ScanSource's High-Stakes Pitch at Raymond James Investor Conference

GREENVILLE, SC – February 25, 2026 – ScanSource, Inc. is preparing for a pivotal presentation at the upcoming Raymond James Institutional Investors Conference, where Chief Financial Officer Steve Jones will take the stage in what is shaping up to be a crucial moment for the technology distributor. The announcement of the March 4 presentation comes as the company navigates a complex market, balancing recent financial headwinds against a long-term strategy focused on high-growth, recurring revenue streams.

The presentation provides a significant platform for ScanSource (NASDAQ: SCSC) to directly address the institutional investors who will be instrumental in shaping the company's market valuation. The context for this engagement is critical; the Greenville-based company recently reported second-quarter fiscal 2026 earnings that fell short of analyst expectations and subsequently revised its full-year revenue forecast downward. This makes the Orlando conference more than a routine update—it's an opportunity to reinforce its narrative and build confidence in its strategic direction.

A Crucial Moment Amid Market Headwinds

The 47th annual Raymond James conference is a flagship event in the financial calendar, connecting management from hundreds of public companies with influential investors. For ScanSource, the timing is significant. The company announced Q2 2026 earnings per share of $0.80 on revenue of $766.51 million, missing consensus estimates. Citing a slowdown in large deal activity and a more cautious technology spending environment, ScanSource lowered its full-year 2026 revenue guidance to a range of $3.0 billion to $3.1 billion.

This backdrop elevates the importance of CFO Steve Jones's upcoming presentation. Investors will be listening intently for insights into how the company plans to navigate the current softness in hardware spending and achieve its revised targets. The session, which will be webcast live, is a prime opportunity for management to provide color beyond the numbers, articulating the underlying strengths of the business and its long-term growth trajectory.

Despite the recent forecast adjustment, the company has highlighted key strategic successes. ScanSource generated an impressive $104.1 million in free cash flow in fiscal year 2025 and has consistently emphasized its low leverage and financial discipline. The core challenge for Jones will be to frame the current market challenges as temporary while underscoring the permanent, positive shifts occurring within the company's business model.

The Strategic Pivot to Hybrid Distribution

At the heart of ScanSource's long-term strategy is its evolution into a "hybrid distributor." This model is designed to capitalize on the powerful trend of converging technologies, moving beyond traditional hardware sales to integrate Software-as-a-Service (SaaS), connectivity, and cloud services. The company's presentation will likely place a heavy emphasis on this strategic pivot, which is already reshaping its financial profile.

While total net sales saw a modest decrease in fiscal 2025, recurring revenue grew by a remarkable 31.8% year-over-year. This shift is crucial, as it creates a more predictable and profitable revenue base. The portion of gross profit derived from these recurring revenue streams climbed to 32.8% in FY25, up from 27.5% the previous year. This demonstrates a successful transition toward higher-margin services, a point Jones is almost certain to highlight for investors.

This strategy aligns perfectly with broader industry trends. The SaaS market alone is projected to grow exponentially, reaching nearly $1.5 trillion by 2034, driven by AI integration and enterprise cloud adoption. Similarly, the demand for robust connectivity and cloud infrastructure continues to surge. ScanSource, through its Intelisys segment and strategic acquisitions, has positioned itself as a key enabler for its channel sales partners, helping them deliver these complex, integrated solutions to end-users. The narrative for investors is that ScanSource is not just a participant in this market shift, but an essential facilitator of it.

Navigating a Competitive and Evolving Landscape

ScanSource operates in a fiercely competitive market dominated by giants like TD SYNNEX and Ingram Micro, which leverage massive scale and broadline portfolios. However, ScanSource has deliberately carved out a defensible niche through specialization. Instead of competing on scale alone, the company has built deep technical expertise in specific vertical markets, including point-of-sale (POS), barcode scanning, physical security, and communications.

This specialized approach allows ScanSource to offer significant value-added services, training, and support, fostering strong loyalty among its reseller network. This differentiation is a cornerstone of its competitive advantage and a key part of the story for investors. While larger competitors focus on volume, ScanSource focuses on value and complexity, positioning itself as an indispensable partner for navigating the convergence of technologies.

The upcoming presentation will likely detail how this specialized, "hybrid distribution" model makes ScanSource more resilient and better positioned for future growth than its larger rivals in certain segments. The company's ability to help partners bundle hardware, software, and cloud services into a single solution addresses a critical need in the market that broadline distributors may be less equipped to handle with the same level of expertise.

The CFO's Narrative for Growth

Ultimately, the Raymond James conference is a forum for storytelling, and Steve Jones's role is that of a financial narrator. Drawing from his consistent messaging in past earnings calls and presentations, he is expected to weave a compelling narrative that connects the company's financial discipline with its ambitious growth strategy. Key themes will likely include the strength of the company's free cash flow, the strategic use of capital for acquisitions that enhance capabilities, and the expanding addressable market unlocked by its hybrid model.

Investors will be looking for a clear and confident articulation of how ScanSource will weather the current tech spending slowdown while continuing to invest in the future. Jones's ability to balance acknowledgement of short-term challenges with a convincing long-term vision will be paramount. The presentation is not just about the numbers on the slides; it is about conveying the strategy, culture, and leadership that will drive shareholder value in the years to come. The financial community will be watching to see if the story of a specialized, value-added distributor successfully navigating the next wave of technological convergence resonates.