--Revenue Growth Reflects Strong Demand for ePlus’ Solutions and Services--

Second Quarter Fiscal Year 2021

  • Net sales increased 5.2% to $433.1 million; technology segment net sales increased 5.4% to $419.4 million; service revenues increased 2.8% to $49.4 million.
  • Adjusted gross billings increased 3.8% to $601.1 million.
  • Consolidated gross profit decreased 3.9% to $99.0 million.
  • Consolidated gross margin was 22.9%, a decrease of 210 basis points.
  • Net earnings decreased 1.3% to $19.8 million.
  • Adjusted EBITDA decreased 5.2% to $33.6 million.
  • Diluted earnings per share decreased 2.0% to $1.48. Non-GAAP diluted earnings per share decreased 7.2% to $1.68.

First Half Fiscal Year 2021

  • Net sales decreased 0.6% to $788.1 million; technology segment net sales decreased 0.7% to $760.6 million; service revenues increased 3.6% to $97.2 million.
  • Adjusted gross billings increased 1.8% to $1,147.5 million.
  • Consolidated gross profit increased 0.9% to $197.5 million.
  • Consolidated gross margin was 25.1%, an increase of 40 basis points.
  • Net earnings increased 2.5% to $37.2 million.
  • Adjusted EBITDA increased 0.5% to $64.3 million.
  • Diluted earnings per share increased 2.6% to $2.78. Non-GAAP diluted earnings per share decreased 2.1% to $3.19.
 

HERNDON, Va.--(BUSINESS WIRE)-- ePlus inc. (NASDAQ: PLUS), a leading provider of technology and financing solutions, today announced financial results for the three and six months ended September 30, 2020.

Management Comment

“ePlus’ base of diverse, middle market and larger customers in stable industries is a key competitive advantage, along with our solutions sets and engineering talent which can readily pivot to address the current needs of our customers,” commented Mark Marron, president and chief executive officer. “In the second quarter, revenue growth was driven by increased spend from our enterprise and state, local government and educational (SLED) customers. Thanks to our long time focus on key areas such as cloud, security and collaboration solutions, and our investments in top-notch technology talent, we have both the scale and depth to serve large enterprise customers, who have been most active during this pandemic period. Additionally, our services business increased in the second quarter, benefitting from our emphasis on managed services which yield consistent annuity quality revenue.

“We had a challenging gross margin comparison due to strength in product sales to enterprise customers this year and a shift in business mix. Even so, we were pleased to report year-on-year growth in operating income as we have continued to identify opportunities to pare our cost structure.

“Our team has managed well in the COVID-19 business environment, and as we approach our 30th anniversary, we especially appreciate their dedication and ability to effectively support our customers by providing the solutions and the flexibility they require.”

Second Quarter Fiscal 2021 Results

For the second quarter ended September 30, 2020 as compared to the second quarter of the prior fiscal year ended September 30, 2019:

Consolidated net sales increased 5.2% to $433.1 million, from $411.6 million.

Technology segment net sales increased 5.4% to $419.4 million, from $397.7 million primarily due to higher product sales. Service revenues increased 2.8% to $49.4 million, from $48.1 million due to an increase in managed services. Adjusted gross billings increased 3.8% to $601.1 million from $579.1 million.

Financing segment net sales decreased 0.9% to $13.7 million, from $13.8 million, due to lower post-contract earnings.

Consolidated gross profit decreased 3.9% to $99.0 million, from $103.0 million. Consolidated gross margin was 22.9%, down from 25.0% last year, primarily due to lower product margins and a lower proportion of sales recorded on a net basis.

Operating expenses were $70.5 million, down 5.6% from $74.7 million last year, primarily due to decreases in expenses related to travel and entertainment, advertising and marketing, salaries and benefits, and professional fees. Our headcount at the end of the quarter was 1,497, down 8.1% from 1,629 a year ago and 2.5% from the sequential quarter. Last year’s quarter included a partial quarter of salaries and benefits from the ABS Technology acquisition resulting in a lower compare.

Consolidated operating income increased 0.4% to $28.5 million.

Our effective tax rate for the current quarter was 30.8%, higher than the prior year quarter of 29.1%, due to an adjustment to the federal benefit from state taxes.

Net earnings decreased 1.3% to $19.8 million.

Adjusted EBITDA decreased 5.2% to $33.6 million, from $35.4 million.

