Ingram Micro Reports 8.3% Net Sales Increase to $12.28 Billion in Q1 2025

Ingram Micro Holding Corporation reported a net sales increase of 8.3% for the thirteen weeks ended March 29, 2025, reaching $12.28 billion compared to $11.33 billion for the same period in 2024. The growth was primarily driven by strong performance in the Asia-Pacific, North America, and EMEA regions, which offset a decline in Latin America. The company’s gross profit for the quarter was $828.76 million, slightly down from $834.94 million year-over-year, resulting in a gross margin decrease of 62 basis points to 6.75%. The decline in gross margin was attributed to a shift in sales mix towards lower-margin products, particularly in the client and endpoint solutions category.

Operating expenses decreased to $627.90 million from $664.82 million, largely due to a reduction in selling, general, and administrative expenses, which fell by $16.19 million. The company recognized restructuring costs of $1.93 million during the quarter, significantly lower than the $22.67 million incurred in the same quarter of the previous year. This reduction in costs contributed to an increase in income from operations to $200.86 million, or 1.64% of net sales, compared to $170.12 million, or 1.50% of net sales, in the prior year.

Ingram Micro's strategic focus on expanding its Advanced Solutions and Cloud-based Solutions segments has continued to pay off, with these categories now comprising over one-third of total net sales. The company reported a 12% increase in client and endpoint solutions, a 2% increase in advanced solutions, and a 5% increase in cloud-based solutions. However, Latin America experienced an 8.5% decline in net sales, primarily due to decreased demand for client and endpoint solutions.

The company’s balance sheet showed total assets of $18.63 billion as of March 29, 2025, down from $18.78 billion at the end of the previous fiscal year. Total liabilities also decreased to $14.77 billion from $15.05 billion, with long-term debt standing at $3.03 billion. Ingram Micro's cash and cash equivalents were reported at $881.64 million, a decrease from $918.40 million at the end of December 2024. The company continues to manage its working capital effectively, with a focus on optimizing inventory levels and improving cash flow from operations.

Looking ahead, Ingram Micro anticipates continued growth driven by its strategic investments in cloud and advanced solutions, despite facing challenges from competitive pricing pressures and fluctuating foreign exchange rates. The company remains committed to enhancing operational efficiencies and leveraging its global presence to capture market opportunities.