Steve Jones Mary M. Gentry

FOR IMMEDIATE RELEASE Contact: Steve Jones Mary M. Gentry Senior EVP, Chief Financial Officer SVP, Finance and Treasurer ScanSource, Inc. ScanSource, Inc. (864) 286-4302 (864) 286-4892 SCANSOURCE REPORTS FIRST QUARTER RESULTS Strong Demand Drives Net Sales and Gross Profit Growth in Both Segments GREENVILLE, SC -- November 5, 2026 -- ScanSource, Inc. (NASDAQ: SCSC), a leading technology distributor uniquely positioned to address complex technologies, today announced financial results for the first quarter ended September 30, 2026. First Quarter Summary Q1 FY27 Q1 FY26 Change (in thousands, except percentages and per share data) Select reported measures: Net sales $ 962,294 $ 739,650 30.1% Gross profit $ 116,944 $ 107,473 8.8% Gross profit margin % 12.2 % 14.5 % -238bp Operating income $ 12,393 $ 25,903 -52.2% GAAP net income $ 8,691 $ 19,878 -56.3% GAAP diluted EPS $ 0.42 $ 0.89 -52.8% Select Non-GAAP measures*: Adjusted EBITDA $ 31,298 $ 38,590 -18.9% Adjusted EBITDA margin % 3.25 % 5.22 % -197bp Non-GAAP net income $ 17,710 $ 23,685 -25.2% Non-GAAP diluted EPS $ 0.86 $ 1.06 -18.9% Note: Margin % reflects measure as a percentage of sales. * Represents non-GAAP financial measures. For more information and a reconciliation to the most directly comparable GAAP financial measure, see "Non-GAAP Financial Information" below as well as the accompanying Supplementary Information. “Top-line demand was strong this quarter, and we grew net sales and gross profit in both segments,” said Mike Baur, Chair and CEO, ScanSource, Inc. “We’re executing our strategy and expanding our total addressable market. In September, we closed the MicroAge acquisition, which enhances our solution capabilities and aligns with our 3-year strategic goals.” Quarterly Results Net sales for the first quarter of fiscal year 2027 totaled $962.3 million, an increase of 30.1% year-over-year, or an increase of 26.8% on a non-GAAP basis. Net sales for products and services increased 30.8% year-over-year, and recurring revenue increased 15.7% year-over-year. For Specialty Technology Solutions, first quarter net sales of $917.3 million increased 28.2% year-over-year, driven by broad-based growth in North America. Intelisys & Solution Services net sales for the first quarter increased 85.9% year-over-year to $45.0 million including the MicroAge acquisition, or an increase of 3.2% on a non-GAAP basis reflecting Intelisys business growth. Gross profit for the first quarter of fiscal year 2027 increased 8.8% year-over-year to $116.9 million, with a gross profit margin of 12.2% versus 14.5% in the prior-year quarter. The gross profit margin declined primarily due to sales mix, reflecting strong hardware demand and a higher mix of lower-margin, large deals. For the first quarter of fiscal year 2027, the percentage of gross profit from recurring revenue totaled 32.8%, compared to 31.7% for the prior-year period. For the first quarter of fiscal year 2027, operating income decreased to $12.4 million from $25.9 million in the prior-year quarter. First quarter fiscal year 2027 non-GAAP operating income decreased to $23.0 million from $30.9 million in the prior- 1 year quarter. Operating results include approximately $4.5 million of higher bad debt expense, primarily related to specific customer credit exposures in Brazil, which reduced diluted EPS by approximately $0.16. On a GAAP basis, net income for the first quarter of fiscal year 2027 decreased to $8.7 million, or $0.42 per diluted share, from net income of $19.9 million, or $0.89 per diluted share, for the prior-year quarter. First quarter fiscal year 2027 non-GAAP net income decreased to $17.7 million, or $0.86 per diluted share, from $23.7 million, or $1.06 per diluted share, for the prior-year quarter. On a non-GAAP basis, adjusted EBITDA for the first quarter of fiscal year 2027 decreased to $31.3 million, or 3.25% of net sales, from $38.6 million, or 5.22% of net sales, for the prior-year quarter. Balance Sheet and Cash Flow As of September 30, 2026, ScanSource had cash and cash equivalents of $45.9 million and total debt of $332.4 million. For the first quarter of fiscal year 2027, ScanSource used $42.3 million of operating cash flow and used $44.1 million of free cash flow (non-GAAP), primarily reflecting working capital investments to support strong growth. ScanSource also had share repurchases of $4.8 million for the first quarter of fiscal year 2027. Acquisition of MicroAge On September 1, 2026, ScanSource completed the acquisition of MicroAge, a leading IT solutions integrator, managed services provider (MSP), and digital transformation partner, helping businesses design, implement, secure, manage, and optimize their IT environments. The acquisition adds higher-margin technology solutions capabilities and expands ScanSource's reach in strategic growth technologies, including cloud, cybersecurity, data center and AI. MicroAge serves a diversified U.S. base of approximately 2,400 clients and has more than 200 employees. MicroAge is included in the Intelisys & Solution Services segment. Annual Financial Outlook for Fiscal Year 2027 ScanSource raises its expectations for net sales and adjusted EBITDA for the full fiscal year ended June 30, 2027 to include the acquisition of MicroAge, which closed on September 1, 2026. This update replaces previously provided guidance. FY27 Annual Outlook Prior FY27 Annual Outlook Net sales $3.8 billion to $4.0 billion Growth, Y/Y: 6% to 10% Adjusted EBITDA (non-GAAP) $175 million to $185 million $158 million to $165 million Free cash flow (non-GAAP) At least $85 million At least $85 million Adjusted EBITDA is a non-GAAP measure, which excludes estimates for amortization of intangible assets, depreciation expense, and non-cash shared-based compensation expense. Free cash flow is a non-GAAP measure, which excludes the effect of estimated capital expenditures from estimated operating cash flow. These measures are forward-looking, and actual results may differ materially. ScanSource believes that a quantitative reconciliation of such forward-looking information to the most directly comparable GAAP financial measures cannot be made without unreasonable efforts, because a reconciliation of these non-GAAP financial measures would require an estimate of future non-operating items such as acquisitions and divestitures, restructuring costs, impairment charges and other unusual or non-recurring items. Neither the timing nor likelihood of these events, nor their probable significance, can be quantified with a reasonable degree of accuracy. Accordingly, a reconciliation of such forward-looking information to the most directly comparable GAAP financial measures is not provided. 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 earnings 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, November 5, 2026, 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. 2 Safe Harbor Statement This press release contains “forward-looking” statements, including ScanSource's FY27 annual outlook, which involve risks and uncertainties, many of which are beyond ScanSource's control. No undue reliance should be placed on such statements, as any number of factors could cause actual results to differ materially from anticipated or forecasted results, including, but not limited to, the following factors, which are neither presented in order of importance nor weighted: macroeconomic conditions, including potential prolonged economic weakness, inflation, tariffs and changes in trade policy, the failure to manage and implement ScanSource's growth strategy, the ability for ScanSource to realize the synergies or other benefits from acquisitions, credit risks involving ScanSource's larger channel sales partners and suppliers, changes in interest and exchange rates and regulatory regimes impacting ScanSource's international operations, including new or increased tariffs, risk to the business from a cyberattack, a failure of IT systems, failure to hire and retain quality employees, loss of ScanSource's major channel sales partners, relationships with key suppliers and channel sales partners or a termination or a modification of the terms under which it operates with these key suppliers and channel sales partners, changes in ScanSource's operating strategy, and other factors set forth in the "Risk Factors" contained in ScanSource's annual report on Form 10-K for the year ended June 30, 2026. Except as may be required by law, ScanSource expressly disclaims any obligation to update these forward-looking statements to reflect events or circumstances after the date of this press release or otherwise. Non-GAAP Financial Information In addition to disclosing results that are determined in accordance with United States Generally Accepted Accounting Principles ("GAAP"), ScanSource 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 items such as amortization of intangible assets related to acquisitions, acquisition and divestiture costs, gain/loss on sale of business, and restructuring costs and include other non-GAAP adjustments. Net sales on a constant currency basis excluding acquisitions and divestitures to calculate organic growth ("non-GAAP net sales"): ScanSource 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 and divestitures prior to the first full year from the transaction date. This measure enhances the comparability between periods to help analyze underlying trends on an organic basis. 