Diluted earnings per share was $1.48, compared with $1.51 in the prior year quarter. Non-GAAP diluted earnings per share was $1.68, compared with $1.81 last year.

First Half Fiscal 2021 Results

For the six months ended September 30, 2020 as compared to the six months of the prior fiscal year ended September 30, 2019:

Consolidated net sales decreased 0.6% to $788.1 million, from $792.9 million.

Technology segment net sales decreased 0.7% to $760.6 million, from $766.3 million primarily due to a larger portion of our sales that were recognized on a net basis. Service revenues increased 3.6% to $97.2 million, from $93.8 million primarily due to an increase in managed services. Adjusted gross billings was $1,147.5 million, an increase of 1.8% from $1,127.4 million.

Financing segment net sales increased 3.2% to $27.5 million, from $26.7 million, primarily due to an increase in post contract revenue.

Consolidated gross profit increased 0.9% to $197.5 million, from $195.7 million. Consolidated gross margin increased to 25.1% from 24.7% last year, due to higher product margins and post contract revenue from the financing segment.

Operating expenses were $144.0 million, slightly lower than last year, primarily due to a decrease in travel and entertainment expense, healthcare cost, and acquisition related expenses.

Consolidated operating income increased 4.6% to $53.5 million.

Our effective tax rate for the first half of the current year was 30.8%, higher than last year of 28.9%, due to an adjustment to the federal benefit from state taxes.

Net earnings increased 2.5% to $37.2 million.

Adjusted EBITDA increased 0.5% to $64.3 million, from $64.0 million.

Diluted earnings per share was $2.78, compared with $2.71 in the prior year quarter. Non-GAAP diluted earnings per share was $3.19, compared with $3.26 last year.

Balance Sheet Highlights

As of September 30, 2020, ePlus had cash and cash equivalents of $161.1 million, compared with $86.2 million as of March 31, 2020. The increase is primarily the result of increased payment terms from certain of our vendors. Inventory, which represents equipment ordered by customers but not yet delivered, increased 46.7% due to ongoing projects. Total shareholder’s equity was $523.1 million, compared with $486.1 million as of March 31, 2020. Total shares outstanding were 13.5 million on September 30, 2020 and March 31, 2020.

Summary and Outlook

“With a broad portfolio of products and services mostly directed to high growth areas and a more streamlined operation, we believe ePlus is well positioned to continue to effectively and efficiently serve our diversified customer base.

“During challenging and uncertain economic periods, our portfolio of Technology and Financing businesses represents a competitive advantage for ePlus, enabling us to provide customers with their technology requirements while assisting them in managing through budgetary constraints. Of late, we are seeing an increase in demand for financing from several customers, and we expect this trend to continue across our customer set, enabling us to further leverage this ePlus market differentiator.

“Additionally, our strong balance sheet provides capital to invest in organic and inorganic growth opportunities and the resources to manage effectively under difficult business conditions. We continue to monitor the landscape for attractive opportunities, while pursuing growth by supporting our customers’ needs and preferred methods of IT consumption,” Mr. Marron concluded.

Recent Corporate Developments/Recognitions

  • In the month of October:
    • ePlus announced the launch of ePlus CyberSmart, an educational initiative created to help organizations gain greater foundational cyber security knowledge and implement more robust measures for date and network protection.
    • ePlus announced that its Chief Financial Officer, Elaine Marion, was recognized as Public Company CFO of the Year by the Northern Virginia Technology Council in its 2020 Greater Washington Technology CFO Awards.
  • In the month of September:
    • ePlus announced that it strengthened its Managed Cloud Security Service portfolio by adding a market-leading managed detection and response (MDR) solution to its lineup of capabilities.
    • ePlus announced that it received the NetApp Americas Flash Growth Partner of the Year Award 2020 for its overall fiscal year 2020 flash sales performance, growth year-over-year and wins in significant accounts.
    • ePlus announced that it extended its Managed Services capabilities to include proactive monitoring, management, and remediation of APC by Schneider Electric uninterruptible power supply (UPS) devices.
    • ePlus announced the launch of ePlus Cloud Collaboration, a unified communications-as-a-service solution, powered by Cisco Unified Communications Manager Cloud (UCM Cloud).
    • ePlus sponsored Check Point’s virtual Women in IT event in support of the drive to engage more women in STEM fields, including cyber security.
    • ePlus announced that it was recognized as the Check Point Americas Cloud Partner of the Year.
    • ePlus announced it partnered with Mobile Heartbeat, a leading provider of enterprise-grade clinical communication and collaboration solutions, to provide MH-CURE®, a Unified Clinical Communication platform, to healthcare organizations looking to enhance clinical workflows and patient care.
  • In the month of August:
    • ePlus announced that it launched a customized suite of technology solutions and consultative services to Navigate the Next.

