What changed in this filing

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Item 1. Financial Statements

2025-07-02 compared with 2025-04-02 · 138 added, 146 removed, 585 unchanged (33% of the section changed)

3 unchanged sentences

(currency and share amounts in thousands, except par value)

February 28, 2025 November 30, 2024

May 31, 2025 November 30, 2024

Current assets:

23 unchanged sentences

Preferred stock, $ 0.001 par value, 5,000 shares authorized, no shares issued or outstanding

Common stock, $ 0.001 par value, 200,000 shares authorized, 99,012 shares issued as of both February 28, 2025 and November 30, 2024

Common stock, $ 0.001 par value, 200,000 shares authorized, 99,012 shares issued as of both May 31, 2025 and November 30, 2024

Additional paid-in capital 7,448,114 7,437,688

Treasury stock, 15,796 and 15,289 shares as of February 28, 2025 and November 30, 2024, respectively

Treasury stock, 17,092 and 15,289 shares as of May 31, 2025 and November 30, 2024, respectively

( 1,737,413 ) ( 1,513,017 )

8 unchanged sentences

(currency and share amounts in thousands, except per share amounts)

Three Months Ended

February 28, 2025 February 29, 2024

Three Months Ended Six Months Ended

May 31, 2025 May 31, 2024 May 31, 2025 May 31, 2024

Revenue $ 14,946,315 $ 13,947,908 $ 29,478,022 $ 27,923,161

20 unchanged sentences

(currency in thousands)

Three Months Ended

February 28, 2025 February 29, 2024

Three Months Ended Six Months Ended

May 31, 2025 May 31, 2024 May 31, 2025 May 31, 2024

Net income $ 184,921 $ 143,605 $ 352,458 $ 315,733

Other comprehensive loss:

Unrealized losses on cash flow hedges during the period, net of tax benefit of $ 0 and $ 0 for the three months ended February 28, 2025 and February 29, 2024, respectively.

Reclassification of net gains on cash flow hedges to net income, net of tax benefit of ($ 3 ) and $ 0 for the three months ended February 28, 2025 and February 29, 2024, respectively.

Other comprehensive income (loss):

Unrealized losses on cash flow hedges during the period, net of tax benefit of $ 0 and $ 0 for the three months ended May 31, 2025 and 2024, respectively, and $ 0 and $ 0 for the six months ended May 31, 2025 and 2024, respectively.

( 1,619 ) — ( 1,626 ) —

Reclassification of net losses on cash flow hedges to net income, net of tax benefit of $ 3 and $ 0 for the three months ended May 31, 2025 and 2024, respectively, and $ 6 and $ 0 for the six months ended May 31, 2025 and 2024, respectively.

Total change in unrealized losses on cash flow hedges, net of taxes

Foreign currency translation adjustments and other, net of tax expense of ($ 3,602 ) and ($ 1,348 ) for the three months ended February 28, 2025 and February 29, 2024, respectively.

( 884 ) — ( 1,247 ) —

Other comprehensive loss ( 41,488 ) ( 31,824 )

Foreign currency translation adjustments and other, net of tax benefit (expense) of $ 16,405 and $ 690 for the three months ended May 31, 2025 and 2024, respectively, and $ 12,803 and ($ 658 ) for the six months ended May 31, 2025 and 2024, respectively.

284,935 ( 13,212 ) 243,810 ( 45,036 )

Other comprehensive income (loss) 284,051 ( 13,212 ) 242,563 ( 45,036 )

Comprehensive income $ 468,972 $ 130,393 $ 595,021 $ 270,697

4 unchanged sentences

(currency in thousands, except per share amounts)

Three Months Ended

February 28, 2025 February 29, 2024

Three Months Ended Six Months Ended

May 31, 2025 May 31, 2024 May 31, 2025 May 31, 2024

Total Stockholders' equity, beginning balance $ 8,050,395 $ 8,102,175 $ 8,035,434 $ 8,183,182

18 unchanged sentences

Beginning balance ( 686,605 ) ( 539,072 ) ( 645,117 ) ( 507,248 )

Other comprehensive loss ( 41,488 ) ( 31,824 )

Other comprehensive income (loss) 284,051 ( 13,212 ) 242,563 ( 45,036 )

Ending balance ( 402,554 ) ( 552,284 ) ( 402,554 ) ( 552,284 )

6 unchanged sentences

(currency in thousands)

