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| Insight Enterprises, Inc. Reports Third Quarter Results |
Q3 2007 Net Sales - $1.11 Billion; Diluted EPS - $0.18 TEMPE, Ariz.--(BUSINESS WIRE)--Nov. 1, 2007--Insight Enterprises, Inc. (Nasdaq: NSIT) (the "Company") today reported results of operations for the three and nine months ended September 30, 2007. Third Quarter and Year-to-Date Highlights
-- Gross profit for the quarter grew 32% to $149.8 million, and year-to-date gross profit grew 56% to $487.8 million. -- Net earnings from continuing operations decreased 46% to $9.1 million, while year-to-date net earnings from continuing operations increased 6% to $48.2 million. -- Diluted EPS from continuing operations decreased 47% to $0.18, while year-to-date diluted EPS from continuing operations increased 3% to $0.97. -- Q3 2007 results include expenses of $2.5 million, $1.5 million net of tax, for professional fees associated with our stock option review, while year-to-date results include $12.5 million, $7.6 million net of tax, for such professional fees and $2.8 million, $1.7 million net of tax, for severance expense. "Even with more of a seasonal decline in our software business than we had expected, I believe we had a solid quarter," said Rich Fennessy, President and Chief Executive Officer. "Year-to-date, our results are very strong, and we feel good about our business across all segments and categories, including software, going into the fourth quarter." FINANCIAL SUMMARY TABLE
(IN THOUSANDS, EXCEPT PER SHARE DATA AND PERCENTAGES)
Three Months Ended September 30,
----------------------------------------------------------------------
Insight Enterprises, Inc. 2007 2006 % change
--------------------------------------------- ----------- ----------
Net sales $ 1,109,705 $ 857,919 29%
Gross profit $ 149,846 $ 113,329 32%
Earnings from operations $ 19,026 $ 24,389 (22%)
Operating margin 1.7% 2.8% (1.1%)
Net earnings from continuing
operations $ 9,096 $ 16,710 (46%)
Diluted EPS from continuing
operations $ 0.18 $ 0.34 (47%)
Net earnings $ 9,096 $ 17,240 (47%)
Diluted EPS $ 0.18 $ 0.35 (49%)
North America
--------------------------------
Net sales $ 817,747 $ 694,284 18%
Gross profit $ 109,018 $ 90,924 20%
Earnings from operations $ 15,276 $ 20,393 (25%)
EMEA
--------------------------------
Net sales $ 264,679 $ 157,115 69%
Gross profit $ 35,714 $ 21,413 67%
Earnings from operations $ 2,549 $ 3,711 (31%)
APAC
--------------------------------
Net sales $ 27,279 $ 6,520 318%
Gross profit $ 5,114 $ 992 416%
Earnings from operations $ 1,201 $ 285 321%
Nine Months Ended September 30,
----------------------------------------------------------------------
Insight Enterprises, Inc. 2007 2006 % change
------------------------------- ------------ ------------ -----------
Net sales $ 3,517,129 $ 2,371,089 48%
Gross profit $ 487,834 $ 312,581 56%
Earnings from operations $ 86,091 $ 68,002 27%
Operating margin 2.4% 2.9% (0.5%)
Net earnings from continuing
operations $ 48,201 $ 45,321 6%
Diluted EPS from continuing
operations $ 0.97 $ 0.94 3%
Net earnings $ 53,173 $ 57,951 (8%)
Diluted EPS $ 1.07 $ 1.20 (11%)
North America
-------------------------------
Net sales $ 2,518,847 $ 1,972,186 28%
Gross profit $ 355,123 $ 255,155 39%
Earnings from operations $ 62,677 $ 57,542 9%
EMEA
-------------------------------
Net sales $ 923,958 $ 392,383 135%
Gross profit $ 119,225 $ 56,434 111%
Earnings from operations $ 20,579 $ 10,175 102%
APAC
-------------------------------
Net sales $ 74,324 $ 6,520 1,040%
Gross profit $ 13,486 $ 992 1,259%
Earnings from operations $ 2,835 $ 285 895%
Effective Tax Rate Our effective tax rate from continuing operations for the three months ended September 30, 2007 was 40.6% compared to 32.0% for the three months ended September 30, 2006. The increase in the effective tax rate from continuing operations was due primarily to a tax benefit recorded in the three months ended September 30, 2006 as a result of the reversal of accrued income taxes resulting from the determination that a reserve previously recorded for potential tax exposures was no longer necessary. Additionally, the effective tax rate is higher in the three months ended September 30, 2007 due to an increase in non-deductible expenses related to executive compensation. OPERATING SEGMENTS We operate in three reportable geographic operating segments: North America; EMEA (Europe, the Middle East and Africa); and APAC (Asia-Pacific). Currently, our offerings in North America and the United Kingdom include brand-name IT hardware, software and services. Our offerings in the remainder of our EMEA segment and in APAC currently only include software and select software-related services. North