Brief: ePlus Q1 Adjusted EPS USD 1.26

ePlus

07/08/2025 21:05

Overview

ePlus fiscal Q1 net sales rise 19%, beating analyst expectations

Adjusted EPS for fiscal Q1 increases 24.8%, exceeding analyst estimates

Co announces first quarterly dividend and new stock repurchase program

Outlook

ePlus forecasts fiscal year 2026 net sales growth in upper single digits

Company expects fiscal year 2026 gross profit growth in upper single digits

ePlus sees fiscal year 2026 adjusted EBITDA growth in mid-teens

Result Drivers

SERVICES REVENUE - Services segment saw a 48.8% increase, driven by the acquisition of Bailiwick Services, LLC

PRODUCT SALES - Higher cloud and security product sales contributed to a 13.9% increase in product segment sales

FINANCING BUSINESS SALE - Sale of domestic financing business enhanced capital position and strategic focus, per CEO Mark Marron

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net sales
Beat
$637.30 mln
$516.70 mln (2 Analysts)
Q1 Adjusted EPS
Beat
$1.26
$1.17 (1 Analyst)
Q1 Adjusted EBITDA
Beat
$46.70 mln
$43.10 mln (2 Analysts)
Q1 Gross Margin
23.3%
Q1 Gross Profit
$148.20 mln


Analyst Coverage

The one available analyst rating on the shares is "strong buy"

The average consensus recommendation for the it services & consulting peer group is "buy."

Wall Street's median 12-month price target for ePlus inc is $92.00, about 30.9% above its August 6 closing price of $63.60

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nPntdqs9a

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)