Three Months Ended

February 28, 2025 February 29, 2024

Six Months Ended

May 31, 2025 May 31, 2024

Cash flows from operating activities:

3 unchanged sentences

Share-based compensation 33,811 30,920

21,861 17,490

Provision for doubtful accounts 10,942 4,922

9 unchanged sentences

Purchases of property and equipment ( 71,768 ) ( 78,910 )

( 41,525 ) ( 41,088 )

Acquisition of businesses, net of cash acquired ( 4,459 ) ( 26,238 )

( 3,793 ) ( 28,443 )

Other 5,149 4,351

2 unchanged sentences

Dividends paid ( 74,118 ) ( 69,843 )

( 37,220 ) ( 35,652 )

Proceeds from reissuance of treasury stock 12,513 5,507

Repurchases of common stock ( 249,328 ) ( 453,375 )

( 100,510 ) ( 199,225 )

Repurchases of common stock for tax withholdings on equity awards ( 8,832 ) ( 6,287 )

( 4,250 ) ( 4,798 )

Net borrowings (repayments) on revolving credit loans 208,708 ( 45,433 )

421,422 ( 56,055 )

Principal payments on long-term debt ( 15,541 ) ( 784,714 )

Net cash provided by (used in) financing activities 288,596 ( 311,207 )

Borrowings on long term debt — 1,349,376

Cash paid for debt issuance costs — ( 12,715 )

Net cash used in financing activities ( 126,598 ) ( 17,484 )

Effect of exchange rate changes on cash and cash equivalents 80,212 ( 11,848 )

( 13,582 ) ( 8,422 )

Net decrease in cash and cash equivalents ( 517,515 ) ( 2,830 )

Net (decrease) increase in cash and cash equivalents ( 292,279 ) 139,872

Cash and cash equivalents at beginning of period 1,059,378 1,033,776

1,059,378 1,033,776

Cash and cash equivalents at end of period $ 767,099 $ 1,173,648

$ 541,863 $ 1,030,946

(Amounts may not add or compute due to rounding)

2 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

6 unchanged sentences

The Company operates on a fiscal year that ends on November 30.

The accompanying interim unaudited Consolidated Financial Statements as of February 28, 2025 and for the three months ended February 28, 2025 and February 29, 2024 have been prepared by the Company, without audit, in accordance with the rules and regulations of the United States ("U.S.") Securities and Exchange Commission ("SEC").

The accompanying interim unaudited Consolidated Financial Statements as of May 31, 2025 and for the three and six months ended May 31, 2025 and 2024 have been prepared by the Company, without audit, in accordance with the rules and regulations of the United States ("U.S.") Securities and Exchange Commission ("SEC").

Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) in the U.S.

13 unchanged sentences

The Company’s cash and cash equivalents and derivative instruments are transacted and maintained with financial institutions with high credit standing, and their compositions and maturities are regularly monitored by management.

Through February 28, 2025, the Company has not experienced any material credit losses on such deposits and derivative instruments.

Through May 31, 2025, the Company has not experienced any material credit losses on such deposits and derivative instruments.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

5 unchanged sentences

The following table provides revenue generated from products purchased from vendors that exceeded 10% of our consolidated revenue for the periods indicated (as a percent of consolidated revenue):

Three Months Ended

February 28, 2025 February 29, 2024

Three Months Ended Six Months Ended

May 31, 2025 May 31, 2024 May 31, 2025 May 31, 2024

11 % 11 % 12 % 12 %

11 % 10 % 10 % N/A ( 1 )

1 unchanged sentence

(1) Revenue generated from products purchased from this vendor was less than 10% of consolidated revenue during the period presented.

One customer accounted for 10 % of the Company's total revenue during both the three months ended February 28, 2025 and February 29, 2024.

As of February 28, 2025 and November 30, 2024, no single customer comprised more than 10% of the consolidated accounts receivable balance.

One customer accounted for 11 % and 10 % of the Company's total revenue during the three and six months ended May 31, 2025, respectively.

One customer accounted for 12 % and 11 % of the Company's total revenue during the three and six months ended May 31, 2024, respectively.

As of May 31, 2025 and November 30, 2024, no single customer comprised more than 10% of the consolidated accounts receivable balance.

Accounts Receivable

7 unchanged sentences

In addition, certain of these programs also require that the Company continue to service, administer and collect the sold accounts receivable.

As of February 28, 2025 and November 30, 2024, accounts receivable sold to and held by the financial institutions under these programs were $ 1.3 billion and $ 1.2 billion, respectively.

