Key Highlights

  • Net sales rose 20.8% to $15.22 billion from $12.60 billion in the third quarter of 2025.
  • Net income was $131.1 million, or $0.57 per diluted share, versus $99.5 million, or $0.42.
  • Advanced Solutions net sales increased 40% globally, and North America grew 31.5%.
  • Gross Margin fell 35 basis points as GPU and AI infrastructure mix grew.
  • Nine-month Operating Activities used $1.26 billion of cash, against $644.4 million a year earlier.

Advanced Solutions drives a 20.8% jump in net sales

Ingram Micro (NYSE:INGM) is one of the largest distributors of technology hardware, software and cloud services worldwide, organized into North America, EMEA, Asia-Pacific and Latin America segments. It filed its Quarterly Report for the thirteen weeks ended September 26, 2026 on October 29, 2026.

Net sales were $15,220 million, up from $12,604 million, an increase of 20.8% that came from growth in every region. Advanced Solutions rose 40%, Client and Endpoint Solutions rose 10%, Cloud-based Solutions rose 31% and Other services rose 35%. The 2025 sale of the CloudBlue Business reduced Cloud growth by 6 percentage points.

North America and Asia-Pacific Supply most of the growth

North America net sales rose 31.5% to $5.82 billion, led by a 61% jump in Advanced Solutions on networking, servers, GPU and AI infrastructure products. Asia-Pacific rose 22.3% to $4.34 billion, with Advanced Solutions up 25% on GPU and AI infrastructure in China and Cloud up 44%.

EMEA grew 7.3% to $3.93 billion and Latin America grew 16.7% to $1.13 billion. Operating margins improved in each segment, with North America at 1.96% versus 1.79% and Latin America at 3.45% versus 3.21%.

Thin margins improve even as gross margin slips to 6.55%

Gross profit was $996.9 million, or 6.55% of sales, compared with 6.90% a year earlier. The company said the 35 basis point decline was largely driven by a mix shift toward lower-margin, low cost-to-serve GPU and AI infrastructure products. Excluding those products in both years, gross margin declined by 4 basis points.

SG&A expenses rose $55.0 million but fell to 4.58% of sales from 5.10%, which the company credited to Leverage on higher sales, cost reductions and automation on its Xvantage platform. Income from operations was $293.8 million, or 1.93% of sales, compared with $223.5 million, or 1.77%.

Below the operating line, a currency swing and lower tax rate

Total other expense was $106.8 million versus $73.0 million, largely because of a net foreign exchange loss of $14.6 million compared with a gain of $10.2 million. The effective tax rate was 29.9%, down from 33.9%.

Net income was $131.1 million, or $0.57 per diluted share, compared with $99.5 million, or $0.42. For the thirty-nine weeks, net sales were $43.7 billion, up 16.0%, Net Income was $340.8 million, and diluted EPS was $1.46 versus $0.88.

Inventory build absorbs cash and pushes Debt to $3.9 billion

Operating activities used $1,259.7 million of cash in the thirty-nine weeks, which the company tied to a heavier Investment in inventory on higher Demand and selling prices, plus larger receivables. Cash and cash equivalents were $1.00 billion, compared with $1.86 billion at the prior year end, and total debt was $3.90 billion, up from $3.20 billion.

The company repurchased 625,000 shares for $17.0 million in the quarter at $27.19 per share, leaving $53.0 million under a $100 million program. It announced a Cash Dividend of $0.088 per share on October 29, 2026, payable on November 23, 2026 to holders of record on November 9, 2026.

Readers will likely watch whether the AI infrastructure mix keeps compressing gross margin, how Working Capital behaves as sales grow, and how the debt balance moves from here.