Ingram Micro Reports Continued Strong 2025 Net Sales Growth, Up 11.5% for Fiscal Fourth Quarter and Up 9.5% for Fiscal Year, With Operating Expense Efficiency and Robust Cash Flow Generation

Ingram Micro Reports Continued Strong 2025 Net Sales Growth, Up 11.5% for Fiscal Fourth Quarter and Up 9.5% for Fiscal Year, With Operating Expense Efficiency and Robust Cash Flow Generation IRVINE, Calif.--( BUSINESS WIRE)--Ingram Micro Holding Corporation (NYSE: INGM) (“Ingram Micro” or the “Company”), a leading technology company for the global information technology ecosystem, today reported fiscal fourth quarter and fiscal year-end results for the period ended December 27, 2025. The Company reported fourth quarter net sales of $14.9 billion, up 11.5% year over year, and net income on a GAAP basis of $121.4 million or $0.51 per share, up 46.1% and 41.7% year over year, respectively. Non-GAAP net income of $226.7 million or $0.96 per share, was above the high end of the Company’s guidance and up 6.4% and 4.3% versus the same period in 2024. (1).

“Ingram Micro delivered a strong fourth quarter and full year, and we enter 2026 with confidence. We exceeded the high end of our net sales and EPS guidance and saw growth across all of our regions,” said Paul Bay, Ingram Micro’s Chief Executive Officer. “Our Xvantage platform continues to build momentum, with the majority of our net sales now flowing through the platform. In an increasingly complex market, Xvantage’s AI‑driven capabilities are improving productivity and enabling richer, higher‑value opportunities for our customers. As we advance to the next phase of Xvantage value creation, and scale our Enable AI program, we are well positioned to drive durable, profitable growth.”

“We continued to execute with discipline in 2025, delivering strong sales growth in Advanced Solutions, Cloud and Client and Endpoint Solutions, coupled with solid operating leverage and sustained efficiency gains from our Xvantage platform,” said Mike Zilis, Ingram Micro’s Chief Financial Officer. “We delivered adjusted free cash flow of $1.6 billion in the quarter – the highest quarterly level in more than a decade. Our team executed well and we continue to optimize, positioning us to capitalize on a curve of upward profitability as we see higher-margin growth opportunities going forward.”

Consolidated Fiscal Fourth Quarter 2025 Results (1)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

2025 vs. 2024

($ in thousands, except per share data)

Amount

% of Net Sales

Amount

% of Net Sales

Net sales

14,877,709

13,344,670

1,533,039

Gross profit

966,403

6.50

936,085

7.01

30,318

Income from operations

309,735

2.08

248,500

1.86

61,235

Net income

121,410

0.82

83,116

0.62

38,294

Adjusted Income from Operations

350,012

2.35

305,237

2.29

44,775

Adjusted EBITDA

430,871

2.90

418,061

3.13

12,810

Non-GAAP Net Income

226,676

1.52

213,097

1.60

13,579

EPS:

Basic

0.52

0.36

Diluted

0.51

0.36

Non-GAAP EPS:

Basic

0.96

0.92

Diluted

0.96

0.92

Consolidated Fiscal Fourth Quarter 2025 Financial Highlights

Regional Fiscal Fourth Quarter 2025 Financial Highlights

North America

Net sales were $5.1 billion, compared to $4.7 billion in the prior fiscal fourth quarter. The year-over-year increase in North American net sales was driven by strength in advanced solutions offerings driven by storage and server, and particularly lower margin, lower-cost-to-serve AI-enablement projects, as well as client and endpoint solutions net sales, driven by PCs. These factors were partially offset by declines in Other services and in cloud net sales, the latter of which was impacted by our CloudBlue divestiture discussed above.

Income from operations was $50.6 million, compared to $115.2 million in the prior fiscal fourth quarter. The year-over-year decrease was driven by lower gross profit realization, largely due to previously described mix factors, as well as an increase in SG&A expenses including software-related costs, bad debt expense and professional and outside services costs, and true-ups in expense related to annual variable compensation programs as a result of stronger global profit and free cash flow generation in the fourth quarter.

Income from operations margin was 0.99%, compared to 2.47% in the prior fiscal fourth quarter, driven primarily by the decline in gross margins resulting from the shift towards lower margin, lower cost-to-serve AI-enablement projects, as well as the increase in SG&A expenses, both described above.