As of May 31, 2025 and November 30, 2024, accounts receivable sold to and held by the financial institutions under these programs were $ 1.0 billion and $ 1.2 billion, respectively.

Discount fees related to the sale of trade accounts receivable under these facilities are included in “Interest expense and finance charges, net” in the Consolidated Statements of Operations.

Discount fees for these programs totaled $ 12.0 million and $ 16.0 million in the three months ended February 28, 2025 and February 29, 2024, respectively.

Discount fees for these programs totaled $ 13.5 million and $ 25.5 million in the three and six months ended May 31, 2025, respectively and $ 16.6 million and $ 32.6 million in the three and six months ended May 31, 2024, respectively.

The Company's operating results are affected by the seasonality of the IT products industry.

3 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

25 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

20 unchanged sentences

NOTE 3— ACQUISITION, INTEGRATION AND RESTRUCTURING COSTS:

Acquisition, integration and restructuring costs during the three months ended February 29, 2024 were comprised of costs related to the Merger (as defined below).

There were no acquisition, integration and restructuring costs related to other acquisitions during the three months ended February 29, 2024.

Acquisition, integration and restructuring costs related to other acquisitions were $ 1.1 million during the three months ended February 28, 2025.

Acquisition, integration and restructuring costs during the three and six months ended May 31, 2024 were primarily comprised of costs related to the Merger (as defined below).

Other acquisition, integration and restructuring costs were $ 0.7 million and $ 1.7 million during the three and six months ended May 31, 2025, respectively, and $ 5.2 million during the three and six months ended May 31, 2024.

On March 22, 2021, the Company entered into an agreement and plan of merger (the “Merger Agreement”) which provided that legacy SYNNEX Corporation would acquire legacy Tech Data Corporation, a Florida corporation ("Tech Data") through a series of mergers, which would result in Tech Data becoming an indirect subsidiary of TD SYNNEX Corporation (collectively, the "Merger").

2 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

The Company completed the acquisition, integration and restructuring activities related to the Merger during the first half of fiscal year 2024.

There were no related expenses recognized during the three months ended February 28, 2025 and there are no related expenses expected in future periods.

There were no related expenses recognized during the three and six months ended May 31, 2025 and there are no related expenses expected in future periods.

The Company previously incurred acquisition, integration and restructuring costs related to the completion of the Merger, including professional services costs, personnel and other costs, and long-lived assets charges and termination fees.

1 unchanged sentence

Personnel and other costs are primarily comprised of costs related to retention and other bonuses, severance and duplicative labor costs.

Long-lived assets charges and termination fees include accelerated depreciation and amortization expense of $ 0.4 million recorded during the three months ended February 29, 2024 due to changes in asset useful lives in conjunction with the consolidation of certain IT systems, along with $ 6.6 million recorded during the three months ended February 29, 2024 for termination fees related to certain IT systems.

Long-lived assets charges and termination fees include accelerated depreciation and amortization expense of $ 5.1 million and $ 5.5 million recorded during the three and six months ended May 31, 2024, respectively, due to changes in asset useful lives in conjunction with the consolidation of certain IT systems, along with $ 10.4 million and $ 17.0 million recorded during the three and six months ended May 31, 2024, respectively, for termination fees related to certain IT systems.

In July 2023, the Company offered a voluntary severance program ("VSP") to certain co-workers in the U.S.

as part of the Company's cost optimization efforts related to the Merger.

The Company incurred $ 7.2 million of costs in connection with the VSP during the three months ended February 29, 2024, including $ 6.0 million of severance costs and $ 1.2 million of duplicative labor costs.

During the three months ended February 29, 2024, acquisition and integration expenses related to the Merger were composed of the following:

Three Months Ended

February 29, 2024

The Company incurred $ 2.9 million and $ 10.1 million of costs in connection with the VSP during the three and six months ended May 31, 2024, respectively, including $ 2.0 million and $ 8.0 million of severance costs and $ 0.9 million and $ 2.1 million of duplicative labor costs, respectively.

During the three and six months ended May 31, 2024, acquisition and integration expenses related to the Merger were composed of the following:

Three Months Ended Six Months Ended

May 31, 2024 May 31, 2024

(currency in thousands)

7 unchanged sentences

The Company recognizes share-based compensation expense for all share-based awards made to employees and outside directors, including employee stock options, restricted stock awards ("RSAs"), restricted stock units ("RSUs"), performance-based RSUs ("PRSUs") and employee stock purchase rights, based on estimated fair values.

