Latest news with #JoyceMullen
Yahoo
28-05-2025
- Business
- Yahoo
Insight Enterprises buys $76M of common stock from ValueAct Capital
Insight Enterprises (NSIT) announced it has entered into a stock repurchase agreement with ValueAct Capital Master Fund to buy 600K shares of its common stock at approximately $126.86 per share, totaling approximately $76M. Insight stated the purchase was made as part of its existing $300M stock repurchase program. CEO Joyce Mullen commented the move optimizes capital structure and creates shareholder value, also representing a continuing relationship with ValueAct Capital. Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See the top stocks recommended by analysts >> Read More on NSIT: Disclaimer & DisclosureReport an Issue Insight Enterprises Holds Annual Stockholders Meeting Insight Enterprises participates in a conference call with JPMorgan Insight Enterprises Reports Challenging Q1 2025 Results Insight Enterprises Inc. Earnings Call: Mixed Results and Optimistic Outlook Insight Enterprises management to meet virtually with Barrington
Business Wire
27-05-2025
- Business
- Business Wire
Insight Enterprises Purchases Approximately $80 Million Of Its Common Stock From ValueAct Capital
CHANDLER, Ariz.--(BUSINESS WIRE)-- Insight Enterprises, Inc. (Nasdaq: NSIT) (Insight) today announced that it has entered into a stock repurchase agreement with ValueAct Capital Master Fund, L.P. (ValueAct Capital) to buy 600,000 shares of its common stock at a price of approximately $126.86 per share, with a value totaling approximately $76 million. Insight's purchase of the shares was made as part of its existing $300 million stock repurchase program. 'Today's announcement reinforces our goal to optimize our capital structure and our business, while also creating substantial value for our shareholders.' stated Joyce Mullen, the Company's President and Chief Executive Officer. 'This also represents another step in our continuing relationship with ValueAct Capital that began in 2021.' 'This transaction is a testament to our continued close engagement with the Insight team' said Alex Baum, partner at ValueAct Capital. 'The sale of our shares back to the company enables ValueAct Capital to both help accelerate the capital return to shareholders and proportionally size our ownership stake for our revised role as an advisor to Insight during its transformation into the leading AI Solutions Integrator.' This news release is not an offer to sell nor a solicitation of any offer to buy any securities in any state or jurisdiction nor shall there be any sale of Insight's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any jurisdiction. Insight's securities may not be offered or sold in the United States absent registration under or any exemption from the registration requirements of the Securities Act of 1933, as amended. Any public offering of Insight's securities to be made in the United States will be made only by means of a registration statement that is filed with and declared effective by the Securities and Exchange Commission. About Insight Insight Enterprises is a leading Solutions Integrator that helps clients solve technology challenges by combining the right hardware, software, and services. We're a global Fortune 500 technology company with a network of over 6,000 partners and experts around the world who provide access to end-to-end IT capabilities. For more than 35 years, we have delivered and optimized technology solutions for our clients efficiently, effectively, and safely. We are rated as a Great Place to Work, a Forbes World's Best Employer, and a Fortune World's Best Workplace. Discover more at NSIT-F
Associated Press
27-05-2025
- Business
- Associated Press
Insight Enterprises Purchases Approximately $80 Million Of Its Common Stock From ValueAct Capital
CHANDLER, Ariz.--(BUSINESS WIRE)--May 27, 2025-- Insight Enterprises, Inc. (Nasdaq: NSIT) (Insight) today announced that it has entered into a stock repurchase agreement with ValueAct Capital Master Fund, L.P. (ValueAct Capital) to buy 600,000 shares of its common stock at a price of approximately $126.86 per share, with a value totaling approximately $76 million. Insight's purchase of the shares was made as part of its existing $300 million stock repurchase program. 'Today's announcement reinforces our goal to optimize our capital structure and our business, while also creating substantial value for our shareholders.' stated Joyce Mullen, the Company's President and Chief Executive Officer. 'This also represents another step in our continuing relationship with ValueAct Capital that began in 2021.' 'This transaction is a testament to our continued close engagement with the Insight team' said Alex Baum, partner at ValueAct Capital. 'The sale of our shares back to the company enables ValueAct Capital to both help accelerate the capital return to shareholders and proportionally size our ownership stake for our revised role as an advisor to Insight during its transformation into the leading AI Solutions Integrator.' This news release is not an offer to sell nor a solicitation of any offer to buy any securities in any state or jurisdiction nor shall there be any sale of Insight's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any jurisdiction. Insight's securities may not be offered or sold in the United States absent registration under or any exemption from the registration requirements of the Securities Act of 1933, as amended. Any public offering of Insight's securities to be made in the United States will be made only by means of a registration statement that is filed with and declared effective by the Securities and Exchange Commission. About Insight Insight Enterprises is a leading Solutions Integrator that helps clients solve technology challenges by combining the right hardware, software, and services. We're a global Fortune 500 technology company with a network of over 6,000 partners and experts around the world who provide access to end-to-end IT capabilities. For more than 35 years, we have delivered and optimized technology solutions for our clients efficiently, effectively, and safely. We are rated as a Great Place to Work, a Forbes World's Best Employer, and a Fortune World's Best Workplace. Discover more at NSIT-F View source version on CONTACT: Ryan Miyasato Investor Relations Tel. 408-975-8507 [email protected] KEYWORD: ARIZONA UNITED STATES NORTH AMERICA INDUSTRY KEYWORD: DATA MANAGEMENT SEMICONDUCTOR SECURITY TECHNOLOGY SOFTWARE INTERNET HARDWARE SOURCE: Insight Enterprises, Inc. Copyright Business Wire 2025. PUB: 05/27/2025 09:15 AM/DISC: 05/27/2025 09:15 AM
