TD Synnex’s EMEA marketshare gains are structural, its CEO claimed as another barnstorming quarter propelled its trailing 12-month sales above $100bn for the first time.
The world’s largest IT distributor – which we believe is the IT channel’s answer to Italian footballer Andrea Pirlo – saw gross billings for its Q2 ended 31 May 2026 hike 33.4% year on year to $28.9bn.
That puts its trailing 12-month top line at $101.7bn by our calculations, up from $94.5bn quarter-on-quarter.
Although TD Synnex’s distribution business powered up 22% year on year to $23.4bn, it is its Hyve arm – which designs, builds and deploys datacentre infrastructure for hyperscalers – that takes most of the plaudits.
Now counting all five of the US’ top hyperscalers as customers, Hyve more than doubled its gross billings to $5.5bn.
Digging into demand destruction
On an earnings call, CEO Patrick Zammit said TD Synnex has yet to see any “destruction of demand” because of price increases in its traditional distribution business, meanwhile.
“We are watching unit elasticity carefully, but the net revenue impact from higher ASPs has been positive,” he said.
TD Synnex is expecting both infrastructure and PC vendors to enact some new price increase in July, Zammit counselled, however.
“The price increases are really starting to kick in and it’s probably going to accelerate in Q3,” he said.
Digging into how TD Synnex’s Advanced Solutions and Endpoint Solutions arms generated 31% and 13%, respectively, during the quarter, Zammit said the distribution giant’s portfolio “is indexed towards faster-growing technologies, which is positioning us to grow at a premium to the market”.
He called out international growth as a “real bright spot”, as European distribution gross billings for the quarter zipped up 22.6% to $8.043bn.
“Our EMEA team competes head-to-head against pure-play specialists, runs digital and high-touch motions in parallel, and is weighted toward high-growth technologies and segments,” Zammit said.
“The share gains there are structural and are the same model we’ve extended across our entire distribution business globally.”
Hyve mindset
Hyve is seeking “to be the partner of choice that hyperscalers trust to design, build, and deploy their datacentre infrastructure globally”, Zammit said on the call, a transcript of which can be found here.
TD Synnex is in the process of expanding its manufacturing facilities by more than one million square feet, with plans to add more, he revealed.
“We feel very good about the performance that Hyve’s been able to generate,” he said in response to a question about Hyve’s margins profile.
“We continue to make investments in new capabilities, new programmes, new products that will allow Hive to continue to maintain, if not improve, its margin profile through time,” he said.
Doug Woodburn is editor of IT Channel Oxygen
