PCM, Inc. (NASDAQ:PCMI) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 15%.
PCM, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 141.67% to $0.29 in the quarter versus EPS of $0.12 in the year-earlier quarter.
Revenue: Rose 1.06% to $366.42 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: PCM, Inc. reported adjusted EPS income of $0.29 per share. By that measure, the company beat the mean analyst estimate of $0.19. It beat the average revenue estimate of $361.98 million.
Quoting Management: Frank Khulusi, Chairman, President and CEO of PCM, Inc. said, “I am very pleased to report our record second quarter results. In a stable but still challenging demand environment, we believe we were able to grow our market-share by increasing sales by 4% year-over-year and 9% sequentially. More importantly, we grew our gross profit margin to 14.0% from 13.8%, despite lower margin sales to certain government accounts and nearly doubled our operating profit to a Q2 record. While achieving this faster than market growth, our teams improved our commercial sales mix and kept SG&A expenses flat, resulting in the operating leverage that drove our Q2 record $0.29 in EPS for this quarter, excluding severance and restructuring related costs. We saw strength in many of our strategic offerings, including software, networking, storage and notebooks, which increased 20%, 24%, 37% and 25%, respectively. The productivity of our teams continues to improve, and we remain focused on the growth of our solutions portfolio and on providing our customers with customized IT solutions. Our rebranding and other growth initiatives and investments continue, and we look forward to those initiatives making more substantive contributions to our future results.”
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