ePlus Reports Third Quarter and First Nine Months Financial Results of Fiscal Year 2026

Double Digit Growth Year Over Year Across Key Metrics

Including Net Sales, Gross Profit and Earnings Per Share

~ Raises Fiscal 2026 Guidance

and Announces Common Stock Quarterly Dividend of $0.25 Per Share ~

Third Quarter of Fiscal Year 2026

First Nine Months of Fiscal Year 2026

HERNDON, Va., Feb. 4, 2026 /PRNewswire/ -- ePlus inc. (NASDAQ: PLUS), a leading provider of technology solutions, today announced financial results for the three months and nine months ended December 31, 2025, or the third quarter of its 2026 fiscal year.

Management Comment

"We continued to experience strong momentum in our third fiscal quarter as we achieved robust growth, with net sales increasing 24.6% and net earnings from continuing operations more than doubling year over year," said Mark Marron, president and CEO of ePlus. "The scalability of our operating platform has provided operating leverage which is reflected in our growth in gross profit, operating income, adjusted EBITDA and earnings per share."

"Our solid revenue growth reflects, in part, demand for AI that is fueling spend across all of our solution sets including cloud, compute, storage and networking. We continued to see strong revenue growth from our largest enterprise customers, who are modernizing their infrastructure to support their AI initiatives. We also saw strong demand from our mid-market customer base where we have continued to evolve and expand our product and services solutions to meet our customers' needs in today's market," Mr. Marron concluded.

Third Quarter Fiscal Year 2026 Results

On June 30, 2025, we completed the sale of our domestic financing business. Consequently, alongside the results of our continuing operations, we are retrospectively presenting the results of our domestic financing business as discontinued operations, for all prior periods.

For the third quarter ended December 31, 2025, as compared to the third quarter ended December 31, 2024:

Consolidated net sales increased 24.6% to $614.8 million, from $493.2 million due to higher product sales, offset by lower service revenue. Gross billings increased 15.6% to $982.1 million from $849.5 million.

Product segment sales increased 32.2% to $501.8 million from $379.5 million due to increases in revenue from networking, cloud, security, and collaboration products. Product segment margin was 23.8%, up from 22.1% last year due to a shift in product mix offset by a decrease in the proportion of sales recorded on a net basis.

Professional services segment revenues decreased 7.8% year over year to $64.1 million from $69.5 million, primarily due to project delays by certain retail and consumer customers, offset by increases in consulting revenue. Gross margin decreased to 39.2% from 40.1% during the same period last year due to a shift in the mix of services provided.

Managed services segment revenue increased 10.5% to $48.8 million primarily due to additional revenue from cloud services. Gross profit from our managed services segment increased 7.5% from last year due to the increase in revenue, offset by a decline in gross margin to 29.0% from 29.8% in the prior year quarter.

Consolidated gross profit increased 26.8% to $158.7 million, from $125.1 million. Consolidated gross margin was 25.8%, compared with 25.4% in the prior year quarter.

Consolidated operating expenses were $115.2 million, up 6.1% from $108.6 million last year, primarily due to an increase in variable compensation commensurate with the increase in gross profit.

Consolidated operating income increased 163.9% to $43.5 million. Other income was $2.1 million compared to $3.4 million last year. Earnings from continuing operations before taxes increased 128.9% to $45.6 million.

Our effective tax rate for the current quarter was 26.7%, which was lower than the prior year quarter of 26.9%.

Net earnings from continuing operations increased 129.3% to $33.4 million from $14.6 million in the prior year quarter. Adjusted EBITDA increased 97.4% to $53.4 million from $27.0 million in the prior year quarter. Net earnings from continuing operations per common share-diluted was $1.27, compared with $0.55 in the prior year quarter. Non-GAAP net earnings per common share from continuing operations was $1.45, compared with $0.71 in the prior year quarter.

Net earnings from discontinued operations, for the three months ending December 31, 2025, was $1.7 million primarily due to the settlement of a legal matter, as compared to $9.6 million for the same three-month period in the prior year. Net earnings from discontinued operations per common share-diluted was $0.06, compared with $0.36 in the prior year quarter.

First Nine Months of Fiscal Year 2026 Results

For the nine months ended December 31, 2025, as compared to the nine months ended December 31, 2024:

Consolidated net sales increased 22.2% to $1,860.9 million, from $1,522.2 million due to higher product sales and higher services revenue. Gross billings increased 18.7% to $2,957.5 million from $2,491.5 million.

