TD Synnex Corp (NYSE:SNX), a leading global distributor and solutions aggregator for the IT ecosystem, stock fell 0.44% (As on January 9, 11:43:44 AM UTC-4, Source: Google Finance) after the company posted mixed result for the fourth quarter of FY 23. Non-GAAP gross billings were $19.7 billion, compared to $20.9 billion in the prior fiscal fourth quarter. Non-GAAP gross profit was $1,019 million, compared to $1,077 million in the prior fiscal fourth quarter. Non-GAAP gross margin was 7.1%, compared to 6.6% in the prior fiscal fourth quarter. The presentation of additional revenues on a net basis positively impacted our gross margin and non-GAAP gross margin by approximately 43 basis points. Non-GAAP operating income was $427 million, compared to $496 million in the prior fiscal fourth quarter. Non-GAAP operating margin was 3.0%, compared to 3.1% in the prior fiscal fourth quarter.

SNX in the fourth quarter of FY 23 has reported the adjusted earnings per share of $3.13, beating the analysts’ estimates for the adjusted earnings per share of $2.67. The company had reported 11.3 percent decline in the adjusted revenue growth to $14.41 billion in the fourth quarter of FY 23, missing the analysts’ estimates for revenue of $14.48 billion. The decline was primarily attributed to a reduction in demand for PC ecosystem products within the Endpoint Solutions portfolio. Despite the revenue downturn, the company achieved a gross margin of 7.07%, marking an increase of 55 basis points year-over-year, and a non-GAAP gross margin of the same percentage, up 44 basis points from the prior fiscal fourth quarter.

Moreover, Americas revenue was $8.4 billion, compared to $10.0 billion in the prior fiscal fourth quarter, representing a decrease of 16.8% on both a GAAP basis and a constant currency basis. Europe revenue was $5.2 billion, compared to $5.4 billion in the prior fiscal fourth quarter, representing a decrease of 3.0%. On a constant currency basis, revenue decreased by 9.0% compared to the prior fiscal fourth quarter. Asia-Pacific and Japan revenue was $838 million, compared to $834 million in the prior fiscal fourth quarter, representing an increase of 0.5%.

Additionally, the company has declared a quarterly cash dividend of $0.40 per common share, which represents a 14% increase as compared to the prior quarter. The dividend is payable on January 26, 2024 to stockholders of record as of the close of business on January 19, 2024.