SYNNEX Corporation (NYSE: SNX) has reported the adjusted earnings per share of $2.57 in the fourth quarter 2016 beating the analysts’ estimates for earnings per share of $2.09. The company had reported the revenue of $3.89 billion in the fourth quarter of 2016, which is as per the analysts’ estimates. The revenue grew due to the growth in the Concentrix segment, whose revenue grew to $500.4 million from $373.6 million, driven by the acquisition of the Minacs Group last year.
Moreover, SYNNEX has reported the Non-GAAP operating income growth of 30.1% to $156.1 million while the operating margin grew 64 basis point to 4.02% in the fourth quarter of 2016. The adjusted net income attributable to SNX in 4Q 2016 is $102.9 million, which is a growth of 43.7%.
For the full year of 2016, SYNNEX has reported the adjusted earnings per share of $7.04 as compared to the earnings per share of $6.28 a year earlier. The revenue in FY 16 grew 5.4% to $14,062 million. There is a 12.5% growth in the Non-GAAP net income attributable to SNX to $281.2 million. In addition, SNX has generated Cash from operations of about $326 million for the 2016 year.
For the first quarter of 2017, SNX expects the adjusted earnings per share in the range of $1.61 to $1.69 on $3.40 billion to $3.60 billion in sales. This is below the analysts’ projection for earnings per share of $1.66 on about $3.48 billion in sales. Additionally, on a Non-GAAP basis the net income is expected to be in the range of $64.7 million to $67.9 million in the first quarter of FY 17. The after-tax amortization of intangibles is expected to be $11.1 million, or $0.28 per share and the after tax acquisition and integration expenses are expected to be $1.0 million, or $0.02 per share in the 1Q 2017.
SYNNEX has declared a regular quarterly cash dividend of $0.25 per share and the dividend will be paid on January 27th, 2017 to shareholders of record as of the close of business on January 13th, 2017
SNX stock has risen 53.65% in the last one year (source: Google Finance). SNX stock rose over 0.5% in the after-hours of Jan 10th given the better than estimated results. The stock might maintain their bullish momentum today.