v3.26.1
SEGMENT REPORTING
 3 Months Ended
Jun. 30, 2026
SEGMENT REPORTING [Abstract]  
SEGMENT REPORTING
15. SEGMENT REPORTING
 
We manage and report our operating results through three operating segments: product, professional services, and managed services. Our organizational structure is based on how our chief operating decision maker (“CODM”) allocates resources, manages operations, and evaluates performance. Our CODM is our Chief Executive Officer.
 
Our product segment includes sales of IT products, third-party software, and third-party maintenance, software assurance, and other third-party services. Our professional services segment includes our advanced professional services, staff augmentation, project management services, cloud consulting services and security services. Our managed services segment includes our advanced managed services, service desk, storage-as-a-service, cloud hosted services, cloud managed services and managed security services. Our other category consists of the international entities of our financing business that we retained after selling our domestic financing business.
 
Our CODM measures the performance of the segments based on gross profit. We do not present asset information for our reportable segments as we do not provide asset information to our CODM. Our CODM reviews financial results and forecasts quarterly to manage operations and evaluate performance. Our CODM also uses our financial results and forecasts to make investment decisions as part of our annual budgeting process.
 
The following table provides reportable segment information (in thousands):
 
         
           
     Three months ended June 30,  
     2026      2025  
Net sales:
         
Product
  $529,603   $526,355 
Professional services
   68,081    71,729 
Managed services
   51,302    44,580 
Total reportable segments
   648,986    642,664 
Other
   127    111 
Total
   649,113    642,775 
           
Cost of sales:
          
Product
   418,536    414,413 
Professional services
   42,937    43,576 
Managed services
   36,237    31,046 
Total reportable segments
   497,710    489,035 
Other
   74    64 
Total
   497,784    489,099 
           
Gross profit:
          
Product
   111,067    111,942 
Professional services
   25,144    28,153 
Managed services
   15,065    13,534 
Total reportable segments
   151,276    153,629 
Other
   53    47 
Total
  $151,329   $153,676 
Disaggregation of Revenue
 
We recognize revenue in our product, professional services, and managed services segments from contracts with customers. We recognize revenue in the other category under guidance for financing and leases.
 
The following tables provide a disaggregation of revenue recognized from contracts with customers by timing and our position as principal or agent (in thousands):
 
                 
                     
     Three months ended June 30, 2026  
     Product      Professional
Services 		     Managed Services
     Total  
Timing and position as principal or agent:
                   
Transferred at a point in time as principal
 $484,139   $ -    $ -    $484,139 
Transferred at a point in time as agent
  45,464     -      -     45,464 
Transferred over time as principal
   -     68,081    51,302    119,383 
Total revenue from contracts with customers
 $529,603   $68,081   $51,302   $648,986 
 
                 
                     
     Three months ended June 30, 2025  
     Product      Professional Services      Managed Services      Total  
Timing and position as principal or agent:
                   
Transferred at a point in time as principal
 $479,965   $ -    $ -    $479,965 
Transferred at a point in time as agent
  46,390     -      -     46,390 
Transferred over time as principal
   -     71,729    44,580    116,309 
Total revenue from contracts with customers
 $526,355   $71,729   $44,580   $642,664 
The following table provides a disaggregation of our revenue from contracts with customers by customer end market and by type (in thousands):
 
         
           
     Three months ended June 30,  
     2026      2025  
Customer end market:
         
Telecom, media & entertainment
 $138,697   $184,979 
Technology
  117,999    82,747 
SLED
  79,856    90,562 
Healthcare
  79,197    74,291 
Financial services
  73,386    47,500 
Retail
  34,923    31,971 
All others
  124,928    130,614 
Total revenue from contracts with customers
 $648,986   $642,664 
           
Type:
         
Product segment:
         
Networking
 $223,721   $218,202 
Cloud
  180,748    206,996 
Security
  78,265    61,107 
Collaboration
  15,492    11,757 
Other
  31,377    28,293 
Total product segment
  529,603    526,355 
Professional services segment
  68,081    71,729 
Managed services segment
  51,302    44,580 
Total revenue from contracts with customers
 $648,986   $642,664