America North America's net sales for the three months ended September 30, 2007 increased 18% to $817.7 million compared to net sales of $694.3 million for the three months ended September 30, 2006. "Although we experienced significant seasonality in our software sales, we were pleased with our 5% growth in hardware sales and our 42% growth in services over the prior year," said Fennessy. For the three months ended September 30, 2007, our North American gross profit increased 20% to $109.0 million from $90.9 million for the three months ended September 30, 2006. North America's gross profit as a percentage of net sales was 13.3% for the three months ended September 30, 2007, compared to 13.1% for the three months ended September 30, 2006. "The increase in gross margin from the third quarter of 2006 was due primarily to increases in agency fees for Microsoft enterprise software agreement renewals offset partially by decreases in product margin, which includes vendor funding and decreases in freight margin," said Stanley Laybourne, Chief Financial Officer. North America's selling and administrative expenses were 11.5% of net sales for the three months ended September 30, 2007, compared to selling and administrative expenses as a percentage of sales of 10.1% for the three months ended September 30, 2006. "Compared to Q3 2006, we have seen increases in salaries and wages, primarily resulting from the acquired business in September 2006, professional fees associated with our stock option review and amortization of acquired intangible assets," Laybourne said. North America's selling and administrative expenses for the three months ended September 30, 2007 include expenses of approximately $2.5 million for professional fees associated with our stock option review. North America's earnings from operations for the three months ended September 30, 2007 decreased 25% to $15.3 million from $20.4 million for the three months ended September 30, 2006. North America's earnings from operations as a percentage of net sales decreased to 1.9% for the three months ended September 30, 2007 from 2.9% for the three months ended September 30, 2006. EMEA EMEA's net sales for the three months ended September 30, 2007 increased 69% to $264.7 million, compared to net sales of $157.1 million for the three months ended September 30, 2006. "Our EMEA segment was also affected by the significant seasonality within our software category," said Fennessy. "Even so, EMEA exceeded our internal expectations for the quarter and posted strong results across the hardware and services categories." In Q3 2007, our EMEA gross profit was $35.7 million, a 67% increase over the prior year. EMEA's gross profit as a percentage of net sales was 13.5% for the three months ended September 30, 2007, compared to 13.6% for the three months ended September 30, 2006. "The decrease in gross margin from the third quarter of 2006 was due primarily to decreases in product margin, which includes vendor funding, and decreases in freight margin. These decreases in gross margin were offset partially by increases in agency fees for Microsoft enterprise software agreement renewals," said Laybourne. For the three months ended September 30, 2007, EMEA's selling and administrative expenses were 12.5% of net sales compared with 11.1% in the same quarter of 2006. "The increase from Q3 2006 was due primarily to increases in salaries and wages and expenses related to additional facilities, predominantly resulting from the acquired business in September 2006, increases in sales incentive plans and bonus expenses due to increased overall financial performance, amortization of acquired intangible assets and costs associated with the initial stages of our mySAP upgrade in EMEA that were not capitalizable," Laybourne said. EMEA's earnings from operations decreased 31% in the three months ended September 30, 2007 to $2.5 million from $3.7 million in the three months ended September 30, 2006. EMEA's earnings from operations as a percentage of net sales decreased to 1.0% for the three months ended September 30, 2007 from 2.4% for the three months ended September 30, 2006. APAC Our APAC segment, which was added as a result of the acquisition of Software Spectrum in September 2006, recognized net sales of $27.3 million, gross profit of $5.1 million and contributed $1.2 million to earnings from operations for the three months ended September 30, 2007. "Our APAC segment continues to perform very well and continues to overachieve against internal expectations," said Fennessy. CONFERENCE CALL AND WEBCAST We will host a conference call and live Web cast today at 5:00 p.m. ET to discuss the quarterly results of operations. A live Web cast of the conference call (in listen-only mode) will be available on our corporate Web site at www.insight.com and a replay of the Web cast will be available on our corporate Web site for a limited time. FORWARD-LOOKING INFORMATION Certain statements in this release and the related conference call and Web cast are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statement. Some of the important factors that could cause our actual results to differ materially from those projected in any forward-looking statements, include, but are not limited to, the following, which are discussed in "Risk Factors" in Part I, Item 1A of our Annual Report on Form 10-K/A for the year ended December 31, 2006:
-- our reliance on partners for product availability, marketing funds, purchasing incentives and competitive products to sell; -- disruptions in our information technology and voice and data networks, including the upgrade to mySAP and the migration of Software Spectrum to our information technology and voice and data networks; -- the integration and operation of Software Spectrum, including our ability to achieve the expected benefits of the acquisition; -- actions of our competitors, including manufacturers/publishers of products we sell; -- the informal inquiry from the SEC and the fact that we could be subject to stockholder litigation related to our historical stock option granting practices and the related restatement of our consolidated financial statements; -- the recently enacted changes in securities laws and regulations, including potential risk resulting from our evaluation of internal controls under the Sarbanes-Oxley Act of 2002; -- the risks associated with international operations; -- sales of software licenses are subject to seasonal changes in demand; -- increased debt and interest expense and lower availability on our financing facilities; -- increased exposure to currency exchange risks; -- our dependence on key personnel; -- risk that purchased goodwill or amortizable intangible assets become impaired; -- our failure to comply with the terms and conditions of our public sector contracts; -- risks associated with our very limited experience in outsourcing business functions to India; -- rapid changes in product standards; and -- intellectual property infringement claims. Additionally, there may be other risks that are otherwise described from time to time in the reports that we file with the SEC. In addition, these forward-looking statements include statements regarding the informal inquiry commenced by the SEC and a stockholder's demand to inspect our books and records pursuant to Section 220 of the Delaware General Corporation Law. There can be no assurances that forward-looking statements will be achieved, and actual results could differ materially from those suggested by the forward-looking statements. Important factors that could cause actual results to differ materially include: adjustments to the consolidated financial statements that may be required related to the SEC informal inquiry; and risks of litigation and governmental or other regulatory inquiry or proceedings arising out of or related to the Company's historical stock option granting practices. Therefore, any forward-looking statements in this release should be considered in light of various important factors, including the risks and uncertainties listed above, as well as others. We assume no obligation to update, and do not intend to update, any forward-looking statements. We do not endorse any projections regarding future performance that may be made by third parties.
INSIGHT ENTERPRISES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
(IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
Three Months Ended Nine Months Ended
September 30, September 30,
--------------------- -----------------------
2007 2006 2007 2006
----------- --------- ----------- -----------
Net sales $1,109,705 $857,919 $3,517,129 $2,371,089
Costs of goods sold 959,859 744,590 3,029,295 2,058,508
----------- --------- ----------- -----------
Gross profit 149,846 113,329 487,834 312,581
Operating expenses:
Selling and
administrative
expenses 130,820 88,211 398,902 243,850
Severance and
restructuring expenses - 729 2,841 729
----------- --------- ----------- -----------
Earnings from
operations 19,026 24,389 86,091 68,002
Non-operating (income)
expense:
Interest income (1,509) (1,650) (5,803) (3,658)
Interest expense 3,937 1,264 14,463 2,333
Net foreign currency
exchange loss (gain) 849 (214) (2,807) (190)
Other expense, net 428 422 1,141 742
----------- --------- ----------- -----------
Earnings from
continuing operations
before income taxes
15,321 24,567 79,097 68,775
Income tax expense 6,225 7,857 30,896 23,454