EMEA

Net sales were $4.6 billion, compared to $4.1 billion in the prior fiscal fourth quarter. The year-over-year increase in EMEA net sales was driven by growth across all lines of business, particularly client and endpoint solutions driven by PCs, as well as advanced solutions offerings driven by networking, server and storage.

Income from operations was $115.4 million, compared to $90.9 million in the prior fiscal fourth quarter. The year-over-year increase was driven by an increase in gross profit across all product categories, as well as a reduction in SG&A expenses.

Income from operations margin was 2.49%, compared to 2.23% in the prior fiscal fourth quarter. The year-over-year increase in income from operations margin was primarily due to favorable gross margins as well as a reduction in SG&A expenses as a percentage of net sales including a 5 basis point reduction in restructuring costs and a 5 basis point reduction in compensation and headcount expenses.

Asia-Pacific

Net sales were $4.1 billion, compared to $3.6 billion in the prior fiscal fourth quarter. The increase in Asia-Pacific net sales was driven by net sales of client and endpoint solutions, led by growth in mobility and components, as well as modest growth in cloud-based solutions, partially offset by modest declines in advanced solutions offerings and Other services net sales.

Income from operations was $114.6 million, compared to $53.5 million in the prior fiscal fourth quarter. The region benefited from a non-recurring loss recovery related to the previously noted insurance proceeds that we expect to receive, which helped to offset the specific costs and temporary loss of business impacts associated with the matter.

Income from operations margin was 2.82%, compared to 1.49% in the prior fiscal fourth quarter.

Latin America

Net sales were $1.1 billion, compared to $1.0 billion in the prior fiscal fourth quarter. The increase in Latin American net sales was primarily driven by growth in client and endpoint solutions net sales, led by PCs, partially offset by modest declines in advanced solutions offerings, cloud-based solutions and Other services.

Income from operations was $44.1 million, compared to $44.1 million in the prior fiscal fourth quarter. Higher gross profit was offset by an increase in SG&A expenses.

Income from operations margin was 4.08%, compared to 4.35% in the prior fiscal fourth quarter. The year-over-year decrease in income from operations margins was a result of higher SG&A expenses as a percentage of net sales, most notably bad debt expense as the prior fiscal fourth quarter was positively impacted by the reversal of a reserve related to a single project when the delinquent receivables were collected.

Consolidated Fiscal 2025 Results (1)

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

2025 vs. 2024

($ in thousands, except per share data)

Amount

% of Net Sales

Amount

% of Net Sales

Net sales

52,556,263

47,983,671

4,572,592

Gross profit

3,503,971

6.67

3,444,945

7.18

59,026

Income from operations

876,928

1.67

817,923

1.70

59,005

Net income

327,882

0.62

264,222

0.55

63,660

Adjusted Income from Operations

1,037,986

1.97

999,661

2.08

38,325

Adjusted EBITDA

1,357,829

2.58

1,318,634

2.75

39,195

Non-GAAP Net Income

681,935

1.30

627,886

1.31

54,049

EPS:

Basic

1.40

1.18

Diluted

1.39

1.18

Non-GAAP EPS:

Basic

2.90

2.79

Diluted

2.90

2.79

Consolidated Fiscal 2025 Financial Highlights

Regional Fiscal 2025 Financial Highlights

North America

Net sales were $18.9 billion, compared to $17.4 billion in the prior fiscal year. The year-over-year increase in North American net sales was the result of growth in client and endpoint solutions driven by PCs and growth in advanced solutions offerings driven by server and storage, including AI-enablement technologies, partially offset by declines in Other services and cloud-based solutions net sales.

Income from operations was $247.0 million, compared to $322.2 million in the prior fiscal year.

Income from operations margin was 1.30%, compared to 1.85% in the prior fiscal year. The year-over-year decrease in income from operations margin was primarily due to the gross margin impact of the shift in sales mix as described above. The region’s income from operations margin also reflects the impact of $48,728, or 26 basis points of net sales, relating to the loss on sale of our CloudBlue operations and other non-core operations in our North America region in fiscal 2025. These factors are partially offset by continued optimization of our operating expenses, as a result of restructuring actions taken in the prior year.

EMEA

Net sales were $15.2 billion, an increase of 6.6% compared to the prior fiscal year. The year-over-year increase in EMEA net sales was primarily a result of growth in client and endpoint solutions net sales driven primarily by PCs. Other services, advanced solutions offerings, and cloud-based solutions also increased compared to the prior fiscal year. The translation impact of foreign currencies relative to the U.S. dollar had a positive impact of 4% on the year-over-year comparison of the region’s net sales.

