8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 4, 2023

ScanSource, Inc.

(Exact name of registrant as specified in its charter)

SC	00-26926	57-0965380
(State or other jurisdiction<br>of incorporation)	(Commission File Number)	(IRS Employer<br>Identification No.)

6 Logue Court, Greenville, SC 29615

(Address of principal executive offices, including zip code)

864-288-2432

(Registrant’s telephone number, including area code)

Title of Each Class	Trading Symbol	Name of Each Exchange on Which Registered
Common Stock, no par value	SCSC	NASDAQ Global Select Market

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | | --- | --- || ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | | --- | --- || ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | | --- | --- || ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | | --- | --- |

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934.

Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.   ☐

Item 2.02. Results of Operations and Financial Condition

On May 9, 2023, ScanSource, Inc. (the "Company") issued a press release announcing its financial results for its third quarter ended March 31, 2023. A copy of the press release and accompanying Earnings Infographic are attached as Exhibits 99.1 and 99.2 hereto and incorporated herein by reference and also made available through the Company’s website at www.scansource.com. An updated investor presentation will be made available on the Company's website within approximately two weeks.

The information in Item 2.02 of this Report, including the exhibits, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any other filing under the Securities Act of 1933 or the Exchange Act.

Item 5.02. Departure of Director or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On May 4, 2023, the Company appointed Brandy Ford as Senior Vice President, Chief Accounting Officer of the Company, effective May 4, 2023. Ms. Ford, age 43, has served as the Company's Vice President, Corporate Controller since May 2021. Prior to that, Ms. Ford served in corporate accounting and financial reporting management roles with the Company from July 2011 to May 2021.

Item 9.01. Financial Statements and Exhibits

(d) Exhibits

99.1 – Press release issued by ScanSource, Inc. on May 9, 2023. The information contained in the attached exhibit is unaudited and should be read in conjunction with the Company’s annual and quarterly reports filed with the Securities and Exchange Commission.

99.2 – Earnings Infographic for the financial results conference call held on May 9, 2023.  The information contained in the attached exhibit is unaudited and should be read in conjunction with the Company’s annual and quarterly reports filed with the Securities and Exchange Commission.

Exhibit<br>Number	Description
99.1	Press release
99.2	Earnings Infographic
104	Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		ScanSource, Inc.
Date:	May 9, 2023	/s/ STEVE JONES
		Steve Jones
		Senior Executive Vice President and Chief Financial Officer

Document

Exhibit 99.1

FOR IMMEDIATE RELEASE

Contact:
Steve Jones	Mary M. Gentry
Senior EVP, Chief Financial Officer	SVP, Treasurer and Investor Relations
ScanSource, Inc.	ScanSource, Inc.
(864) 286-4302	(864) 286-4892

SCANSOURCE THIRD QUARTER RESULTS EXCEED EXPECTATIONS

Diversified Portfolio of Technologies Drove 5% Net Sales Growth

GREENVILLE, SC -- May 9, 2023 -- ScanSource, Inc. (NASDAQ: SCSC), a leading hybrid distributor connecting devices to the cloud, today announced financial results for the third quarter ended March 31, 2023.

	Third Quarter Summary
	Q3 FY23			Q3 FY22			Change
	(in thousands, except per share data)
Select reported measures:
Net sales	$	885,519		$	845,990		4.7%
Gross profit	$	111,762		$	106,508		4.9%
Gross profit margin %	12.62		%	12.59		%	3bp
Operating income	$	34,279		$	32,917		4.1%
GAAP net income	$	21,221		$	23,526		-9.8%
GAAP diluted EPS	$	0.83		$	0.91		-8.8%
Select Non-GAAP measures:
Adjusted EBITDA	$	45,656		$	44,115		3.5%
Adjusted EBITDA margin %	5.16		%	5.21		%	-5bp
Non-GAAP net income	$	24,330		$	26,879		-9.5%
Non-GAAP diluted EPS	$	0.96		$	1.04		-7.7%

“Throughout fiscal year 2023, our team has delivered results ahead of expectations,” said Mike Baur, Chairman and CEO, ScanSource, Inc. “Our strong results for the quarter demonstrate how our diversified portfolio of technologies is driving our hybrid distribution success.”

Quarterly Results

Net sales for the third quarter of fiscal year 2023 totaled $885.5 million, up 4.7% year-over-year. Specialty Technology Solutions net sales for the third quarter increased 12.4% year-over-year to $565.7 million, led by growth in networking, security, and barcoding. Modern Communications & Cloud net sales for the third quarter decreased 6.7% year-over-year to $319.9 million. Strength in networking was offset by lower sales volumes in communications hardware as business shifts to the cloud.

Gross profit for the third quarter of fiscal year 2023 increased 4.9% year-over-year to $111.8 million, in line with higher sales volume. Gross profit margin for the third quarter was 12.62% versus 12.59% in the prior-year quarter.

For the third quarter of fiscal year 2023, operating income increased to $34.3 million from $32.9 million in the prior-year quarter. Third quarter fiscal year 2023 non-GAAP operating income increased to $38.4 million for a 4.34% non-GAAP operating income margin, up from $37.4 million for the prior-year quarter.

On a GAAP basis, net income for the third quarter of fiscal year 2023 totaled $21.2 million, or $0.83 per diluted share, compared to net income of $23.5 million, or $0.91 per diluted share, for the prior-year quarter. Third quarter fiscal year 2023 non-GAAP net income totaled $24.3 million, or $0.96 per diluted share, down from $26.9 million, or $1.04 per diluted share,

for the prior-year quarter. Interest expense increased to $5.7 million, up significantly from $1.5 million for the prior-year quarter, reflecting higher interest rates and higher borrowings.

