In This Article:
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Net Sales: Fiscal year 2024 net sales were $48.0 billion, up 0.3% on an FX-neutral basis.
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Gross Profit: Full year 2024 gross profit was $3.44 billion, representing 7.18% of net sales.
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Operating Expenses: Full year operating expenses were $2.45 billion, or 5.10% of net sales.
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Non-GAAP Net Income: $627.9 million for fiscal year 2024.
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Non-GAAP Diluted EPS: $2.79 for fiscal year 2024.
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Adjusted EBITDA: $1.32 billion in 2024 compared to $1.35 billion in 2023.
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Q4 Net Sales: $13.34 billion, up 2.5% year-over-year in U.S. dollars.
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Q4 Gross Margin: 7.01%, down 51 basis points versus prior year.
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Q4 Non-GAAP Net Income: $213.1 million.
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Q4 Non-GAAP Diluted EPS: $0.92.
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Q4 Adjusted EBITDA: $418.1 million.
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Adjusted Free Cash Flow: $443.3 million for the full year 2024.
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Dividend: Quarterly cash dividend of $0.074 per share approved for Q1 2025.
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Debt Repayment: Paid down $483 million of term loan balance in 2024.
Release Date: March 04, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Ingram Micro Holding Corp (NYSE:INGM) achieved a year-over-year top line growth of nearly 3.5% in Q4 2024, with particular strength in Asia Pacific and Latin America.
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The company saw robust performance in cloud and client and endpoint solutions, with both growing year-over-year and quarter-over-quarter.
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Ingram Micro Holding Corp (NYSE:INGM) has invested over $600 million in building capabilities and technologies in cloud, laying the foundation for their AI-driven digital experience platform, Xvantage.
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The company won over 100 industry awards in 2024, including AWS Global Partner of the Year and HPE Distributor of the Year.
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Ingram Micro Holding Corp (NYSE:INGM) maintained a strong focus on working capital management, improving their annual net debt to adjusted EBITDA leverage ratio by more than 0.4 times since Q3 2024.
Negative Points
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Advanced Solutions faced challenges due to slowness in networking, impacting overall performance.
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The company experienced a competitive environment in India, leading to notable drops in margin and impacting profitability.
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Gross margins were down 51 basis points year-over-year in Q4 2024, driven by a higher mix of sales towards enterprise customers and a competitive environment.
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Operating expenses remained elevated due to investments in digital initiatives, impacting overall profitability.
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The public sector and small and medium-sized business segments showed weakness, affecting overall sales performance.
Q & A Highlights
Q: Can you discuss the momentum with large enterprise customers, particularly in North America, and any insights on the PC refresh cycle? A: Paul Bay, CEO: The large enterprise momentum was observed across all regions, not just North America. In North America, we saw growth in client endpoint solutions, advanced solutions, and cloud. The PC refresh cycle is primarily driven by Windows refresh and aging systems, with some influence from AI PCs. This trend is global, with large enterprise customers contributing significantly to this growth.