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, change in fair value of contingent consideration, and other non-GAAP adjustments, including acquisition and divestiture costs, restructuring costs, cyberattack restoration costs, tax recovery, and non-cash share-based compensation expense. Since Adjusted EBITDA excludes some non-cash costs of investing in ScanSource’s business and people, management believes that Adjusted EBITDA shows the profitability from the business operations more clearly. The Adjusted EBITDA margin is calculated as Adjusted EBITDA as a percentage of net sales. Adjusted return on invested capital ("Adjusted ROIC"): Adjusted ROIC assists management in comparing ScanSource's performance over various reporting periods on a consistent basis because it removes from operating results the impact of items that do not reflect core operating performance. Management believes the calculation of Adjusted ROIC provides useful information to investors and is an additional relevant comparison of its 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 ScanSource's performance during the year. Free cash flow: ScanSource presents free cash flow as it is a measure used by management to measure our business. ScanSource believes this measure provides more information regarding liquidity and capital resources. Free cash flow is defined as net cash provided by operating activities less capital expenditures. Net debt: Net debt includes total balance sheet debt less cash and cash equivalents. ScanSource believes this measure is useful in assessing its borrowing capacity. Additional Non-GAAP Metrics: To evaluate current period performance on a more consistent basis with prior periods, ScanSource discloses non-GAAP SG&A expenses, non-GAAP operating income, non-GAAP pre-tax income, non-GAAP net income, and non-GAAP diluted earnings per share (non-GAAP diluted EPS). These non-GAAP results exclude amortization of intangible assets related to acquisitions, change in fair value of contingent consideration, acquisition and divestiture costs, restructuring costs, and other non-GAAP adjustments. These metrics include the translation impact of changes in foreign 3 currency exchange rates. Non-GAAP metrics are useful in assessing and understanding ScanSource's performance especially when comparing results with previous periods or forecasting performance for future periods. These non-GAAP financial measures have limitations as analytical tools, and the non-GAAP financial measures that ScanSource 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 ScanSource'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 technology distributor uniquely positioned to address complex technologies and to accelerate growth for channel sales partners across hardware, software as a service (SaaS), connectivity, cloud, and services. ScanSource enables channel sales partners to deliver innovative solutions for their end users. ScanSource uses multiple sales models to offer technology solutions from leading suppliers of specialty technologies, connectivity and cloud services. Founded in 1992 and headquartered in Greenville, South Carolina, ScanSource was named one of the Best Places to Work in South Carolina and on the Fortune World’s Most Admired Companies list. ScanSource ranks #923 on the Fortune 1000. For more information, visit www.scansource.com. 4 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) (in thousands, except share data) September 30, 2026 June 30, 2026 * Assets Current assets: Cash and cash equivalents $ 45,866 $ 88,374 Accounts receivable, less allowance of $33,401 at September 30, 2026 and $26,568 at June 30, 2026 815,297 769,750 Inventories 547,834 522,350 Prepaid income tax expense 9,745 10,704 Prepaid expenses and other current assets 125,419 116,816 Total current assets 1,544,161 1,507,994 Property and equipment, net 34,959 34,856 Goodwill 343,884 244,902 Identifiable intangible assets, net 237,029 64,391 Deferred income taxes 3,220 10,590 Other non-current assets 69,822 69,696 Total assets $ 2,233,075 $ 1,932,429 Liabilities and Shareholders’ Equity Current liabilities: Accounts payable $ 774,677 $ 753,275 Accrued expenses and other current liabilities 91,250 86,538 Current portion of contingent consideration 13,769 15,988 Income taxes payable 480 474 Current portion of long-term debt 2,871 2,866 