Adjusted EBITDA for the third quarter of fiscal year 2023 increased 3.5% to $45.7 million, or 5.16% of net sales, compared to $44.1 million, or 5.21% of net sales, for the prior-year quarter. Adjusted return on invested capital totaled 14.6% for third quarter fiscal year 2023, compared to 18.0% in the prior-year quarter, primarily from increased average invested capital for the current-year quarter. Third quarter operating cash flow was $54.8 million driven by strong net income and reduced working capital quarter over quarter.

Annual Financial Outlook for Fiscal Year 2023

ScanSource raises its expectation for adjusted EBITDA for the full fiscal year ended June 30, 2023 and replaces previously provided guidance.

	FY23 Annual Outlook	Prior FY23 Outlook
Net sales growth, year-over-year	At least 6.5%	At least 6.5%
Adjusted EBITDA (non-GAAP)	At least $182 million	At least $176 million

Adjusted EBITDA is a non-GAAP measure, which excludes estimates for amortization of intangible assets, depreciation expense, and non-cash share-based compensation expense. ScanSource’s outlook does not include the potential impact of any business combinations, asset acquisitions, divestitures, strategic investments, or other significant transactions that may be completed after the date hereof. These statements are forward-looking, and actual results may differ materially.

Webcast Details and Earnings Infographic

At approximately 8:45 a.m. ET today, an Earnings Infographic, as a supplement to this press release and the Company's conference call, will be available on ScanSource's website, www.scansource.com (Investor Relations section). ScanSource will present additional information about its financial results and business in a conference call today, May 9, 2023, at 10:30 a.m. ET. A webcast of the call will be available for all interested parties and can be accessed at www.scansource.com (Investor Relations section). The webcast will be available for replay for 60 days.

Safe Harbor Statement

This press release contains “forward-looking” statements, including the Company's FY23 outlook, which involve risks and uncertainties. Any number of factors could cause actual results to differ materially from anticipated or forecasted results, including, but not limited to, failure to hire and retain quality employees, risk to the Company's business from a cyber-security attack, supply chain challenges, the failure to manage and implement the Company's organic growth strategy, economic weakness and inflation, a failure of the Company's IT systems, a failure to acquire new businesses, changes in interest and exchange rates and regulatory regimes impacting the Company's international operations, credit risks involving the Company's larger customers and suppliers, loss of the Company's major customers, termination of the Company's relationship with key suppliers or a significant modification of the terms under which it operates with a key supplier, changes in the Company's operating strategy, and other factors set forth in the "Risk Factors" contained in the Company's annual report on Form 10-K for the year ended June 30, 2022, and subsequent reports on Form 10-Q, filed with the Securities and Exchange Commission. Except as may be required by law, the Company expressly disclaims any obligation to update these forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.

Non-GAAP Financial Information

In addition to disclosing results that are determined in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the Company also discloses certain non-GAAP financial measures, which are summarized below. Non-GAAP financial measures are used to understand and evaluate performance, including comparisons from period to period. Non-GAAP results exclude amortization of intangible assets related to acquisitions, change in fair value of contingent consideration, acquisition costs, restructuring costs and other non-GAAP adjustments.

Net sales on a constant currency basis, excluding acquisitions (organic growth): The Company discloses the percentage change in net sales excluding the translation impact from changes in foreign currency exchange rates between reporting periods

and excluding the net sales from acquisitions prior to the first full year from the acquisition date. This measure enhances the comparability between periods to help analyze underlying trends on an organic basis.

Additional Non-GAAP Metrics: To evaluate current period performance on a more consistent basis with prior periods, the Company discloses non-GAAP SG&A expenses, non-GAAP operating income, non-GAAP net income and non-GAAP diluted earnings per share (non-GAAP diluted "EPS"). Non-GAAP results exclude amortization of intangible assets related to acquisitions, changes in fair value of contingent consideration, acquisition and divestiture costs, impairment charges, restructuring costs, and other non-GAAP adjustments. These year-over-year metrics include the translation impact of changes in foreign currency exchange rates. Non-GAAP metrics are useful in assessing and understanding the Company's operating performance, especially when comparing results with previous periods or forecasting performance for future periods.

Adjusted earnings before interest expense, income taxes, depreciation, and amortization (“Adjusted EBITDA”): Adjusted EBITDA starts with net income and adds back interest expense, income tax expense, depreciation expense, amortization of intangible assets, changes in fair value of contingent considerations, and other non-GAAP adjustments, including acquisition and divestiture costs, impairment charges, restructuring costs and non-cash share-based compensation expense. Since Adjusted EBITDA excludes some non-cash costs of investing in our business and people, management believes that Adjusted EBITDA shows the profitability from our business operations more clearly. The presentation for Adjusted EBITDA for all periods presented has been recast to reflect this change to enhance comparability between periods. The Adjusted EBITDA margin is calculated as Adjusted EBITDA as a percentage of net sales.

Net debt: Net debt is defined as total consolidated debt minus consolidated cash and cash equivalents.

