ePlus Reports Second Quarter and First Half Financial Results and Announces 2-for-1 Stock Split

Rhea-AI Summary

ePlus inc. (NASDAQ: PLUS) reported strong financial results for Q2 FY2022, with net sales rising 5.8% to $458 million and net earnings increasing 58.3% to $31.4 million. Key metrics include a 24.3% rise in gross profit, reaching $123 million, and adjusted EBITDA up 49.6% to $50.2 million. The technology segment's sales grew 4% to $436.3 million, while service revenues surged 23.1% to $60.9 million. A 2-for-1 stock split was also announced, expected to take effect on December 14, 2021, reflecting confidence in future growth.

Positive

• Net sales increased 5.8% to $458.0 million.
• Net earnings rose 58.3% to $31.4 million.
• Adjusted EBITDA increased 49.6% to $50.2 million.
• Diluted earnings per share grew 58.1% to $2.34.
• Service revenues surged 23.1% to $60.9 million.
• 2-for-1 stock split declared, reflecting strong growth outlook.

Negative

• Operating expenses increased 11.7% to $78.7 million.

HERNDON, Va., Nov. 9, 2021 /PRNewswire/ -- 

Second Quarter Fiscal Year 2022

• Net sales increased 5.8% to $458.0 million; technology segment net sales increased 4.0% to $436.3 million; service revenues increased 23.1% to $60.9 million.
• Adjusted gross billings increased 10.5% to $664.1 million.
• Consolidated gross profit increased 24.3% to $123.0 million.
• Consolidated gross margin was 26.9%, an increase of 400 basis points.
• Net earnings increased 58.3% to $31.4 million.
• Adjusted EBITDA increased 49.6% to $50.2 million.
• Diluted earnings per share increased 58.1% to $2.34. Non-GAAP diluted earnings per share increased 54.2% to $2.59.

First Half Fiscal Year 2022

• Net sales increased 11.0% to $874.7 million; technology segment net sales increased 10.0% to $836.7 million; service revenues increased 19.8% to $116.4 million.
• Adjusted gross billings increased 13.0% to $1,297.1 million.
• Consolidated gross profit increased 15.7% to $228.5 million.
• Consolidated gross margin was 26.1%, an increase of 100 basis points.
• Net earnings increased 47.6% to $54.9 million.
• Adjusted EBITDA increased 37.6% to $88.5 million.
• Diluted earnings per share increased 47.1% to $4.09. Non-GAAP diluted earnings per share increased 42.6% to $4.55.

ePlus inc. (NASDAQ:  PLUS), a leading provider of technology and financing solutions, today announced financial results for the three and six months ended September 30, 2021.

"Building on our strong performance in the first quarter, ePlus generated strong financial results in the second quarter, underscoring the strength of our business model and the continued success of our growth strategy," said Mark Marron, president and chief executive officer. "Supported by the breadth of our solutions, extensive vendor partnerships and engineering talent, ePlus continues to meet the evolving needs of our customers across the technology solutions stack, driving solid adjusted gross billings and revenue growth that fueled robust gains in both profitability and earnings."

Mr. Marron continued, "Services remained one of the fastest-growing areas in our solutions portfolio, with second quarter revenue for this business increasing more than 23% year-over-year. Our financing segment also contributed favorably to our results, as ePlus benefitted from several large transactions that generated strong growth in revenue and operating income. Overall, earnings per diluted share for the quarter increased 58% year-over-year, reflecting growth and positive operating leverage. I am extremely proud of the entire ePlus team, who have continued to adapt successfully to support our customers with innovative and cost-effective solutions in a dynamic market."     

ePlus Announces 2-for-1 Stock Split

The Company announced today that its Board of Directors has declared a two-for-one split of its Common Stock.  The stock split will be in the form of a 100 percent stock dividend payable on December 13, 2021 to shareholders of record at the close of business on November 29, 2021. The Company expects its Common stock will begin trading at the split-adjusted price on December 14, 2021. All share and per share amounts reflected herein are prior to the stock split.    

Second Quarter Fiscal 2022 Results

For the second quarter ended September 30, 2021 as compared to the second quarter of the prior fiscal year ended September 30, 2020:

Consolidated net sales increased 5.8% to $458.0 million, from $433.1 million.

