TD Synnex Corporation (NYSE:SNX) on Tuesday reported first-quarter fiscal 2026 results that topped expectations and issued guidance above Wall Street estimates.

Revenue Beats Expectations

On Tuesday, IT services provider TD Synnex reported revenue of $17.2 billion, topping analysts' estimates of $15.6 billion and rising 18.1% from a year earlier.

On a constant-currency basis, revenue increased 13.2% year over year in the quarter.

The company said it restructured its segments to better reflect how management oversees the business. It now operates across four segments: three regional distribution units — Americas, Europe, and Asia-Pacific Japan — and a global Hyve Solutions segment.

"Our results reflect strong performance across both our distribution and Hyve businesses, as well as the continued alignment between our strategy and the needs of our partners," CEO Patrick Zammit said.

Adjusted gross billings rose 24.4% to $25.8 billion, exceeding the high end of the company's outlook.

Profit Surges As Margins Expand

Adjusted operating income increased to $590 million from $399 million a year earlier. Operating margin improved to 3.44% from 2.74%.

Adjusted earnings per share of $4.73 beat the consensus estimate of $3.31, marking a 68.9% increase from the prior year.

Dividends and Repurchases

The company returned $118 million to shareholders through share repurchases and dividends.

TD Synnex also said its board approved a quarterly cash dividend of 48 cents per share (up 9% year over year), payable April 29, 2026, to shareholders of record as of April 15, 2026.

Upbeat Second-Quarter Outlook

For the second quarter of fiscal 2026, TD Synnex expects adjusted earnings per share of $3.75 to $4.25, above the consensus estimate of $3.45. The company forecast revenue of $16.1 billion to $16.9 billion, compared with expectations of $15.79 billion.

Adjusted gross billings are projected between $24.6 billion and $25.6 billion.

SNX Price Action: TD Synnex shares were up 0.25% at $160.53 at the time of publication on Tuesday, according to Benzinga Pro data.

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