Adjusted return on invested capital ("Adjusted ROIC"): Adjusted ROIC assists management in comparing the Company's performance over various reporting periods on a consistent basis because it removes from our operating results the impact of items that do not reflect our core operating performance. We believe the calculation of Adjusted ROIC provides useful information to investors and is an additional relevant comparison of our performance. Adjusted ROIC is calculated as Adjusted EBITDA over invested capital. Invested capital is defined as average equity plus average daily funded interest-bearing debt for the period. Management believes the calculation of Adjusted ROIC provides useful information to investors and is an additional relevant comparison of the Company's performance during the year.

These non-GAAP financial measures have limitations as analytical tools, and the non-GAAP financial measures that the Company reports may not be comparable to similarly titled amounts reported by other companies. Analysis of results and outlook on a non-GAAP basis should be considered in addition to, and not in substitution for or as superior to, measurements of financial performance prepared in accordance with GAAP. A reconciliation of the Company's non-GAAP financial information to GAAP is set forth in the Supplementary Information (Unaudited) below.

About ScanSource, Inc.

ScanSource, Inc. (NASDAQ: SCSC) is a leading hybrid distributor connecting devices to the cloud and accelerating growth for customers across hardware, SaaS, connectivity and cloud. ScanSource enables customers to deliver solutions for their end users to address changing buying and consumption patterns. ScanSource sells through multiple, specialized routes-to-market with hardware, SaaS, connectivity and cloud services offerings from the world’s leading suppliers of point-of-sale (POS), payments, barcode, physical security, unified communications and collaboration, telecom and cloud services. Founded in 1992 and headquartered in Greenville, South Carolina, ScanSource was named one of the 2022 Best Places to Work in South Carolina and on FORTUNE magazine’s 2023 List of World’s Most Admired Companies. ScanSource ranks #773 on the Fortune 1000. For more information, visit www.scansource.com.

ScanSource Third Quarter Results Exceed Expectations

ScanSource, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets (Unaudited)
(in thousands)
	March 31, 2023		June 30, 2022*
Assets
Current assets:
Cash and cash equivalents	$	37,374	$	37,987
Accounts receivable, less allowance of $14,236 at March 31, 2023<br><br>and $16,806 at June 30, 2022	684,458		729,442
Inventories	752,763		614,814
Prepaid expenses and other current assets	102,946		141,562
Total current assets	1,577,541		1,523,805
Property and equipment, net	36,486		37,477
Goodwill	215,326		214,435
Identifiable intangible assets, net	72,192		84,427
Deferred income taxes	14,300		15,668
Other non-current assets	64,537		61,616
Total assets	$	1,980,382	$	1,937,428
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable	$	656,688	$	714,177
Accrued expenses and other current liabilities	77,045		88,455
Income taxes payable	4,441		34
Current portion of long-term debt	5,977		11,598
Total current liabilities	744,151		814,264
Deferred income taxes	3,202		3,144
Long-term debt, net of current portion	145,881		123,733
Borrowings under revolving credit facility	159,194		135,839
Other long-term liabilities	49,059		53,920
Total liabilities	1,101,487		1,130,900
Commitments and contingencies
Shareholders’ equity:
Preferred stock, no par value; 3,000,000 shares authorized, none issued	—		—
Common stock, no par value; 45,000,000 shares authorized, 25,007,396 and 25,187,351 shares issued and outstanding at March 31, 2023 and June 30, 2022, respectively	60,475		64,297
Retained earnings	917,866		846,869
Accumulated other comprehensive loss	(99,446)		(104,638)
Total shareholders’ equity	878,895		806,528
Total liabilities and shareholders’ equity	$	1,980,382	$	1,937,428

*Derived from audited financial statements.

ScanSource Third Quarter Results Exceed Expectations

ScanSource, Inc. and Subsidiaries
Condensed Consolidated Income Statements (Unaudited)
(in thousands, except per share data)
	Quarter ended March 31,				Nine months ended March 31,
	2023		2022		2023		2022
Net sales	$	885,519	$	845,990	$	2,840,573	$	2,567,652
Cost of goods sold	773,757		739,482		2,499,992		2,251,920
Gross profit	111,762		106,508		340,581		315,732
Selling, general and administrative expenses	70,669		66,522		211,337		199,538
Depreciation expense	2,644		2,612		8,085		8,039
Intangible amortization expense	4,170		4,457		12,561		13,413
Operating income	34,279		32,917		108,598		94,742
Interest expense	5,715		1,483		14,223		4,637
Interest income	(1,710)		(1,000)		(5,327)		(2,973)
Other expense, net	361		(136)		1,314		668
Income before income taxes	29,913		32,570		98,388		92,410
Provision for income taxes	8,692		9,044		27,391		23,659
Net income from continuing operations	21,221		23,526		70,997		68,751
Net income from discontinued operations	—		—		—		100
Net income	$	21,221	$	23,526	$	70,997	$	68,851
Per share data:
Net income from continuing operations per common share, basic	$	0.84	$	0.92	$	2.81	$	2.69
Net income from discontinued operations per common share, basic	—		—		—		—
Net income per common share, basic	$	0.84	$	0.92	$	2.81	$	2.69
Weighted-average shares outstanding, basic	25,196		25,635		25,228		25,577
Net income from continuing operations per common share, diluted	$	0.83	$	0.91	$	2.79	$	2.66
Net income from discontinued operations per common share, diluted	—		—		—		—
Net income per common share, diluted	$	0.83	$	0.91	$	2.79	$	2.67
Weighted-average shares outstanding, diluted	25,439		25,853		25,436		25,812

