ScanSource Q2 Profit Down

(RTTNews) - ScanSource Inc. (SCSC) Tuesday reported second-quarter profit of $11.4 million or $0.45 per share, down from $20.0 million or $0.78 per share last year.

Adjusted earnings were $19.5 million or $0.77 per share, down from $24.7 million or $0.96 per share last year.

Sales for the quarter dropped 5% to $989.5 million from $1.05 billion last year. Adjusted sales slipped 4% to 833.7 million from 872.4 million last year.

Analysts polled by Thomson Reuters estimated earnings of $0.81 per share and revenues of $965.9 million.

"The second quarter's financial results were below our expectations, as we reorganized our North American VAR sales teams and lost sales from a group of customers," said Mike Baur, Chairman and CEO, ScanSource, Inc. "We are committed to our One ScanSource strategy to drive higher value and recurring revenue growth for our customers."

For the third quarter, ScanSource expects third-quarter earnings of $0.44 to $0.54 per share. Analysts currently expect earnings of $0.69 per share.