Connection (CNXN) Earnings: Q3 2026 Results

The quarter ended September 30, 2026 and Connection published the results on October 28, 2026. Revenue and diluted EPS are shown against Q3 2025, the same quarter a year earlier, which takes seasonal swings out of the comparison. Connection reports EPS two ways: GAAP, under the accounting rules every US filer follows, and Adjusted Diluted EPS, which leaves out items the company considers outside its operating results. The release reconciles the two, and when they diverge, the reconciliation says why.

• Connection is the trade name of PC Connection, Inc. Revenue on this page is the line it calls net sales.
• Connection's adjusted EPS excludes only severance expenses, net of tax. There were none in Q3 2026 or Q3 2025, so adjusted and GAAP diluted EPS are the same.

Source: Connection Q3 2026 results, October 28, 2026. Also in the Form 10-Q for the quarter ended September 30, 2026. Figures as reported; checked against the release on November 10, 2026.

How Connection splits revenue in its own release, under its own labels, for Q3 2026 against Q3 2025. Indented lines are parts of the line above them.

• Connection's Enterprise Solutions revenue was $408 million in Q3 2026, up 27% from $320 million in Q3 2025, 47% of total revenue.
• Connection's Business Solutions revenue was $328 million in Q3 2026, up 28% from $257 million in Q3 2025, 38% of total revenue.
• Connection's Public Sector Solutions revenue was $139 million in Q3 2026, up 5% from $133 million in Q3 2025, 16% of total revenue.

Segment lines are the figures writers cite most often, because they show where the growth in a quarter came from. Companies redraw their segments from time to time and restate the prior year to match, so a year-ago figure here can differ from the one printed a year ago. When that has happened, the note above says so.

Revenue and diluted EPS for the last 5 quarters. Each date links to that quarter's release.

Net sales and GAAP diluted EPS, each as first reported in that quarter's release. Connection reports in thousands; net sales are shown in millions.

We do not hold a confirmed date for Connection's next report. Companies post the date on their investor relations site a few weeks ahead, usually with the time of the conference call.

Each quarter keeps its own page with the figures as reported, so a link to one stays pointed at the same numbers after the next report.

• Q3 2026 (this page), reported Oct 28, 2026

Connection resells IT hardware, software and services through three segments. In Q3 2026 Enterprise Solutions, which serves large corporate buyers, had net sales of $407.5 million, Business Solutions, which serves mainly small and medium-sized businesses, had $328.2 million, and Public Sector Solutions, which sells to government agencies and educational institutions, had $138.6 million. Total net sales were $874.3 million, up 23.3%. (Connection Q3 2026 release, Oct 28, 2026)

In Connection's product mix, notebooks/mobility and desktop sales rose 27% and were 46% of net sales. Servers/storage rose 45% to 9% of net sales and networking rose 43% to 8%, while accessories grew 4% and fell to 10% of net sales from 12%. In Enterprise Solutions, desktops added $39.9 million of the segment's $87.7 million increase. (Connection Q3 2026 release, Oct 28, 2026; Connection Form 10-Q, Q3 2026, Oct 28, 2026)

Connection's Public Sector Solutions segment grew 4.6%. Sales to state and local government rose $10.5 million, or 10.2%, while sales to the federal government and educational institutions fell $4.4 million, or 15.3%. (Connection Form 10-Q, Q3 2026, Oct 28, 2026)

Connection books some software on a net basis, so gross billings run well above net sales: $1.3 billion in Q3 2026, up 19.4%, against net sales of $874.3 million. Gross margin fell 110 basis points to 18.5%, which the 10-Q attributes mainly to a smaller share of net-basis software sales, recorded at 100% margin, and lower invoice margins on net/com products from customer mix. (Connection Q3 2026 release, Oct 28, 2026; Connection Form 10-Q, Q3 2026, Oct 28, 2026)

