Tech Data Guides Q3 In Line With View; Announces Addl. $200 Mln Share Buyback
(RTTNews) - While reporting financial results for the second quarter on Thursday, Tech Data Corp. (TECD) provided earnings and net sales outlook for the third quarter, in line with analysts' estimates.
For the third quarter, the company projects earnings in a range of $2.33 to $2.63 per share and adjusted earnings in a range of $2.85 to $3.15 per share on worldwide net sales between $9.2 billion and $9.5 billion.
On average, analysts polled by Thomson Reuters expect the company to report earnings of $2.85 per share on net sales of $9.25 billion for the quarter. Analysts' estimates typically exclude special items.
Separately, the company's Board of Directors has authorized an additional $200 million in share repurchases of the company's common stock. Since October 2018, the board has authorized $500 million of share repurchases, consistent with the company's goal to return value to shareholders.
For the second quarter, the company reported net income of $79.3 million or $2.16 per share, higher than $75.9 million or $1.97 per share in the year-ago quarter.
Excluding items, adjusted net income was $98.6 million or $2.69 per share, compared to $77.6 million or $2.01 per share in the prior-year quarter.
Net sales for the quarter were $9.09 billion, an increase of 2 percent compared to the prior-year quarter. On a constant currency basis, net sales increased 5 percent.
The Street was looking for earnings of $2.31 per share on net sales of $8.71 billion.