Product segment sales increased 22.9% to $1,507.7 million from $1,226.4 million due to increases in revenue from cloud, networking, and security products, offset by a decline in collaboration products. Product segment margin was 22.9%, up from 22.2% last year due to a shift in product mix.

Professional services segment revenues increased 25.8% year over year to $212.1 million from $168.7 million, primarily due to the acquisition of Bailiwick Services, LLC, on August 19, 2024. Professional services gross margin declined to 38.9% from 40.8% during the same period last year due to the addition of Bailiwick Services, LLC, which has services margins that are generally lower than our legacy professional services.

Managed services segment revenue increased 11.0% to $140.8 million, primarily due to additional sales of enhanced maintenance support and cloud services. Gross profit from the managed services segment increased 8.6% from last year due to the increase in revenue, offset by a decline in gross margin to 29.6% from 30.2% in the prior year nine-month period.

Consolidated gross profit increased 23.7% to $469.0 million, from $379.3 million. Consolidated gross margin was 25.2%, compared with last year's 24.9%.

Consolidated operating expenses were $340.5 million, up 11.9% from $304.3 million last year, primarily due to increases in variable compensation commensurate with the increase in our gross profit, as well as additional salaries and benefits and general and administrative costs.

Consolidated operating income increased 71.5% to $128.5 million. Other income was $7.9 million compared to $5.5 million last year, due to increased interest income. Earnings from continuing operations before taxes increased 69.7% to $136.4 million.

Our effective tax rate for the nine months ended December 31, 2025, was 27.6%, higher than the same nine-month period in the prior year of 27.2%.

Net earnings from continuing operations increased 68.5% to $98.7 million from $58.6 million in the prior year. Adjusted EBITDA increased 55.0% to $158.8 million from $102.4 million in the prior year nine-month period. Net earnings from continuing operations per common share-diluted was $3.74, compared with $2.19 in the prior year. Non-GAAP net earnings from continuing operations per common share-diluted was $4.23, compared with $2.66 in the prior year.

Net earnings from discontinued operations, for the nine months ended December 31, 2025, were $8.9 million, a decrease of $15.3 million, as compared to $24.2 million for the same nine-month period in the prior year. The decrease was due to the sale of our domestic financing business on June 30, 2025. Net earnings from discontinued operations per common share-diluted was $0.34, compared with $0.91 in the prior year nine-month period.

Balance Sheet Highlights

As of December 31, 2025, cash and cash equivalents were $326.3 million, down from $389.4 million as of March 31, 2025. Inventory increased 100.1% to $241.0 million as of December 31, 2025 compared with $120.4 million as of March 31, 2025 due to an increase in projects in process. Accounts receivable—trade, net increased 35.0% to $698.0 million as of December 31, 2025 from $516.9 million as of March 31, 2025. Total stockholders' equity was $1,063.3 million as of December 31, 2025, compared with $977.6 million as of March 31, 2025. Total shares outstanding were 26.4 million and 26.5 million on December 31, 2025 and March 31, 2025, respectively.

Fiscal Year Guidance

Based on our strong performance year to date and the momentum we see ahead, the Company is raising its fiscal year 2026 guidance for net sales, gross profit, and Adjusted EBITDA. Net sales is now expected to increase 20% to 22% year-over-year, an increase from the prior guidance of mid-teens. This increase is against Fiscal Year 2025's $2.01B from continuing operations. Gross profit is expected to grow at a rate of 19% to 21% now, as compared to the prior guidance of mid-teens from fiscal year 2025's $515.5 million from continuing operations. We now expect Adjusted EBITDA to increase 41% to 43% over our Fiscal Year 2025 Adjusted EBITDA of $141M from continuing operations. This is an increase from our prior guidance that was twice the pace of net sales when net sales was expected to be in the mid-teens.

This guidance does not factor in recessionary conditions or other unexpected developments. ePlus cannot predict with reasonable certainty and without unreasonable effort, the ultimate outcome of unusual gains and losses, the occurrence of matters creating GAAP tax impacts, fluctuations in interest expense or interest income and share-based compensation, and acquisition-related expenses. These items are uncertain, depend on various factors, and could be material to ePlus' results computed in accordance with GAAP. Accordingly, ePlus is unable to provide a reconciliation of GAAP net earnings to adjusted EBITDA for the full fiscal year 2026 forecast.

Summary and Outlook

"As a result of our strong third quarter and nine-month results, we are raising our fiscal year 2026 guidance.