No single customer accounted for more than 10% of Connection's revenue in 2025. Its purchasing is more concentrated: TD Synnex, Ingram Micro and Microsoft supplied approximately 25%, 21% and 13% of product purchases in 2025, and products made by Microsoft, HP Inc. and Dell were approximately 16%, 13% and 12%. The 10-Q names the global DRAM and NAND memory shortage as a risk to inventory costs, margins and product availability. (Connection Form 10-K, 2025, Feb 24, 2026; Connection Form 10-Q, Q3 2026, Oct 28, 2026)

Connection's diluted EPS was $1.24 in Q3 2026, against $0.97 a year earlier, on net income of $31.5 million against $24.7 million. Its only adjustment, severance expenses net of tax, was zero in both quarters, so Adjusted Diluted EPS was also $1.24. For the first nine months Adjusted Diluted EPS was $3.31 against GAAP $3.23 because of $3.1 million of severance costs from a voluntary retirement offering and internal restructuring. (Connection Q3 2026 release, Oct 28, 2026)

Connection's SG&A rose 11.5% to $120.9 million, slower than sales, and fell to 13.8% of net sales from 15.3%, lifting the operating margin to 4.7% from 4.3%. Interest income fell to $2.5 million from $3.7 million on lower cash balances and lower rates, and the tax provision rose to $12.0 million from $9.2 million on higher pre-tax income. (Connection Q3 2026 release, Oct 28, 2026; Connection Form 10-Q, Q3 2026, Oct 28, 2026)

Connection's diluted share count was nearly flat at 25,441 thousand, against 25,489 thousand. It bought back no shares in the quarter and $2.5 million over nine months, and paid $5.0 million of dividends in Q3. The board declared a quarterly dividend of $0.20 per share, payable November 27, 2026. (Connection Q3 2026 release, Oct 28, 2026)

Diluted EPS divides net income by the weighted average number of shares outstanding in the quarter, plus the shares that options and other equity awards could add. Buybacks shrink that count and lift EPS for the same profit; share issuance and stock awards enlarge it.

Connection does not publish a revenue or earnings outlook in its earnings release. The Q3 2026 release reports results, a $0.20 quarterly dividend and twelve-month Adjusted EBITDA of $155.2 million, up 26%, with no guidance figures. (Connection Q3 2026 release, Oct 28, 2026)

A consensus figure is the average of the models published by the analysts who cover Connection, collected by a data provider and revised up to the day of the report. A quarter that lands above it says how expectations were set as much as how the business did, and the share price on the day also reflects the guidance and the lines no consensus covers.

The consensus figures on this page are Yahoo Finance's, as pulled on the date shown. Each comes with the number of analysts behind it; the smaller that number, the more one revised estimate can move the average.

The figures below are the ones Connection's own release and filings put weight on for Q3 2026, with the latest reported value for each.

What the quarter means for a holding is a separate question from what it reported. The case for and against owning CNXN is on is CNXN a buy or a sell?, what analysts expect next is on the CNXN forecast, and what the company does is on the Connection (CNXN) stock page.

Every number on this page can be traced to a document Connection published. Checking one takes a couple of minutes, and it is worth doing before you quote a figure anywhere.

• The results release is the document linked in the source line above. Companies publish it on their investor relations site at the moment results go out, and it carries the headline tables: revenue, operating income, net income and EPS for the quarter and the year-ago quarter.
• The same release is filed with the SEC as Exhibit 99.1 to a Form 8-K under Item 2.02, usually on the day of the report. The SEC copy does not change after the fact, which makes it the safer thing to link when you cite a number.
• The quarterly report (Form 10-Q) follows within a few weeks and carries the full financial statements, the segment note and management's discussion of what changed. The fourth quarter is covered by the annual report (Form 10-K) instead.
• Restated comparisons are flagged in the notes on this page. When a company redraws its segments or changes how it adjusts EPS, it restates the year-ago column, so the year-ago figure in a new release can differ from the one printed a year ago. This page always uses the comparison in the newer release, because that is the like-for-like one.

A walk-through of every line in a release, with what each one tells you, is in how to read an earnings report.