ScanSource Third Quarter Results Exceed Expectations

ScanSource, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows (Unaudited)
(in thousands)
	Nine months ended March 31,
		2023		2022
Cash flows from operating activities:
Net income		$	70,997	$	68,851
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization		21,359		22,184
Amortization of debt issue costs		481		313
Provision for doubtful accounts		1,852		156
Share-based compensation		8,633		8,792
Deferred income taxes		1,409		1,995
Finance lease interest		31		32
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable		46,652		(67,404)
Inventories		(136,257)		(118,349)
Prepaid expenses and other assets		39,178		(15,002)
Other non-current assets		(1,772)		(2,791)
Accounts payable		(60,717)		67,535
Accrued expenses and other liabilities		(16,780)		(12,745)
Income taxes payable		4,426		862
Net cash used in operating activities		(20,508)		(45,671)
Cash flows from investing activities:
Capital expenditures		(6,549)		(3,326)
Cash received for business disposal		—		3,125
Net cash used in investing activities		(6,549)		(201)
Cash flows from financing activities:
Borrowings on revolving credit, net of expenses		1,871,909		1,597,270
Repayments on revolving credit, net of expenses		(1,848,554)		(1,552,976)
Borrowings (repayments) on long-term debt, net		16,527		(5,968)
Repayments on finance lease obligation		(612)		(932)
Debt issuance costs		(1,407)		—
Exercise of stock options		853		1,592
Taxes paid on settlement of equity awards		(2,433)		(2,729)
Common stock repurchased		(10,718)		(8,527)
Net cash provided by financing activities		25,565		27,730
Effect of exchange rate changes on cash and cash equivalents		879		(1,037)
Decrease in cash and cash equivalents		(613)		(19,179)
Cash and cash equivalents at beginning of period		37,987		62,718
Cash and cash equivalents at period end		$	37,374	$	43,539

ScanSource Third Quarter Results Exceed Expectations

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
(in thousands, except percentages)
Non-GAAP Financial Information:
	Quarter ended March 31,
	2023			2022
Adjusted return on invested capital ratio (Adjusted ROIC), annualized(a)	14.6		%	18.0		%
Reconciliation of Net Income to Adjusted EBITDA:
Net income (GAAP)	$	21,221		$	23,526
Plus: Interest expense	5,715			1,483
Plus: Income taxes	8,692			9,044
Plus: Depreciation and amortization	7,074			7,305
EBITDA (non-GAAP)	42,702			41,358
Plus: Share-based compensation	2,954			2,757
Adjusted EBITDA (numerator for Adjusted ROIC) (non-GAAP)	$	45,656		$	44,115
Invested Capital Calculations:
Equity – beginning of the quarter	$	862,386		$	768,525
Equity – end of the quarter	878,895			806,654
Plus: Share-based compensation, net	2,191			2,063
Average equity	871,736			788,621
Average funded debt (b)	398,318			205,073
Invested capital (denominator for Adjusted ROIC) (non-GAAP)	$	1,270,054		$	993,694
(a) The annualized adjusted EBITDA amount is divided by days in the quarter times 365 days per year, or 366 days for leap year. There were 90 days in the current and prior-year quarter.
(b) Average funded debt is calculated as the average daily amounts outstanding on short-term and long-term interest-bearing debt.

ScanSource Third Quarter Results Exceed Expectations

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
Net Sales by Segment:
	Quarter ended March 31,
	2023		2022		% Change
Specialty Technology Solutions:	(in thousands)
Net sales, reported	$	565,652	$	503,072	12.4	%
Foreign exchange impact (a)	61		—
Non-GAAP net sales, constant currency	$	565,713	$	503,072	12.5	%
Modern Communications & Cloud:
Net sales, reported	$	319,867	$	342,918	(6.7)	%
Foreign exchange impact (a)	363		—
Non-GAAP net sales, constant currency	$	320,230	$	342,918	(6.6)	%
Consolidated:
Net sales, reported	$	885,519	$	845,990	4.7	%
Foreign exchange impact (a)	424		—
Non-GAAP net sales, constant currency	$	885,943	$	845,990	4.7	%
(a) Year-over-year net sales growth rate excluding the translation impact of changes in foreign currency exchange rates. Calculated by translating the net sales for the quarter ended March 31, 2023 into U.S. dollars using the average foreign exchange rates for the quarter ended March 31, 2022.
ScanSource, Inc. and Subsidiaries
---	---	---	---	---	---	---
Supplementary Information (Unaudited)
Net Sales by Geography:
	Quarter ended March 31,
	2023		2022		% Change
United States and Canada:	(in thousands)
Net sales, as reported	$	808,797	$	764,529	5.8	%
International:
Net sales, reported	$	76,722	$	81,461	(5.8)	%
Foreign exchange impact(a)	424		—
Non-GAAP net sales, constant currency	$	77,146	$	81,461	(5.3)	%
Consolidated:
Net sales, reported	$	885,519	$	845,990	4.7	%
Foreign exchange impact(a)	424		—
Non-GAAP net sales, constant currency	$	885,943	$	845,990	4.7	%
(a) Year-over-year net sales growth rate excluding the translation impact of changes in foreign currency exchange rates. Calculated by translating the net sales for the quarter ended March 31, 2023 into U.S. dollars using the average foreign exchange rates for the quarter ended March 31, 2022.

