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Nov 30, 2022

TD Synnex Q4 2022 Earnings Report

Reported fiscal fourth quarter and fiscal year results, announced dividend increase and new share repurchase authorization.

Key Takeaways

TD Synnex reported a 4% increase in fiscal fourth quarter revenue to $16.2 billion and a 20% increase in non-GAAP diluted EPS to $3.44. The company exceeded financial goals for both the quarter and the year, despite headwinds from foreign currency and higher interest rates. The Board of Directors has declared a Q1 dividend per share of $0.35, a 17% increase to the prior quarter, and authorized a new $1 billion share repurchase program.

Fiscal fourth quarter revenue of $16.2 billion, up 4% from the prior-year period, up 11% in constant currency

Fiscal fourth quarter non-GAAP operating income of $496 million, up 22% from the prior-year period

Fiscal fourth quarter operating income of $334 million, up 80% from the prior-year period

Fiscal fourth quarter non-GAAP diluted earnings per share (“EPS”) of $3.44, up 20% from the prior-year period, exceeding the high end of the prior guidance range despite headwinds from foreign currency and interest expense

Total Revenue
$16.2B
Previous year: $15.6B
+4.1%
EPS
$3.44
Previous year: $2.86
+20.3%
Gross Profit
$1.06B
Previous year: $943M
+12.4%
Cash and Equivalents
$523M
Previous year: $994M
-47.4%
Free Cash Flow
$315M
Previous year: $520M
-39.4%
Total Assets
$29.7B
Previous year: $27.7B
+7.5%

TD Synnex

TD Synnex

TD Synnex Revenue by Geographic Location

Forward Guidance

TD SYNNEX’s current expectations for the fiscal 2023 first quarter include revenue in the range of $15.2 billion to $16.2 billion and diluted earnings per share is expected to be in the range of $1.46 to $1.86 and on a non-GAAP basis, diluted earnings per share is expected to be in the range of $2.60 to $3.00.

Challenges Ahead

  • The outlook for the fiscal 2023 first quarter reflects the impact of year-over-year foreign exchange headwinds on revenue of approximately $500 million
  • The outlook for the fiscal 2023 first quarter reflects the impact of interest rate movements of $33 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income