Income from operations was $290.3 million, compared to $259.4 million in the prior fiscal year.

Income from operations margin was 1.91%, compared to 1.82% in the prior fiscal year. The year-over-year increase is driven by reductions in SG&A expense as a percentage of net sales, most notably restructuring costs, which decreased by 8 basis points year-over-year. These factors more than offset a decrease in gross margin due to the shift in sales mix factors described above as well as some write-offs related to inventory.

Asia-Pacific

Net sales were $14.7 billion, compared to $12.8 billion in the prior fiscal year. The increase in Asia-Pacific net sales was driven by growth in client and endpoint solutions net sales, driven by mobility distribution, components, tablets, and PCs. Advanced solutions offerings also grew, driven by networking, server, and AI-enablement technologies, as well as cloud-based solutions. These results were partially offset by declines in Other services net sales. The translation impact of foreign currencies relative to the U.S. dollar had a negative impact of 2% on the year-over-year net sales comparison.

Income from operations was $272.2 million, compared to $223.4 million in the prior fiscal year.

Income from operations margin was 1.85% compared to 1.75% in the prior fiscal year. The year-over-year increase in income from operations margin was primarily as result of a reduction in SG&A expense as a percentage of net sales. While the region benefited from a non-recurring loss recovery that we expect to receive related to the previously noted insurance recovery, this was largely offset by the specific costs and temporary loss of business impacts associated with the matter during the year. The region also saw a 15 basis point decrease in compensation and headcount expenses primarily due to improved leverage of operating expenses across increased net sales. These factors more than offset a decrease in gross margin due to the geographic and sales mix factors described above.

Latin America

Net sales were $3.7 billion, compared to $3.6 billion in the prior fiscal year. The increase in Latin American net sales was primarily driven by growth in client and endpoint solutions driven by mobility distribution, notebooks, and tablets. This was partially offset by a decline in advanced solutions offerings, as well as modest declines in Other services and cloud-based solutions net sales. The translation impact of foreign currencies relative to the U.S. dollar had a negative impact of 2% on the year-over-year comparison of the region’s net sales.

Income from operations was $123.2 million, compared to $119.6 million in the prior fiscal year.

Income from operations margin was 3.32% compared to 3.33% in the prior fiscal year. This year-over-year comparison is impacted by an increase in SG&A expense as a percentage of net sales. Most notably, bad debt expense increased by 26 basis points, as fiscal year 2024 was positively impacted by the reversal of a reserve related to a single project, as the delinquent receivables were collected. These factors were essentially offset by an increase in gross margin due to higher achievement on advanced solutions net sales as well as the favorable impact of a decline in inventory write-offs in fiscal year 2025.

Fiscal First Quarter 2026 Outlook

The following outlook is forward-looking, based on the Company’s current expectations for the fiscal first quarter of 2026, and actual results may differ materially from what is indicated. We provide EPS guidance on a non-GAAP basis because certain information necessary to reconcile such guidance to GAAP is difficult to estimate and dependent on future events outside of our control. (1)

Thirteen Weeks Ended March 28, 2026

($ in millions, except per share data)

Low

High

Net sales

12,450

12,800

Gross profit

840

895

Non-GAAP Diluted EPS

0.67

0.75

Our guidance assumes an effective tax rate of approximately 27% on a non-GAAP basis, and 236.0 million diluted shares outstanding.

Dividend Payment

The Company’s board of directors has declared a cash dividend of $0.082 per share of the Company’s common stock. The dividend is payable on March 24, 2026, to stockholders of record as of March 10, 2026.

Fiscal Fourth Quarter 2025 Earnings Call Details:

Ingram Micro’s management will host a call to discuss its results on March 2, 2026, at 2:00 p.m. Pacific time (5:00 p.m. Eastern time).

A live webcast of the conference call will be accessible from the Ingram Micro investor relations website at https://ir.ingrammicro.com. The call can also be accessed at 201-689-8796 and 877-407-9781.

A telephonic replay will be available through Monday, March 23, 2026, at 877-660-6853 or 201-612-7415, access code 13758912. A replay of the webcast will also be available at https://ir.ingrammicro.com.