Technology segment net sales increased 4.0% to $436.3 million, from $419.4 million due to higher sales of product and services. Service revenues increased 23.1% to $60.9 million, from $49.4 million due to increases in professional services and managed services.  Adjusted gross billings increased 10.5% to $664.1 million from $601.1 million. 

Financing segment net sales increased 58.3% to $21.7 million, from $13.7 million due to higher transactional gains from several outsized transactions. 

Consolidated gross profit increased 24.3% to $123.0 million, from $99.0 million. Consolidated gross margin was 26.9%, up from 22.9% last year, due to higher product and services margins in our technology segment and a larger proportion of sales recorded on a net basis.

Operating expenses were $78.7 million, up 11.7% from $70.5 million last year, primarily due to increases in variable compensation stemming from higher gross profit and higher software license and maintenance and travel expenses, partially offset by lower rent and communication expenses.  Our headcount at the end of the quarter was 1,554, up 57 from a year ago.  

Consolidated operating income increased 55.5% to $44.3 million.

Our effective tax rate for the current quarter was 28.6%, lower than the prior year quarter of 30.8%, due to an adjustment in the prior year related to the federal benefit from state taxes.

Net earnings increased 58.3% to $31.4 million.

Adjusted EBITDA increased 49.6% to $50.2 million, from $33.6 million.

Diluted earnings per share was $2.34, compared with $1.48 in the prior year quarter. Non-GAAP diluted earnings per share was $2.59, compared with $1.68 last year.

First Half Fiscal Year 2022 Results

For the six months ended September 30, 2021 as compared to the six months of the prior fiscal year ended September 30, 2020:

Consolidated net sales increased 11.0% to $874.7 million, from $788.1 million.

Technology segment net sales increased 10.0% to $836.7 million, from $760.6 million due to higher sales of product and services. Service revenues increased 19.8% to $116.4 million, from $97.2 million primarily due to increases in professional services and managed services.  Adjusted gross billings was $1,297.1 million, an increase of 13.0% from $1,147.5 million. 

Financing segment net sales increased 38.1% to $38.0 million, from $27.5 million, primarily due to higher transactional gains from several outsized transactions.

Consolidated gross profit increased 15.7% to $228.5 million, from $197.5 million. Consolidated gross margin was 26.1%, up from 25.1% last year, due to higher product and services margins and a higher proportion of sales recorded on a net basis in our technology segment.

Operating expenses were $151.8 million, up 5.4% from $144.0 million last year, primarily due to increases in variable compensation stemming from higher gross profit and higher healthcare costs.

Consolidated operating income increased 43.5% to $76.8 million.

Our effective tax rate for the current year period was 28.2%, lower than last year of 30.8% due to an adjustment in the prior year related to the federal benefit from state taxes.

Net earnings increased 47.6% to $54.9 million.

Adjusted EBITDA increased 37.6% to $88.5 million, from $64.3 million.

Diluted earnings per share was $4.09, compared with $2.78 in the prior year. Non-GAAP diluted earnings per share was $4.55, compared with $3.19 last year.

Balance Sheet Highlights

As of September 30, 2021, ePlus had cash and cash equivalents of $57.0 million, compared with $129.6 million as of March 31, 2021, due to additional working capital needs in our technology segment and the repurchase of stock.  Inventory, which represents equipment ordered by customers but not yet delivered, increased 92.3%.  Total stockholders' equity was $613.6 million, compared with $562.4 million as of March 31, 2021.  Total shares outstanding were 13.5 million on September 30, 2021 and March 31, 2021.

Summary and Outlook

"As we enter the second half of fiscal 2022, ePlus remains well-positioned for continued growth, with the products, services, financing, and expertise that enable our customers to meet the challenges of digital transformation and modernization. Our data center, security and cloud-focused solutions remain especially timely and relevant as businesses further expand their remote and hybrid workforce capabilities, while our investments in emerging areas, including collaboration and AI, provide new opportunities for growth," Mr. Marron noted.

"Our confidence in our fiscal 2022 outlook is supported by the strength of our open orders and backlog, both of which have increased significantly during the year. While we continue to closely monitor constraints within the supply chain that may limit future product availability, our team and our channel partners have performed admirably in navigating these challenges to date. As always, ePlus remains committed to investing in our people and in our capabilities to stay on the forefront of technology trends.

"We are pleased to announce that the Board has declared a two-for-one stock split, reflecting confidence in the Company's outlook and growth strategy," Mr. Marron concluded.

