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Dec 31, 2022

ePlus Q3 2023 Earnings Report

Reported strong third quarter with significant revenue and earnings growth.

Key Takeaways

ePlus reported a strong third quarter, with net sales increasing by 26.0% to $623.5 million and net earnings increasing by 35.1% to $35.7 million. The company's performance was driven by robust customer demand in digital transformation, hybrid workforce, cloud solutions, and security.

Net sales increased 26.0% to $623.5 million.

Technology segment net sales increased 28.3% to $611.8 million.

Net earnings increased 35.1% to $35.7 million.

Net earnings per common share-diluted increased 36.7% to $1.34.

Total Revenue
$623M
Previous year: $495M
+26.0%
EPS
$1.38
Previous year: $1.1
+25.5%
Adjusted EBITDA
$53.3M
Previous year: $41.8M
+27.5%
Gross Profit
$138M
Previous year: $117M
+18.2%
Cash and Equivalents
$99.4M
Previous year: $106M
-5.9%
Total Assets
$1.6B
Previous year: $1.26B
+27.3%

ePlus

ePlus

ePlus Revenue by Segment

Forward Guidance

ePlus is well-positioned to capitalize on long-term growth trends, such as workplace transformation, cybersecurity, and cloud adoption, supported by a strong balance sheet and partnerships.

Positive Outlook

  • Strong financial results in the third quarter
  • Expanded portfolio of solutions and services
  • Dedicated team
  • Strength of balance sheet
  • Extensive partnerships within the global IT market

Challenges Ahead

  • National and international political instability
  • Exposure to fluctuation in foreign currency rates, interest rates, and inflation
  • Supply chain issues, including a shortage of IT products
  • Ongoing remote work trends, and the increase in cybersecurity attacks
  • Uncertain domestic and international economic regulations

Revenue & Expenses

Visualization of income flow from segment revenue to net income