About Ingram Micro

Ingram Micro (NYSE: INGM) is a leading technology company for the global information technology ecosystem. With the ability to reach nearly 90% of the global population, we play a vital role in the worldwide IT sales channel, bringing products and services from technology manufacturers and cloud providers to a highly diversified base of business-to-business technology experts. Through Ingram Micro Xvantage™, our AI-powered digital platform, we offer what we believe to be the industry’s first comprehensive business-to-consumer-like experience, integrating hardware and cloud subscriptions, personalized recommendations, instant pricing, order tracking, and billing automation. We also provide a broad range of technology services, including financing, specialized marketing, and lifecycle management, as well as technical pre- and post-sales professional support. Learn more at www.ingrammicro.com.

(1) Use of Non-GAAP Financial Measures

In addition to presenting financial results that have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”), we have included in this release some or all of the following non-GAAP financial measures—adjusted income from operations, EBITDA, adjusted EBITDA, return on invested capital (“ROIC”), adjusted ROIC, non-GAAP net income, adjusted free cash flow, and non-GAAP EPS—which are financial measures that are not required by, or presented in accordance with GAAP. We believe that these non-GAAP financial measures are useful in evaluating our business and the underlying trends that are affecting our performance. These non-GAAP measures are primary indicators that our management uses internally to conduct and measure its business and evaluate the performance of its consolidated operations, ongoing results, and trends. Our management believes these non-GAAP financial measures are useful as they provide meaningful comparisons to prior periods and an alternate view of the impact of acquired businesses. These non-GAAP financial measures reflect an additional way of viewing aspects of our operations that, when viewed with our GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provide a more complete understanding of factors and trends affecting our business. A material limitation associated with these non-GAAP measures as compared to the GAAP measures is that they may not be comparable to other companies with similarly titled items that present related measures differently. The non-GAAP measures should be considered as a supplement to, and not as a substitute for or superior to, the corresponding measures calculated in accordance with GAAP. See “Schedule A: Reconciliation of Non-GAAP Financial Measures” in the “Supplemental Information” section further below for reconciliations of non-GAAP financial measures to the most directly comparable financial measure stated in accordance with GAAP.

Safe Harbor Statement

This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements because they contain words such as “believes,” “expects,” “may,” “will,” “should,” “seeks,” “intends,” “plans,” “estimates,” or “anticipates,” or similar expressions which concern our strategy, plans, projections or intentions, but such words are not exclusive means of identifying forward-looking statements in this release. These forward-looking statements are included throughout this release and relate to matters such as our industry, growth strategy, goals and expectations concerning our market position, future operations, margins, profitability, capital expenditures, liquidity and capital resources, and other financial and operating information. By their nature, forward-looking statements: speak only as of the date they are made; are not statements of historical fact or guarantees of future performance; and are subject to risks, uncertainties, assumptions or changes in circumstances that are difficult to predict or quantify. Our expectations, beliefs, and projections are expressed in good faith, and we believe there is a reasonable basis for them. However, there can be no assurance that management’s expectations, beliefs, and projections will result or be achieved, and actual results may vary materially from what is expressed in or indicated by the forward-looking statements. Certain important factors that involve risks and uncertainties and that could cause actual results to differ, possibly materially, from our expectations, beliefs, and projections reflected in such forward-looking statements can be found in the “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” sections included in the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by any applicable securities laws. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made.

There are a number of risks, uncertainties, and other important factors that could cause our actual results to differ materially from the forward-looking statements contained in this release. Such risks, uncertainties, and other important factors include, among others, the risks, uncertainties, and factors included within the filings we make with the SEC from time to time and the following: general economic conditions; our estimates of the size of the markets for our products and services; our ability to identify and integrate acquisitions and technologies into our platform; our plans to continue to expand; our ability to continue to successfully develop and deploy Ingram Micro Xvantage™; our ability to retain and recruit key personnel; the competition our products and services face and our ability to adapt to industry changes and market conditions, including inflation, market volatility, and supply constraints for many categories of technology; current and potential litigation involving us; the global nature of our business, including the various laws and regulations applicable to us now or in the future; the effect of various political, geopolitical, and macroeconomic issues and developments, including changes in tariffs or global trade policies and the related uncertainties associated with such developments, import/export and licensing restrictions, and our ability to comply with laws and regulations we are subject to, both in the United States and internationally; our financing efforts; our relationships with our customers, original equipment manufacturers, and suppliers; our ability to maintain and protect our intellectual property; the performance and security of our services, including information processing and cybersecurity provided by third parties; our ownership structure; our dependence upon Ingram Micro Inc. and its controlled subsidiaries for our results of operations, cash flows, and distributions; and our status as a “controlled company” and the extent to which the interests of Platinum Equity, LLC together with its affiliated investment vehicles (“Platinum”) conflict with our interests or the interests of our stockholders.