Recent Corporate Developments/Recognitions

In the month of October:

• Announced that its UK subsidiary, IGXGlobal, will provide managed detection and response security services to customers across Europe.
• Launched a suite of security services to help organizations address requirements relating to increasingly stringent cyber liability insurance standards.
• ePlus announced that its subsidiaries ePlus Technology, inc., ePlus Technology Services, inc. and SLAIT Consulting, LLC recently increased their credit facility to $375 million.
• Achieved Amazon Web Services (AWS) Networking Competency status for AWS Consulting Partners.

In the month of September:

• Launched an artificial intelligence (AI) workflow technology bundle, combining hardware, software and AI implementation services, to help healthcare organizations accelerate clinical operational AI projects from concept to production.
• Facilitated a large-scale IT infrastructure deployment that will help a large bank and trust company leverage technology to achieve its strategic growth objectives and adapt more quickly to changing business conditions.

Conference Call Information

ePlus will hold a conference call and audio webcast at 4:30 p.m. ET on November 9, 2021:

Date:	November 9, 2021
Time:	4:30 p.m. ET
Audio Webcast (Live & Replay):	Link
https://event.on24.com/wcc/r/3494156/8D60AA7ABA9A0BA7A9ED06CA6AA572C1
Live Call:	(833) 714-0957 (toll-free/domestic)
	(778) 560-2893 (international)
Replay:	(800) 585-8367 (toll-free/domestic) or
	(416) 621-4642 (international)
Passcode:	8329207 (live call and replay)

A replay of the call will be available approximately two hours after the call through November 16, 2021.

About ePlus inc.

ePlus is a leading consultative technology solutions provider that helps customers imagine, implement, and achieve more from their technology.  With the highest certifications from top technology partners and lifecycle services expertise across key areas including security, cloud, data center, collaboration, networking, and emerging technologies, ePlus transforms IT from a cost center to a business enabler.  Founded in 1990, ePlus has more than 1,500 associates serving a diverse set of customers in the U.S., Europe, and Asia-Pac.  The Company is headquartered at 13595 Dulles Technology Drive, Herndon, VA, 20171.  For more information, visit www.eplus.com, call 888-482-1122, or email info@eplus.com.  Connect with ePlus on Facebook, LinkedIn, Twitter and Instagram.

ePlus, Where Technology Means More^®.

ePlus^® and ePlus products referenced herein are either registered trademarks or trademarks of ePlus inc. in the United States and/or other countries.  The names of other companies and products mentioned herein may be the trademarks of their respective owners.

Forward-looking statements

Statements in this press release that are not historical facts may be deemed to be "forward-looking statements."  Actual and anticipated future results may vary materially due to certain risks and uncertainties, including, without limitation, the duration and impact of the ongoing COVID-19 pandemic, which could materially adversely affect our financial condition and results of operations and has resulted worldwide in governmental authorities imposing numerous unprecedented measures to try to contain the virus that has impacted and may further impact our workforce and operations, the operations of our customers, and those of our respective vendors, suppliers, and partners; national and international political instability fostering uncertainty and volatility in the global economy including an economic downturn, significant and rapid inflation, an increase in tariffs or adverse changes to trade agreements, exposure to fluctuation in foreign currency rates, interest rates and pressure on prices; supply constraints of certain IT products, including constraints caused by shortages in semiconductors and other components; inflation of both wages and product costs; reduction of vendor incentive programs; and restrictions on our access to capital necessary to fund our operations; our ability to successfully perform due diligence and integrate acquired businesses; disruptions or a security breach in our or our vendors' or suppliers' IT systems and data and audio communication networks, supply chains or other systems; the possibility of goodwill impairment charges in the future; significant adverse changes in, reductions in, or losses of relationships with one or more of our largest volume customers or vendors; a possible decrease in the capital spending budgets of our customers or a decrease in purchases from us; our ability to raise capital, maintain or increase as needed our lines of credit with vendors or floor planning facility, or obtain debt for our financing transactions; uncertainty regarding the phase out of LIBOR may negatively affect our operating results; the demand for and acceptance of, our products and services; our ability to adapt our services to meet changes in market developments; our ability to implement comprehensive plans for the integration of sales forces, cost containment, asset rationalization, systems integration and other key strategies; the creditworthiness of our customers and our ability to reserve adequately for credit losses; our ability to secure our own and our customers' electronic and other confidential information and remain secure during a cyber-security or ransomware attack; future growth rates in our core businesses; our dependence on continued innovation in hardware, software and services offerings by our vendors, availability of these products from our vendors and our ability to partner with them; our reliance on third parties to perform some of our service obligations to our customers; the possibility of defects in our products or catalog content data; our ability to adapt to changes in the IT industry and/or rapid changes in product offerings, including the proliferation of the cloud, infrastructure as a service, software as a service and platform as a service; our ability to realize our investment in leased equipment; maintaining and increasing advanced professional services by recruiting and retaining highly skilled, competent personnel and vendor certifications; and other risks or uncertainties detailed in our reports filed with the Securities and Exchange Commission.  All information set forth in this press release is current as of the date of this release and ePlus undertakes no duty or obligation to update this information.

