TD SYNNEX (SNX) Q2 2026: Record Revenue and EPS Growth — Strongly Positive

TD SYNNEX (NYSE: SNX) reported exceptional financial results for the fiscal second quarter of 2026, showcasing significant growth across key metrics. The company achieved a record revenue of $19.6 billion, representing an increase of $4.7 billion or 31.0% year over year. This performance not only exceeded the high end of the company's outlook but also reflects robust demand across its distribution and Hyve segments.

Key Financial Metrics

• Revenue: $19.6 billion, up $4.7 billion or +31.0% YoY
• Non-GAAP Gross Billings: $28.9 billion, up $7.0 billion or +33.4% YoY
• Diluted EPS: $4.15, up $1.94 or +87.8% YoY
• Non-GAAP Diluted EPS: $4.85, up $1.86 or +62.2% YoY
• Net Income: $334 million, up $149 million or +80.7% YoY
• Operating Income: $519 million, up $191 million or +58.3% YoY
• Gross Profit: $1.339 billion, up $293 million or +28.0% YoY
• Gross Margin: 6.84%, down 16 bps YoY

The substantial growth in revenue and earnings per share indicates a strong quarter for shareholders, driven by effective execution of the company's strategic initiatives. The increase in non-GAAP diluted EPS to $4.85 is particularly noteworthy, as it reflects the company's ability to enhance profitability while managing costs effectively.

Shareholder Returns and Guidance

TD SYNNEX returned $151 million to shareholders through $112 million in share repurchases and $39 million in dividends. The company announced a quarterly cash dividend of $0.48 per common share, marking a 9% increase year over year. This commitment to returning capital to shareholders is a positive signal of the company's financial health and confidence in future performance.

Looking ahead, TD SYNNEX provided guidance for the third quarter of fiscal 2026, projecting revenue between $18.2 billion and $19.0 billion, and non-GAAP diluted EPS in the range of $3.40 to $3.90. This guidance reflects the company's expectation of continued growth, albeit at a slightly moderated pace compared to the record-setting second quarter.

Analyst View

Overall, this quarter is a strongly positive outcome for TD SYNNEX and its shareholders. The impressive revenue and earnings growth, coupled with a commitment to returning capital, positions the company favorably in the market. The slight decline in gross margin may warrant attention, but it does not overshadow the robust top-line growth and profitability improvements.

Investors should watch for the company's performance in the upcoming quarter, particularly how it navigates potential challenges in the IT distribution landscape and whether it can maintain its growth trajectory. The focus will also be on the execution of its strategic initiatives and the impact of macroeconomic factors on demand.

In conclusion, TD SYNNEX's record results and proactive shareholder returns underscore its strong market position and operational effectiveness, making it a compelling investment opportunity moving forward.

TD SYNNEX Corporation Consolidated Statements of Operations

(Currency and share amounts in thousands, except per share amounts)

Note: All amounts in the table are in thousands.

	Three Months Ended		Six Months Ended
	May 31, 2026	May 31, 2025	May 31, 2026	May 31, 2025
Revenue	$ 19,574	$ 14,946	$ 36,736	$ 29,478
Cost of revenue	-18,230	-13,890	-34,144	-27,430
Gross profit	$ 1,339	$ 1,046	$ 2,591	$ 2,044
Selling, general and administrative expense	-820,000	-718,200	-1,582	-1,411
Operating income	$ 519,362	$ 328,139	$ 1,008,731	$ 632,598
Interest expense and financial charges, net	-97,841	-89,982	-184,375	-177,844
Other income (expense), net	$ 8,412	$ -79	$ 27,994	$ -1,775
Income before income taxes	$ 429,933	$ 238,078	$ 852,341	$ 452,961
Provision for income taxes	-95,845	-53,157	-191,338	-100,577
Net income	$ 334,088	$ 184,921	$ 661,003	$ 352,458
Earnings per common share:
Basic	$ 4.16	$ 2.22	$ 8.21	$ 4.20
Diluted	$ 4.15	$ 2.21	$ 8.19	$ 4.19
Weighted-average shares outstanding
Basic	79,557	82,626	79,754	83,115
Diluted	79,755	82,935	79,965	83,447

TD SYNNEX Corporation Consolidated Balance Sheets

(Currency and share amounts in thousands, except par value)

Note: All amounts in the table are in thousands.

	May 31, 2026	November 30, 2025
ASSETS
Current assets:
Cash and cash equivalents	$ 1,094,181	$ 2,435,389
Accounts receivable, net	12,995,129	11,707,581
Receivables from vendors, net	836,776	972,658
Inventories	13,894,044	9,504,340
Other current assets	768,779	669,470
Total current assets	29,588,909	25,289,438
Property and equipment, net	540,357	496,291
Goodwill	4,116,247	4,099,297
Intangible assets, net	3,642,670	3,774,952
Other assets, net	617,830	590,920
Total assets	$ 38,506,013	$ 34,250,898
LIABILITIES AND EQUITY
Current liabilities:
Borrowings, current	$ 1,125,798	$ 1,018,321
Accounts payable	21,179,061	17,624,254
Other accrued liabilities	2,368,166	2,318,265
Total current liabilities	24,673,025	20,960,840
Long-term borrowings	3,594,171	3,592,130
Other long-term liabilities	486,499	447,981
Deferred tax liabilities	801,959	799,518
Total liabilities	29,555,654	25,800,469
Stockholders’ equity:
Preferred stock, $0.001 par value, 5,000 shares authorized, no shares issued or outstanding	—	—
Common stock, $0.001 par value, 200,000 shares authorized, 99,012 shares issued	99	99
Additional paid-in capital	7,454,525	7,431,231
Treasury stock, 19,673 and 18,912 shares as of May 31, 2026 and November 30, 2025, respectively	-2,198,129	-2,038,528
Accumulated other comprehensive loss	-326,929	-379,433
Retained earnings	4,020,793	3,437,060
Total stockholders' equity	8,950,359	8,450,429
Total liabilities and equity	$ 38,506,013	$ 34,250,898

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