Synnex surges as FYQ3 results beat, forecast higher as well

Shares of Synnex, the Fremont, California-based tech distributor, rose by 7% in late trading after the company's quarterly results and outlook topped expectations.
Written by Tiernan Ray, Senior Contributing Writer

Synnex, the Fremont, California, distributor of technology products, this afternoon reported fiscal Q3 revenue and profit that handily beat expectations, and forecast this quarter's results comfortably ahead as well, sending its shares surging in late trading. 

Dennis Polk, the company's CEO, said the financial results were "a reflection of our resiliency, our ongoing focus on serving our partners and clients and the continued dedication of our associates on the growth and improvement of our business during these unprecedented times." 

Polk said the company is "on track" with a proposal to spin out its business unit that provides business process automation, Concentrix, which was originally announced back in January.

Revenue in the three months ended in August rose to $6.47 billion, yielding EPS of $3.33. That was well ahead of the average estimate for $5.7 billion and $2.26 per share. 

For the current quarter, the company sees revenue in a range of $6.45 billion to $6.65 billion, and EPS in a range of $3.68 to $3.93. That is, again, ahead of consensus for $6.04 billion and $3.36.

Synnex stock is up $8.65, or almost 7%, at $140.80, in late trading. 

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