NYSE$SNX

TD Synnex Corp · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

TD Synnex's Q3 2020 earnings were announced, demonstrating resilience and focus on partnerships, with continued dedication to business growth during unprecedented times.

TD Synnex reported a strong third quarter with revenue of $6.465 billion, a 4.2% increase year-over-year. Diluted EPS was $2.60, and non-GAAP diluted EPS was $3.33. The company remains on track with the proposed spin-off of Concentrix.

  • Revenue was $6.465 billion, up 4.2% over the prior fiscal year third quarter.
  • Operating income was $209.1 million, a 0.1% increase year-over-year.
  • Diluted earnings per share was $2.60, up 8.3% over the prior fiscal year third quarter.
  • Cash generated from operations was approximately $321 million for the quarter.

Headline financials

Total Revenue

$6.46B

Previous: $6.2B+4.2%
EPS (adj)

$3.33

Previous: $3.30+0.9%
Capital Expenditures

-$127M

Previous: -$93.4M-36.3%
Free Cash Flow

$7.14M

Previous: $29.7M-76.0%
Net Income

$134M

Previous: $123M+9.2%
Operating Income

$209M

Previous: $209M+0.1%
Gross Profit

$708M

Previous: $726M-2.5%
Cash & Equivalents

$1.45B

Previous: $262M+453.7%
Total Assets

$13.3B

Previous: $11.4B+16.1%
Stock-Based Comp

$8.83M

Previous: $6.43M+37.3%

Revenue & EPS history

TD Synnex · Revenue · Quarterly

$6.46B

Q3 2020+4.2%vs Q3 2019
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Forward guidance

The following statements are based on SYNNEX current expectations for the fiscal 2020 fourth quarter. Non-GAAP financial measures exclude the impact of acquisition-related and integration expenses, the amortization of intangibles and the related tax effects thereon. These statements are forward-looking and actual results may differ materially.

Tailwinds

  • Revenue is expected to be in the range of $6.45 billion to $6.65 billion.
  • Net income is expected to be in the range of $153.0 million to $166.0 million and on a non-GAAP basis, net income is expected to be in the range of $190.5 million to $203.5 million.
  • Diluted earnings per share is expected to be in the range of $2.95 to $3.20
  • On a non-GAAP basis, diluted earnings per share is expected to be in the range of $3.68 to $3.93, based on estimated outstanding diluted weighted average shares of 51.5 million.
  • After-tax amortization of intangibles is expected to be $35.2 million, or $0.68 per share.

Headwinds

  • These statements are forward-looking and actual results may differ materially.
  • Non-GAAP financial measures exclude the impact of acquisition-related and integration expenses
  • Non-GAAP financial measures exclude the impact of the amortization of intangibles
  • Non-GAAP financial measures exclude the impact of the related tax effects thereon.
  • After-tax acquisition-related and integration expense is expected to be $2.3 million, or $0.04 per share.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+0.6%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+1.7%

Avg return

30 days after

52%

35 / 67 earnings

Positive

+21.3%

Q1 2014

Best reaction

-15.4%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+2.9%
Q1 2026-2.4%+13.4%
Q4 2025-2.2%+3.3%+13.5%
Q3 2025+6.2%+8.9%+3.1%
Q2 2025-0.8%+0.8%+6.2%
Q1 2025-14.3%-17.2%-11.5%
Q4 2024+8.8%+11.6%+16.9%
Q3 2024+2.0%-0.6%+2.8%
Q2 2024-10.2%-10.8%-10.2%
Q1 2024+10.0%+7.3%+11.3%
Q4 2023+0.5%-1.2%-3.9%
Q3 2023-2.4%-2.0%-11.0%
Q2 2023-7.0%-3.8%+0.4%
Q1 2023+0.4%+4.1%-5.4%
Q4 2022+10.1%+11.1%+1.6%
Q3 2022+1.5%-3.6%+6.8%
Q2 2022-7.9%-5.9%+1.1%
Q1 2022-3.9%-4.8%-10.8%
Q4 2021-1.3%-2.7%-4.3%
Q3 2021-5.2%-6.1%-7.7%
Q2 2021+2.0%+3.0%-1.5%
Q1 2021+5.6%+13.1%+19.8%
Q4 2020+1.5%+0.7%+2.2%
Q3 2020+6.5%+12.3%+0.5%
Q2 2020+13.5%+16.7%+18.7%
Q1 2020-0.6%-3.5%-1.9%
Q4 2019+14.7%+16.9%+9.0%
Q3 2019+15.1%+15.0%+20.2%
Q2 2019+7.5%+6.5%+7.4%
Q1 2019+1.0%+7.5%+16.1%
Q4 2018+14.3%+6.6%+14.9%
Q3 2018+5.5%-0.1%-2.3%
Q2 2018-10.3%-7.9%-12.2%
Q1 2018-15.4%-14.4%-12.8%
Q4 2017-6.0%-1.6%-19.7%
Q3 2017+8.3%+9.0%+13.4%
Q2 2017+6.7%+0.6%-0.4%
Q1 2017-3.9%-4.3%-5.5%
Q4 2016+5.9%+4.0%-1.1%
Q3 2016+9.3%+7.0%-3.4%
Q2 2016+1.2%-0.4%+6.9%
Q1 2016-6.7%
Q4 2015-6.8%
Q3 2015-3.3%
Q2 2015-10.1%
Q1 2015-7.0%
Q4 2014+8.3%
Q3 2014+5.2%
Q2 2014-4.7%
Q1 2014+21.3%
Q4 2013-9.6%
Q3 2013-1.6%
Q2 2013-0.7%
Q1 2013-8.9%
Q4 2012-0.1%
Q3 2012-6.7%
Q2 2012-1.8%
Q1 2011-1.7%
Q1 2012-0.4%
Q2 2011+1.3%
Q4 2009+1.3%
Q4 2011+1.3%
Q3 2010+0.5%
Q4 2010+0.5%
Q3 2011+0.5%
Q2 2010-1.6%
Q1 2010+1.2%

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