ScanSource Third Quarter Results Exceed Expectations

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
(in thousands, except per share data)
Non-GAAP Financial Information:
	Quarter ended March 31, 2023
		GAAP Measure	Intangible amortization expense	Non-GAAP measure
	(in thousands, except per share data)
SG&A expenses		$70,669	—	$70,669
Operating income		34,279	4,170	38,449
Net income		21,221	3,109	24,330
Diluted EPS		$0.83	$0.12	$0.96
	Quarter ended March 31, 2022
		GAAP Measure	Intangible amortization expense	Non-GAAP measure
	(in thousands, except per share data)
SG&A expense		$66,522	—	$66,522
Operating income		32,917	4,457	37,374
Net income		23,526	3,353	26,879
Diluted EPS		$0.91	$0.13	$1.04
ScanSource, Inc. and Subsidiaries
---	---
Supplementary Forward-Looking Information (Unaudited)
Annual Financial Outlook for Fiscal Year 2023:
GAAP, Operating income	At least 140 million
Intangible amortization	17 million
Depreciation expense	12 million
Share-based compensation expense	12 million
Interest income and other income (expense), net
Tax recovery
Adjusted EBITDA (non-GAAP)	At least 182 million

All values are in US Dollars.

9

scscinfographic_q3fy23

Fiscal Third Quarter 2023 Earnings Throughout fiscal year 2023, our team has delivered results ahead of expectations. Our strong results for the quarter demonstrate how our diversified portfolio of technologies is driving our hybrid distribution success.” Mike Baur Chairman and CEO, ScanSource, Inc. Key Q3 Highlights 5% Net Sales Growth and 5% Gross Profit Growth Confidence in our Hybrid Distribution Strategy Delivered Results Ahead of Expectations Net Sales +5% Y/Y $886M 5% Net Sales Growth and Positive Operating Cash Flow +$55M © ScanSource 2022 Consolidated Specialty Technology Solutions Segment Gross Profit +5% Y/Y $112M, 12.6% margin Modern Communications & Cloud Segment STS, Net Sales +12% Y/Y $566M MC&C, Net Sales -7% Y/Y $320M STS, Gross Profit +7% Y/Y $58M, 10.2% margin MC&C, Gross Profit +3% Y/Y $54M, 16.9% margin Exhibit 99.2

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* Non‐GAAP measure; adjusted ROIC represents return on invested capital For further financial data, non‐GAAP financial disclosures and cautionary language regarding forward‐looking statements, please refer to the following pages and ScanSource’s third quarter fiscal year 2023 news release issued on May 9, 2023, which accompanies this presentation and is available at www.scansource.com in the Investor Relations section. Third Quarter Metrics Reflect Operational Excellence Focused Execution of Value Creation Strategy Solid Financial Foundation for Growth Fiscal Year 2023 Outlook updated as of May 9, 2023 (replaces previously provided guidance) $0.83 per share -9% Y/Y GAAP Diluted EPS $0.96 per share -8% Y/Y Non-GAAP Diluted EPS* Higher interest expense in Q3 FY23 $45.7M Q3 +3% Y/Y $178.4M TTM Adjusted EBITDA* TTM all-time Company record $55M Q3 $(99)M TTM Operating Cash Flow 14.6% Adjusted ROIC* $10.7M share repurchases in Q3 5.16% Adjusted EBITDA Margin* 1.5x net debt* to TTM adjusted EBITDA* Target range: 1x to 2x 3/31/23 Working Capital $781M $12M Q/Q improvement Paid for inventory days of 22.7 70 days sales outstanding A repositioned company – Innovative hybrid distributor Attractive financial profile Delivering long-term sustainable growth Differentiated market position © ScanSource 2022 At Least 6.5% (unchanged from 6.5%) Net Sales Growth At Least $182M (up from $176M) +9% Y/Y Adjusted EBITDA* 2 Building on specialized technologies

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Forward-Looking Statements This Earnings Infographic and supporting materials contain certain comments that are “forward- looking” statements, including statements about our FY23 outlook, growth opportunities and our operating strategies that involve plans, strategies, economic performance and trends, projections, expectations, costs or beliefs about future events and other statements that are not descriptions of historical facts. Forward-looking information is inherently subject to risks and uncertainties. Any number of factors could cause actual results to differ materially from anticipated or forecasted results, including but not limited to, the failure to hire and retain quality employees, risk to our business from a cyber-security attack, supply chain challenges, the failure to manage and implement our organic growth strategy, economic weakness and inflation, a failure of our IT systems, a failure to acquire new businesses, changes in interest and exchange rates and regulatory regimes impacting our international operations, loss of our major customers, credit risks involving our larger customers and suppliers, termination of our relationship with key suppliers or a significant modification of the terms under which we operate with a key supplier, changes in our operating strategy, and other factors set forth in the “Risk Factors” contained in our annual report on Form 10-K for the year ended June 30, 2022, and subsequent reports on Form 10-Q, filed with the Securities and Exchange Commission. Although ScanSource believes the expectations in its forward-looking statements are reasonable, it cannot guarantee future results, levels of activity, performance or achievement. ScanSource disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by law. Non-GAAP Financial Information In addition to disclosing results that are determined in accordance with United States Generally Accepted Accounting Principles (“GAAP”), the Company also discloses certain non-GAAP measures, including non-GAAP operating income, non-GAAP operating income margin, non-GAAP net income, non-GAAP diluted EPS, non-GAAP net sales, non-GAAP SG&A expenses, adjusted EBITDA, adjusted EBITDA margin, net debt, adjusted ROIC and net sales less impacts from foreign currency translation and acquisitions (organic growth). A reconciliation of the Company's non-GAAP financial information to GAAP financial information is provided in the following supporting materials and in the Company’s Form 8-K, filed with the SEC, with the quarterly earnings press release for the period indicated. 3

