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FOR IMMEDIATE RELEASE Contact : Steve Jones Senior EVP , Chief Financial Officer Scan Source , Inc. ( 864 ) 286-4302 SCANSOURCE DELIVERS STRONG FIRST QUARTER PERFORMANCE Strong demand drives excellent top - line growth ; net sales increased 13 % year - over - year GREENVILLE , SC November 9 , 2021 Scan Source , Inc. ( NASDAQ : SCSC ) , a leading hybrid distributor connecting devices to the cloud , today announced financial results for the first quarter ended September 30 , 2021. All results in this release reflect continuing operations only unless otherwise noted . First Quarter Summary : Select reported measures : Net sales Gross profit Gross profit margin % Operating income GAAP net income GAAP diluted EPS Select Non - GAAP measures : Mary M. Gentry SVP , Treasurer and Investor Relations ScanSource , Inc. ( 864 ) 286-4892 Adjusted EBITDA Adjusted EBITDA margin % Non - GAAP net income Non - GAAP diluted EPS n / m - percentages are not meaningful $ $ $ 1 Quarter ended September 30 , 2020 2021 ( in thousands , except per share data ) 857,311 101,300 11.82 % 30,328 22,073 0.86 41,394 4.83 % 25,550 0.99 $ $ $ $ 757,342 80,779 10.67 % 1,634 ( 115 ) ( 0.01 ) 20,911 2.76 % 10,698 0.42 Change 13.2 % 25.4 % 115bp n / m n / m n / m 98.0 % 207bp 138.8 % 135.7 % " Excellent top - line growth driven by strong demand proves our hybrid distribution strategy is winning , " said Mike Baur , Chairman and CEO , ScanSource , Inc. " Our business is built for top - line growth , and we realized operational leverage from this growth in our outstanding bottom - line results . " Quarterly Results Net sales for the first quarter of fiscal year 2022 totaled $ 857.3 million , up 13.2 % year - over - year , or 12.9 % year - over - year for organic growth . First quarter fiscal year 2022 net sales in the Specialty Technology Solutions segment increased 22.7 % to $ 501.7 million , driven by broad - based growth across technologies . First quarter fiscal year 2022 net sales in Modern Communications & Cloud increased 2.0 % to $ 355.6 million , reflecting the shift to cloud and subscriptions . For the Intelisys agency business , first quarter fiscal year 2022 net sales increased 13.7 % year - over - year . Gross profit for the first quarter of fiscal year 2022 totaled $ 101.3 million , up 25.4 % year - over - year . Gross profit margin increased to 11.8 % for the first quarter of fiscal year 2022 , up from 10.7 % for the prior year period . The increase is primarily due to a higher margin sales mix and higher vendor program recognition from higher sales . For the first quarter of fiscal year 2022 , operating income increased to $ 30.3 million from $ 1.6 million for the prior - year quarter . First quarter fiscal year 2022 non - GAAP operating income increased to $ 34.9 million for a 4.07 % non - GAAP operating income margin , up from $ 15.8 million for the prior - year quarter .