 

ePlus inc. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share amounts)
		September 30, 2021		March 31, 2021
ASSETS
Current assets:
Cash and cash equivalents		$56,950		$129,562
Accounts receivable—trade, net		457,308		391,567
Accounts receivable—other, net		57,346		41,053
Inventories		134,514		69,963
Financing receivables—net, current		80,082		106,272
Deferred costs		30,691		28,201
Other current assets		12,675		10,976
Total current assets		829,566		777,594
Financing receivables and operating leases—net		105,855		90,165
Deferred tax asset—net		1,469		1,468
Property, equipment and other assets		43,895		42,289
Goodwill		126,596		126,645
Other intangible assets—net		32,564		38,614
TOTAL ASSETS		$1,139,945		$1,076,775
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
Current liabilities:
Accounts payable		$121,263		$165,162
Accounts payable—floor plan		145,880		98,653
Salaries and commissions payable		36,382		36,839
Deferred revenue		82,937		72,802
Recourse notes payable—current		35,548		5,450
Non-recourse notes payable—current		21,083		50,397
Other current liabilities		32,532		30,061
Total current liabilities		475,625		459,364
Recourse notes payable—long term		9,360		12,658
Non-recourse notes payable—long term		4,315		5,664
Other liabilities		37,042		36,679
TOTAL LIABILITIES		526,342		514,365
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock, $.01 per share par value; 2,000 shares authorized;        none outstanding		-		-
Common stock, $.01 per share par value; 25,000 shares        authorized; 13,510 outstanding at September 30, 2021 and         13,503 outstanding at March 31, 2021		146		145
Additional paid-in capital		155,941		152,366
Treasury stock, at cost, 1,070 shares at September 30, 2021 and
993 shares at March 31, 2021		(82,246)		(75,372)
Retained earnings		539,547		484,616
Accumulated other comprehensive income—foreign currency
translation adjustment		215		655
Total Stockholders' Equity		613,603		562,410
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$1,139,945		$1,076,775

 

 

ePlus inc. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
	Three Months Ended September 30,				Six Months Ended September 30,
	2021		2020		2021		2020
Net sales
Product	$397,160		$383,656		$758,217		$690,896
Services	60,857		49,425		116,449		97,216
Total	458,017		433,081		874,666		788,112
Cost of sales
Product	297,629		302,963		574,856		529,597
Services	37,386		31,156		71,296		60,996
Total	335,015		334,119		646,152		590,593
Gross profit	123,002		98,962		228,514		197,519
Selling, general, and administrative	74,504		66,889		143,279		136,356
Depreciation and amortization	3,853		3,341		7,779		6,857
Interest and financing costs	342		247		701		824
Operating expenses	78,699		70,477		151,759		144,037
Operating income	44,303		28,485		76,755		53,482
Other income (expense)	(325)		184		(202)		282
Earnings before taxes	43,978		28,669		76,553		53,764
Provision for income taxes	12,565		8,823		21,622		16,558
Net earnings	$31,413		$19,846		$54,931		$37,206
Net earnings per common share—basic	$2.36		$1.48		$4.12		$2.79
Net earnings per common share—diluted	$2.34		$1.48		$4.09		$2.78
Weighted average common shares outstanding—basic	13,332		13,372		13,333		13,347
Weighted average common shares outstanding—diluted	13,432		13,391		13,431		13,394

 

 

