Synnex Q1 Results Tops Street View

(RTTNews) - Synnex Corp. (SNX) Wednesday reported a first-quarter profit that trumped Wall Street estimates, driven largely by a more-than-expected growth in revenues.

First-quarter net income surged to $87.1 million or $1.69 per share from $24.1 million or $0.60 per share last year.

Adjusted earnings for the quarter rose to $2.84 per share from $2.13 per share last year. Analysts polled by Thomson Reuters estimate earnings of $2.74 per share for the quarter.

Revenues for the quarter grew to $16.8% to $5.25 billion from $4.49 billion last year. Analysts had a consensus revenue estimate of $5.29 billion for the quarter.

Technology Solutions revenues were up 2.3% to $4.1 billion, while Concentrix revenues surged 131.1% to $1.2 billion.

"We are off to a great start for fiscal 2019. Our results reflect our recent investments producing returns as well as our core businesses continuing to operate very well," said CEO Dennis Polk.

Looking forward to the second quarter, Synnex expects adjusted earnings of $2.62 to $2.78 per share and revenues of $5.40 billion to $5.70 billion. Analysts currently estimate earnings of $2.69 per share and revenues of $5.50 billion.

Synnex declared a quarterly cash dividend of $0.375 per share, dividend is payable on April 26, 2019 to stockholders of record as of April 12, 2019.

SNX closed Wednesday's trading at $90.68, down $1.36 or 1.48%, on the NYSE. The stock further dropped $2.73 or 3.01% in the after hours trade.