Ingram Micro, Xvantage, and associated logos are trademarks of Ingram Micro Inc. (an indirect subsidiary of Ingram Micro Holding Corporation) or its licensors.

Results of Operations

INGRAM MICRO HOLDING CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts in thousands, except par value and share data)

December 27, 2025

December 28, 2024

ASSETS

Current assets:

Cash and cash equivalents

1,864,724

918,401

Trade accounts receivable (less allowances of $169,165 and $146,999, respectively)

10,546,550

9,448,354

Inventory

4,970,113

4,699,483

Other current assets

859,252

734,939

Total current assets

18,240,639

15,801,177

Property and equipment, net

531,896

482,503

Operating lease right-of-use assets

403,224

412,662

Goodwill

854,749

833,662

Intangible assets, net

711,809

772,571

Other assets

502,067

477,115

Total assets

21,244,384

18,779,690

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable

11,963,324

10,005,824

Accrued expenses and other

1,163,587

1,021,958

Short-term debt and current maturities of long-term debt

449,583

184,860

Short-term operating lease liabilities

104,468

93,889

Total current liabilities

13,680,962

11,306,531

Long-term debt, less current maturities

2,749,781

3,168,280

Long-term operating lease liabilities, net of current portion

354,894

369,493

Other liabilities

210,329

201,511

Total liabilities

16,995,966

15,045,815

Commitments and contingencies

Stockholders’ equity:

Common Stock, par value $0.01, 2,000,000,000 shares authorized at December 27, 2025 and December 28, 2024, and 235,073,327 and 234,825,581 shares issued and outstanding at December 27, 2025 and December 28, 2024, respectively

2,351

2,348

Additional paid-in capital

2,921,952

2,903,842

Retained earnings

1,587,330

1,337,399

Accumulated other comprehensive loss

(263,215

)

(509,714

)

Total stockholders’ equity

4,248,418

3,733,875

Total liabilities and stockholders’ equity

21,244,384

18,779,690

INGRAM MICRO HOLDING CORPORATION

CONSOLIDATED STATEMENTS OF INCOME

(Amounts in thousands, except per share data)

Thirteen Weeks Ended (Unaudited)

Fiscal Year

December 27, 2025

December 28, 2024

2025

2024

Net sales

14,877,709

13,344,670

52,556,263

47,983,671

Cost of sales

13,911,306

12,408,585

49,052,292

44,538,726

Gross profit

966,403

936,085

3,503,971

3,444,945

Operating expenses:

Selling, general and administrative

646,729

671,249

2,611,611

2,588,668

Restructuring costs

9,939

16,336

15,432

38,354

Total operating expenses

656,668

687,585

2,627,043

2,627,022

Income from operations

309,735

248,500

876,928

817,923

Other (income) expense:

Interest income

(8,938

)

(13,179

)

(45,731

)

(45,335

)

Interest expense

73,077

80,568

302,570

338,358

Net foreign currency exchange loss (gain)

8,221

(7,037

)

42,342

22,901

Other expense

17,438

21,349

46,993

56,133

Total other (income) expense

89,798

81,701

346,174

372,057

Income before income taxes

219,937

166,799

530,754

445,866

Provision for income taxes

98,527

83,683

202,872

181,644

Net income

121,410

83,116

327,882

264,222

Basic earnings per share

0.52

0.36

1.40

1.18

Diluted earnings per share

0.51

0.36

1.39

1.18

INGRAM MICRO HOLDING CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Amounts in thousands)

Thirteen Weeks Ended (Unaudited)

Fiscal Year

December 27, 2025

December 28, 2024

2025

2024

Cash flows from operating activities:

Net income

121,410

83,116

327,882

264,222

Adjustments to reconcile net income to cash provided by operating activities:

Depreciation and amortization

51,173

48,429

197,186

189,331

Stock based compensation

6,010

34,067

21,117

34,067

Gain on marketable securities, net

(3,200

)

(1,087

)

(11,713

)

(12,233

)

Noncash charges for interest and bond discount amortization

4,762

4,767

18,852

26,374

Amortization of lease right-of-use asset

36,500

32,155

129,031

128,935

Deferred income taxes

(10,085

)

21,509

(28,067

)

(14,984

)

(Gain) loss on foreign exchange

(5,195

)

4,976

35,568

(130

)