Total current liabilities 883,047 859,141 Deferred income taxes 39,164 — Long-term debt, net of current portion 97,551 98,547 Borrowings under revolving credit facility 231,948 — Long-term portion of contingent consideration 10,451 12,162 Other long-term liabilities 55,259 51,787 Total liabilities 1,317,420 1,021,637 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, 20,357,128 and 20,161,911 shares issued and outstanding at September 30, 2026 and June 30, 2026, respectively — — Retained earnings 1,022,966 1,018,144 Accumulated other comprehensive loss (107,311) (107,352) Total shareholders’ equity 915,655 910,792 Total liabilities and shareholders’ equity $ 2,233,075 $ 1,932,429 *Derived from audited financial statements. 5 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Condensed Consolidated Income Statements (Unaudited) (in thousands, except per share data) Quarter ended September 30, 2026 2025 Net sales $ 962,294 $ 739,650 Cost of goods sold 845,350 632,177 Gross profit 116,944 107,473 Selling, general and administrative expenses 96,509 75,275 Depreciation expense 1,874 1,577 Intangible amortization expense 4,662 4,404 Restructuring and other charges 1,653 — Change in fair value of contingent consideration (147) 314 Operating income 12,393 25,903 Interest expense 3,091 1,914 Interest income (2,664) (3,180) Other expense (income), net 47 173 Income before income taxes 11,919 26,996 Provision for income taxes 3,228 7,118 Net income $ 8,691 $ 19,878 Per share data: Net income per common share, basic $ 0.43 $ 0.90 Weighted-average shares outstanding, basic 20,215 22,018 Net income per common share, diluted $ 0.42 $ 0.89 Weighted-average shares outstanding, diluted 20,685 22,405 *Derived from audited financial statements. 6 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Condensed Consolidated Statements of Cash Flows (Unaudited) (in thousands) Quarter Ended September 30, 2026 2025 Cash flows from operating activities: Net income $ 8,691 $ 19,878 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 6,734 6,200 Amortization of debt issue costs 90 96 Provision for doubtful accounts 6,395 1,928 Share-based compensation 3,659 2,876 Deferred income taxes (2,627) 2,079 Change in fair value of contingent consideration (147) 314 Finance lease interest 5 15 Changes in operating assets and liabilities, net of acquisitions: Accounts receivable (8,006) 79,010 Inventories (25,614) (20,574) Prepaid expenses and other assets (5,788) 5,262 Other non-current assets 7,576 552 Accounts payable (17,732) (70,297) Accrued expenses and other liabilities (15,548) (3,758) Income taxes payable 8 (370) Net cash (used in) provided by operating activities (42,304) 23,211 Cash flows from investing activities: Capital expenditures (1,842) (2,395) Cash paid for business acquisitions, net of cash acquired (217,772) — Net cash used in investing activities (219,614) (2,395) Cash flows from financing activities: Borrowings on revolving credit 749,488 49,210 Repayments on revolving credit (517,540) (49,210) Repayments on long-term debt (991) (2,236) Repayments on finance lease obligation (216) (271) Contingent consideration payments (3,783) (1,375) Exercise of stock options 3,061 4,834 Taxes paid on settlement of equity awards (5,768) (2,617) Common stock repurchased (4,795) (21,285) Net cash provided by (used in) financing activities 219,456 (22,950) Effect of exchange rate changes on cash and cash equivalents (46) 901 Decrease in cash and cash equivalents (42,508) (1,233) Cash and cash equivalents at beginning of period 88,374 126,157 Cash and cash equivalents at period end $ 45,866 $ 124,924 *Derived from audited financial statements. 7 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Supplementary Information (Unaudited) (in thousands, except percentages) Non-GAAP Financial Information: Quarter ended September 30, 2026 2025 Reconciliation of Net Income to Adjusted EBITDA: Net income (GAAP) $ 8,691 $ 19,878 Plus: Interest expense 3,091 1,914 Plus: Income taxes 3,228 7,118 Plus: Depreciation and amortization 6,734 6,200 EBITDA (non-GAAP) 21,744 35,110 Plus: Change in fair value of contingent consideration (147) 314 Plus: Share-based compensation 3,659 2,876 Plus: Acquisition costs (a) 4,389 261 Plus: Cyberattack restoration costs — 29 Plus: Restructuring costs 1,653 — Adjusted EBITDA (numerator for Adjusted ROIC) (non-GAAP) $ 31,298 $ 38,590 Invested Capital Calculations: Equity – beginning of the period $ 910,792 $ 906,409 Equity – end of the period 915,655 914,032 Plus: Change in fair value of contingent consideration, net (110) 236 Plus: Share-based