Conference Call Information

ePlus will hold a conference call and webcast at 4:30 p.m. ET on November 4, 2020:

In a new process, participants must pre-register in advance to listen or participate in the call. Once registered, the call-in numbers will be provided by email.

Date:

November 4, 2020

Time: 4:30 p.m. ET
Pre-registration link: http://www.directeventreg.com/registration/event/6198583
Webcast: http://www.eplus.com/investors (live and replay)
Replay: (800) 585-8367 (domestic) or (416) 621-4642 (international)
Passcode:

6198583

The replay of this webcast will be available approximately two hours after the call concludes and be available through November 11, 2020.

About ePlus inc.

ePlus is a leading consultative technology solutions provider that helps customers imagine, implement, and achieve more from their technology. With the highest certifications from top technology partners and lifecycle services expertise across key areas including security, cloud, data center, collaboration, networking, and emerging technologies, ePlus transforms IT from a cost center to a business enabler. Founded in 1990, ePlus has more than 1,400 associates serving a diverse set of customers in the U.S., Europe, and Asia-Pac. The Company is headquartered at 13595 Dulles Technology Drive, Herndon, VA, 20171. For more information, visit www.eplus.com, call 888-482-1122, or email info@eplus.com. Connect with ePlus on Facebook, LinkedIn, Twitter and Instagram.

ePlus, Where Technology Means More®.

ePlus® and ePlus products referenced herein are either registered trademarks or trademarks of ePlus inc. in the United States and/or other countries. The names of other companies and products mentioned herein may be the trademarks of their respective owners.

Forward-looking statements

Statements in this press release that are not historical facts may be deemed to be “forward-looking statements.” Actual and anticipated future results may vary materially due to certain risks and uncertainties, including, without limitation, the duration and impact of the COVID-19 pandemic, which could materially adversely affect our financial condition and results of operations and has resulted worldwide in governmental authorities imposing numerous unprecedented measures to try to contain the virus that has impacted and may further impact our workforce and operations, the operations of our customers, and those of our respective vendors, suppliers, and partners; national and international political instability fostering uncertainty and volatility in the global economy including exposure to fluctuation in foreign currency rates, interest rates and downward pressure on prices; reduction of vendor incentive programs; and restrictions on our access to capital necessary to fund our operations; our ability to successfully perform due diligence and integrate acquired businesses; disruptions or a security breach in our or our vendor’s IT systems and data and audio communication networks; the possibility of goodwill impairment charges in the future; significant adverse changes in, reductions in, or losses of relationships with one or more of our largest volume customers or vendors; a possible decrease in the capital spending budgets of our customers or a decrease in purchases from us; our ability to raise capital, maintain or increase as needed our lines of credit with vendors or floor planning facility, or obtain debt for our financing transactions; uncertainty regarding the phase out of LIBOR may negatively affect our operating results; the demand for and acceptance of, our products and services; our ability to adapt our services to meet changes in market developments; our ability to implement comprehensive plans for the integration of sales forces, cost containment, asset rationalization, systems integration and other key strategies; the creditworthiness of our customers and our ability to reserve adequately for credit losses; our ability to secure our own and our customers’ electronic and other confidential information and remain secure during a cyber-security attack; future growth rates in our core businesses; the impact of competition in our markets; our reliance on third parties to perform some of our service obligations to our customers; the possibility of defects in our products or catalog content data; our ability to adapt to changes in the IT industry and/or rapid changes in product offerings, including the proliferation of the cloud, infrastructure as a service and software as a service; our ability to realize our investment in leased equipment; maintaining and increasing advanced professional services by recruiting and retaining highly skilled, competent personnel and vendor certifications; and other risks or uncertainties detailed in our reports filed with the Securities and Exchange Commission. All information set forth in this press release is current as of the date of this release and ePlus undertakes no duty or obligation to update this information.

ePlus inc. AND SUBSIDIARIES

 

UNAUDITED CONSOLIDATED BALANCE SHEETS

 

 

(in thousands, except per share amounts)

 

 

 

 

