Exhibit 99.1

FOR IMMEDIATE RELEASE

Contact:
Gerald Lyons		Mary M. Gentry
Executive Vice President, Chief Financial Officer	- or -	Vice President, Treasurer and Investor Relations
ScanSource, Inc.		ScanSource, Inc.
(864) 286-4854		(864) 286-4892

SCANSOURCE ANNOUNCES SECOND QUARTER RESULTS

GREENVILLE, SC -- February 4, 2020 -- ScanSource, Inc. (NASDAQ: SCSC), a leading provider of technology products and solutions, today announced financial results for the second quarter ended December 31, 2019.

	Quarter ended December 31,
	2019				2018				Change
	(in millions, except per share data)
Net sales	$	989.5			$	1,046.0			(5	)%
Non-GAAP net sales, excluding Planned Divestitures(1)	833.7				872.4				(4	)%
Operating income	18.5				29.7				(38	)%
Non-GAAP operating income(1) (2)	28.6				34.6				(17	)%
Net income	11.4				20.0				(43	)%
Non-GAAP net income(1) (2)	19.5				24.7				(21	)%
Diluted EPS	$	0.45			$	0.78			(42	)%
Non-GAAP diluted EPS(1) (2)	$	0.77			$	0.96			(20	)%
(1) A reconciliation of non-GAAP financial information to GAAP financial information is presented in the Supplementary Information (Unaudited) below.
(2) Non-GAAP results exclude amortization of intangible assets related to acquisitions, change in fair value of contingent consideration, the impact of Planned Divestitures and other non-GAAP items. A reconciliation of non-GAAP to GAAP financial information is presented below.

"The second quarter's financial results were below our expectations, as we reorganized our North American VAR sales teams and lost sales from a group of customers," said Mike Baur, Chairman and CEO, ScanSource, Inc. "We are committed to our One ScanSource strategy to drive higher value and recurring revenue growth for our customers."

Quarterly Results

Net sales were $990 million for the second quarter of fiscal year 2020, 5% lower than the second quarter of fiscal year 2019, principally from lower sales volumes in North America. This decrease was partially offset by increases for the Intelisys recurring revenue business and the addition of SaaS sales with the acquisition of intY. Operating income for the second quarter decreased to $18.5 million year-over-year, and non-GAAP operating income decreased to $28.6 million from the prior-year quarter, primarily from investments for our recurring revenue and services-based businesses.

On a GAAP basis, net income for the second quarter of fiscal year 2020 totaled $11.4 million, or $0.45 per diluted share, compared with net income of $20.0 million, or $0.78 per diluted share, for the prior-year quarter. GAAP diluted EPS included a higher than expected expense for the change in fair value of contingent consideration for Intelisys as a result of better than expected actual results. Non-GAAP net income totaled $19.5 million, or $0.77 per diluted share, compared to $24.7 million, or $0.96 per diluted share, for the prior-year quarter.

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Exhibit 99.1

Plan to Divest Certain Businesses Outside of US, Canada and Brazil

On August 20, 2019, ScanSource announced plans to divest its physical products distribution businesses outside of the United States, Canada and Brazil. ScanSource will continue to operate and invest in its digital distribution business in these geographies. These plans are part of a strategic portfolio repositioning to align investments with higher-growth, higher-margin businesses. The Company has begun the process to market and sell the Planned Divestitures. There can be no assurance that this sale process will result in a transaction or regarding the timing of any transaction. The Planned Divestitures, comprised of physical product businesses in Europe, UK, Mexico, Colombia, Chile, Peru and the Miami-based export operations, had net sales of $156 million for the second quarter fiscal year 2020 and at December 31, 2019 had working capital of $167 million.

Forecast for Next Quarter

For the third quarter of fiscal year 2020, ScanSource expects GAAP net sales to range from $865 million to $915 million and non-GAAP net sales excluding the Planned Divestitures to range from $725 million to $775 million. For the third quarter of fiscal year 2020, ScanSource expects diluted earnings per share to range from $0.16 to $0.26 and non-GAAP diluted earnings per share to range from $0.44 to $0.54. Non-GAAP diluted earnings per share exclude amortization of intangible assets related to acquisitions, change in fair value of contingent consideration, the impact of Planned Divestitures and other non-GAAP items.