Loss on sale of subsidiaries

—

38,248

—

Other

5,510

141

2,357

763

Changes in operating assets and liabilities, net of effects of acquisitions:

Trade accounts receivable

(1,393,868

)

(951,052

)

(1,105,968

)

(1,060,810

)

Inventory

425,106

60,939

(88,216

)

(225,831

)

Other assets

(37,119

)

66,765

(167,313

)

(18,917

)

Accounts payable

2,228,983

730,989

1,709,170

976,171

Change in book overdrafts

45,289

97,542

(127,264

)

134,652

Operating lease liabilities

(41,723

)

(24,420

)

(115,299

)

(118,975

)

Accrued expenses and other

127,002

101,125

80,556

31,204

Cash provided by operating activities

1,560,555

309,961

916,127

333,839

Cash flows from investing activities:

Capital expenditures

(36,825

)

(36,060

)

(130,754

)

(142,703

)

Proceeds from deferred purchase price of factored receivables

106,699

63,322

313,206

252,199

Sale of marketable securities, net

12,482

955

Issuance of notes receivable

—

(8,425

)

(12,501

)

(57,117

)

Proceeds from note receivables

13,440

8,826

44,612

38,291

Proceeds from sale of subsidiaries

2,500

—

20,000

—

Proceeds from sale of equity investments

—

20,805

12,012

Other

(1,043

)

856

(208

)

1,904

Cash provided by investing activities

84,785

28,533

267,642

105,541

Cash flows from financing activities:

Dividends paid to shareholders

(19,230

)

—

(78,376

)

(6,174

)

Change in unremitted cash collections from servicing factored receivables

4,061

4,297

1,592

(11,315

)

Proceeds from issuance of common stock in initial public offering, net of underwriting discounts

—

241,164

—

241,164

Repayment of term loans

—

(233,100

)

(125,000

)

(483,100

)

Gross proceeds from other debt

40,298

12,647

107,014

101,779

Gross repayments of other debt

(10,154

)

(13,329

)

(89,851

)

(118,331

)

Net repayments of revolving and other credit facilities

(630,255

)

(229,615

)

(101,758

)

(66,998

)

Repurchase of common stock for tax withholdings on equity awards

(2,961

)

(14,164

)

(3,093

)

(14,164

)

Purchase of Colsof shares

—

(775

)

—

(22,621

)

Other

(3,613

)

—

(16,750

)

(11,539

)

Cash used in financing activities

(621,854

)

(232,875

)

(306,222

)

(391,299

)

Effect of exchange rate changes on cash and cash equivalents

38,608

(36,690

)

68,776

(78,170

)

Increase (decrease) in cash and cash equivalents

1,062,094

68,929

946,323

(30,089

)

Cash and cash equivalents, beginning of year

802,630

849,472

918,401

948,490

Cash and cash equivalents, end of year

1,864,724

918,401

1,864,724

918,401

Supplemental Information

SCHEDULE A: RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (unaudited)

In addition to its reported results calculated in accordance with U.S. GAAP, the Company has included in this release adjusted income from operations, adjusted EBITDA, return on invested capital (“ROIC”), adjusted ROIC, non-GAAP net income, adjusted free cash flow, and non-GAAP EPS, which are defined as follows:

The following is a reconciliation of income from operations to adjusted income from operations:

($ in thousands)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Income from operations

309,735

248,500

876,928

817,923

Amortization of intangibles

21,561

21,613

84,592

86,878

Restructuring costs

9,939

16,336

15,432

38,354

Integration and transition costs

8,777

17,158

61,034

36,126

Advisory fee

—

1,630

—

20,380

Adjusted Income from Operations

350,012

305,237

1,037,986

999,661

The following is a reconciliation of net income to adjusted EBITDA:

($ in thousands)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Net income

121,410

83,116

327,882

264,222

Interest income

(8,938

)

(13,179

)

(45,731

)

(45,335

)

Interest expense

73,077

80,568

302,570

338,358

Provision for income taxes

98,527

83,683

202,872

181,644

Depreciation and amortization

51,173

48,429

197,186

189,331

EBITDA

335,249

282,617

984,779

928,220

Restructuring costs

9,939

16,336

15,432

38,354

Net foreign currency exchange loss (gain)

8,221

(7,037

)