September 30, 2020

March 31, 2020

ASSETS

 

 

 

 

 

Current assets:

 

Cash and cash equivalents

$161,081

$86,231

Accounts receivable—trade, net

369,037

374,998

Accounts receivable—other, net

40,832

36,570

Inventories

73,751

50,268

Financing receivables—net, current

92,766

70,169

Deferred costs

22,329

22,306

Other current assets

8,233

9,256

Total current assets

768,029

649,798

 

Financing receivables and operating leases—net

87,926

74,158

Property, equipment and other assets

34,314

32,596

Goodwill

118,177

118,097

Other intangible assets—net

30,265

34,464

TOTAL ASSETS

$1,038,711

$909,113

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

 

 

LIABILITIES

 

 

 

 

 

Current liabilities:

 

 

Accounts payable

$104,893

$82,919

Accounts payable—floor plan

218,970

127,416

Salaries and commissions payable

30,284

30,952

Deferred revenue

59,078

55,480

Recourse notes payable—current

2,286

37,256

Non-recourse notes payable—current

35,610

29,630

Other current liabilities

25,372

22,986

Total current liabilities

476,493

386,639

 

Non-recourse notes payable—long term

2,444

5,872

Deferred tax liability—net

3,762

2,730

Other liabilities

32,942

27,727

TOTAL LIABILITIES

515,641

422,968

 

 

 

COMMITMENTS AND CONTINGENCIES

 

 

 

 

 

STOCKHOLDERS' EQUITY

 

 

Preferred stock, $.01 per share par value; 2,000 shares authorized; none outstanding

-

-

Common stock, $.01 per share par value; 25,000 shares authorized; 13,537 outstanding at September 30, 2020 and 13,500 outstanding at March 31, 2020

145

144

Additional paid-in capital

148,845

145,197

Treasury stock, at cost, 958 shares at September 30, 2020 and 896 shares at March 31, 2020

(72,911)

(68,424)

Retained earnings

447,425

410,219

Accumulated other comprehensive income—foreign currency translation adjustment

(434)

(991)

Total Stockholders' Equity

523,070

486,145

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY

$1,038,711

$909,113

 
ePlus inc. AND SUBSIDIARIES

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share amounts)

 

 

 

 

 

Three Months Ended September 30,

Six Months Ended September 30,

2020

2019

2020

2019

 

 

 

 

 

 

 

 

 

 

Net sales

 

 

 

Product

$383,656

$363,497

$690,896

$699,098

Services

49,425

48,068

97,216

93,839

Total

433,081

411,565

788,112

792,937

 

 

 

 

 

Cost of sales

 

 

 

 

Product

302,963

278,863

529,597

538,926

Services

31,156

29,671

60,996

58,341

Total

334,119

308,534

590,593

597,267

 

 

 

 

 

Gross profit

98,962

103,031

197,519

195,670

 

 

 

 

Selling, general, and administrative

66,889

70,523

136,356

136,310

Depreciation and amortization

3,341

3,557

6,857

7,020

Interest and financing costs

247

576

824

1,204

Operating expenses

70,477

74,656

144,037

144,534

 

 

 

Operating income

28,485

28,375

53,482

51,136

 

 

 

Other income (expense)

184

(40)

282

(85)

 

 

Earnings before taxes

28,669

28,335

53,764

51,051

 

 

Provision for income taxes

8,823

8,237

16,558

14,765

 

 

Net earnings

$19,846

$20,098

$37,206

$36,286

 

 

 

 

Net earnings per common share—basic

$1.48

$1.51

$2.79

$2.72

Net earnings per common share—diluted

$1.48

$1.51

$2.78

$2.71

 

 

 

 

Weighted average common shares outstanding—basic

13,372

13,312

13,347

13,334

Weighted average common shares outstanding—diluted

13,391

13,350

13,394

13,408

 

Technology Segment

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

2019

% Change

2020

2019

% Change

 

(in thousands)

 

(in thousands)

 

 

Net sales

 

 

 

 

 

 

Product

$369,934

$349,650

5.8%

$663,367

$672,414

(1.3%)

Services

49,425

48,068

2.8%

97,216

93,839

3.6%

Total

419,359

397,718

5.4%

760,583

766,253

(0.7%)

 

 

 

 

 

 

 

Cost of sales

 

 

 

 

 

 

Product

301,006

276,475

8.9%

525,549

534,529

(1.7%)

