ePlus Reports Robust Q3 Growth with 24.6% Sales Increase, 129% Net Earnings Jump, and New Share Buyback Authorization

summarizeSummary

ePlus inc. reported outstanding third-quarter results with significant increases in net sales and net earnings, alongside a new share repurchase authorization and a declared dividend.

check_boxKey Events

• Strong Third Quarter Financial Performance

  Net sales from continuing operations increased by $121.6 million (24.6%) to $614.8 million for the three months ended December 31, 2025, compared to $493.2 million in the prior year. Net earnings from continuing operations rose by $18.8 million (129.3%) to $33.4 million, and diluted EPS from continuing operations increased by $0.72 (130.9%) to $1.27.

• Significant Year-to-Date Growth

  For the nine months ended December 31, 2025, net sales from continuing operations grew by $338.7 million (22.2%) to $1.86 billion, and net earnings from continuing operations increased by $40.1 million (68.5%) to $98.7 million. Diluted EPS from continuing operations for the nine-month period was $3.74, up from $2.19 in the prior year.

• New Share Repurchase Program Authorized

  The Board of Directors authorized the repurchase of up to 1,500,000 shares of common stock over a 12-month period starting August 11, 2025. During the nine months ended December 31, 2025, the company repurchased 272,900 shares for $21.0 million under this plan.

• Quarterly Dividend Declared

  On February 4, 2026, the Board declared a quarterly cash dividend of $0.25 per common share, payable on March 18, 2026, to shareholders of record as of February 24, 2026.

auto_awesomeAnalysis

ePlus inc. has delivered exceptionally strong third-quarter financial results, demonstrating significant growth across key metrics. Net sales from continuing operations surged by 24.6% year-over-year, while net earnings from continuing operations more than doubled, increasing by 129.3%. This robust performance is further underscored by a substantial improvement in operating income margin and Adjusted EBITDA margin. The company's commitment to shareholder returns is evident with the declaration of a quarterly dividend and a new authorization for share repurchases, signaling confidence in future performance and financial health. While the headline results were previously announced in an 8-K, this 10-Q provides comprehensive details and additional positive disclosures that reinforce a strong investment thesis, especially as the stock trades near its 52-week high.