George Wong's questions to TD Synnex Corp (SNX) leadership • Q1 2025
Question
George Wong from Barclays asked about the company's geographic exposure and potential for share gains, the reasons for softer performance in Europe, and the outlook for operating expense efficiency.
Answer
CFO Marshall Witt noted that SG&A as a percentage of gross profit was temporarily high due to Hyve's lower gross profit, but the core distribution business saw an excellent 50% of gross profit growth fall to the bottom line. CEO Patrick Zammit added that Europe grew faster than the market, with margin pressure from vendor mix, and highlighted APJ and Latin America as key profitable growth regions due to an SMB focus.