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Consolidated, 5-Quarter Financial Summary - for continuing operations ($ in thousands, except per share data) Q3 FY23 Q2 FY23 Q1 FY23 Q4 FY22 Q3 FY22 Q/Q Y/Y Select reported GAAP measures: Net sales $ 885,519 $ 1,011,241 $ 943,813 $ 962,283 $ 845,990 (12)% 5% Gross profit $ 111,762 $ 115,334 $ 113,485 $ 110,792 $ 106,508 (3)% 5% Gross profit margin % 12.6 % 11.4 % 12.0 % 11.5 % 12.6 % 122 bp 3 bp SG&A expenses $ 70,669 $ 69,074 $ 71,593 $ 75,905 $ 66,522 2% 6% Operating income $ 34,279 $ 39,432 $ 34,888 $ 27,424 $ 32,917 (13)% 4% Operating income % 3.87 % 3.90 % 3.70 % 2.85 % 3.89 % (3) bp (2) bp Net income $ 21,221 $ 25,734 $ 24,042 $ 19,947 $ 23,526 (18)% (10)% Diluted EPS $ 0.83 $ 1.01 $ 0.94 $ 0.78 $ 0.91 (18)% (9)% Select reported Non-GAAP measures: (a) Non-GAAP operating income $ 38,449 $ 40,724 $ 39,129 $ 31,864 $ 37,374 (6)% 3% Non-GAAP operating income % 4.34 % 4.03 % 4.15 % 3.31 % 4.42 % 32 bp (8) bp Non-GAAP net income $ 24,330 $ 26,941 $ 27,203 $ 23,266 $ 26,879 (10)% (9)% Non-GAAP diluted EPS $ 0.96 $ 1.06 $ 1.07 $ 0.91 $ 1.04 (9)% (8)% Adjusted EBITDA $ 45,656 $ 48,815 $ 45,275 $ 38,672 $ 44,115 (6)% 3% Adjusted EBITDA % 5.16 % 4.83 % 4.80 % 4.02 % 5.21 % 33 bp (6) bp Adjusted ROIC 14.6 % 15.6 % 15.6 % 14.9 % 18.0 % (100) bp (340) bp Operating cash flow (QTR) $ 54,837 $ (26,885) $ (48,459) $ (78,684) $ 29,707 *nm 85% Operating cash flow (TTM) $ (99,191) $ (124,321) $ (115,855) $ (124,355) $ 15,674 *nm *nm (a) See pages 11 through 12 for the calculation of non-GAAP measures and reconciliations to GAAP measures. *nm - percentages are not meaningful ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 4 May 9, 2023

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Specialty Technology Solutions, 5-Quarter Financial Summary ($ in thousands) Q3 FY23 Q2 FY23 Q1 FY23 Q4 FY22 Q3 FY22 Q/Q Y/Y Net sales $ 565,652 $ 627,548 $ 576,329 $ 580,619 $ 503,072 (10)% 12% Gross profit $ 57,664 $ 56,732 $ 58,404 $ 53,994 $ 54,021 2% 7% Gross profit margin % 10.2 % 9.0 % 10.1 % 9.3 % 10.7 % 115 bp (54) bp GAAP operating income $ 19,811 $ 19,682 $ 21,852 $ 15,408 $ 20,623 1% (4)% GAAP operating income % 3.50 % 3.14 % 3.79 % 2.65 % 4.10 % 37 bp (60) bp Add: Intangible amortization expense $ 1,266 $ 1,266 $ 1,341 $ 1,491 $ 1,491 —% (15)% Non-GAAP operating income $ 21,077 $ 20,948 $ 23,193 $ 16,899 $ 22,114 1% (5)% Non-GAAP operating income % 3.73 % 3.34 % 4.02 % 2.91 % 4.40 % 39 bp (67) bp Reconciliation of Operating Income to Adjusted EBITDA GAAP operating income $ 19,811 $ 19,682 $ 21,852 $ 15,408 $ 20,623 1% (4)% Plus: Depreciation expense 1,862 1,873 1,941 2,089 1,833 (1)% 2% Intangible amortization expense 1,266 1,266 1,341 1,491 1,491 —% (15)% Interest income 354 194 321 325 265 82% 34% Other income/(expense), net (54) 71 (125) (141) 165 *nm *nm EBITDA 23,239 23,086 25,330 19,172 24,377 1% (5)% Adjustments: Share-based compensation expense 1,867 2,203 1,556 1,710 1,659 (15)% 13% Adjusted EBITDA (non-GAAP) $ 25,106 $ 25,289 $ 26,886 $ 20,882 $ 26,036 (1)% (4)% Adjusted EBITDA (non-GAAP) % 4.44 % 4.03 % 4.67 % 3.60 % 5.18 % 41 bp (74) bp *nm - percentages are not meaningful ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 5 May 9, 2023