Technology Segment
	Three Months Ended September 30,						Six Months Ended September 30,
	2021		2020		Change		2021		2020		Change
	(in thousands)						(in thousands)
Net sales
Product	$375,444		$369,934		1.5%		$720,210		$663,367		8.6%
Services	60,857		49,425		23.1%		116,449		97,216		19.8%
Total	436,301		419,359		4.0%		836,659		760,593		10.0%
Cost of sales
Product	293,837		301,006		(2.4%)		564,852		525,549		7.5%
Services	37,386		31,156		20.0%		71,296		60,996		16.9%
Total	331,223		332,162		(0.3%)		636,148		586,545		8.5%
Gross profit	105,078		87,197		20.5%		200,511		174,038		15.2%
Selling, general, and administrative	70,803		62,586		13.1%		136,956		128,142		6.9%
Depreciation and amortization	3,825		3,313		15.5%		7,723		6,801		13.6%
Interest and financing costs	199		1		19,800.0%		358		266		34.6%
Operating expenses	74,827		65,900		13.5%		145,037		135,209		7.3%
Operating income	$30,251		$21,297		42.0%		$55,474		$38,829		42.9%
Adjusted gross billings	$664,124		$601,064		10.5%		$1,297,131		$1,147,458		13.0%
Adjusted EBITDA	$36,059		$26,275		37.2%		$67,017		$49,436		35.6%

 

 

Technology Segment Net Sales by Customer End Market
	Twelve Months Ended September 30,
	2021		2020		Change
Telecom, Media, & Entertainment	28%		20%		8%
SLED	15%		16%		(1%)
Healthcare	15%		15%		-
Technology	14%		19%		(5%)
Financial Services	11%		13%		(2%)
All others	17%		17%		-
Total	100%		100%

 

 

Financing Segment
	Three Months Ended September 30,						Six Months Ended September 30,
	2021		2020		Change		2021		2020		Change
	(in thousands)						(in thousands)
Net sales	$21,716		$13,722		58.3%		$38,007		$27,529		38.1%
Cost of sales	3,792		1,957		93.8%		10,004		4,048		147.1%
Gross profit	17,924		11,765		52.4%		28,003		23,481		19.3%
Selling, general, and administrative	3,701		4,303		(14.0%)		6,323		8,214		(23.0%)
Depreciation and amortization	28		28		0.0%		56		56		0.0%
Interest and financing costs	143		246		(41.9%)		343		558		(38.5%)
Operating expenses	3,872		4,577		(15.4%)		6,722		8,828		(23.9%)
Operating income	$14,052		$7,188		95.5%		$21,281		$14,653		45.2%
Adjusted EBITDA	$14,136		$7,286		94.0%		$21,450		$14,839		44.6%

 

ePlus inc. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP INFORMATION

We included reconciliations below for the following non-GAAP information: (i) Adjusted Gross Billings, (ii) Adjusted EBITDA, (iii) Segment Adjusted EBITDA, (iv) non-GAAP Net Earnings and (v) non-GAAP Net Earnings per Common Share - Diluted.

We define adjusted gross billings as our technology segment net sales calculated in accordance with GAAP, adjusted to exclude the costs incurred related to sales of third-party maintenance, software assurance and subscription/SaaS licenses, and services.   

We define adjusted EBITDA as net earnings calculated in accordance with GAAP, adjusted for the following: interest expense, depreciation and amortization, share based compensation, acquisition and integration expense, provision for income taxes, and other income (expense). Segment adjusted EBITDA is defined as operating income calculated in accordance with GAAP, adjusted for interest expense, share based compensation, acquisition and integration expenses, and depreciation and amortization. We consider the interest on notes payable from our financing segment and depreciation expense presented within cost of sales, which includes depreciation on assets financed as operating leases, to be operating expenses. 

Non-GAAP net earnings and non-GAAP net earnings per common share – diluted are based on net earnings calculated in accordance with GAAP, adjusted to exclude other income (expense), share based compensation, and acquisition related amortization expense, and the related tax effects.

Our use of non-GAAP information as analytical tools has limitations, and you should not consider them in isolation or as substitutes for analysis of our financial results as reported under GAAP. In addition, other companies, including companies in our industry, might calculate non-GAAP adjusted gross billings, adjusted EBITDA, non-GAAP net earnings and non-GAAP net earnings per common share or similarly titled measures differently, which may reduce their usefulness as comparative measures.