compensation, net 2,739 2,152 Plus: Acquisition costs (a) 4,389 261 Plus: Cyberattack restoration costs, net — 21 Plus: Restructuring costs, net 1,241 — Average equity 917,353 911,556 Average funded debt (b) 242,334 137,113 Invested capital (denominator for Adjusted ROIC) (non-GAAP) $ 1,159,687 $ 1,048,669 Adjusted return on invested capital ratio (Adjusted ROIC), annualized (c) 10.7 % 14.6 % (a) Acquisition costs are generally non-deductible for tax purposes. (b) Average funded debt is calculated as the average daily amounts outstanding on short-term and long-term interest-bearing debt. (c) 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 92 days each in the current quarter and prior-year quarter. 8 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Supplementary Information (Unaudited) Net Sales by Segment: Quarter ended September 30, 2026 2025 % Change Specialty Technology Solutions: (in thousands) Net sales, reported $ 917,299 $ 715,447 28.2 % Foreign exchange impact (a) (2,650) — Less: Acquisitions (2,119) — Non-GAAP net sales $ 912,530 $ 715,447 27.5 % Intelisys & Solution Services: Net sales, reported $ 44,995 $ 24,203 85.9 % Less: Acquisitions (20,006) — Non-GAAP net sales $ 24,989 $ 24,203 3.2 % Consolidated: Net sales, reported $ 962,294 $ 739,650 30.1 % Foreign exchange impact (a) (2,650) — Less: Acquisitions (22,125) — Non-GAAP net sales $ 937,519 $ 739,650 26.8 % (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 September 30, 2026 into U.S. dollars using the average foreign exchange rates for the quarter ended September 30, 2025. Net Sales by Revenue Type: Quarter ended September 30, 2026 2025 % Change (in thousands) Net sales by category: Products and services $ 919,854 $ 702,984 30.8 % Recurring revenue(a) 42,440 36,666 15.7 % $ 962,294 $ 739,650 30.1 % (a) Recurring revenue represents primarily agency commissions, managed connectivity, SaaS, subscriptions, managed services, and hardware rentals. 9 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Supplementary Information (Unaudited) Net Sales by Geography: Quarter ended September 30, 2026 2025 % Change United States & Canada: (in thousands) Net sales, reported (a) $ 913,975 $ 682,217 34.0 % Less: Acquisitions (22,125) — Non-GAAP net sales $ 891,850 $ 682,217 30.7 % Brazil: Net sales, reported (b) $ 48,319 $ 57,433 (15.9) % Foreign exchange impact (c) (2,650) — Non-GAAP net sales $ 45,669 $ 57,433 (20.5) % Consolidated: Net sales, reported $ 962,294 $ 739,650 30.1 % Foreign exchange impact (c) (2,650) — Less: Acquisitions (22,125) — Non-GAAP net sales $ 937,519 $ 739,650 26.8 % (a) Net sales in Canada are supported by U.S. operations and represent less than 5% of United States net sales for the quarters ended September 30, 2026 and 2025. (b) Includes net sales from outside of the United States, Canada and Brazil, which represent less than 0.1% of Brazil net sales for the quarters ended September 30, 2026 and 2025. (c) 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 September 30, 2026 into U.S. dollars using the average foreign exchange rates for the quarter ended September 30, 2025. Free Cash Flow: Quarter ended September 30, 2026 2025 GAAP operating cash flow $ (42,304) $ 23,211 Less: Capital expenditures (1,842) (2,395) Free cash flow (non-GAAP) $ (44,146) $ 20,816 10 SCANSOURCE REPORTS FIRST QUARTER RESULTS ScanSource, Inc. and Subsidiaries Supplementary Information (Unaudited) (in thousands, except per share data) Reconciliation of Other Non-GAAP Financial Information: Quarter ended September 30, 2026 GAAP Measure Intangible amortization expense Change in fair value of contingent consideration Acquisition costs (a) Restructuring costs Cyberattack restoration costs Non-GAAP measure (in thousands, except per share data) SG&A expenses $ 96,509 $ — $ — $ (4,389) $ — $ — $ 92,120 Operating income 12,393 4,662 (147) 4,389 1,653 — 22,950 Pre-tax income 11,919 4,662 (147) 4,389 1,653 — 22,476 Net income 8,691 3,499 (110) 4,389 1,241 — 17,710 Diluted EPS $ 0.42 $ 0.17 $ (0.01) $ 0.21 $ 0.06 $ — $ 0.86 Quarter ended September 30, 2025 GAAP Measure Intangible amortization expense Change in fair value of contingent consideration Acquisition costs (a) Restructuring costs Cyberattack restoration costs Non-GAAP measure (in thousands, except per share data) SG&A expense $ 75,275 $ — $ — $ (261) $ — $ (29) $ 74,985 Operating income 25,903 4,404 314 261 — 29 30,911 Pre-tax income 26,996 4,404 314 261 — 29 32,004 Net income 19,878 3,289 236 261 — 21 23,685 Diluted EPS $ 0.89 $ 0.15 $ 0.01 $ 0.01 $ — $ — $ 1.06 (a) Acquisition costs are generally nondeductible for tax purposes. 11