PC Connection Q1 net income rises on strong demand in enterprise and business segments

PC Connection

29/04/2026 21:23

Overview

U.S. IT solutions provider's Q1 net sales rose 3% yr/yr, adjusted EPS up to $0.77

Net income for Q1 increased 28% yr/yr

Company cites strong demand in Enterprise and Business Solutions segments, driven by AI adoption

Outlook

Company did not provide specific guidance for the current quarter or full year

Result Drivers

AI-DRIVEN DEMAND - Co said demand in Enterprise and Business Solutions segments was driven by customers moving from AI experimentation to AI production, per CEO Timothy McGrath

SEGMENT GROWTH VARIATION - Enterprise Solutions net sales rose 16.3% and Business Solutions net sales increased 6.6%, while Public Sector Solutions net sales fell 31%

PRODUCT MIX SHIFTS - Software and networking sales grew 6% and 8% y/y respectively, while servers/storage sales declined 10% y/y

Company press release: ID:nBwbPkjLka

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
$0.68
Q1 Net Income
$17.2 mln


Analyst Coverage

The one available analyst rating on the shares is "hold"

The average consensus recommendation for the integrated hardware & software peer group is "buy."

Wall Street's median 12-month price target for PC Connection Inc is $76.00, about 19.5% above its April 28 closing price of $63.62

The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 15 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)