The following tables summarize the Company's share-based awards activity for stock incentive plans during the three months ended February 28, 2025.

The following tables summarize the Company's share-based awards activity for stock incentive plans during the six months ended May 31, 2025.

A summary of the changes in the Company's stock options is set forth below:

3 unchanged sentences

Exercised ( 78 )

Balances as of February 28, 2025

Balances as of May 31, 2025

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

5 unchanged sentences

Attainment adjustments (1)

Non-vested as of February 28, 2025

Non-vested as of May 31, 2025

__________________

(1) During the three months ended February 28, 2025, the attainment on PRSUs vested was adjusted to reflect actual performance.

The Company recorded $ 21.9 million and $ 17.5 million of share-based compensation expense during the three months ended February 28, 2025 and February 29, 2024, respectively within "Selling, general and administrative expenses" in the Consolidated Statements of Operations for stock incentive plans.

(1) During the six months ended May 31, 2025, the attainment on PRSUs vested was adjusted to reflect actual performance.

The Company recorded $ 12.0 million and $ 33.8 million of share-based compensation expense during the three and six months ended May 31, 2025, respectively and $ 13.4 million and $ 30.9 million during the three and six months ended May 31, 2024, respectively within "Selling, general and administrative expenses" in the Consolidated Statements of Operations for stock incentive plans.

NOTE 5— STOCKHOLDERS' EQUITY:

3 unchanged sentences

The March 2024 share repurchase program does not have an expiration date.

As of February 28, 2025, the Company had $ 1.7 billion available for future repurchases of its common stock under the March 2024 share repurchase program.

The Company's common share repurchase activity for the three months ended February 28, 2025 is summarized as follows:

As of May 31, 2025, the Company had $ 1.5 billion available for future repurchases of its common stock under the March 2024 share repurchase program.

The Company's common share repurchase activity for the six months ended May 31, 2025 is summarized as follows:

(shares in thousands, except per share amounts)

5 unchanged sentences

Shares of treasury stock reissued for employee benefit plans ( 360 ) 99.71

Treasury stock balance as of February 28, 2025

Treasury stock balance as of May 31, 2025

17,092 $ 101.65

1 unchanged sentence

(1) Weighted-average price per share excludes broker's commissions and excise taxes.

"Repurchases of common stock" in the Consolidated Statements of Cash Flows for the three months ended February 28, 2025 and February 29, 2024 excludes amounts related to excise tax that when accrued are included in "Other current liabilities" and "Treasury stock" on the Consolidated Balance Sheets.

"Repurchases of common stock" in the Consolidated Statements of Cash Flows for the six months ended May 31, 2025 and 2024 excludes amounts related to excise tax that when accrued are included in "Other current liabilities" and "Treasury stock" on the Consolidated Balance Sheets.

Excise taxes paid are classified as operating activities in the Consolidated Statements of Cash Flows.

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

On March 27, 2025 , the Company announced that its Board of Directors declared a quarterly cash dividend of $ 0.44 per common share payable on April 25, 2025 to stockholders of record as of the close of business on April 11, 2025 .

On June 24, 2025 , the Company announced that its Board of Directors declared a quarterly cash dividend of $ 0.44 per common share payable on July 25, 2025 to stockholders of record as of the close of business on July 11, 2025 .

Dividends are subject to continued capital availability and the declaration by the Board of Directors in the best interest of the Company’s stockholders.

1 unchanged sentence

The following table sets forth the computation of basic and diluted earnings per common share for the periods indicated:

Three Months Ended

February 28, 2025 February 29, 2024

Three Months Ended Six Months Ended

May 31, 2025 May 31, 2024 May 31, 2025 May 31, 2024

(currency and share amounts in thousands, except per share amounts)

15 unchanged sentences

(1) Diluted EPS is calculated using the two-class method.

Unvested restricted stock awards granted to employees are considered participating securities.

For purposes of calculating Diluted EPS, net income allocated to participating securities was approximately 0.9% of net income for both the three months ended February 28, 2025 and February 29, 2024.

Unvested RSAs granted to employees are considered participating securities.