	Three Months Ended September 30,				Six Months Ended September 30,
	2021		2020		2021		2020
	(in thousands)
Technology segment net sales	$436,301		419,359		$836,659		$760,583
Costs incurred related to sales of third-party maintenance, software assurance and subscription / SaaS licenses, and services	227,823		181,705		460,472		386,875
Adjusted gross billings	$664,124		$601,064		$1,297,131		$1,147,458
	Three Months Ended September 30,				Six Months Ended September 30,
	2021		2020		2021		2020
	(in thousands)
Consolidated
Net earnings	$31,413		$19,846		$54,931		$37,206
Provision for income taxes	12,565		8,823		21,622		16,558
Depreciation and amortization [1]	3,853		3,341		7,779		6,857
Share based compensation	1,840		1,764		3,575		3,671
Acquisition and integration expense	-		(30)		-		(1)
Interest and financing costs	199		1		358		266
Other (income) expense [2]	325		(184)		202		(282)
Adjusted EBITDA	$50,195		$33,561		$88,467		$64,275
	Three Months Ended September 30,				Six Months Ended September 30,
	2021		2020		2021		2020
	(in thousands)
Technology Segment
Operating income	$30,251		$21,297		$55,474		$38,829
Depreciation and amortization [1]	3,825		3,313		7,723		6,801
Share based compensation	1,784		1,694		3,462		3,541
Acquisition and integration expense	-		(30)		-		(1)
Interest and financing costs	199		1		358		266
Adjusted EBITDA	$36,059		$26,275		$67,017		$49,436
Financing Segment
Operating income	$14,052		$7,188		$21,281		$14,653
Depreciation and amortization [1]	28		28		56		56
Share based compensation	56		70		113		130
Adjusted EBITDA	$14,136		$7,286		$21,450		$14,839
	Three Months Ended September 30,				Six Months Ended September 30,
	2021		2020		2021		2020
	(in thousands)
GAAP: Earnings before taxes	$43,978		$28,669		$76,553		$53,764
Share based compensation	1,840		1,764		3,575		3,671
Acquisition and integration expense	-		(30)		-		(1)
Acquisition related amortization expense [3]	2,661		2,172		5,357		4,400
Other (income) expense [2]	325		(184)		202		(282)
Non-GAAP: Earnings before taxes	48,804		32,391		85,687		61,552
GAAP: Provision for income taxes	12,565		8,823		21,622		16,558
Share based compensation	528		541		1,024		1,128
Acquisition and integration expense	-		(9)		-		-
Acquisition related amortization expense [3]	750		648		1,507		1,315
Other (income) expense [2]	93		(56)		58		(86)
Tax benefit on restricted stock	62		(26)		317		(40)
Non-GAAP: Provision for income taxes	13,998		9,921		24,528		18,875
Non-GAAP: Net earnings	$34,806		$22,470		$61,159		$42,677
	Three Months Ended September 30,				Six Months Ended September 30,
	2021		2020		2021		2020
GAAP: Net earnings per common share – diluted	$2.34		$1.48		$4.09		$2.78
Share based compensation	0.09		0.09		0.18		0.19
Acquisition related amortization expense [3]	0.14		0.11		0.29		0.23
Other (income) expense [2]	0.02		-		0.01		(0.01)
Tax benefit on restricted stock	-		-		(0.02)		-
Total non-GAAP adjustments – net of tax	$0.25		$0.20		$0.46		$0.41
Non-GAAP: Net earnings per common share – diluted	$2.59		$1.68		$4.55		$3.19

 

[1] Amount consists of depreciation and amortization for assets used internally.

[2] Interest income and foreign currency transaction gains and losses.

[3] Amount consists of amortization of intangible assets from acquired businesses.

 

 

 

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SOURCE ePlus inc.

FAQ

What are ePlus's Q2 FY2022 earnings results?

ePlus reported Q2 FY2022 net sales of $458 million, net earnings of $31.4 million, and diluted earnings per share of $2.34.

What is the significance of ePlus's stock split announcement?

The 2-for-1 stock split reflects the company's confidence in its growth strategy and positive financial performance.

How did ePlus perform in the first half of FY2022?

In the first half of FY2022, ePlus's net sales increased 11% to $874.7 million, and net earnings rose 47.6% to $54.9 million.

What drove the growth in ePlus's service revenues?

Service revenues increased 23.1% to $60.9 million, primarily due to growth in professional and managed services.

What is the outlook for ePlus in fiscal 2022?

ePlus remains well-positioned for growth, supported by increased open orders and backlog despite supply chain constraints.