Yahoo
15-05-2025
- Business
- Yahoo
NSIT Q1 Earnings Call: Guidance Maintained Despite Weak Services Demand and Tariff Headwinds
IT solutions integrator Insight Enterprises (NASDAQ:NSIT) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 11.6% year on year to $2.1 billion. Its non-GAAP profit of $1.96 per share was 2.7% below analysts' consensus estimates. Is now the time to buy NSIT? Find out in our full research report (it's free). Revenue: $2.1 billion vs analyst estimates of $2.24 billion (11.6% year-on-year decline, 5.9% miss) Adjusted EPS: $1.96 vs analyst expectations of $2.01 (2.7% miss) Adjusted EBITDA: $111.3 million vs analyst estimates of $125 million (5.3% margin, 11% miss) Management reiterated its full-year Adjusted EPS guidance of $9.90 at the midpoint Operating Margin: 2.9%, down from 4.2% in the same quarter last year Free Cash Flow Margin: 3.4%, down from 10.1% in the same quarter last year Market Capitalization: $4.33 billion Insight Enterprises reported a year-over-year decline in both revenue and profitability in Q1, as management cited continued challenges with large enterprise client demand, delayed services projects, and ongoing impacts from partner program changes. CEO Joyce Mullen highlighted that while hardware demand showed early signs of recovery, services revenue underperformed due to client caution and project delays, and on-premises software faced difficult comparisons from large deals in the prior year. Looking forward, management reiterated its full-year adjusted EPS guidance, emphasizing confidence in improving hardware demand, expanding AI-related engagements, and disciplined cost management. Mullen noted that the company expects a stronger second half, with improving services attached to hardware sales and increasing adoption of AI and cloud solutions, but cautioned that macroeconomic volatility and tariff risks could continue to weigh on client budgets and project timing. Q1 performance at Insight Enterprises reflected uneven demand across segments, with hardware showing early momentum and services lagging expectations. Management pointed to macroeconomic uncertainty, shifting client priorities, and legacy partner program changes as key factors impacting the quarter. Hardware demand recovering: Hardware revenue grew modestly, led by server and device sales, as commercial and corporate clients began upgrading aging infrastructure. Management expects this trend to support hardware sales through the year. Services project delays: Large enterprise clients postponed services projects due to market uncertainty, leading to a 2% decline in Insight Core services revenue. Management is adopting methodologies from recent acquisitions to improve project scoping and delivery speed. Cloud business realignment: Cloud gross profit was flat, as growth in SaaS and Infrastructure as a Service was offset by declines in legacy Microsoft and Google Cloud contracts. The company is shifting its cloud focus from large enterprises to mid-market and corporate clients. Tariff and supply chain preparedness: Management is monitoring trade policy changes and has increased the frequency of price adjustments to mitigate supply chain and tariff risks. They noted that moderate tariffs have historically been manageable, but larger increases could dampen demand. AI as a long-term driver: While current AI project revenue remains small, Insight is investing in AI capabilities and highlighted early client wins, such as automating creative workflows and unifying customer data, to position for long-term growth. Management maintains a cautious but optimistic outlook, expecting hardware momentum and improving services attachment to offset ongoing macro and client spending headwinds for the remainder of the year. Hardware upgrades and device refresh: An aging installed base and Windows 11 rollouts are expected to drive continued hardware demand, especially as clients prioritize infrastructure modernization. Services improvement tied to hardware: Management anticipates that as hardware bookings convert to sales, services revenue will recover, particularly through better project execution and integration of acquisition-driven methodologies. Tariff and macroeconomic risks: The company highlighted that further increases in tariffs or a worsening macro environment could pressure demand and client capital allocation, representing a key uncertainty in the outlook. Joseph Cardoso (JPMorgan): Asked how management balances optimism in full-year guidance with increasing macro and tariff headwinds. Management pointed to hardware and AI interest, but cautioned their outlook assumes no major macro deterioration. Adam Tindle (Raymond James): Inquired about OEM pricing actions in response to tariffs and potential impacts on demand elasticity. Management noted only minor price increases so far, with most cost increases passed to clients unless tariffs rise significantly. Adam Tindle (Raymond James): Pressed for detail on continued weakness in services and what is being done to address it. Management cited a lag between hardware sales and services, plus ongoing consulting business retooling and acquisition integration. Harry Read (Redburn): Asked about the impact of Microsoft commission changes and current headcount strategy. Management said cloud results aligned with expectations and that SG&A discipline remains a focus, with capacity preserved for sales and technical staff. Vincent Colicchio (Barrington Research): Queried contingency plans if the market slows further, such as offshoring and automation. Management confirmed a playbook for cost management, with more room to offshore and automate SG&A functions if needed. In the next few quarters, the StockStory team will be monitoring (1) hardware demand momentum and whether device and server upgrades continue, (2) the pace of services revenue recovery as hardware sales are converted into project work, and (3) the impact of tariffs and supply chain volatility on pricing and client purchasing patterns. Progress in scaling AI-driven solutions and the success of cost management initiatives will also be key signposts for execution. Insight Enterprises currently trades at a forward P/E ratio of 13.5×. Should you double down or take your chips? The answer lies in our free research report. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. 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Yahoo