For purposes of calculating Diluted EPS, net income allocated to participating securities was approximately 0.9 % of net income for both the three and six months ended May 31, 2025 and 2024.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

NOTE 7— BALANCE SHEET COMPONENTS:

1 unchanged sentence

The following table summarizes accounts receivable, net:

February 28, 2025 November 30, 2024

May 31, 2025 November 30, 2024

(currency in thousands)

2 unchanged sentences

Accounts receivable, net $ 10,127,960 $ 10,341,625

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

Allowance for doubtful trade receivables:

3 unchanged sentences

Write-offs, recoveries, reclassifications and foreign exchange translation ( 17,317 )

Balance as of February 28, 2025

Balance as of May 31, 2025

Accumulated other comprehensive loss:

7 unchanged sentences

$ ( 110 ) $ ( 645,007 ) $ ( 645,117 )

Other comprehensive loss before reclassification

( 7 ) ( 41,125 ) ( 41,132 )

Reclassification of gains from accumulated other comprehensive loss

Other comprehensive (loss) income before reclassification

( 1,626 ) 243,810 242,184

Balance as of February 28, 2025

Reclassification of losses from accumulated other comprehensive loss

Balance as of May 31, 2025

$ ( 1,357 ) $ ( 401,197 ) $ ( 402,554 )

8 unchanged sentences

The Company’s hedging program is not used for trading or speculative purposes.

All derivatives are recognized on the balance sheet at their fair value.

Changes in the fair value of derivatives are recorded in the Consolidated Statements of Operations, or as a component of accumulated other comprehensive income (loss) ("AOCI") in the Consolidated Balance Sheets, as discussed below.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

All derivatives are recognized on the balance sheet at their fair value.

Changes in the fair value of derivatives are recorded in the Consolidated Statements of Operations, or as a component of AOCI in the Consolidated Balance Sheets, as discussed below.

Cash Flow Hedges

The Company designates certain foreign currency forward contracts used to hedge forecasted inventory purchases and forecasted operating expenses that are denominated in currencies other than the legal entity's functional currency as cash flow hedges.

The Company designates certain foreign currency forward contracts used to hedge forecasted sales transactions, inventory purchases and operating expenses that are denominated in currencies other than the legal entity's functional currency as cash flow hedges.

These foreign currency forward contracts generally have terms up to 24 months.

Gains and losses on cash flow hedges are recorded in AOCI until the hedged item is recognized in earnings.

Deferred gains and losses associated with cash flow hedges of forecasted inventory purchases are recognized in "Cost of revenue" in the same period as the related expense is recognized.

Deferred gains and losses associated with cash flow hedges of forecasted operating expenses are recognized in "Selling, general and administrative expenses" in the same period as the related expense is recognized.

Deferred gains and losses associated with cash flow hedges are recognized in the Consolidated Statements of Operations in the same period as the related impacts from the hedged items, as follows:

hedges of forecasted sales transactions are recognized in "Revenue", hedges of forecasted inventory purchases are recognized in "Cost of revenue" and hedges of forecasted operating expenses are recognized in "Selling, general and administrative expenses".

Derivative instruments designated as cash flow hedges must be de-designated as hedges when it is probable the forecasted hedged transaction will not occur in the initially identified time period or within a subsequent two-month time period.

15 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

2 unchanged sentences

Balance Sheet Line Item (currency in thousands)

February 28, 2025 November 30, 2024

May 31, 2025 November 30, 2024

Derivative instruments not designated as hedging instruments:

4 unchanged sentences

Foreign exchange forward contracts (notional value) (1)

Other current assets 37 —

Other current liabilities

7 unchanged sentences

Other long-term assets — 1,792

Other long-term liabilities 6,113 —

(1) The Company had no material cash flow hedges outstanding as of November 30, 2024.

6 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

The Effect of Derivative Instruments on AOCI and the Consolidated Statements of Operations

The following table shows the gains and losses, before taxes, of the Company’s derivative instruments designated as net investment hedges in Other Comprehensive Income (“OCI”) and not designated as hedging instruments in the Consolidated Statements of Operations for the periods presented:

Three Months Ended

Location of Gains (Losses) in Income February 28, 2025 February 29, 2024

The following table shows the gains and losses, before taxes, of the Company’s derivative instruments designated as cash flow hedges and net investment hedges in Other Comprehensive Income (“OCI”) and not designated as hedging instruments in the Consolidated Statements of Operations for the periods presented:

Three Months Ended Six Months Ended

Location of Gains (Losses) in Income May 31, 2025 May 31, 2024 May 31, 2025 May 31, 2024

(currency in thousands)

Derivative instruments not designated as hedging instruments:

