Ingram Micro Reports 11.5% Q4 Revenue Growth and $1.6B Record Cash Flow
Ingram Micro’s Q4 revenue rose 11.5% year-on-year to drive EPS of $0.96 and record adjusted free cash flow of $1.6 billion, highest in over a decade. Full-year 2025 net sales reached $52.6 billion, debt-to-EBITDA improved to 1.0x, and Q1 sales are guided at $12.45–12.80 billion.
1. Q4 Financial Performance
In the fourth quarter, revenue rose 11.5% year-on-year while EPS reached $0.96. Adjusted free cash flow hit $1.6 billion, marking the highest quarterly level in over a decade, though gross profit margin dipped to 6.50% due to sales mix shifts.
2. Full-Year 2025 Results
For fiscal 2025, net sales climbed 9.5% to $52.6 billion, non-GAAP net income increased 8.6% to $681.9 million, and adjusted EBITDA rose to $1.36 billion. Operating expenses represented 5.00% of net sales at $2.63 billion, and net debt to adjusted EBITDA improved to 1.0 times.
3. Strategic Drivers
Strong demand in GPU and AI infrastructure products bolstered sales, while the Xvantage platform more than doubled self-service orders year-on-year, driving operational efficiencies. Improved operating leverage contributed to a 47 basis point reduction in the expense ratio.
4. Q1 2026 Outlook and Risks
Management forecasts Q1 net sales of $12.45–12.80 billion, expecting flat to low single-digit growth in Client and Endpoint Solutions and low to mid-single-digit growth in Advanced Solutions. Potential margin pressure from AI infrastructure, higher cash usage due to low working capital, and risks from tariffs, interest rates, and geopolitical uncertainties may impact results.