Webcast Details and CFO Commentary

At approximately 4:15 p.m. ET today, a CFO commentary, as a supplement to this press release and the Company's conference call, will be available on ScanSource's website, www.scansource.com (Investor Relations section). ScanSource will present additional information about its financial results and outlook in a conference call today, February 4, 2020, at 5:00 p.m. ET. A webcast of the call will be available for all interested parties and can be accessed at www.scansource.com (Investor Relations section). The webcast will be available for replay for 60 days.

Safe Harbor Statement

This press release contains “forward-looking” statements, including the forecast of sales and earnings per share for next quarter and regarding the Planned Divestitures, that involve risks and uncertainties. Any number of factors could cause actual results to differ materially from anticipated or forecasted results, including, but not limited to, changes in interest and exchange rates and regulatory regimes impacting the Company's international operations, the impact of tax reform laws, the failure of acquisitions to meet the Company's expectations, the failure to manage and implement the Company's organic growth strategy, credit risks involving the Company's larger customers and suppliers, termination of the Company's relationship with key suppliers or a significant modification of the terms under which it operates with a key supplier, the decline in demand for the products and services that the Company provides, reduced prices for the products and services that the Company provides due both to competitor and customer action, the Company's ability to complete the Planned Divestitures on acceptable terms or to otherwise dispose of the operations, changes in the Company's operating strategy and other factors set forth in the "Risk Factors" contained in the Company's annual report on Form 10-K for the year ended June 30, 2019, filed with the Securities and Exchange Commission. Except as may be required by law, the Company expressly disclaims any obligation to update these forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.

Non-GAAP Financial Information

In addition to disclosing results that are determined in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the Company also discloses certain non-GAAP financial measures, which are summarized below. Non-GAAP financial measures are used to understand and evaluate performance, including comparisons from period to period. Non-GAAP results exclude amortization of intangible assets related to acquisitions, change in fair value of contingent consideration, acquisition costs, restructuring costs and other non-GAAP adjustments.

Net sales on a constant currency basis, excluding Planned Divestitures and acquisitions: The Company discloses the percentage change in net sales excluding the translation impact from changes in foreign currency exchange rates between reporting periods and excluding the net sales from Planned Divestitures, as well as acquisitions prior to the first full year from the acquisition date. This measure enhances the comparability between periods to help analyze underlying trends on an organic basis.

Income Statement Non-GAAP Metrics: To evaluate current period performance on a more consistent basis with prior periods, the Company discloses non-GAAP net sales, non-GAAP gross profit, non-GAAP operating income, non-GAAP other expense, net, non-GAAP pre-tax income, non-GAAP net income and non-GAAP diluted earnings per share (non-GAAP diluted "EPS"). Non-GAAP results exclude amortization of intangible assets related to acquisitions, changes in fair value of contingent consideration, acquisition and divestiture costs, impact of Planned Divestitures and other non-GAAP adjustments. Non-GAAP metrics are useful

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in assessing and understanding the Company's operating performance, especially when comparing results with previous periods or forecasting performance for future periods.

Return on invested capital ("ROIC"): Management uses ROIC as a performance measurement to assess efficiency in allocating capital under the Company's control to generate returns. Management believes this metric balances the Company's operating results with asset and liability management, is not impacted by capitalization decisions and correlates with shareholder value creation. In addition, it is easily computed, communicated and understood. ROIC also provides management a measure of the Company's profitability on a basis more comparable to historical or future periods.

ROIC assists management in comparing the Company's performance over various reporting periods on a consistent basis because it removes from operating results the impact of items that do not reflect core operating performance. ROIC is calculated as adjusted EBITDA over invested capital. Adjusted earnings before interest expense, income taxes, depreciation and amortization ("Adjusted EBITDA") excludes the change in fair value of contingent consideration, in addition to other non-GAAP adjustments. Invested capital is defined as average equity plus average daily funded interest-bearing debt for the period. Management believes the calculation of ROIC provides useful information to investors and is an additional relevant comparison of the Company's performance during the year.

These non-GAAP financial measures have limitations as analytical tools, and the non-GAAP financial measures that the Company reports may not be comparable to similarly titled amounts reported by other companies. Analysis of results and outlook on a non-GAAP basis should be considered in addition to, and not in substitution for or as superior to, measurements of financial performance prepared in accordance with GAAP. A reconciliation of the Company's non-GAAP financial information to GAAP is set forth in the Supplementary Information (Unaudited) below.

About ScanSource, Inc.