Gains recognized from foreign exchange contracts, net⁽¹⁾ Cost of revenue $ 14,997 $ 6,122

(Losses) gains recognized from foreign exchange contracts, net⁽¹⁾ Cost of revenue $ ( 62,401 ) $ 326 $ ( 47,404 ) $ 6,448

(Losses) gains recognized from foreign exchange contracts, net⁽¹⁾ Other expense, net ( 125 ) ( 290 ) ( 2,612 ) 1,766

2 unchanged sentences

Losses recognized in OCI on foreign exchange forward contracts $ ( 1,619 ) $ — $ ( 1,626 ) $ —

Gains on foreign exchange forward contracts reclassified from AOCI into income Cost of revenue $ 408 $ —

Losses on foreign exchange forward contracts reclassified from AOCI into income Cost of revenue $ ( 646 ) $ — $ ( 238 ) $ —

Losses on foreign exchange forward contracts reclassified from AOCI into income Selling, general and administrative expenses $ ( 92 ) $ — $ ( 147 ) $ —

Derivative instruments designated as net investment hedges:

Gains recognized in OCI on foreign exchange forward contracts $ 12,224 $ 5,444

(Losses) gains recognized in OCI on foreign exchange forward contracts $ ( 54,676 ) $ ( 872 ) $ ( 42,452 ) $ 4,572

Gains recognized in income (amount excluded from effectiveness testing) Interest expense and finance charges, net $ 2,554 $ 2,388 $ 5,077 $ 4,644

Gains recognized in OCI on foreign exchange collar contracts (3)

Losses recognized in OCI on foreign exchange collar contracts (3)

$ ( 9,806 ) $ — $ ( 7,905 ) $ —

____________________________

(1) The gains and losses largely offset the currency gains and losses that resulted from changes in the assets and liabilities denominated in nonfunctional currencies.

(2) The Company had no material cash flow hedges outstanding during the three months ended February 29, 2024.

(3) The Company had no foreign exchange collar contracts outstanding during the three months ended February 29, 2024.

(2) The Company had no material cash flow hedges outstanding during the three and six months ended May 31, 2024.

(3) The Company had no foreign exchange collar contracts outstanding during the three and six months ended May 31, 2024.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

Except for the net investment hedge amounts shown above, there were no gain or loss amounts excluded from the assessment of effectiveness.

2 unchanged sentences

The Company manages the potential risk of credit losses through careful evaluation of counterparty credit standing and selection of counterparties from a limited group of financial institutions.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

NOTE 9— FAIR VALUE MEASUREMENTS:

4 unchanged sentences

The following table summarizes the valuation of the Company’s financial instruments that are measured at fair value on a recurring basis:

As of February 28, 2025

As of May 31, 2025

As of November 30, 2024

5 unchanged sentences

Foreign exchange collar contracts designated as net investment hedges — — — — 1,792 — 1,792 —

Forward foreign currency exchange contracts designated as cash flow hedges (1)

37 — 37 — — — — —

Forward foreign currency exchange contracts not designated as hedges $ 15,500 $ — $ 15,500 $ — $ 8,096 $ — $ 8,096 $ —

2 unchanged sentences

874 — 874 — — — — —

Foreign exchange collar contracts designated as net investment hedges 6,113 — 6,113 — — — — —

(1) The Company had no material cash flow hedges outstanding as of November 30, 2024.

The fair values of forward exchange contracts are measured based on the foreign currency spot and forward rates quoted by the banks or foreign currency dealers.

The fair values of foreign exchange collar contracts are measured using the cash flows of the contracts, discount rates to account for the passage of time, implied volatility and current foreign exchange market data, which are all based on inputs readily available in public markets.

The effect of nonperformance risk on the fair value of derivative instruments was not material as of February 28, 2025 and November 30, 2024.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

The fair values of forward exchange contracts are measured based on the foreign currency spot and forward rates quoted by the banks or foreign currency dealers.

The effect of nonperformance risk on the fair value of derivative instruments was not material as of May 31, 2025 and November 30, 2024.

The carrying values of accounts receivable, accounts payable and short-term debt approximate fair value due to their short maturities and interest rates which are variable in nature.

The carrying value of the Company’s term loans approximate their fair value since they bear interest rates that are similar to existing market rates.

The estimated fair value of the Senior Notes was approximately $ 2.3 billion as of both February 28, 2025 and November 30, 2024.

During the three months ended February 28, 2025, there were no transfers between the fair value measurement category levels.

