TD SYNNEX Corporation reported fiscal 2025 fourth‑quarter revenue of $17.38 billion, a 9.7% year‑over‑year increase, and non‑GAAP diluted earnings per share of $3.83, up 24.0% from the prior year quarter. The company’s non‑GAAP gross billings rose 15% to $24.327 billion, setting a new record for the business. These results beat consensus estimates of $16.89 billion in revenue and $3.68 in EPS, with the earnings beat driven by disciplined cost management and a favorable mix shift toward higher‑margin strategic technologies.
Revenue growth was largely powered by the Advanced Solutions and Endpoint Solutions portfolios, which expanded in response to sustained demand for cloud, cybersecurity, and data‑analytics solutions. The Hyve segment, a cloud‑native platform, delivered a 50% year‑over‑year increase in gross billings, contributing significantly to the overall record. In contrast, legacy distribution channels experienced a modest 5% decline in revenue due to a higher proportion of net‑basis sales, which compresses top‑line growth.
Operating margins reflected the mix shift. Non‑GAAP operating margin improved to 2.9% from 2.3% in the same quarter a year earlier, as higher‑margin strategic tech sales offset lower margins in legacy product lines. GAAP operating margin rose to 2.3% from 1.8% YoY, indicating that the company’s cost‑control initiatives are translating into broader profitability gains.
Management guided for fiscal 2026 first‑quarter revenue of $15.1 billion to $15.9 billion and non‑GAAP gross billings of $22.7 billion to $23.7 billion. The guidance range is consistent with the company’s outlook for continued demand in high‑growth technology segments and signals confidence in sustaining the current growth trajectory.
CEO Patrick Zammit highlighted the company’s “diversified business model” and the “unrivaled portfolio indexed toward higher‑growing technologies” as key drivers of the record results. He noted that the distribution business, excluding Hyve, maintained double‑digit growth in gross profit and operating income, while Hyve’s rapid expansion added a new layer of momentum.
Investors responded positively to the results, with market participants acknowledging the company’s ability to beat both revenue and EPS estimates while maintaining a strong guidance outlook. The earnings beat and record gross billings reinforced confidence in TD SYNNEX’s dual‑engine growth strategy and its focus on high‑margin technology segments.
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