42,342

22,901

Integration, transition and operational improvement costs

47,327

61,290

215,667

172,764

Advisory fee

—

1,630

—

20,380

Cash-based compensation expense

3,939

6,294

17,832

24,626

Stock-based compensation expense

6,010

34,067

21,117

34,067

Other

20,186

22,864

60,660

77,322

Adjusted EBITDA

430,871

418,061

1,357,829

1,318,634

The following is a reconciliation of net income to ROIC:

($ in thousands)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Net income

121,410

83,116

327,882

264,222

Stockholders' equity

4,248,418

3,733,875

4,248,418

3,733,875

Long-term debt

2,749,781

3,168,280

2,749,781

3,168,280

Short-term debt and current maturities of long-term debt

449,583

184,860

449,583

184,860

Cash and cash equivalents

(1,864,724

)

(918,401

)

(1,864,724

)

(918,401

)

Invested capital

5,583,058

6,168,614

5,583,058

6,168,614

Return on Invested Capital

8.7

5.4

5.9

4.3

Period in weeks for non-52 week periods

Number of weeks

The following is a reconciliation of net income to adjusted ROIC:

($ in thousands)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Net income

121,410

83,116

327,882

264,222

Pre-tax adjustments:

Other expense

89,798

81,701

346,174

372,057

Amortization of intangibles

21,561

21,613

84,592

86,878

Restructuring costs

9,939

16,336

15,432

38,354

Integration and transition costs

8,777

17,158

61,034

36,126

Advisory fee

—

1,630

—

20,380

Tax adjustments:

Tax impact of pre-tax adjustments (a)

(27,971

)

(35,862

)

(122,110

)

(125,100

)

Other discrete items (b)

14,615

7,142

13,586

6,846

Adjusted net income

238,129

192,834

726,590

699,763

Stockholders' equity

4,248,418

3,733,875

4,248,418

3,733,875

Long-term debt

2,749,781

3,168,280

2,749,781

3,168,280

Short-term debt and current maturities of long-term debt

449,583

184,860

449,583

184,860

Cash and cash equivalents

(1,864,724

)

(918,401

)

(1,864,724

)

(918,401

)

Invested Capital

5,583,058

6,168,614

5,583,058

6,168,614

Number of Days

364

Adjusted Return on Invested Capital

17.1

12.5

13.0

11.3

(a)

Tax impact of pre-tax adjustments reflects the current and deferred income taxes associated with the above pre-tax adjustments in arriving at Adjusted Net Income.

(b)

Other discrete items represent non-recurring adjustments resulting from valuation allowance adjustments of $13,792 and $13,866 in Thirteen Weeks Ended December 27, 2025 and Fiscal Year Ended December 27, 2025; adjustments of uncertain tax liabilities of ($1,172) and ($2,184) in Fiscal Year Ended December 27, 2025 and Fiscal Year Ended December 28, 2024; $4,788 non-recurring adjustments to certain deferred tax assets related to IRC Section 162(m) limitations on the tax deductibility of officers' compensation in Thirteen Weeks Ended December 28, 2024 and Fiscal Year Ended December 28, 2024; and other minor non-recurring items.

The following is a reconciliation of net income to non-GAAP net income:

($ in thousands)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Net income

121,410

83,116

327,882

264,222

Pre-tax adjustments:

Amortization of intangibles

21,561

21,613

84,592

86,878

Restructuring costs

9,939

16,336

15,432

38,354

Net foreign currency exchange loss (gain)

8,221

(7,037

)

42,342

22,901

Integration, transition and operational improvement costs

47,327

61,290

215,667

172,764

Advisory fee

—

1,630

—

20,380

Cash-based compensation expense

3,939

6,294

17,832

24,626

Stock-based compensation expense

6,010

34,067

21,117

34,067

Other items

18,745

20,568

53,285

67,055

Tax Adjustments:

Tax impact of pre-tax adjustments (a)

(25,091

)

(31,922

)

(109,800

)

(110,207

)

Other miscellaneous tax adjustments (b)

14,615

7,142

13,586

6,846

Non-GAAP Net Income

226,676

213,097

681,935

627,886

(a)

Tax impact of pre-tax adjustments reflects the current and deferred income taxes associated with the above pre-tax adjustments in arriving at Non-GAAP Net Income.

(b)

Other miscellaneous tax adjustments represent non-recurring adjustments resulting from valuation allowance adjustments of $13,792 and $13,866 in Thirteen Weeks Ended December 27, 2025 and Fiscal Year Ended December 27, 2025; adjustments of uncertain tax liabilities of ($1,172) and ($2,184) in Fiscal Year Ended December 27, 2025 and Fiscal Year Ended December 28, 2024; $4,788 non-recurring adjustments to certain deferred tax assets related to IRC Section 162(m) limitations on the tax deductibility of officers' compensation in Thirteen Weeks Ended December 28, 2024 and Fiscal Year Ended December 28, 2024; and other minor non-recurring items.