"Our teams remain committed to executing on our long-term strategy centered on expanding services and value-added solutions, delivering consistent growth, maintaining strong financial discipline and returning capital to shareholders in the form of dividends and share repurchases. We will continue to take a disciplined approach to capital deployment, prioritizing investments in our core business, strengthening our capabilities, and focusing on areas where we can achieve sustainable competitive advantages, all while preserving a healthy balance sheet. We are executing from a position of strength, delivering solid near-term performance while investing strategically for the future. All of this positions us well to deliver sustainable growth over the long term and lasting value for our shareholders," concluded Mr. Marron.

ePlus Announces Quarterly Dividend

ePlus announced today that its Board of Directors has declared a quarterly cash dividend of $0.25 per common share which will be paid on March 18, 2026, to shareholders of record as of the close of business on February 24, 2026.

Recent Corporate Developments/Recognitions

In the third quarter of its 2026 fiscal year:

Conference Call Information

ePlus will hold a conference call and webcast at 4:30 p.m. ET on February 4, 2026:

Date:

February 4, 2026

Time:

4:30 p.m. ET

Audio Webcast (Live & Replay):

https://events.q4inc.com/attendee/179735305

Live Call:

(888) 596-4144 (toll-free/domestic)

(646) 968-2525 (international)

Archived Call:

(800) 770-2030 (toll-free/domestic)

(609) 800-9909 (international)

Conference ID:

5394845# (live call and replay)

A replay of the call will be available approximately two hours after the call through February 11, 2026.

About ePlus inc.

ePlus is a customer-first, services-led, and results-driven industry leader offering transformative technology solutions and services to provide the best customer outcomes. Offering a full portfolio of solutions, including artificial intelligence, security, cloud and data center, networking, and collaboration, as well as managed, consultative and professional services, ePlus works closely with organizations across many industries to successfully navigate business challenges. With a long list of industry-leading partners and approximately 2,160 employees, our expertise has been honed over more than three decades, giving us specialized yet broad levels of experience and knowledge. ePlus is headquartered in Virginia, with locations in the United States, United Kingdom, Europe, and Asia‐Pacific. For more information, visit www.eplus.com, call 888-482-1122, or email [email protected]. Connect with ePlus on LinkedIn, X, Facebook, and Instagram.

ePlus, Where Technology Means More®.

ePlus® and ePlus products referenced herein are either registered trademarks or trademarks of ePlus inc. in the United States and/or other countries.

Forward-looking statements

Statements in this press release that are not historical facts may be deemed to be "forward-looking statements," including, among other things, statements regarding the future financial performance of ePlus. Actual and anticipated future results may vary materially due to certain risks and uncertainties, including, without limitation, financial losses resulting from national and international political instability fostering uncertainty and volatility in the global economy including changes in interest rates, tariffs, inflation, export requirements applicable to products we sell, sanctions and exposure to foreign currency rate changes; supply chain issues, including a shortage of IT component parts and products, and our vendors' rapid and unpredictable price fluctuations relating thereto, or a customer's or vendor's cancellation of orders such as for, but not limited to, memory chips, which may increase our and the customer's costs, decrease gross profit, cause a delay in fulfilling or inability to fulfill customer orders, increase our need for working capital, delay completing professional services, or purchase IT products or services needed to support our internal infrastructure or operations, resulting in an adverse impact on our financial results; significant adverse changes in our relationship with one or more of our larger customer accounts or vendors, including decreased account profitability, reductions in contracted services, or a loss of such relationships; increases to our costs including wages and our ability to increase our prices to our customers as a result, or we experience negative financial impacts due to the pricing arrangements we have with our customers; a material decrease in the credit quality of our customer base, or a material increase in our credit losses; reliance on third parties to perform some of our service obligations to our customers, and the reliance on a small number of key vendors in our supply chain with whom we do not have long-term supply agreements, guaranteed price agreements, or assurance of stock availability; the possibility of a reduction of vendor incentives provided to us; our inability to identify merger and acquisition candidates, perform sufficient due diligence prior to completing mergers and acquisitions, successfully integrate a completed merger and/or acquisition, successfully complete merger and acquisition transactions, including on favorable terms, or identify an opportunity for or successfully completing a business disposition; our ability to remain secure during a cybersecurity attack or other information technology ("IT") outage, including disruptions in our, our vendors or a third party's IT systems and data and audio communication networks; our ability to secure our own and our customers' electronic and other confidential information, while maintaining compliance with evolving data privacy and cybersecurity laws and regulations and appropriately providing required notice and disclosure of cybersecurity incidents when and if necessary; our dependence on key personnel to maintain certain customer relationships, and our ability to hire, train, and retain sufficient qualified personnel by recruiting and retaining highly skilled, competent personnel with needed vendor certifications; risks relating to artificial intelligence ("AI"), including the use or capabilities of AI and emerging laws, rules and regulations related to AI; our ability to manage a diverse product set of solutions, including AI products and services, in highly competitive markets with a number of key vendors; changes in the IT industry and/or rapid changes in product offerings, including the proliferation of the cloud, infrastructure as a service ("IaaS"), software as a service ("SaaS"), platform as a service ("PaaS"), and AI which may affect our financial results; ongoing remote work trends, and the increase in cybersecurity attacks that have occurred while employees work remotely and our ability to adequately train our personnel to prevent a cyber event; our ability to raise capital, maintain or increase, as needed, our lines of credit with vendors or our floor plan facility, or the effect of those matters on our common stock price; our ability to predictably meet expectations of the investor and analyst community, including relative to our financial performance guidance that we provide; our ability to implement comprehensive plans for the integration of sales forces, cost containment, asset rationalization, systems integration, and other key strategies following mergers and acquisitions; and other risks or uncertainties detailed in our reports filed with the Securities and Exchange Commission.

