ScanSource Cuts FY24 Net Sales Outlook From Prior At Least $3.5B To At Least $3.3B, Est $3.604B
Portfolio Pulse from Benzinga Newsdesk
ScanSource, Inc. (SCSC) has revised its FY24 net sales forecast downwards from at least $3.5 billion to at least $3.3 billion, against analysts' expectations of $3.604 billion. Despite lower hardware sales, the company highlighted its strong margins and robust free cash flow. CEO Mike Baur emphasized the company's resilient business model and strong balance sheet, which supports its disciplined capital allocation plans.
May 07, 2024 | 12:36 pm
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ScanSource, Inc. has reduced its FY24 net sales guidance from at least $3.5 billion to at least $3.3 billion, which is below the estimated $3.604 billion. The company cites lower hardware sales but maintains a positive outlook on its margins and cash flow.
Reducing the sales outlook, especially when it falls below analyst expectations, typically results in negative investor sentiment and can lead to a short-term decrease in stock price. However, the emphasis on strong margins and cash flow might mitigate some negative impacts.
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