ScanSource, Inc.

Welcome to the ScanSource quarterly earnings conference call. All lines have been placed in a 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.

Good afternoon, and thank you for joining us. Joining me on the call today are Mike Bauer, our chairman and CEO, John Eld, our president, and Steve Jones, our chief financial officer. We will be reviewing our operating results for the quarter and then take your questions. We've hosted an earnings infographic that accompanies our comments and webcasts 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 scan sources form 10-K for the year ended June 30th, 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 any forward-looking statements to reflect actual results or changes in expectations, except 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 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.

Thanks, Mary, and thanks, everyone, for joining us today. Our exceptional third quarter performance underscores the strength of our hybrid distribution strategy and outstanding execution by our people. For the quarter, we delivered 16% net sales growth and record non-gap EPS for the quarter and for the trailing 12-month period. We had strong demand in our specialty technology solutions and modern communications and cloud segments. Excellent execution by our people drove our top-line growth and profitability ahead of expectations. We are raising our fiscal year 22 outlook and now expect net sales growth of at least 10% and adjusted EBITDA of at least $165 million. Our hybrid distribution strategy is working, as evidenced by our sustainable, more profitable business model. We measure our success by looking at the gross profit composition from our recurring revenue, that is from Intellisys and our SaaS and subscription business. And it's the fastest growing part of our business. Six years ago, we had no recurring revenue. We started our hybrid distribution journey with the acquisition of Intellisys in August 2016. Today, our recurring business is approximately 25% of our gross profits on a trailing 12-month basis. This is meaningful validation of our hybrid distribution strategy. I will now turn the call over to John to discuss our business performance.