The declaration and payment of future dividends are subject to the sole discretion of our Board of Directors.

All information set forth in this press release is current as of the date of this release and ePlus undertakes no duty or obligation to update this information either as a result of new information, future events or otherwise, except as required by applicable U.S. securities law.

ePlus inc. AND SUBSIDIARIES

UNAUDITED CONSOLIDATED BALANCE SHEETS

(in thousands, except per share amounts)

December 31, 2025

March 31, 2025

ASSETS

Current assets:

Cash and cash equivalents

326,291

$389,375

Accounts receivable—trade, net

697,989

516,925

Accounts receivable—other, net

43,521

19,382

Inventories

240,979

120,440

Deferred costs

76,533

66,769

Other current assets

68,902

28,500

Current assets of discontinued operations

222,399

Total current assets

1,454,215

1,363,790

Deferred tax asset

9,048

3,658

Property, equipment and other assets—net

99,381

98,657

Goodwill

202,927

202,858

Other intangible assets—net

66,113

82,007

Non-current assets of discontinued operations

133,835

TOTAL ASSETS

1,831,684

$1,884,805

LIABILITIES AND STOCKHOLDERS' EQUITY

LIABILITIES

Current liabilities:

Accounts payable

291,378

$324,580

Accounts payable—floor plan

133,150

89,527

Salaries and commissions payable

53,405

42,219

Deferred revenue

168,282

152,631

Other current liabilities

35,875

22,463

Current liabilities of discontinued operations

166,463

Total current liabilities

682,090

797,883

Deferred tax liability—long-term

1,454

Deferred revenue—long-term

74,721

81,759

Other liabilities

11,575

13,540

Non-current liabilities of discontinued operations

12,546

TOTAL LIABILITIES

768,386

907,182

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' EQUITY

Preferred stock, $0.01 per share par value; 2,000 shares authorized; none outstanding

Common stock, $0.01 per share par value; 50,000 shares authorized; 26,391 outstanding at

December 31, 2025 and 26,526 outstanding at March 31, 2025

278

276

Additional paid-in capital

207,285

193,698

Treasury stock, at cost, 1,376 shares at December 31, 2025 and 1,056 shares at March 31, 2025

(95,063)

(70,748)

Retained earnings

945,305

850,956

Accumulated other comprehensive income—foreign currency translation adjustment

5,493

3,441

Total Stockholders' Equity

1,063,298

977,623

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY

1,831,684

$1,884,805

ePlus inc. AND SUBSIDIARIES

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share amounts)

Three Months Ended

December 31,

Nine Months Ended

December 31,

2025

2024

2025

2024

Net sales

Product

501,931

379,574

1,508,002

1,226,742

Services

112,843

113,647

352,913

295,503

Total

614,774

493,221

1,860,915

1,522,245

Cost of sales

Product

382,549

295,497

1,163,092

954,700

Services

73,571

72,646

228,829

188,291

Total

456,120

368,143

1,391,921

1,142,991

Gross profit

158,654

125,078

468,994

379,254

Selling, general, and administrative

108,695

100,932

320,121

286,069

Depreciation and amortization

6,493

7,676

20,372

18,260

Operating expenses

115,188

108,608

340,493

304,329

Operating income

43,466

16,470

128,501

74,925

Other income, net

2,123

3,447

7,898

5,474

Earnings from continuing operations before tax

45,589

19,917

136,399

80,399

Provision for income taxes

12,189

5,351

37,711

21,841

Net earnings from continuing operations

33,400

14,566

98,688

58,558

Earnings from discontinued operations, net of tax (Note 4)

