PC Connection Q2 2026: Net Sales Surge 12.4% to $854M, EPS Jumps 35% to $1.31; Declares $0.20 Dividend
CNXN sits 51% above its 52-week low of $54.965.
Summary
PC Connection reported Q2 2026 net sales of $854M (+12.4% YoY) and net income of $33.2M (+33.8% YoY), with diluted EPS of $1.31. The board declared a $0.20 quarterly dividend.
Key Events · Earnings and Guidance · CNXN
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Q2 2026 Earnings Beat
Net sales rose 12.4% YoY to $854.0M, net income jumped 33.8% to $33.2M, and diluted EPS reached $1.31 vs $0.97 a year ago.
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Margin Expansion
Gross margin improved 30 bps to 18.4%, and operating margin expanded to 5.0% from 4.1%, driven by revenue growth and SG&A leverage.
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Quarterly Dividend Declared
Board declared a $0.20 per share quarterly dividend, payable August 28, 2026 to shareholders of record August 11, 2026.
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Strong Balance Sheet
Cash and short-term investments totaled $340.7M as of June 30, 2026, with no debt, providing ample liquidity for operations and shareholder returns.
Analysis · CNXN · Trade & Services
A standout quarter underscores PC Connection's momentum, with net sales climbing 12.4% year-over-year to $854 million and net income surging 33.8% to $33.2 million. Gross margin expanded 30 basis points to 18.4%, while operating margin improved to 5.0% from 4.1% a year ago, reflecting strong execution and operating leverage. Confidence in sustained cash generation is further signaled by the board's declaration of a $0.20 quarterly dividend. With the stock trading near its 52-week high, these results reinforce the positive trajectory.
At the time of this filing, CNXN was trading at $82.97 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $2.1B. The 52-week trading range was $54.97 to $84.81. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.