Services

31,156

29,671

5.0%

60,996

58,341

4.6%

Total

332,162

306,146

8.5%

586,545

592,870

(1.1%)

 

 

 

 

 

 

 

Gross profit

87,197

91,572

(4.8%)

174,038

173,383

0.4%

 

Selling, general, and administrative

62,586

67,189

(6.9%)

128,142

129,856

(1.3%)

Depreciation and amortization

3,313

3,529

(6.1%)

6,801

6,936

(1.9%)

Interest and financing costs

1

-

nm

266

-

nm

Operating expenses

65,900

70,718

(6.8%)

135,209

136,792

(1.2%)

 

Operating income

$21,297

$20,854

(2.1%)

$38,829

$36,591

6.1%

Adjusted gross billings

$601,064

$579,084

3.8%

$1,147,458

$1,127,447

1.8%

Adjusted EBITDA

$26,275

$27,789

(5.4%)

$49,436

$49,208

0.5%

 

Technology Segment Net Sales by Customer End Market

 

 

 

Twelve Months Ended September 30,

 

 

2020

 

2019

 

% Change

 

 

 

 

 

 

Technology

19%

 

22%

 

(3%)

Telecom, Media, & Entertainment

20%

 

16%

 

4%

SLED

16%

 

17%

 

(1%)

Healthcare

15%

 

15%

 

-

Financial Services

13%

 

14%

 

(1%)

All others

17%

 

16%

 

1%

Total

100%

 

100%

 

 

 

Financing Segment

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

2019

% Change

2020

2019

% Change

 

(in thousands)

 

(in thousands)

 

 

Net sales

$13,722

$13,847

(0.9%)

$27,529

$26,684

3.2%

Cost of sales

1,957

2,388

(18.0%)

4,048

4,397

(7.9%)

Gross profit

11,765

11,459

2.7%

23,481

22,287

5.4%

 

 

 

 

 

 

 

Selling, general, and administrative

4,303

3,334

29.1%

8,214

6,454

27.3%

Depreciation and amortization

28

28

0.0%

56

84

(33.3%)

Interest and financing costs

246

576

(57.3%)

558

1,204

(53.7%)

Operating expenses

4,577

3,938

16.2%

8,828

7,742

14.0%

 

Operating income

$7,188

$7,521

(4.4%)

$14,653

$14,545

0.7%

Adjusted EBITDA

$7,286

$7,616

(4.3%)

$14,839

$14,764

0.5%

 

ePlus inc. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP INFORMATION

We included reconciliations below for the following non-GAAP information: (i) Adjusted Gross Billings, (ii) Adjusted EBITDA, (iii) Segment Adjusted EBITDA, (iv) non-GAAP Net Earnings and (v) non-GAAP Net Earnings per Common Share - Diluted.

We define adjusted gross billings as our technology segment net sales calculated in accordance with GAAP, adjusted to exclude the costs incurred related to sales of third-party maintenance, software assurance and subscription/SaaS licenses, and services.

We define adjusted EBITDA as net earnings calculated in accordance with GAAP, adjusted for the following: interest expense, depreciation and amortization, share based compensation, acquisition and integration expense, provision for income taxes, and other income (expense). Segment adjusted EBITDA is defined as operating income calculated in accordance with GAAP, adjusted for interest expense, share based compensation, acquisition and integration expenses, and depreciation and amortization. We consider the interest on notes payable from our financing segment and depreciation expense presented within cost of sales, which includes depreciation on assets financed as operating leases, to be operating expenses.

Non-GAAP net earnings and non-GAAP net earnings per common share – diluted are based on net earnings calculated in accordance with GAAP, adjusted to exclude other income (expense), share based compensation, and acquisition related amortization expense, and the related tax effects.

Our use of non-GAAP information as analytical tools has limitations, and you should not consider them in isolation or as substitutes for analysis of our financial results as reported under GAAP. In addition, other companies, including companies in our industry, might calculate non-GAAP adjusted gross billings, adjusted EBITDA, non-GAAP net earnings and non-GAAP net earnings per common share or similarly titled measures differently, which may reduce their usefulness as comparative measures.