----------- --------- ----------- -----------
Net earnings from
continuing operations 9,096 16,710 48,201 45,321
Net earnings from
discontinued
operations - 530 4,972 12,630
----------- --------- ----------- -----------
Net earnings $ 9,096 $ 17,240 $ 53,173 $ 57,951
=========== ========= =========== ===========
Net earnings per share -
Basic:
Net earnings from
continuing operations$ 0.18 $ 0.35 $ 0.98 $ 0.94
Net earnings from
discontinued
operations - 0.01 0.10 0.26
----------- --------- ----------- -----------
Net earnings per share$ 0.18 $ 0.36 $ 1.08 $ 1.20
=========== ========= =========== ===========
Net earnings per share -
Diluted:
Net earnings from
continuing operations$ 0.18 $ 0.34 $ 0.97 $ 0.94
Net earnings from
discontinued
operations - 0.01 0.10 0.26
----------- --------- ----------- -----------
Net earnings per share$ 0.18 $ 0.35 $ 1.07 $ 1.20
=========== ========= =========== ===========
Shares used in per share
calculations:
Basic 49,530 48,411 49,213 48,230
=========== ========= =========== ===========
Diluted 50,711 48,658 49,801 48,375
=========== ========= =========== ===========
INSIGHT ENTERPRISES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
(UNAUDITED)
September 30, December 31,
2007 2006
---------------- --------------
ASSETS
Current assets:
Cash and cash equivalents $ 53,086 $ 54,697
Accounts receivable, net 814,444 994,892
Inventories 102,232 97,751
Inventories not available for sale 17,414 31,112
Deferred income taxes 19,550 20,770
Other current assets 20,508 32,359
----------------- --------------
Total current assets 1,027,234 1,231,581
Property and equipment, net 156,893 145,778
Goodwill 305,006 296,781
Intangible assets, net 82,276 86,929
Deferred income taxes 396 927
Other long-term assets 18,832 18,269
---------------- --------------
$ 1,590,637 $ 1,780,265
================ ==============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 477,322 $ 611,367
Accrued expenses and other current
liabilities 93,385 136,401
Current portion of long-term debt 15,000 15,000
Deferred revenue 25,697 40,728
Line of credit - 15,000
---------------- --------------
Total current liabilities 611,404 818,496
Long-term debt 152,000 224,250
Long-term deferred income taxes 26,121 25,517
Other long-term liabilities 28,911 21,652
---------------- --------------
818,436 1,089,915
---------------- --------------
Stockholders' equity:
Preferred stock - -
Common stock 495 489
Additional paid-in capital 391,571 363,308
Retained earnings 335,219 297,664
Accumulated other comprehensive
income - foreign currency
translation adjustment 44,916 28,889
---------------- --------------
Total stockholders' equity 772,201 690,350
---------------- --------------
$ 1,590,637 $ 1,780,265
================ ==============
INSIGHT ENTERPRISES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(IN THOUSANDS)
(UNAUDITED)
Nine Months Ended
September 30,
----------------------
2007 2006
---------- ----------
Cash flows from operating activities:
Net earnings from continuing operations $ 48,201 $ 45,321
Plus: net earnings from discontinued
operations 4,972 12,630
---------- ----------
Net earnings 53,173 57,951
Adjustments to reconcile net earnings to net
cash provided by operating activities:
Depreciation and amortization 25,960 14,819
Provision for losses on accounts receivable 1,725 2,101
Write-downs of inventories 5,744 6,892
Non-cash stock-based compensation 8,927 10,101
Gain on sale of discontinued operations (7,937) (15,122)
Excess tax benefit from employee gains on
stock-based compensation (445) (1,035)
Deferred income taxes 2,355 22,035
Changes in assets and liabilities:
Decrease (increase) in accounts receivable 186,033 (10,538)
(Increase) decrease in inventories (2,509) 25,399
Decrease (increase) in other current
assets 12,704 (16,627)
Increase in other assets (1,944) (20,953)
(Decrease) increase in accounts payable (142,794) 20,885
Decrease in inventories financing facility - (11,819)
Decrease in deferred revenue (15,175) (3,193)
(Decrease) increase in accrued expenses
and other liabilities (26,788) 24,762
---------- ----------
Net cash provided by operating
activities 99,029 105,658
---------- ----------
Cash flows from investing activities:
Proceeds from sale of discontinued operations 28,631 46,500
Acquisition of Software Spectrum, net of cash
acquired - (323,009)
Purchases of property and equipment (27,611) (26,383)
---------- ----------
Net cash provided by (used in)
investing activities 1,020 (302,892)
---------- ----------
Cash flows from financing activities:
Repayments on short-term financing facility - (45,000)
Borrowings on long-term financing facility 540,000 202,000
Repayments on long-term financing facility (601,000) (20,000)
