2/8/2022

speaker
Operator
Conference Operator

Please stand by. Your conference is scheduled to begin momentarily. Once again, thank you for your patience, and please stand by. Music Welcome to the ScanSource quarterly earnings conference call. All lines have been placed in listen-only mode until the question and answer session. Today's call is being recorded. If anyone has any objections, you may disconnect at this time. I would now like to turn the call over to Mary Gentry, Senior Vice President, Treasurer, and Investor Relations. Ma'am, you may begin.

speaker
Mary Gentry
Senior Vice President, Treasurer, and Investor Relations

Good afternoon, and thank you for joining us. Joining me on the call today are Mike Bauer, our Chairman and CEO, John Eld, our Chief Revenue Officer, and Steve Jones, our Chief Financial Officer. We will review our operating results for the quarter and then take your questions. We posted an earnings infographic that accompanies our comments and webcast in the investor relations section of our website. Let me remind you that certain statements in our press release, in the earnings infographic, and on this call are forward-looking statements. These statements are subject to risks and uncertainties that could cause actual results to differ materially from such statements. These risks and uncertainties include, but are not limited to, Those factors identified in the earnings release we put out today and in ScanSource's Form 10-K for the year ended June 30, 2021, as filed with the SEC. Any forward-looking statements represent our views only as of today and should not be relied upon as representing our views as of any subsequent date. ScanSource disclaims any duty to update forward-looking statements to reflect actual results or changes in expectations as required by law. During our call, we will discuss both GAAP and non-GAAP results and have provided reconciliations between these amounts in the earnings infographic and in our press release. These reconciliations also can be found on our website and have been filed with our Form 8K filed today. I'll now turn the call over to Mike.

speaker
Mike Bauer
Chairman and Chief Executive Officer

Thanks, Mary, and thanks, everyone, for joining us today. Our outstanding second quarter performance underscores the strength of our hybrid distribution strategies. For the quarter, we delivered 6.6% net sales growth and adjusted EBITDA margin of 4.9% and record non-gap EPS for the quarter and for the trailing 12-month period. Strong demand from channel partners across our technologies drove our top-line growth and profitability ahead of expectations. We are proud of the operational excellence delivered by our employees worldwide while navigating the ongoing supply chain challenges. We are confident in our business model and ability to execute. As a result, we are raising our full year fiscal year 2022 outlook and now expect net sales growth of at least 7% and adjusted EBITDA of at least $148 million. The foundation of our hybrid distribution strategy is helping suppliers and sales partners accelerate growth across innovative technologies to meet end-user requirements by providing hardware plus services, SaaS, and other value-added offers. Our hybrid distribution strategy guides how we operate our business for sustainable growth and profitability. In addition to our outstanding financial results, I am pleased today to announce the promotion of John Eld to president of ScanSource, Inc., John's successful two years leading the growth of our device, digital, and cloud businesses and his SAS background have positioned John to drive the next phase of profitable growth for us at ScanSource. John has built a world-class leadership team that we believe will lead us on a sustainable growth trajectory. As president, John will drive and champion our hybrid distribution growth strategy and communicate this message to our key stakeholders, including employees, sales partners, suppliers, and investors. Congratulations, John. I'll now turn the call over to you to discuss our business performance.

Disclaimer

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