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ePlus (PLUS) investor relations material
ePlus Small-Cap Virtual Conference summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Strategic direction and business transformation
Divested finance segment in June 2025 to focus on technology and unlock financial flexibility for growth and shareholder returns.
Initiated first quarterly dividend and expanded share repurchase program to 1.5 million shares.
Capital allocation prioritizes M&A, organic investments, and returning value to shareholders.
M&A targets include geographic expansion and acquiring technical expertise, especially in services and AI.
Leadership team has deep industry experience and a collaborative approach to strategy.
Market positioning and service offerings
Focus areas include data center, cloud, AI, networking, security, and collaboration.
Services now comprise nearly 20% of net sales, with managed services growing at 25% annually.
Security accounts for 22% of gross billings; AI-related services are positioned as a growth driver.
Differentiation comes from higher-margin services and avoidance of low-margin commodity sales.
Customer base spans mid-market to Fortune 100, with a strong presence in healthcare, finance, telecom, SLED, and technology.
Financial performance and outlook
Net sales CAGR of 7% and gross billings CAGR of 10% over five years.
Services revenue CAGR of 19%, with professional and managed services gross profit growing at 13% and 24% respectively.
Consolidated gross margin increased from 23% to 26% (2021–2025), driven by higher-margin services.
Net earnings and EPS CAGR of 12% and 11% (non-GAAP) over five years.
Guidance for fiscal 2025: upper single-digit net sales and gross profit growth, mid-teens adjusted EBITDA growth.
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