 

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

 

2019

 

2020

 

2019

 

(in thousands)

 

 

 

 

 

 

 

 

Technology segment net sales

$419,359

 

$397,718

 

$760,583

 

$766,253

Costs incurred related to sales of third-party
maintenance, software assurance and
subscription / SaaS licenses, and services

 

181,705

 

 

181,366

 

 

386,875

 

 

361,194

Adjusted gross billings

$601,064

 

$579,084

 

$1,147,458

 

$1,127,447

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

 

2019

 

2020

 

2019

 

(in thousands)

Consolidated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

$19,846

 

$20,098

 

$37,206

 

$36,286

Provision for income taxes

8,823

 

8,237

 

16,558

 

14,765

Depreciation and amortization [1]

3,341

 

3,557

 

6,857

 

7,020

Share based compensation

1,764

 

2,135

 

3,671

 

4,077

Acquisition and integration expense

(30)

 

1,338

 

(1)

 

1,739

Interest and financing costs

1

 

-

 

266

 

-

Other (income) expense [2]

(184)

 

40

 

(282)

 

85

Adjusted EBITDA

$33,561

 

$35,405

 

$64,275

 

$63,972

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

 

2019

 

2020

 

2019

 

(in thousands)

Technology Segment

 

 

 

 

 

 

 

Operating income

$21,297

 

$20,854

 

$38,829

 

$36,591

Depreciation and amortization [1]

3,313

 

3,529

 

6,801

 

6,936

Share based compensation

1,694

 

2,068

 

3,541

 

3,942

Acquisition and integration expense

(30)

 

1,338

 

(1)

 

1,739

Interest and financing costs

1

 

-

 

266

 

-

Adjusted EBITDA

$26,275

 

$27,789

 

$49,436

 

$49,208

 

 

 

 

 

 

 

 

Financing Segment

 

 

 

 

 

 

 

Operating income

$7,188

 

$7,521

 

$14,653

 

$14,545

Depreciation and amortization [1]

28

 

28

 

56

 

84

Share based compensation

70

 

67

 

130

 

135

Adjusted EBITDA

$7,286

 

$7,616

 

$14,839

 

$14,764

 

 

 

 

 

 

 

 

 

 

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

 

2019

 

2020

 

2019

 

(in thousands)

GAAP: Earnings before taxes

$28,669

 

$28,335

 

$53,764

 

$51,051

Share based compensation

1,764

 

2,135

 

3,671

 

4,077

Acquisition and integration expense

(30)

 

1,338

 

(1)

 

1,739

Acquisition related amortization expense [3]

2,172

 

2,345

 

4,400

 

4,532

Other (income) expense [2]

(184)

 

40

 

(282)

 

85

Non-GAAP: Earnings before taxes

32,391

 

34,193

 

61,552

 

61,484

 

 

 

 

 

 

 

 

GAAP: Provision for income taxes

8,823

 

8,237

 

16,558

 

14,765

Share based compensation

541

 

624

 

1,128

 

1,183

Acquisition and integration expense

(9)

 

391

 

-

 

506

Acquisition related amortization expense [3]

648

 

663

 

1,315

 

1,270

Other (income) expense [2]

(56)

 

12

 

(86)

 

25

Tax benefit on restricted stock

(26)

 

38

 

(40)

 

48

Non-GAAP: Provision for income taxes

9,921

 

9,965

 

18,875

 

17,797

 

 

 

 

 

 

 

 

Non-GAAP: Net earnings

$22,470

 

$24,228

 

$42,677

 

$43,687

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended September 30,

 

Six Months Ended September 30,

 

2020

 

2019

 

2020

 

2019

 

 

 

 

 

 

 

 

GAAP: Net earnings per common share – diluted

$1.48

 

$1.51

 

$2.78

 

$2.71

 

 

 

 

 

 

 

 

Share based compensation

0.09

 

0.11

 

0.19

 

0.22

Acquisition and integration expense

-

 

0.07

 

-

 

0.09

Acquisition related amortization expense [3]

0.11

 

0.12

 

0.23

 

0.24

Other (income) expense [2]

-

 

-

 

(0.01)

 

-

Tax benefit on restricted stock

-

 

-

 

-

 

-

Total non-GAAP adjustments – net of tax

$0.20

 

$0.30

 

$0.41

 

$0.55

 

 

 

 

 

 

 

 

Non-GAAP: Net earnings per common share – diluted

$1.68

 

$1.81

 

$3.19

 

$3.26

[1] Amount consists of depreciation and amortization for assets used internally.

[2] Interest income and foreign currency transaction gains and losses.

[3] Amount consists of amortization of intangible assets from acquired businesses.

 

 

Source: ePlus inc.