Ingram Micro Holding Corporation Reports Strong Fiscal 2025 Growth with Double-Digit Q4 Sales Increase and Record Cash Flow
Ingram Micro Holding Corporation (“Ingram Micro” or the “Company”), a leading technology company serving the global information technology ecosystem, announced financial results for its fiscal fourth quarter and full fiscal year ended December 27, 2025, highlighting continued revenue growth, improved operating leverage, and exceptional cash flow generation.
The Company capped off 2025 with strong fourth quarter performance, exceeding the high end of its net sales and earnings per share guidance while reporting growth across all geographic regions. For the fourth quarter, net sales reached $14.9 billion, an 11.5% increase year over year. GAAP net income rose 46.1% to $121.4 million, or $0.51 per diluted share, compared with $0.36 per share in the prior-year quarter. On a non-GAAP basis, net income totaled $226.7 million, or $0.96 per diluted share, exceeding the upper end of management’s guidance and representing year-over-year growth of 6.4% in earnings and 4.3% in EPS.
Leadership Commentary and Strategic Momentum
Paul Bay, Chief Executive Officer of Ingram Micro, emphasized the Company’s solid execution and forward-looking positioning.
“Ingram Micro delivered a strong fourth quarter and full year, and we enter 2026 with confidence,” Bay said. “We exceeded the high end of our net sales and EPS guidance and saw growth across all of our regions. 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.”
The Company’s AI-powered digital platform, Ingram Micro Xvantage™, has become central to its long-term strategy, integrating hardware, cloud subscriptions, personalized recommendations, pricing automation, and lifecycle management tools. Management believes the platform is enhancing operational efficiency while supporting higher-margin, solution-oriented sales.
Chief Financial Officer Mike Zilis noted that disciplined execution and cost management were key contributors to 2025 results.
“We delivered 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,” Zilis said. “We generated $1.6 billion in adjusted free cash flow in the fourth quarter—the highest quarterly level in more than a decade—positioning us to capitalize on higher-margin growth opportunities.”
Fourth Quarter Fiscal 2025 Performance
Revenue and Gross Profit
Net sales for the fourth quarter totaled $14.9 billion, up $1.5 billion from $13.3 billion in the same period last year. Growth was broad-based across all geographic segments, with foreign currency translation contributing approximately 2.4% to the year-over-year increase.
Gross profit rose to $966.4 million, compared with $936.1 million in the prior-year quarter. However, gross margin declined to 6.50% from 7.01%, reflecting a sales mix shift toward lower-margin client and endpoint solutions, increased large enterprise project activity in AI-enablement technologies, and a higher geographic mix from the lower-margin Asia-Pacific region. The prior-year quarter also included contribution from the CloudBlue business, which was divested in the third quarter of 2025.
Operating Income and Margins
Income from operations increased significantly to $309.7 million from $248.5 million in the prior year, with operating margin improving to 2.08% from 1.86%. Adjusted income from operations rose to $350.0 million, representing a 2.35% margin.
Operating leverage improved as higher net sales were supported by disciplined expense management. The quarter also benefited from expected insurance recoveries tied to a previously disclosed matter, partially offsetting professional fees and related costs incurred earlier in the year.
Adjusted EBITDA reached $430.9 million, up from $418.1 million in the prior-year quarter.
Earnings and Cash Flow
Diluted GAAP EPS increased to $0.51 from $0.36 year over year. Non-GAAP diluted EPS improved to $0.96 from $0.92.
Cash flow generation was particularly strong. Cash provided by operations totaled $1.56 billion, compared to $310.0 million in the prior-year quarter. Adjusted free cash flow surged to $1.63 billion, compared to $337.2 million a year earlier, driven by strong earnings and effective working capital management.
Regional Fourth Quarter Highlights
North America:
Net sales rose to $5.1 billion from $4.7 billion, driven by advanced solutions—particularly server, storage, and AI-enablement projects—as well as client and endpoint solutions such as PCs. Operating income declined to $50.6 million due to margin compression and higher SG&A expenses, including software investments and compensation adjustments. Operating margin was 0.99%.
EMEA:
Sales increased to $4.6 billion from $4.1 billion, supported by growth across all product lines, especially PCs, networking, server, and storage. Operating income rose to $115.4 million, and operating margin improved to 2.49%, reflecting stronger gross profit and reduced restructuring and compensation costs.
Asia-Pacific:
Revenue grew to $4.1 billion from $3.6 billion, led by mobility, components, and cloud solutions. Operating income more than doubled to $114.6 million, supported by insurance-related recoveries and improved expense leverage. Operating margin expanded to 2.82%.
Latin America:
Net sales increased to $1.1 billion from $1.0 billion, driven primarily by PCs. Operating income remained stable at $44.1 million, while margin modestly declined to 4.08% due to higher SG&A and bad debt expenses.
For the full fiscal year, net sales totaled $52.6 billion, representing 9.5% growth compared with $48.0 billion in fiscal 2024. Growth occurred across all geographic segments, with foreign currency translation contributing approximately 0.5%.
Gross profit increased to $3.50 billion, though gross margin declined to 6.67% from 7.18%, reflecting ongoing mix shifts toward lower-margin product categories and enterprise-focused AI solutions.
Income from operations rose to $876.9 million from $817.9 million, while adjusted income from operations reached $1.04 billion. GAAP diluted EPS increased to $1.39 from $1.18, and non-GAAP diluted EPS rose to $2.90 from $2.79.
Cash provided by operating activities totaled $916.1 million, compared with $333.8 million in fiscal 2024. Adjusted free cash flow reached $1.10 billion, reflecting disciplined working capital optimization and strong profitability.
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