A global IT distributor that links thousands of makers of computers, phones, printers, and data-center gear with more than a hundred thousand resellers — value-added resellers, system integrators, and retailers. Its catalog splits into Endpoint Solutions (PCs, mobile, printers) and Advanced Solutions (data center, cloud, security), and it builds hyperscale infrastructure through its Hyve business. It also handles logistics, depot repair, cloud platforms, and device-as-a-service financing.
Q2 FY2026 revenue rose 31% to $19.6B while operating income rose 58% to $519M
growth accelerated to its fastest pace in two years. Revenue rose 31.0% to $19.6B and rose 87.8% to $4.15 as Hyve Solutions grew 49.1% and widened margin, while dipped 0.2 points to 6.8% on Hyve product mix. The business is scaling, but was a $265.6M outflow in the quarter against a $573.2M inflow a year earlier.
Key takeaways
rose 31.0% to $19.6B, the largest increase since Q2 FY2022, led by Hyve Solutions growing 49.1% on Manufacturing and Supply Chain Services demand.
rose 58.3% to $519.4M and widened to 2.7% from 2.2% a year earlier as higher absorbed SG&A, which fell to 61.2% of from 68.6%.
dipped 0.2 points to 6.8% from 7.0% as Hyve Solutions product mix weighed on the rate, even as rose 28.0% to $1.34B.
Section summaries
Management's Discussion and Analysis
Consolidated revenue surged 31% YoY to $19.6B in Q2 FY2026, driven by broad-based growth across all segments and portfolios.
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Consolidated grew 31.0% to $19.6B, with Hyve Solutions leading at 49.1% growth driven by Manufacturing and Supply Chain Services.
rose 28.0% to $1.34B, but dipped to 6.84% from 7.00% primarily due to product mix in Hyve Solutions.
rose 87.8% to $4.15 and rose 80.7% to $334.1M, with the gain outpacing net income on a lower share count from repurchases.
was a $265.6M outflow versus a $573.2M inflow a year earlier, driven by build to support growth; the company repurchased $112M of stock and has $1.0B remaining under its authorization.
What changed
The $700M Senior Notes maturity flagged in Q1 was not addressed in this filing; $1.0B remains under the authorization against the August 2026 maturity.
Q2 came in as a $265.6M outflow after the $895.9M Q1 outflow, confirming the -build pressure flagged in Q1 rather than a reversal.
at 6.8% did not recover the 7.3% Q1 level flagged for watch after strategic tech margins; it dipped further on Hyve mix versus the 7.0% Q2 FY2025 base.
Europe reporting unit of $1.28B carried without charge remains unaddressed, as flagged in every filing since FY2022.
Share repurchases totaled $112M in Q2, leaving $1.0B of the $1.1B remaining at February 28, 2026 against the pace flagged for watch.
What to watch
$700M Senior Notes maturity in August 2026 and the liquidity source against $1,094.2M cash at May 31, 2026
Q3 and cash conversion cycle after the $265.6M Q2 outflow tied to build
Q3 to see if Hyve Solutions mix pressure eases from the 6.8% Q2 rate
Pace of share repurchases against the $1.0B remaining authorization at May 31, 2026
jumped 58.3% to $519M, with expanding to 2.65% from 2.20%, benefiting from and a higher mix of net-basis sales.
SG&A expenses increased 14.2% to $820M due to higher personnel and credit costs, but fell as a percentage of to 61.2% from 68.6%.
Net cash used in operating activities was $1.2B for the six months, driven by a significant build to support business growth.
The company repurchased $112M of common stock in Q2 and has $1.0B remaining under its authorization.
Quantitative and Qualitative Disclosures About Market Risk
For a description of the Company’s market risks, see “Part II, Item 7A. Quantitative and Qualitative Disclosures About Market Risk” in our Annual Report on Form 10-K for the fiscal year ended November 30, 2025. No material changes have occurred in our market risks since November…
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For a description of the Company’s market risks, see “Part II, Item 7A. Quantitative and Qualitative Disclosures About Market Risk” in our Annual Report on Form 10-K for the fiscal year ended November 30, 2025. No material changes have occurred in our market risks since November 30, 2025.
The information set forth under Note 12 - Commitments and Contingencies in the Notes to the Consolidated Financial Statements in Part I, Item 1 of this Report, is incorporated herein by reference.
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The information set forth under Note 12 - Commitments and Contingencies in the Notes to the Consolidated Financial Statements in Part I, Item 1 of this Report, is incorporated herein by reference.
You should carefully review and consider the information regarding certain factors that could materially affect our business, financial condition or future results set forth under Part I, Item 1A "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended November…
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You should carefully review and consider the information regarding certain factors that could materially affect our business, financial condition or future results set forth under Part I, Item 1A "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended November 30, 2025. There have been no material changes to the risk factors disclosed in our 2025 Annual Report on Form 10-K.