01-05-2025
- Business
- Yahoo
Insight Enterprises (NASDAQ:NSIT) Reports Sales Below Analyst Estimates In Q1 Earnings
IT solutions integrator Insight Enterprises (NASDAQ:NSIT) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 11.6% year on year to $2.1 billion. Its non-GAAP profit of $2.06 per share was 2.5% above analysts' consensus estimates. Is now the time to buy Insight Enterprises? Find out in our full research report. Revenue: $2.1 billion vs analyst estimates of $2.24 billion (11.6% year-on-year decline, 5.9% miss) Adjusted EPS: $2.06 vs analyst estimates of $2.01 (2.5% beat) Adjusted EBITDA: $111.3 million vs analyst estimates of $125 million (5.3% margin, 11% miss) Management reiterated its full-year Adjusted EPS guidance of $9.90 at the midpoint Operating Margin: 2.9%, down from 4.2% in the same quarter last year Free Cash Flow Margin: 3.4%, down from 10.1% in the same quarter last year Market Capitalization: $4.41 billion "In the first quarter, we delivered Adjusted earnings from operations and Adjusted diluted earnings per share in line with our expectations. We were pleased with the continued hardware momentum, led by commercial and corporate demand, and our gross margin expansion,' stated Joyce Mullen, President and Chief Executive Officer. With over 35 years of IT expertise and partnerships with more than 8,000 technology providers, Insight Enterprises (NASDAQ:NSIT) provides end-to-end digital transformation solutions that help businesses modernize their IT infrastructure and maximize the value of technology. Reviewing a company's long-term sales performance reveals insights into its quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. With $8.43 billion in revenue over the past 12 months, Insight Enterprises is one of the larger companies in the business services industry and benefits from a well-known brand that influences purchasing decisions. However, its scale is a double-edged sword because it's harder to find incremental growth when you've penetrated most of the market. To expand meaningfully, Insight Enterprises likely needs to tweak its prices, innovate with new offerings, or enter new markets. As you can see below, Insight Enterprises struggled to increase demand as its $8.43 billion of sales for the trailing 12 months was close to its revenue five years ago. This shows demand was soft, a rough starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within business services, a half-decade historical view may miss recent innovations or disruptive industry trends. Insight Enterprises's recent performance shows its demand remained suppressed as its revenue has declined by 8.7% annually over the last two years. This quarter, Insight Enterprises missed Wall Street's estimates and reported a rather uninspiring 11.6% year-on-year revenue decline, generating $2.1 billion of revenue. Looking ahead, sell-side analysts expect revenue to grow 5.6% over the next 12 months, an improvement versus the last two years. This projection is above the sector average and implies its newer products and services will fuel better top-line performance. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Insight Enterprises was profitable over the last five years but held back by its large cost base. Its average operating margin of 4% was weak for a business services business. Analyzing the trend in its profitability, Insight Enterprises's operating margin might fluctuated slightly but has generally stayed the same over the last five years, which doesn't help its cause. This quarter, Insight Enterprises generated an operating profit margin of 2.9%, down 1.3 percentage points year on year. This reduction is quite minuscule and indicates the company's overall cost structure has been relatively stable. Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. Insight Enterprises's EPS grew at a solid 9.6% compounded annual growth rate over the last five years, higher than its flat revenue. However, this alone doesn't tell us much about its business quality because its operating margin didn't expand. We can take a deeper look into Insight Enterprises's earnings quality to better understand the drivers of its performance. A five-year view shows that Insight Enterprises has repurchased its stock, shrinking its share count by 2.7%. This tells us its EPS outperformed its revenue not because of increased operational efficiency but financial engineering, as buybacks boost per share earnings. In Q1, Insight Enterprises reported EPS at $2.06, down from $2.17 in the same quarter last year. Despite falling year on year, this print beat analysts' estimates by 2.5%. Over the next 12 months, Wall Street expects Insight Enterprises's full-year EPS of $8.77 to grow 14.4%. It was encouraging to see Insight Enterprises beat analysts' EPS expectations this quarter. We were also happy its full-year EPS guidance narrowly outperformed Wall Street's estimates. On the other hand, its revenue and EBITDA missed. Overall, this was a weaker quarter. The stock traded down 3.3% to $133.52 immediately following the results. Insight Enterprises's earnings report left more to be desired. Let's look forward to see if this quarter has created an opportunity to buy the stock. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
