Insight Enterprises CEO Says Large Customers Are Saving for AI Investments

Q2 results met expectations with hardware and commercial client growth offsetting declines in cloud and services due to partner program changes. AI initiatives and cost controls drove record margins, while guidance anticipates stronger hardware and cloud performance in the second half.

Based on Insight Enterprises, Inc. [NSIT] Q2 2025 Audio Transcript — Jul. 31 2025

Q2 2025 saw a 3% year-over-year decline in net sales and a 2% drop in gross profit, with margins slightly up due to hardware mix. Operating income and net earnings fell sharply, impacted by higher expenses and interest, while share repurchases and a major acquisition marked significant capital moves.

Original document: Insight Enterprises, Inc. [NSIT] SEC 10-Q Quarterly Report — Jul. 31 2025

Insight Enterprises, Inc. (NSIT) is currently at $121.78, down $22.81 or 15.78%

• Would be lowest close since May 2, 2023, when it closed at $119.38
• On pace for largest percent decrease since March 9, 2020, when it fell 16.25%
• Currently down three of the past four days
• Currently down two consecutive days; down 16.96% over this period
• Worst two day stretch since the two days ending Aug. 2, 2024, when it fell 19.14%
• Down 11.81% month-to-date; on pace for worst month since Oct. 2024, when it fell 18.79%
• Down 19.93% year-to-date
• Down 45.93% from its all-time closing high of $225.24 on July 26, 2024
• Down 38.42% from 52 weeks ago (Aug. 1, 2024), when it closed at $197.76
• Down 45.81% from its 52-week closing high of $224.73 on Oct. 9, 2024
• Would be a new 52-week closing low
• Traded as low as $119.26; lowest intraday level since May 2, 2023, when it hit $117.99
• Down 17.52% at today's intraday low; largest intraday percent decrease since March 16, 2020, when it fell as much as 22.53%

All data as of 2:34:48 PM ET

Source: Dow Jones Market Data, FactSet

By Kelly Cloonan

Shares of Insight Enterprises declined after the company posted lower profit and revenue in its latest quarter as its larger customers continue to delay new projects amid macroeconomic uncertainty.

The stock fell 13% to $125.73 on Thursday. Shares are off by 17% this year.

The technology solutions provider on Thursday posted a profit of $46.9 million, or $1.46 a share, for the second quarter, down from $87.4 million, or $2.27 a share, a year earlier.

Adjusted earnings per share were $2.45, below estimates of $2.47 a share according to analysts polled by FactSet.

Sales fell 3% to $2.09 billion, missing the $2.15 billion modeled by analysts surveyed by FactSet.

Product revenue fell 4% to $1.67 billion, driven by lower software product sales. Sales in the services segment fell 2%, to $426.2 million.

Chief Executive Joyce Mullen said the company continued to see its larger clients delay new services projects amid macroeconomic factors like tariffs, interest rates and supply chain disruptions from legislative policies.

Going forward, the company is well-positioned, particularly with its expertise in artificial intelligence, to grow as the macroeconomic environment improves, she said.

For the full year, the company said it now expects gross profit to be about flat from last year, compared to its prior outlook for low-single-digit growth. The company backed its previous guidance for adjusted earnings per share of $9.70 to $10.10, up from $9.68 in 2024.

Write to Kelly Cloonan at kelly.cloonan@wsj.com