Borrowings on term loan - 75,000
Repayments on term loan (11,250) -
(Repayments) borrowings on line of credit (15,000) 691
Excess tax benefit from employee gains on
stock-based compensation 445 1,035
Proceeds from sales of common stock under
employee stock plans 24,342 14,140
Repurchase of common stock (22,336) -
Decrease in book overdrafts (23,856) -
---------- ----------
Net cash (used in) provided by
financing activities (108,655) 227,866
---------- ----------
Net cash provided by discontinued operations - 129
---------- ----------
Foreign currency exchange effect on cash flow 6,995 5,165
---------- ----------
(Decrease) increase in cash and cash
equivalents (1,611) 35,296
Cash and cash equivalents at beginning of
period 54,697 35,145
---------- ----------
Cash and cash equivalents at end of period $ 53,086 $ 71,071
========== ==========
INSIGHT ENTERPRISES, INC. AND SUBSIDIARIES
QUARTERLY SELECT OPERATING SEGMENT STATISTICS
(UNAUDITED)
Three Months Ended
September 30,
------------------------------------------------------------- --------
North America 2007 2006 Change
------------------------------------------------ ------------ --------
Number of shipping days 63 63 -
Number of account executives 1,362 1,033 (c) 32%
Net sales per account executive (a) $606,188 $613,175 (c) (1%)
Gross profit per account executive (b) $ 80,814 $ 81,814 (c) (1%)
Sales mix (as a % of net sales):
Notebooks and PDA's 12% 13% 10% (d)
Desktops and servers -
12% 14% (d)
Networking and connectivity 12% 13% 7% (d)
Storage devices 6% 8% (12%)(d)
Printers 6% 7% 5% (d)
Memory and processors 4% 5% 1% (d)
Supplies and accessories 4% 6% (14%)(d)
Monitors and video 5% 5% 21% (d)
Miscellaneous 7% 7% 31% (d)
--------- ------------
Hardware 68% 78% 5% (d)
Software 29% 20% 64% (d)
Services 3% 2% 42% (d)
--------- ------------
100% 100%
========= ============
EMEA
---------------------------------------
Number of shipping days (e) 64 64 -
Number of account executives 530 291 (c) 82%
Net sales per account executive (a) $517,457 $446,166 (c) 16%
Gross profit per account executive (b) $ 69,823 $ 63,929 (c) 9%
Sales mix (as a % of net sales):
Notebooks and PDA's 11% 15% 26% (d)
Desktops and servers 9% 12% 24% (d)
Networking and connectivity 5% 7% 14% (d)
Storage devices 4% 7% 12% (d)
Printers 4% 6% (2%)(d)
Memory and processors -
2% 3% (d)
Supplies and accessories 4% 6% 12% (d)
Monitors and video 5% 7% 19% (d)
Miscellaneous 3% 5% 16% (d)
--------- ------------
Hardware 47% 68% 16% (d)
Software 52% 31% 183% (d)
Services 1% 1% 226% (d)
--------- ------------
100% 100%
========= ============
(a) Calculated as net sales for the quarter divided by the average
number of account executives. The average
number of account executives is calculated as the number of account
executives at the end of the quarter plus the number of account
executives at the beginning of the quarter divided by two.
(b) Calculated as gross profit for the quarter divided by the average
number of account executives. The average number of account
executives is calculated as the number of account executives at the
end of the quarter plus the number of account executives at the
beginning of the quarter divided by two.
(c) Excludes Software Spectrum account executives and 23 calendar days
of Software Spectrum's results during
the three months ended September 30, 2006.
(d) Represents growth/decline in category net sales.
(e) Represents shipping days for the United Kingdom as it makes up the
largest percentage of net sales in our EMEA segment.
INSIGHT ENTERPRISES, INC. AND SUBSIDIARIES
OPERATING SEGMENT STATEMENT OF EARNINGS INFORMATION
(IN THOUSANDS)
(UNAUDITED)
Three Months Ended September 30, 2007
-------------------------------------------
North
America EMEA APAC Consolidated
---------- -------- ------- ---------------
Net sales $ 817,747 $264,679 $27,279 $1,109,705
Costs of goods sold 708,729 228,965 22,165 959,859
---------- -------- ------- ---------------
Gross profit 109,018 35,714 5,114 149,846
Operating expenses:
Selling and administrative
expenses 93,742 33,165 3,913 130,820
---------- -------- ------- ---------------
Earnings from
operations $ 15,276 $ 2,549 $ 1,201 19,026
========== ======== =======
Non-operating expense, net 3,705
---------------
Earnings from continuing
operations before
income taxes 15,321
Income tax expense 6,225
---------------
Net earnings from
continuing operations 9,096
Net earnings from
discontinued operations -
---------------
Net earnings $ 9,096
===============
Total assets $2,198,755 $393,211 $39,393 $ 1,590,637 (a)
========== ======== ======= ===============
(a) Consolidated total assets include corporate assets and intercompany eliminations for a net reduction of $1,040,722.