The estimated fair value of the Senior Notes was approximately $ 2.3 billion as of both May 31, 2025 and November 30, 2024.

During the six months ended May 31, 2025, there were no transfers between the fair value measurement category levels.

NOTE 10— BORROWINGS:

Borrowings consist of the following:

February 28, 2025 November 30, 2024

May 31, 2025 November 30, 2024

(currency in thousands)

TD SYNNEX U.S.

Accounts Receivable Securitization Agreement

TD SYNNEX Revolving Credit Facility

$ 150,000 $ —

24 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

20 unchanged sentences

subsidiaries sell, on a revolving basis, their receivables to a wholly-owned, bankruptcy-remote subsidiary.

Such receivables, which are recorded in the Consolidated Balance Sheet, totaled approximately $ 3.1 billion and $ 3.4 billion as of February 28, 2025 and November 30, 2024, respectively .

Such receivables, which are recorded in the Consolidated Balance Sheet, totaled approximately $ 3.2 billion and $ 3.4 billion as of May 31, 2025 and November 30, 2024, respectively .

The borrowings are funded by pledging all of the rights, title and interest in the receivables acquired by the Company's bankruptcy-remote subsidiary as security.

1 unchanged sentence

AR Arrangement are recorded as debt on the Company's Consolidated Balance Sheets.

There was $ 390.0 million outstanding under the U.S.

AR Arrangement at February 28, 2025 at an interest rate of 5.33 %.

There were no amounts outstanding under the U.S.

AR Arrangement at November 30, 2024.

AR Arrangement at May 31, 2025 or November 30, 2024.

TD SYNNEX Credit Agreement

1 unchanged sentence

The borrowers under the TD SYNNEX Credit Agreement are TD SYNNEX Corporation and certain subsidiaries of the Company.

There were no amounts outstanding under the TD SYNNEX Revolving Credit Facility at February 28, 2025 or November 30, 2024.

There was $ 150.0 million outstanding under the TD SYNNEX Revolving Credit Facility at May 31, 2025 at an interest rate of 5.61 %.

There were no amounts outstanding under the TD SYNNEX Revolving Credit Facility at November 30, 2024.

Borrowings under the TD SYNNEX Revolving Credit Facility bear interest at a per annum rate equal to the applicable SOFR rate, plus a credit spread adjustment, plus the applicable margin, as well as a commitment fee as referenced in the table below:

10 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

The TD SYNNEX Credit Agreement also includes a senior unsecured term loan (the “TD SYNNEX Term Loan”) in an original aggregate principal amount of $ 1.5 billion .

There was $ 581.3 million outstanding on the TD SYNNEX Term Loan as of both February 28, 2025 and November 30, 2024 .

There was $ 581.3 million outstanding on the TD SYNNEX Term Loan as of both May 31, 2025 and November 30, 2024 .

Loans borrowed under the TD SYNNEX Credit Agreement bear interest at a per annum rate equal to the applicable SOFR rate, plus a credit spread adjustment, plus the applicable margin as referenced in the table below:

Maturity Date Credit Spread Adjustment Margin (1)

Effective Interest Rate as of February 28, 2025

Effective Interest Rate as of May 31, 2025

Effective Interest Rate as of November 30, 2024

11 unchanged sentences

Key terms for the 2024 Term Loan Credit Agreement are as follows:

Maturity Date Credit Spread Adjustment Margin

Effective Interest Rate as of February 28, 2025

Maturity Date Credit Spread Adjustment Margin Effective Interest Rate as of May 31, 2025

Effective Interest Rate as of November 30, 2024

12 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

2 unchanged sentences

Par Call Dates and the spread to the applicable treasury rate for the respective outstanding Senior Notes are as follows:

Par Call Date

Spread (in basis points)

Senior Notes due 2026

July 9, 2026 20

Senior Notes due 2028

June 9, 2028 25

Senior Notes due 2031

May 9, 2031 25

Senior Notes due 2034

January 12, 2034 30

Senior Notes Par Call Date Spread (in basis points)

Senior Notes due 2026 July 9, 2026 20

Senior Notes due 2028 June 9, 2028 25

Senior Notes due 2031 May 9, 2031 25

Senior Notes due 2034 January 12, 2034 30

Other Short-Term Borrowings

The Company has various other committed and uncommitted lines of credit with financial institutions, short-term loans, term loans, credit facilities, and book overdraft facilities, totaling approximately $ 566.0 million in borrowing capacity as of February 28, 2025.

