth of 6% to 10% and adjusted EBITDA between $158 million and $165 million, excluding the MicroAge acquisition.

Management highlighted a strategic shift towards growth and market share acquisition, focusing on leveraging new services and technologies.

Full Transcript OPERATOR Welcome to the ScanSource Quarterly Earnings Conference call.

All lines have been placed in a listen-only mode until the question and answer session.

Today's call is being recorded.

If anyone has any objections, you may disconnect at this time.

I would now like to turn the call over to Mary Gentry, Senior Vice President, Finance and Treasurer.

Please go ahead.

Mary Gentry, Senior Vice President, Finance and Treasurer Good morning and thank you for joining us.

Our call will include prepared remarks from Mike Bauer, our Chair and CEO, and Steve Jones, our Chief Financial Officer.

We'll review our operating results for the quarter and the year and then open the line for your questions.

We posted an earnings infographic that accompanies our comments and webcast in the Investor Relations section of our website.

As you know, certain statements in our press release, infographic and on this call are forward-looking and subject to risks and uncertainties that cause actual results to differ materially from expectations.

These risks and uncertainties include the factors identified in our earnings release and in our Form 10-K for the year ended June 30, 2026.

Forward-looking statements represent our views only as of today and ScanSource disclaims any duty to update these statements except as required by law.

During our call we'll discuss both GAAP and non-GAAP results.

We provided reconciliations on our website and in the press release included in our Form 8-K filed earlier today.

I'll now turn the call over to Mike.

Mike Bauer, Chair and CEO Thanks, Mary, and good morning, everyone.

I appreciate you joining us today.

We finished our fiscal year with a strong fourth quarter and I'm pleased with the progress our team made throughout the year.

Our results reflect disciplined execution, improving demand across the business and momentum toward our three-year strategic goals.

Sales were up 17% year over year in the fourth quarter and 6% for the full year.

This growth reflects outstanding performance by our account management teams, including sales, engineering, financial services and operations, and the deep relationships that we've maintained over decades with our partners.

We were able to respond successfully to the increased demand for our technologies from our channel partners.

For the second half of our year, we saw renewed growth for key technologies including physical security, mobility, networking, CX, cloud compute and connectivity.

Our business has returned to growth and we believe we're at the beginning of a stronger growth trajectory.