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PC Connection (CNXN)
NASDAQ:CNXN
Earnings Data
Report Date
Apr 30, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.63Last Year’s EPS
0.6Same Quarter Last Year
Based on 0 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed predominantly positive momentum: strong segment-level gross profit, margin expansion, EPS and adjusted EBITDA growth, solid vertical performance (retail, financial services, healthcare), a new gross billings metric showing demand, robust liquidity, and shareholder-friendly capital returns (buybacks and a 33% dividend increase). Offsetting items included a sharp decline in public sector sales (a single large non-repeating project and rollout timing), working capital buildup, restructuring charges, and some margin compression in Enterprise. Management framed these negatives as temporary/tactical, with expected cost savings and a healthy backlog, positioning the company for growth in AI, cloud and security in 2026.Company Guidance
Record Gross Profit and Margin Expansion (Consolidated)
Consolidated gross profit rose 4.5% year-over-year to $135.6M and gross margin expanded 100 basis points to 19.3%, reflecting disciplined pricing and favorable product/customer mix.
Business Solutions Standout Quarter
Business Solutions net sales increased 4.2% to $273.5M; gross profit grew 11.4% to $69.8M; gross billings rose 4.7% to $430.3M; gross margin expanded 160 basis points to 25.5%, driven by double-digit growth in desktops, notebooks, NetComm and software (cloud & cybersecurity).
Enterprise Solutions Strong Top-Line Growth
Enterprise net sales increased 11.9% to $338.7M and gross profit grew 7.1% to $48.2M; gross billings rose 16.1% to $457.8M and backlog was at its highest level since 2022, with new customer additions and demand for advanced technologies and endpoints.
Introduction and Growth of Gross Billings Metric
Company began disclosing gross billings as a new KPI; gross billings increased 2.9% year-over-year to $1,060,000,000, highlighting overall growth in customer demand despite segment headwinds.
Earnings and Adjusted Earnings Improvement
Diluted EPS was $0.82, up 5.1% year-over-year; adjusted diluted EPS was $0.91, up 16.7%; net income excluding severance and other charges increased 11.3% and adjusted EBITDA (TTM) rose 6% to $126.4M, indicating underlying earnings strength.
Disciplined Capital Return and Shareholder Actions
Returned $91.4M to shareholders in 2025 (share repurchases $76.1M and dividends $15.3M); repurchased ~179,000 shares in Q4 for $10.7M; Board authorized an additional $50M buyback and increased quarterly dividend 33% to $0.27/share.
Strong Liquidity and Cash Generation
Ended the quarter with $406.7M in cash, cash equivalents and short-term investments and generated operating cash flow of $65.4M for the year, providing flexibility for strategic investments and returns.
Vertical Market Momentum
Notable vertical performance: retail net sales +22%; financial services net sales +28% with gross profit +13%; healthcare net sales +19% with gross profit +18%, driven by large deployments and modernization/security demand.
Cost Discipline and Expected Ongoing Savings
Headcount down 2% year-over-year and SG&A largely disciplined; excluding severance and other charges operating income rose 17.8% to $26.7M. Company expects $7M–$8M in ongoing annual cost savings from restructuring initiatives.
CNXN Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
CNXN Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 04, 2026 | $60.15 | ― | ― |
Oct 29, 2025 | $60.72 | $59.80 | -1.52% |
Jul 30, 2025 | $63.71 | $61.28 | -3.81% |
Apr 30, 2025 | $61.60 | $65.92 | +7.01% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does PC Connection (CNXN) report earnings?
PC Connection (CNXN) is schdueled to report earning on Apr 30, 2026, After Close (Confirmed).
What is PC Connection (CNXN) earnings time?
PC Connection (CNXN) earnings time is at Apr 30, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is CNXN EPS forecast?
CNXN EPS forecast for the fiscal quarter 2026 (Q1) is 0.63.