Nine Months Ended September 30, 2007
-------------------------------------------
North
America EMEA APAC Consolidated
---------- -------- ------- ---------------
Net sales $2,518,847 $923,958 $74,324 $3,517,129
Costs of goods sold 2,163,724 804,733 60,838 3,029,295
---------- -------- ------- ---------------
Gross profit 355,123 119,225 13,486 487,834
Operating expenses:
Selling and administrative
expenses 289,605 98,646 10,651 398,902
Severance and restructuring
expenses 2,841 - - 2,841
---------- -------- ------- ---------------
Earnings from
operations $ 62,677 $ 20,579 $ 2,835 86,091
========== ======== =======
Non-operating expense, net 6,994
---------------
Earnings from continuing
operations before
income taxes 79,097
Income tax expense 30,896
---------------
Net earnings from
continuing operations 48,201
Net earnings from
discontinued operations 4,972
---------------
Net earnings $ 53,173
===============
Total assets $2,198,755 $393,211 $39,393 $ 1,590,637 (a)
========== ======== ======= ===============
(a) Consolidated total assets include corporate assets and intercompany eliminations for a net reduction of $1,040,722.
INSIGHT ENTERPRISES, INC. AND SUBSIDIARIES
OPERATING SEGMENT STATEMENT OF EARNINGS INFORMATION (CONTINUED)
(IN THOUSANDS)
(UNAUDITED)
Three Months Ended September 30, 2006
-------------------------------------------
North
America EMEA APAC Consolidated
---------- -------- ------- ---------------
Net sales $ 694,284 $157,115 $ 6,520 $857,919
Costs of goods sold 603,360 135,702 5,528 744,590
---------- -------- ------- ---------------
Gross profit 90,924 21,413 992 113,329
Operating expenses:
Selling and administrative
expenses 70,023 17,481 707 88,211
Severance and restructuring
expense 508 221 - 729
---------- -------- ------- ---------------
Earnings from
operations $ 20,393 $ 3,711 $ 285 24,389
========== ======== =======
Non-operating income, net (178)
---------------
Earnings from continuing
operations before
income taxes 24,567
Income tax expense 7,857
---------------
Net earnings from
continuing operations 16,710
Net earnings from
discontinued operations 530
---------------
Net earnings $ 17,240
===============
Total assets $1,909,860 $327,299 $32,466 $ 1,536,585 (b)
========== ======== ======= ===============
(b) Consolidated total assets include corporate assets and intercompany eliminations for a net reduction of $733,040.
Nine Months Ended September 30, 2006
-------------------------------------------
North
America EMEA APAC Consolidated
---------- -------- ------- ---------------
Net sales $1,972,186 $392,383 $ 6,520 $2,371,089
Costs of goods sold 1,717,031 335,949 5,528 2,058,508
---------- -------- ------- ---------------
Gross profit 255,155 56,434 992 312,581
Operating expenses:
Selling and administrative
expenses 197,105 46,038 707 243,850
Severance and restructuring
expenses 508 221 - 729
---------- -------- ------- ---------------
Earnings from
operations $ 57,542 $ 10,175 $ 285 68,002
========== ======== =======
Non-operating income, net (773)
---------------
Earnings from continuing
operations before
income taxes 68,775
Income tax expense 23,454
---------------
Net earnings from
continuing operations 45,321
Net earnings from
discontinued operation 12,630
---------------
Net earnings $ 57,951
===============
Total assets $1,909,860 $327,299 $32,466 $ 1,536,585 (b)
========== ======== ======= ===============
(b) Consolidated total assets include corporate assets and intercompany eliminations for a net reduction of $733,040.
CONTACT: Insight Enterprises, Inc., Tempe |