Scansource Stock Price, News & Analysis

ScanSource, Inc. (NASDAQ: SCSC) is a technology-focused distributor that connects devices to the cloud and supports business-to-business electronic markets. Operating in the wholesale trade sector, the company works with technology manufacturers and suppliers and sells to channel partners that serve end customers. ScanSource describes itself as a hybrid distributor and technology distributor that is positioned to address complex, converging technologies across hardware, software as a service (SaaS), connectivity and cloud services.

Founded in 1992 and headquartered in Greenville, South Carolina, ScanSource trades on the NASDAQ Global Select Market under the ticker symbol SCSC. According to company disclosures, ScanSource has been recognized on FORTUNE magazine’s List of World’s Most Admired Companies and has appeared on the Fortune 1000, with rankings such as #776 and #875 cited in recent years. The company has also been named one of the Best Places to Work in South Carolina.

Business model and segments

ScanSource’s operations are organized into two primary segments: Specialty Technology Solutions and the Intelisys & Advisory segment. The Specialty Technology Solutions segment includes the company’s business in mobility and barcode, point-of-sale (POS), payments, security and networking technologies. The company has stated that this segment generates the majority of its revenue. The Intelisys & Advisory segment reflects ScanSource’s role as a hybrid distributor and technology advisor, with an emphasis on connectivity, cloud and recurring revenue streams.

ScanSource uses multiple sales models to offer technology solutions from suppliers of specialty technologies, connectivity and cloud services. The company positions itself to help channel partners deliver converging solutions that combine devices, software and services for end users. In its communications, ScanSource highlights recurring revenue growth and the contribution of recurring revenue to gross profit, particularly in areas tied to connectivity and cloud offerings.

Role in the technology channel

ScanSource describes itself as a hybrid distributor connecting devices to the cloud and accelerating growth for channel partners. The company focuses on serving channel partners and technology advisors who address changing buying and consumption patterns among end customers. By working with suppliers of specialty technologies and cloud-based services, ScanSource aims to support partners as they assemble and deliver integrated technology solutions.

Company materials emphasize that ScanSource enables channel sales partners to deliver converging solutions for their end users. This includes hardware, SaaS, connectivity and cloud services sourced through ScanSource’s supplier relationships and sales models. The firm also references an advisory practice and acquisitions that expand its capabilities for recurring revenue and connectivity-focused offerings.

Geographic footprint

According to prior descriptions, ScanSource derives a majority of its revenue from the United States and Canada, with additional presence in Brazil and other countries. The company’s recent financial reports and SEC filings focus heavily on North America, including commentary on technology spending environments and demand trends in that region, as well as specific references to Brazil within the Specialty Technology Solutions segment.

Financial and operating focus

ScanSource regularly reports on metrics such as net sales, gross profit, operating income, net income and diluted earnings per share. In addition to GAAP results, the company discloses a range of non-GAAP measures, including Adjusted EBITDA, Adjusted EBITDA margin, non-GAAP net income, non-GAAP diluted EPS, Adjusted return on invested capital (Adjusted ROIC), free cash flow, net debt and non-GAAP net sales. These measures are used by management to evaluate performance, compare periods and assess liquidity and capital resources.

Company communications note that recurring revenue, which is often recorded on a net basis, has become a larger portion of gross profit over time. ScanSource links higher gross profit margins to a higher contribution from recurring revenue and to vendor program recognition. Management also highlights free cash flow generation, share repurchase activity and capital allocation priorities, including disciplined evaluation of mergers and acquisitions and maintaining targeted net debt leverage relative to Adjusted EBITDA.

Corporate governance and auditors

ScanSource is governed by a Board of Directors that oversees strategy, performance, governance and executive compensation, as described in its definitive proxy statement (DEF 14A). The company communicates priorities such as long-term shareholder value creation, profitable growth, recurring revenue expansion and returns on invested capital. In 2025, the Audit Committee conducted a competitive process to select the company’s independent registered public accounting firm for the fiscal year ending June 30, 2026. Following this process, Grant Thornton LLP was dismissed as auditor after completion of the interim review for the quarter ended September 30, 2025, and Deloitte & Touche LLP was engaged as the new independent registered public accounting firm, as detailed in Form 8-K and 8-K/A filings.

People, culture and recognition

ScanSource emphasizes its people and culture as key elements of its business. The company reports initiatives such as cross-functional teams focused on employee engagement and learning and development, along with the establishment of an AI Center of Excellence to support its evolving AI strategy and business use cases. Corporate citizenship efforts mentioned in company materials include community engagement, share grant programs with channel sales partners and support for communities affected by events such as Hurricane Helene.

ScanSource reports that it has been recognized as one of the Best Places to Work in South Carolina and has appeared on FORTUNE magazine’s List of World’s Most Admired Companies. The company also notes external recognition within the technology channel, such as awards for leadership in the channel ecosystem.

Strategic direction

In its proxy materials and earnings communications, ScanSource discusses a strategic plan and three-year strategic goals focused on profitable growth, increased contributions from recurring revenue, and improvements in Adjusted EBITDA margin and Adjusted ROIC. The company describes the convergence of IT, connectivity and cloud computing as a driver of demand for converged solutions. ScanSource positions its multiple sales channels and hybrid distribution model as a way to connect channel partners with converged solutions and to expand its addressable market.

Acquisitions are cited as part of ScanSource’s strategy to expand capabilities in connectivity and advisory services, increase recurring revenue opportunities and enhance channel offerings. The company references an active pipeline of acquisition targets across its business segments and notes that completed acquisitions have contributed to non-GAAP earnings and Adjusted ROIC.

Stock information

ScanSource’s common stock, with no par value, trades on the NASDAQ Global Select Market under the symbol SCSC. The company files periodic reports, proxy statements and current reports with the U.S. Securities and Exchange Commission (SEC), including Forms 10-K, 10-Q, 8-K and DEF 14A, which provide detailed information on its financial condition, results of operations, governance and risk factors.