The following is a reconciliation of net income to adjusted free cash flow:

($ in thousands)

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Net Income

121,410

83,116

327,882

264,222

Depreciation and amortization

51,173

48,429

197,186

189,331

Other non-cash items and changes to non-working capital assets/liabilities

82,462

239,998

3,337

56,104

Changes in working capital

1,305,510

(61,582

)

387,722

(175,818

)

Cash provided by operating activities

1,560,555

309,961

916,127

333,839

Capital expenditures

(36,825

)

(36,060

)

(130,754

)

(142,703

)

Proceeds from deferred purchase price of factored receivables

106,699

63,322

313,206

252,199

Adjusted free cash flow

1,630,429

337,223

1,098,579

443,335

The following are reconciliations of basic and diluted GAAP EPS to basic and diluted non-GAAP EPS:

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Basic EPS - GAAP

0.52

0.36

1.40

1.18

Amortization of intangibles

0.09

0.36

0.39

Restructuring costs

0.04

0.07

0.17

Net foreign currency exchange loss (gain)

0.03

(0.03

)

0.18

0.10

Integration, transition and operational improvement costs

0.20

0.26

0.92

0.77

Advisory fee

—

0.01

—

0.09

Cash-based compensation expense

0.02

0.03

0.08

0.11

Stock-based compensation expense

0.03

0.15

0.09

0.15

Other items

0.08

0.09

0.23

0.30

Tax Adjustments:

Tax impact of pre-tax adjustments

(0.11

)

(0.14

)

(0.48

)

(0.50

)

Other miscellaneous tax adjustments

0.06

0.03

0.05

0.03

Non-GAAP Basic EPS

0.96

0.92

2.90

2.79

Thirteen Weeks Ended December 27, 2025

Thirteen Weeks Ended December 28, 2024

Fiscal Year Ended December 27, 2025

Fiscal Year Ended December 28, 2024

Diluted EPS - GAAP (a)

0.51

0.36

1.39

1.18

Amortization of intangibles

0.09

0.36

0.39

Restructuring costs

0.04

0.07

0.17

Net foreign currency exchange loss (gain)

0.03

(0.03

)

0.18

0.10

Integration, transition and operational improvement costs

0.20

0.26

0.92

0.77

Advisory fee

—

0.01

—

0.09

Cash-based compensation expense

0.02

0.03

0.08

0.11

Stock-based compensation expense

0.03

0.15

0.09

0.15

Other items

0.08

0.09

0.23

0.30

Tax Adjustments:

Tax impact of pre-tax adjustments

(0.10

)

(0.14

)

(0.48

)

(0.50

)

Other miscellaneous tax adjustments

0.06

0.03

0.06

0.03

Non-GAAP Diluted EPS (a)

0.96

0.92

2.90

2.79

(a)

GAAP and non-GAAP Diluted EPS for the Thirteen Weeks Ended December 27, 2025, Thirteen Weeks Ended December 28, 2024, Fiscal Year Ended December 27, 2025 and Fiscal Year Ended December 28, 2024 includes 940,738, 288,173, 470,814 and 72,043, respectively, of outstanding restricted stock units that are dilutive.

Our release contains forward-looking estimates of non-GAAP diluted EPS for the fiscal first quarter 2026. We provide this non-GAAP measure to investors on a prospective basis for the same reasons (set forth above) that we provide it to investors on a historical basis. We are unable to provide a reconciliation of our forward-looking estimate of fiscal first quarter 2026 GAAP diluted EPS to a forward-looking estimate of fiscal first quarter 2026 non-GAAP diluted EPS because certain information needed to make a reasonable forward-looking estimate of GAAP diluted EPS for fiscal first quarter 2026 is unreasonably difficult to predict and estimate and is often dependent on future events that may be uncertain or outside of our control, such as unanticipated non-recurring items not reflective of ongoing operations. In addition, we believe such reconciliations would imply a degree of precision that would be confusing or misleading to investors. The unavailable information could have a significant impact on our future financial results. Our forward-looking estimates of both GAAP and non-GAAP measures of our financial performance may differ materially from our actual results and should not be relied upon as statements of fact.