Insight Enterprises Inc (NSIT) · Nov 5, 2026 · Earnings
Beat — Adj. EPS $3.59 vs published estimates of roughly $2.70-$2.85
Insight Enterprises earnings beat published adjusted-EPS estimates and raised 2026 guidance, while APAC losses and restructuring costs cloud the GAAP picture.
Insight is in the middle of an AI-led shift from a traditional IT reseller toward a higher-value solutions integrator, building growth around cloud, infrastructure hardware, cybersecurity and managed services. Its prior quarter already showed strong AI-driven momentum and raised full-year guidance, so the central question was whether that trajectory was accelerating or merely holding.
The quarter beat the market’s adjusted-EPS bar by a wide margin. Adjusted diluted EPS reached $3.59, versus published estimates clustering around $2.70-$2.85, while revenue rose 22% and adjusted earnings from operations increased 23%. The beat is more meaningful because it came with broad growth across hardware, services, cloud and core services—not just a single product spike. The filing states: “Adjusted diluted earnings per share was $3.59, up 34% year over year.” 〔0〕
| Metric | Q3 2026 | Q3 2025 | Consensus / prior guide |
|---|---|---|---|
| Net sales (Financial Results) | $2.442B (+22%) | $2.004B | |
| Gross profit (Financial Results) | $523.2M (+20%) | $434.2M | |
| Adjusted diluted EPS (EPS reconciliation) | $3.59 (+34%) | $2.67 | ~$2.70-$2.85 consensus |
| GAAP earnings from operations (Financial Results) | $68.7M (-26%) | $93.1M | |
| Gross margin (Financial Results) | 21.4% (-30 bps) | 21.7% | |
| FY26 adjusted EPS guide (Outlook) | $13.55-$13.75 | $12.20-$12.70 prior guide |
Management raised the full-year outlook again, extending the positive signal beyond one quarter. The new adjusted EPS range of $13.55-$13.75 is above the prior $12.20-$12.70 range, and gross-profit growth is now expected at 12.5%-14.0%, up from 8%-10%. The filing explicitly says: “For the full year 2026, we are raising our gross profit growth expectations to be between 12.5% to 14.0%.” 〔1〕
The quality of the growth is improving, but the GAAP income statement is still messy. Services gross profit grew 23%, cloud gross profit 26%, and Insight Core Services gross profit 21%, supporting the solutions-integrator strategy. However, gross margin slipped 30 basis points, selling and administrative expenses rose 29%, and GAAP operating income fell 26% because of higher earnout valuation adjustments and $25.7 million of severance and restructuring costs. The filing attributes the decline to “higher earnout valuation adjustments compared to the prior-year period, as well as higher severance and restructuring costs.” 〔2〕
APAC is the clear operational blemish. APAC revenue more than doubled and adjusted operating income reached $16.5 million, but GAAP operating income was a $22.3 million loss, largely because of a $36.9 million earnout-liability revaluation. That makes the segment’s headline growth look stronger than its reported profitability, and it remains a complication as Insight integrates recent acquisitions.
Bottom line: This was a genuine earnings beat with another guidance increase, strengthening Insight’s AI-and-services growth story. The main offset is that reported profitability remains less clean than adjusted results suggest, especially in APAC and after restructuring costs.
Q3 earnings call, November 5
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