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Modern Communications & Cloud, 5-Quarter Financial Summary ($ in thousands) Q3 FY23 Q2 FY23 Q1 FY23 Q4 FY22 Q3 FY22 Q/Q Y/Y Net sales $ 319,867 $ 383,693 $ 367,484 $ 381,664 $ 342,918 (17)% (7)% Gross profit $ 54,098 $ 58,602 $ 55,081 $ 56,798 $ 52,487 (8)% 3% Gross profit margin % 16.9 % 15.3 % 15.0 % 14.9 % 15.3 % 160 bp 160 bp GAAP operating income $ 14,468 $ 19,750 $ 13,036 $ 12,016 $ 12,294 (27)% 18% GAAP operating income % 4.52 % 5.15 % 3.55 % 3.15 % 3.59 % (63) bp 93 bp Add: Intangible amortization expense $ 2,904 $ 2,884 $ 2,900 $ 2,949 $ 2,966 1% (2)% Add: Tax recovery(a) $ — $ (2,858) $ — $ — $ — *nm *nm Non-GAAP operating income $ 17,372 $ 19,776 $ 15,936 $ 14,965 $ 15,260 (12)% 14% Non-GAAP operating income % 5.43 % 5.15 % 4.34 % 3.92 % 4.45 % 20 bp 90 bp Reconciliation of Operating Income to Adjusted EBITDA GAAP operating income $ 14,468 $ 19,750 $ 13,036 $ 12,016 $ 12,294 (27)% 18% Plus: Depreciation expense 1,042 1,034 1,046 1,172 1,015 1% 3% Intangible amortization expense 2,904 2,884 2,900 2,949 2,966 1% (2)% Interest income 1,356 1,834 1,269 1,035 735 (26)% 84% Other income/(expense), net (307) (280) (623) (542) (28) *nm *nm EBITDA 19,463 25,222 17,628 16,630 16,982 (23)% 15% Adjustments: Share-based compensation expense 1,087 1,161 760 1,162 1,098 (6)% (1)% Tax recovery(a) — (2,858) — — — *nm *nm Adjusted EBITDA (non-GAAP) $ 20,550 $ 23,525 $ 18,388 $ 17,792 $ 18,080 (13)% 14% Adjusted EBITDA (non-GAAP) % 6.42 % 6.13 % 5.00 % 4.66 % 5.27 % 29 bp 115 bp (a) Recovery of prior period withholding taxes in Brazil *nm - percentages are not meaningful ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 6 May 9, 2023

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Net Sales, Constant Currency (Organic Growth) - QTR ($ in thousands) Net Sales by Segment: Q3 FY23 Q3 FY22 % Change Specialty Technology Solutions: Net sales, as reported $ 565,652 $ 503,072 12.4 % Foreign exchange impact (a) 61 — Net sales, constant currency (non-GAAP) $ 565,713 $ 503,072 12.5 % Modern Communications & Cloud: Net sales, as reported $ 319,867 $ 342,918 (6.7) % Foreign exchange impact (a) 363 — Net sales, constant currency (non-GAAP) $ 320,230 $ 342,918 (6.6) % Consolidated: Net sales, as reported $ 885,519 $ 845,990 4.7 % Foreign exchange impact (a) 424 — Net sales, constant currency (non-GAAP) $ 885,943 $ 845,990 4.7 % Net Sales by Geography: Q3 FY23 Q3 FY22 % Change United States and Canada: Net sales, as reported $ 808,797 $ 764,529 5.8 % International: Net sales, as reported $ 76,722 $ 81,461 (5.8) % Foreign exchange impact (a) 424 — Net sales, constant currency (non-GAAP) $ 77,146 $ 81,461 (5.3) % Consolidated: Net sales, as reported $ 885,519 $ 845,990 4.7 % Foreign exchange impact (a) 424 — Net sales, constant currency (non-GAAP) $ 885,943 $ 845,990 4.7 % (a) Year-over-year sales growth excluding the translation impact of changes in foreign currency rates. Calculated by translating net sales for the quarter ended March 31, 2023 into U.S. dollars using the weighted-average foreign exchange rates for the quarter ended March 31, 2022. ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 7 May 9, 2023

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Average Adjusted Return on Invested Capital - QTR ($ in thousands) Q3 FY23 Q2 FY23 Q1 FY23 Q4 FY22 Q3 FY22 Adjusted return on invested capital (ROIC), annualized (a) 14.6 % 15.6 % 15.6 % 14.9 % 18.0 % Reconciliation of Net Income to Adjusted EBITDA Net income from continuing operations - GAAP $ 21,221 $ 25,734 $ 24,042 $ 19,947 $ 23,526 Plus: Interest expense 5,715 5,060 3,448 1,886 1,483 Income taxes 8,692 10,458 8,241 6,267 9,044 Depreciation and amortization 7,074 7,057 7,228 7,700 7,305 EBITDA 42,702 48,309 42,959 35,800 41,358 Adjustments: Tax recovery (b) — (2,858) — — — Share-based compensation 2,954 3,364 2,316 2,872 2,757 Adjusted EBITDA (numerator for Adjusted ROIC) (non-GAAP) $ 45,656 $ 48,815 $ 45,275 $ 38,672 $ 44,115 Invested Capital Calculation Equity - beginning of the quarter $ 862,386 $ 827,004 $ 806,528 $ 806,654 $ 768,525 Equity - end of quarter 878,895 862,386 827,004 806,528 806,654 Adjustments: Tax recovery, net — (1,886) — — — Share-based compensation, net 2,191 2,496 1,718 2,134 2,063 Average equity 871,736 845,000 817,625 807,658 788,621 Average funded debt (c) 398,318 392,853 336,428 233,445 205,073 Invested capital (denominator for Adjusted ROIC) (non-GAAP) $ 1,270,054 $ 1,237,853 $ 1,154,053 $ 1,041,103 $ 993,694 (a) Calculated as net income plus interest expense, income taxes, depreciation and amortization (EBITDA), annualized divided by invested capital for the period. Adjusted EBITDA reflects other adjustments for non-GAAP measures. (b) Recovery of prior period withholding taxes in Brazil (c) Average funded debt is calculated as the daily average amounts outstanding on our short-term and long-term interest-bearing debt. ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 8 May 9, 2023