The Company has various other committed and uncommitted lines of credit with financial institutions, short-term loans, term loans, credit facilities, and book overdraft facilities, totaling approximately $ 616.8 million in borrowing capacity as of May 31, 2025.

Most of these facilities are provided on a short-term basis and are reviewed periodically for renewal.

Interest rates and other terms of borrowing under these lines of credit vary by country, depending on local market conditions.

There was $ 201.0 million outstanding on these facilities at February 28, 2025, at a weighted average interest rate of 5.78 %, and there was $ 171.1 million outstanding at November 30, 2024, at a weighted average interest rate of 7.91 %.

There was $ 232.4 million outstanding on these facilities at May 31, 2025, at a weighted average interest rate of 8.87 %, and there was $ 171.1 million outstanding at November 30, 2024, at a weighted average interest rate of 7.91 %.

Borrowings under these lines of credit facilities are guaranteed by the Company or secured by eligible accounts receivable.

At February 28, 2025, the Company was also contingently liable for reimbursement obligations with respect to issued standby letters of credit in the aggregate outstanding amount of $ 56.2 million.

At May 31, 2025, the Company was also contingently liable for reimbursement obligations with respect to issued standby letters of credit in the aggregate outstanding amount of $ 51.5 million.

These letters of credit typically act as a guarantee of payment to certain third parties in accordance with specified terms and conditions.

The maximum commitment amounts for local currency credit facilities have been translated into U.S.

dollars at February 28, 2025 exchange rates.

dollars at May 31, 2025 exchange rates.

Covenant Compliance

The Company's credit facilities have a number of covenants and restrictions that require the Company to maintain specified financial ratios, including a maximum debt to EBITDA ratio and a minimum interest coverage ratio, in each cash tested on the last day of each fiscal quarter.

The covenants also limit the Company’s ability to incur additional debt, create liens, enter into agreements with affiliates, modify the nature of the Company’s business, and merge or consolidate.

As of February 28, 2025, the Company was in compliance with all material financial covenants for the above arrangements.

As of May 31, 2025, the Company was in compliance with all material financial covenants for the above arrangements.

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

6 unchanged sentences

The Company generally does not incur any fees under Supplier Finance Programs;

however, the Company did recognize an immaterial amount of fees during the three months ended February 28, 2025 and February 29, 2024 within "Cost of revenue" in the Company's Consolidated Statements of Operations related to an arrangement with a certain vendor.

As of February 28, 2025 and November 30, 2024, the Company had $ 2.7 billion and $ 3.2 billion, respectively, in obligations outstanding under these programs included in “ Accounts payable ” in the Company’s Consolidated Balance Sheets and all activity related to the obligations is presented within operating activities in the Consolidated Statements of Cash Flows.

however, the Company did recognize an immaterial amount of fees during the three and six months ended May 31, 2025 and 2024 within "Cost of revenue" in the Company's Consolidated Statements of Operations related to an arrangement with a certain vendor.

As of May 31, 2025 and November 30, 2024, the Company had $ 2.8 billion and $ 3.2 billion, respectively, in obligations outstanding under these programs included in “ Accounts payable ” in the Company’s Consolidated Balance Sheets and all activity related to the obligations is presented within operating activities in the Consolidated Statements of Cash Flows.

NOTE 12— SEGMENT INFORMATION:

2 unchanged sentences

(currency in thousands)

Three Months Ended February 28, 2025

Three Months Ended May 31, 2025

Revenue $ 9,009,195 $ 4,889,997 $ 1,047,123 $ 14,946,315

Operating income 252,646 50,312 25,181 328,139

Three Months Ended February 29, 2024

Three Months Ended May 31, 2024

Revenue $ 8,557,573 $ 4,426,775 $ 963,560 $ 13,947,908

Operating income 209,284 34,360 20,304 263,948

Six Months Ended May 31, 2025

Revenue $ 17,398,533 $ 10,027,762 $ 2,051,727 $ 29,478,022

Operating income 446,368 136,204 50,026 632,598

Six Months Ended May 31, 2024

Revenue $ 16,460,669 $ 9,544,027 $ 1,918,465 $ 27,923,161

Operating income 368,966 142,685 54,869 566,520

TD SYNNEX CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended February 28, 2025 and February 29, 2024

For the three and six months ended May 31, 2025 and 2024

( Except per share amounts or as otherwise indicated, currency and share amounts in thousands )

24 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements