Retail Distributor ScanSource to Report Higher Quarter Revenue

Point-of-sale and retail vertical industry IT distributor ScanSource
reported that it will post higher year-over-year revenues for the quarter ended
Dec. 31.

The Greenville, S.C.,
distributor said that revenues will be in the range of $537 million to $547
million and will include the revenues of the acquisition of Algol Europe, which
was completed Dec. 1. That compares to $477 million for the same period a year
ago. ScanSource did not quantify Algol’s contribution to quarterly revenues.

ScanSource said it will announce full results for the quarter on Jan. 28.

“Our acquisition of Algol Europe, now ScanSource Communications Europe, is a
key step in our strategy to become a pan-European distributor of communications
products,” the company said in a prepared statement.

In addition to revenues, the December quarter results will also include
expenses associated with the Algol acquisition, the company said. The company
provided no information about gross margin, sales mix or net income.

For the previous sequential quarter, ScanSource reported net sales of $488
million, net income of $10.9 million and diluted earnings per share of 41
cents. The results represented a 9.5 percent decrease in net sales year over
year and a 12 percent decrease in net income year over year.

Separately, earlier this week ScanSource and Fujitsu announced that ScanSource will
carry Fujitsu’s product line for the retail vertical industry.