Datalink: Fiscal 3Q16 Financial Results
Sales decreasing before acquisition by Insight Enterprises
This is a Press Release edited by StorageNewsletter.com on November 11, 2016 at 2:46 pm(in $ million) | 3Q15 | 3Q16 | 9 mo. 16 | 9 mo. 16 |
Revenues | 198.0 | 184.0 | 556.0 | 547.8 |
Growth | -7% | -1% | ||
Net income (loss) | (1.3) | (0.5) | (2.0) | (4.0) |
Datalink Corp. reported results for its third quarter and nine months that ended September 30, 2016.
Revenues for the quarter ended September 30, 2016, decreased 7% to $184.0 million compared to $198.0 million for the quarter ended September 30, 2015. Included in the third quarter of 2016 is approximately $10.3 million of fulfillment revenues compared to $22.3 million in the third quarter of 2015. Without these fulfillment revenues, which the company has now discontinued, revenue would have decreased 1% from the comparable quarter.
Revenues for the nine months ended September 30, 2016, decreased 1% to $547.8 million compared to $556.0 million for the nine months ended September 30, 2015.
GAAP Results
On a GAAP basis, the company reported net earnings of $546,000 or $0.03 per diluted share for the third quarter ended September 30, 2016. This compares to net earnings of $1.3 million or $0.06 per diluted share in the third quarter of 2015. For the nine months ended September 30, 2016, the company reported net earnings of $4.0 million or $0.18 per diluted share, compared to net earnings of $2.0 million, or $0.09 per diluted share, for the nine months ended September 30, 2015.
Non-GAAP Results
Non-GAAP net earnings for the third quarter of 2016 were $2.6 million, or $0.12 per diluted share, compared to non-GAAP net earnings of $3.3 million, or $0.15 per diluted share, in the third quarter of 2015. For the nine months ended September 30, 2016, the company reported non-GAAP net earnings of $7.9 million, or $0.37 per diluted share, compared to non-GAAP net earnings of $8.3 million, or $0.37 per diluted share, for the nine months ended September 30, 2015.
Acquisition
The company announced that it has entered into a definitive merger agreement with Insight Enterprises, Inc. pursuant to which Insight would acquire Datalink for $11.25 per share of common stock in cash. As a result of this announcement, the company is cancelling its earnings conference call.