1,652

9,567

8,916

24,224

Net earnings

35,052

24,133

107,604

82,782

Earnings per common share—basic

Continuing operations

1.28

0.55

3.76

2.20

Discontinued operations

0.06

0.36

0.34

0.92

Earnings per common share—basic

1.34

0.91

4.10

3.12

Earnings per common share—diluted

Continuing operations

1.27

0.55

3.74

2.19

Discontinued operations

0.06

0.36

0.34

0.91

Earnings per common share—diluted

1.33

0.91

4.08

3.10

Weighted average common shares outstanding—basic

26,174

26,495

26,269

26,568

Weighted average common shares outstanding—diluted

26,288

26,620

26,388

26,727

Segment results

Three Months Ended

Nine Months Ended

December 31,

2025

2024

Change

2025

2024

Change

Net sales

Product segment

501,827

379,472

32.2 %

1,507,736

$1,226,397

22.9 %

Professional services segment

64,065

69,497

(7.8 %)

212,138

168,676

25.8 %

Managed services segment

48,778

44,150

10.5 %

140,775

126,827

11.0 %

Other

104

102

2.0 %

266

345

(22.9 %)

Total

614,774

493,221

24.6 %

1,860,915

1,522,245

22.2 %

Gross profit

Product segment

119,321

84,046

42.0 %

344,816

271,910

26.8 %

Professional services segment

25,121

27,841

(9.8 %)

82,446

68,879

19.7 %

Managed services segment

14,151

13,160

7.5 %

41,638

38,333

8.6 %

Other

96.8 %

132

(28.8 %)

Total

158,654

125,078

26.8 %

468,994

379,254

23.7 %

Gross Billings by Type

Networking

300,075

214,762

39.7 %

883,996

716,087

23.4 %

Cloud

257,848

207,762

24.1 %

772,693

644,888

19.8 %

Security

221,971

190,808

16.3 %

667,174

506,256

31.8 %

Collaboration

22,606

22,381

1.0 %

86,669

102,074

(15.1 %)

Other

72,358

76,513

(5.4 %)

200,721

193,650

3.7 %

Product segment

874,858

712,226

22.8 %

2,611,253

2,162,955

20.7 %

Services

107,223

137,320

(21.9 %)

346,248

328,527

5.4 %

Total

982,081

849,546

15.6 %

2,957,501

2,491,482

18.7 %

Net Sales by Type

Product segment

Networking

230,886

181,367

27.3 %

707,244

602,883

17.3 %

Cloud

175,352

116,864

50.0 %

510,618

375,431

36.0 %

Security

61,055

53,919

13.2 %

188,051

143,133

31.4 %

Collaboration

13,418

8,391

59.9 %

41,733

47,278

(11.7 %)

Other

21,116

18,931

11.5 %

60,090

57,672

4.2 %

Total products segment

501,827

379,472

32.2 %

1,507,736

1,226,397

22.9 %

Professional services segment

64,065

69,497

(7.8 %)

212,138

168,676

25.8 %

Managed services segment

48,778

44,150

10.5 %

140,775

126,827

11.0 %

Other

104

102

2.0 %

266

345

(22.9 %)

Total net sales

614,774

493,221

24.6 %

1,860,915

1,522,245

22.2 %

Net Sales by Customer End Market

Telecom, media & entertainment

176,405

126,201

39.8 %

538,156

352,624

52.6 %

Technology

89,368

71,293

25.4 %

241,664

235,387

2.7 %

Healthcare

81,460

58,670

38.8 %

238,036

212,185

12.2 %

Financial services

66,104

46,217

43.0 %

176,683

130,701

35.2 %

SLED

59,946

71,412

(16.1 %)

237,754

261,195

(9.0 %)

Retail

34,394

33,785

1.8 %

106,427

67,754

57.1 %

All other

107,097

85,643

25.1 %

322,195

262,399

22.8 %

Total net sales

614,774

493,221

24.6 %

1,860,915

1,522,245

22.2 %

ePlus inc. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP INFORMATION

We included reconciliations below for the following non-GAAP financial measures: (i) Adjusted EBITDA, (ii) Non-GAAP: Net earnings from continuing operations and (iii) Non-GAAP Net earnings from continuing operations per common share - diluted.