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Net Debt and Adjusted EBITDA Metrics ($ in thousands) Q3 FY23 Q2 FY23 Q1 FY23 Q4 FY22 Q3 FY22 Consolidated debt (Q/E) $ 311,052 $ 382,796 $ 326,435 $ 271,170 $ 181,500 Less: Consolidated cash and cash equivalents (Q/E) (37,374) (66,445) (40,472) (37,987) (43,539) Net debt (Q/E) $ 273,678 $ 316,351 $ 285,963 $ 233,183 $ 137,961 Reconciliation of Net Income to Adjusted EBITDA Net income from continuing operations - GAAP $ 21,221 $ 25,734 $ 24,042 $ 19,947 $ 23,526 Plus: Interest expense 5,715 5,060 3,448 1,886 1,483 Income taxes 8,692 10,458 8,241 6,267 9,044 Depreciation and amortization 7,074 7,057 7,228 7,700 7,305 EBITDA 42,702 48,309 42,959 35,800 41,358 Adjustments: Tax recovery (a) — (2,858) — — — Share-based compensation 2,954 3,364 2,316 2,872 2,757 Adjusted EBITDA (non-GAAP) $ 45,656 $ 48,815 $ 45,275 $ 38,672 $ 44,115 Adjusted EBITDA, TTM (b) $ 178,418 $ 176,877 $ 170,604 $ 166,723 $ 163,350 Net Debt / Adjusted EBITDA, TTM (b) 1.5 x 1.8 x 1.7 x 1.4 x 0.8 x (a) Recovery of prior period withholding taxes in Brazil (b) Adjusted EBITDA for the trailing 12-month period ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 9 May 9, 2023

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Working Capital, 5-Quarter Summary ($ in thousands) Q3 FY23 Q2 FY23 Q1 FY23 Q4 FY22 Q3 FY22 Accounts Receivable (Q/E) $ 684,458 $ 779,562 $ 744,946 $ 729,442 $ 642,384 Days sales outstanding in receivables 70 69 71 68 69 Inventory (Q/E) $ 752,763 $ 761,936 $ 675,798 $ 614,814 $ 591,396 Inventory turns 4.1 5.0 5.1 5.6 5.1 Accounts payable (Q/E) $ 656,688 $ 748,662 $ 710,919 $ 714,177 $ 706,359 Paid for inventory days* 22.7 10.9 7.2 (0.8) (2.9) Working Capital (Q/E) (AR+INV-AP) $ 780,533 $ 792,836 $ 709,825 $ 630,079 $ 527,421 Cash conversion cycle 93 80 78 67 66 *Paid for inventory days represent Q/E inventory days less Q/E accounts payable days ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 10 May 9, 2023

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Operating Income, Net Income & EPS - QTR ($ in thousands) Quarter ended March 31, 2023 Reported GAAP measure Intangible amortization expense Tax recovery, net Non-GAAP measure SG&A expenses $70,669 — — $70,669 Operating income 34,279 4,170 — 38,449 Net income 21,221 3,109 — 24,330 Diluted EPS $0.83 $0.12 — $0.96 ($ in thousands) Quarter ended December 31, 2022 Reported GAAP measure Intangible amortization expense Tax recovery, net (a) Non-GAAP measure SG&A expenses $69,074 — $2,858 $71,932 Operating income 39,432 4,150 (2,858) 40,724 Net income 25,734 3,093 (1,886) 26,941 Diluted EPS $1.01 $0.12 $(0.07) $1.06 (a) Recovery of prior period withholding taxes in Brazil ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 11 May 9, 2023

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Operating Income, Net Income & EPS - QTR, continued ($ in thousands) Quarter ended September 30, 2022 Reported GAAP measure Intangible amortization expense Tax recovery, net Non-GAAP measure SG&A expenses $71,593 — — $71,593 Operating income 34,888 4,241 — 39,129 Net income 24,042 3,161 — 27,203 Diluted EPS $0.94 $0.12 — $1.07 ($ in thousands) Quarter ended June 30, 2022 Reported GAAP measure Intangible amortization expense Tax recovery, net Non-GAAP measure SG&A expenses $75,905 — — $75,905 Operating income 27,424 4,440 — 31,864 Net income 19,947 3,319 — 23,266 Diluted EPS $0.78 $0.13 — $0.91 ($ in thousands) Quarter ended March 31, 2021 Reported GAAP measure Intangible amortization expense Tax recovery, net Non-GAAP measure SG&A expenses $66,522 — — $66,522 Operating income 32,917 4,457 — 37,374 Net income 23,526 3,353 — 26,879 Diluted EPS $0.91 $0.13 — $1.04 ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 12 May 9, 2023

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FY23 Annual Financial Outlook Reconciliation FY23 Outlook GAAP, operating income At least $140 million Intangible amortization $17 million Depreciation expense $12 million Share-based compensation expense $12 million Interest income and other income (expense), net $4 million Tax recovery $(3) million Adjusted EBITDA (non-GAAP) At least $182 million ScanSource, Inc. Earnings Infographic Q3 FY2023 SUPPORTING MATERIALS AND RECONCILIATIONS FOR NON-GAAP FINANCIAL INFORMATION scansource.com 13 May 9, 2023

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