<p>)</p>
<p>Overview</p>
<ul>
<li>Technology distributor’s Q2 FY26 sales missed analyst expectations</li>
<li>Adjusted EPS for Q2 FY26 missed analyst expectations</li>
<li>Company announced leadership changes in board committees</li>
</ul>
<p>Outlook</p>
<ul>
<li>ScanSource revises FY26 net sales forecast to $3.0 bln-$3.1 bln from $3.1 bln-$3.3 bln</li>
<li>Company lowers FY26 adjusted EBITDA forecast to $140 mln-$150 mln from $150 mln-$160 mln</li>
<li>ScanSource maintains FY26 free cash flow forecast at least $80 mln</li>
</ul>
<p>Result Drivers</p>
<ul>
<li>RECURRING REVENUE GROWTH - Recurring revenue increased 15.9% year-over-year, contributing significantly to overall sales growth</li>
<li>SEGMENT PERFORMANCE - Specialty Technology Solutions and Intelisys &amp; Advisory segments drove sales growth, with North America leading the increase</li>
<li>CASH FLOW STRENGTH - Company reported strong free cash flow, supporting its strategic goals</li>
</ul>
<p>Key Details</p>
<p>Metric    Beat/Mis  Actual    Consensu</p>
<p>s                   s</p>
<p>Estimate</p>
<p>Q2 Sales  Miss      $766.51   $779.40</p>
<p>mln       mln (3</p>
<p>Analysts</p>
<p>)</p>
<p>Q2        Miss      $0.80     $1.01 (4</p>
<p>Adjusted                      Analysts</p>
<h3>EPS                           )</h3>
<h3>Q2                  $17.61</h3>
<p>Adjusted            mln</p>
<p>Net</p>
<p>Income</p>
<h3>Q2                  $31.19</h3>
<p>Adjusted            mln</p>
<h3>EBITDA</h3>
<p>Q2 Gross            $102.91</p>
<p>Profit              mln</p>
<h3>Q2                  $17.87</h3>
<p>Operatin            mln</p>
<p>g Income</p>
<p>Analyst Coverage</p>
<ul>
<li>The current average analyst rating on the shares is “buy” and the breakdown of recommendations is 1 “strong buy” or “buy”, 2 “hold” and no “sell” or “strong sell”</li>
<li>The average consensus recommendation for the computer hardware peer group is “buy”</li>
<li>Wall Street’s median 12-month price target for Scansource Inc is $50.00, about 12.8% above its February 4 closing price of $44.33</li>
<li>The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago</li>
</ul>
<p>Press Release:    For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)</p>

ScanSource Q2 sales and EPS miss analyst estimates