We define Adjusted EBITDA as net earnings from continuing operations calculated in accordance with US GAAP, adjusted for the following: interest expense, depreciation and amortization, share-based compensation, acquisition related and integration expenses, provision for income taxes, and other income (expense).

Non-GAAP: Net earnings from continuing operations and Non-GAAP Net earnings from continuing operations per common share – diluted are based on net earnings from continuing operations calculated in accordance with US GAAP, adjusted to exclude other (income) expense, share-based compensation, and acquisition related amortization and integration expenses, and the related tax effects.

We use the above non-GAAP financial measures as supplemental measures of our performance to gain insight into our operating performance and performance trends. We believe that these financial measures provide management and investors with a useful measure for period-to-period comparisons of our business and operating results by excluding items that management believes are not reflective of our underlying operating performance. Accordingly, we believe that such non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our operating results.

Our use of non-GAAP information as analytical tools has limitations, and should not be considered in isolation or as substitutes for analysis of our financial results as reported under US GAAP. In addition, other companies, including companies in our industry, might calculate Adjusted EBITDA, Non-GAAP: Net earnings from continuing operations and Non-GAAP: Net earnings from continuing operations per common share-diluted, or similarly titled measures differently, which may reduce their usefulness as comparative measures.

The amounts in the tables below are results from our continuing operations (in thousands):

(i) Reconciliation of Adjusted EBITDA

Three Months Ended

December 31,

Nine Months Ended

December 31,

2025

2024

2025

2024

GAAP: Net earnings from continuing operations

33,400

14,566

98,688

58,558

Provision for income taxes

12,189

5,351

37,711

21,841

Share-based compensation

3,424

2,863

9,922

8,184

Acquisition related expenses

1,072

Depreciation and amortization [1]

6,493

7,676

20,372

18,260

Other (income) expense, net [2]

(2,123)

(3,447)

(7,898)

(5,474)

Non-GAAP: Adjusted EBITDA

53,383

27,038

158,795

102,441

(ii) Reconciliation of Non-GAAP: Net earnings from continuing operations

Three Months Ended

December 31,

Nine Months Ended

December 31,

2025

2024

2025

2024

GAAP: Earnings from continuing operations before tax

45,589

19,917

136,399

80,399

Share-based compensation

3,424

2,863

9,922

8,184

Acquisition related expenses

1,072

Acquisition related amortization expense [3]

5,006

5,983

15,867

14,180

Other (income) expense, net [2]

(2,123)

(3,447)

(7,898)

(5,474)

Non-GAAP: Earnings from continuing operations before tax

51,896

25,345

154,290

98,361

GAAP: Provision for income taxes

12,189

5,351

37,711

21,841

Share-based compensation

916

772

2,728

2,266

Acquisition related expenses

300

Acquisition related amortization expense [3]

1,338

1,495

4,363

3,788

Other (income) expense, net [2]

(568)

(930)

(2,243)

(1,498)

Tax benefit (expense) on restricted stock

101

513

Non-GAAP: Provision for income taxes

13,887

6,716

42,660

27,210

Non-GAAP: Net earnings from continuing operations

38,009

18,629

111,630

71,151

(iii) Reconciliation of Non-GAAP: Net earnings from continuing operations per common share - diluted

Three Months Ended

December 31,

Nine Months Ended

December 31,

2025

2024

2025

2024

GAAP: Net earnings from continuing operations per common share - diluted

1.27

0.55

3.74

2.19

Share-based compensation

0.10

0.08

0.27

0.22

Acquisition related expenses

0.03

Acquisition related amortization expense [3]

0.14

0.17

0.43

0.39

Other (income) expense, net [2]

(0.06)

(0.09)

(0.21)

(0.15)

Tax benefit (expense) on restricted stock

(0.02)

Total non-GAAP adjustments - net of tax

0.18

0.16

0.49

0.47

Non-GAAP: Net earnings from continuing operations per common share - diluted

1.45

0.71

4.23

2.66

[1] Amount consists of depreciation and amortization for assets used internally.

[2] Interest income and foreign currency transaction gains and losses.

[3] Amount consists of amortization of intangible assets from acquired businesses.

SOURCE EPLUS INC.