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Dec 31, 2024
Insight Enterprises Q4 2024 Earnings Report
Insight Enterprises reported a decrease in net sales but an increase in gross profit for the fourth quarter of 2024. The company's earnings were impacted by macroeconomic conditions, but strategic steps were taken forward with cloud solutions and Insight Core services.
Key Takeaways
Insight Enterprises reported a 7% decrease in net sales to $2.1 billion for Q4 2024, while gross profit increased by 1% to $439.6 million. Diluted earnings per share decreased by 59% to $0.99, and adjusted diluted earnings per share decreased by 11% to $2.66. The company focused on cloud solutions and Insight Core services amid macroeconomic challenges.
Gross profit increased 1% year over year with gross margin expanding 170 basis points to a record 21.2%.
Insight Core services gross profit increased 12% year over year.
Cloud gross profit grew 3% year over year.
Consolidated net earnings decreased 59% year to year.
Insight Enterprises
Insight Enterprises
Insight Enterprises Revenue by Segment
Insight Enterprises Revenue by Geographic Location
Revenue by Segment
Hardware Revenue
CapyFin.comRevenue by Geographic Location
North America Revenue
CapyFin.comEMEA Revenue
CapyFin.comAPAC Revenue
CapyFin.com Forward Guidance
For the full year 2025, Insight Enterprises expects Adjusted diluted earnings per share to be between $9.70 and $10.10. They anticipate low single-digits gross profit growth and a gross margin of approximately 20%.
Positive Outlook
- Adjusted diluted earnings per share to be between $9.70 and $10.10.
- Expect to deliver low single-digits gross profit growth.
- Expect that gross margin will continue to be approximately 20%.
- Effective tax rate of approximately 25% to 26% for the full year.
- Average share count for the full year of 32.9 million shares.
Challenges Ahead
- Interest expense of $70 to $75 million.
- Capital expenditures of $35 to $40 million.
- Excludes acquisition-related intangibles amortization expense of approximately $74.3 million.
- Assumes no acquisition or integration related expenses.
- Does not contemplate any impact of tariffs, and no significant change in our debt instruments, with the exception of the settlement of our Convertible Notes, and no significant change in the macroeconomic environment.