Insight Enterprises, Inc. (NASDAQ: NSIT) has reported its financial results for the fourth quarter and full year ended December 31, 2024. The company's gross profit increased by 1% year over year to $439.6 million for the fourth quarter, with gross margin expanding by 170 basis points to a record 21.2%. For the full year, gross profit increased by 6% to $1.8 billion, with gross margin expanding by 210 basis points to a record 20.3%.
Insight Core Services gross profit saw an impressive 12% year-over-year increase for the fourth quarter and a 15% increase for the full year. Cloud gross profit also grew, with a 3% increase year over year for the fourth quarter and a substantial 21% increase for the full year.
However, consolidated net earnings decreased by 59% to $37.0 million year over year for the fourth quarter and decreased by 11% to $249.7 million for the full year. Adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) decreased by 11% to $141.1 million year over year for the fourth quarter but increased by 4% to $543.5 million for the full year.
Diluted earnings per share for the quarter were reported at $0.99, down 59% year over year, and for the full year, diluted earnings per share were $6.55, down 13% year over year. Adjusted diluted earnings per share for the quarter decreased by 11% year over year, while for the full year, it remained flat at $9.68.
The company also reported that cash flows provided by operating activities were $215.1 million for the fourth quarter and $632.8 million for the full year.
In terms of net sales, there was a decrease of 7% year over year in the fourth quarter to $2.1 billion, with product net sales decreasing by 10% and services net sales increasing by 3% year over year. For the full year, net sales decreased by 5% to $8.7 billion year over year.
In discussing the results, Joyce Mullen, President and Chief Executive Officer of Insight Enterprises, Inc., highlighted that the macroeconomic environment had influenced their clients' investment priorities and decision-making in 2024. Despite this, the company posted another record year of gross margin at 20.3% and achieved cash flow from operations of $633 million.
The company also provided guidance for the full year 2025, expecting adjusted diluted earnings per share to be between $9.70 and $10.10. It anticipates low single-digit gross profit growth and a gross margin of approximately 20%.
Today the company's shares have moved -2.4% to a price of $169.87. If you want to know more, read the company's complete 8-K report here.