ScanSource, Inc. (NASDAQ: SCSC) is at the center of the technology solution delivery channel, connecting businesses and providing solutions for their complex needs. ScanSource sells through multiple, specialized routes-to-market with digital, physical and services offerings from the world’s leading suppliers of point-of-sale (POS), payments, barcode, physical security, unified communications and collaboration, telecom and cloud services. ScanSource enables its sales partners to create, deliver and manage solutions for end-customers across almost every vertical market. Founded in 1992 and headquartered in Greenville, South Carolina, ScanSource was named one of the Best Places to Work in South Carolina and on FORTUNE magazine’s 2020 List of World’s Most Admired Companies. ScanSource ranks #643 on the Fortune 1000. For more information, visit www.scansource.com.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets (Unaudited)
(in thousands)
		December 31, 2019				June 30, 2019*
Assets
Current assets:
Cash and cash equivalents		$	42,005			$	23,818
Accounts receivable, less allowance of $37,672 at December 31, 2019 and $38,849 at June 30, 2019		645,270				654,983
Inventories		742,979				697,343
Prepaid expenses and other current assets		109,075				101,171
Total current assets		1,539,329				1,477,315
Property and equipment, net		61,625				63,363
Goodwill		369,537				319,538
Identifiable intangible assets, net		117,981				127,939
Deferred income taxes		24,498				24,724
Other non-current assets		97,160				54,382
Total assets		$	2,210,130			$	2,067,261
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable		$	672,906			$	558,101
Accrued expenses and other current liabilities		105,649				91,407
Current portion of contingent consideration		45,043				38,393
Income taxes payable		627				4,310
Short-term borrowings		2,098				4,590
Current portion of long-term debt		5,964				4,085
Total current liabilities		832,287				700,886
Deferred income taxes		1,248				1,395
Long-term debt, net of current portion		146,925				151,014
Borrowings under revolving credit facility		202,758				200,817
Long-term portion of contingent consideration		—				39,532
Other long-term liabilities		99,332				59,488
Total liabilities		1,282,550				1,153,132
Shareholders' equity:
Common stock		61,095				64,287
Retained earnings		962,825				939,930
Accumulated other comprehensive income (loss)		(96,340		)		(90,088		)
Total shareholders' equity		927,580				914,129
Total liabilities and shareholders' equity		$	2,210,130			$	2,067,261

* Derived from audited financial statements.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Condensed Consolidated Income Statements (Unaudited)
(in thousands, except per share data)
		Quarter ended December 31,								Six months ended December 31,
		2019				2018				2019				2018
Net sales		$	989,503			$	1,046,021			$	1,996,430			$	2,018,921
Cost of goods sold		875,619				925,543				1,770,447				1,786,229
Gross profit		113,884				120,478				225,983				232,692
Selling, general and administrative expenses		83,121				80,950				165,632				158,880
Depreciation expense		3,459				3,272				7,008				6,538
Intangible amortization expense		5,631				4,700				10,593				9,703
Change in fair value of contingent consideration		3,176				1,850				5,649				6,434
Operating income		18,497				29,706				37,101				51,137
Interest expense		3,751				3,119				7,543				5,746
Interest income		(749		)		(264		)		(1,548		)		(715		)
Other expense, net		(225		)		201				(195		)		233
Income before income taxes		15,720				26,650				31,301				45,873
Provision for income taxes		4,354				6,668				8,405				11,570
Net income		$	11,366			$	19,982			$	22,896			$	34,303
Per share data:
Net income per common share, basic		$	0.45			$	0.78			$	0.90			$	1.34
Weighted-average shares outstanding, basic		25,274				25,640				25,407				25,619
Net income per common share, diluted		$	0.45			$	0.78			$	0.90			$	1.33
Weighted-average shares outstanding, diluted		25,358				25,750				25,488				25,752

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
Net Sales by Segment:
	Quarter ended December 31,
	2019				2018				% Change
Worldwide Barcode, Networking & Security:	(in thousands)
Net sales, reported	$	686,237			$	701,639			(2.2	)%
Planned Divestitures	(111,237		)		(122,326		)
Non-GAAP net sales, excluding Planned Divestitures	575,000				579,313				(0.7	)%
Foreign exchange impact(a)	1,799				—
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	576,799			$	579,313			(0.4	)%
Worldwide Communications & Services:
Net sales, reported	$	303,266			$	344,382			(11.9	)%
Planned Divestitures	(44,530		)		(51,285		)
Non-GAAP net sales, excluding Planned Divestitures	258,736				293,097				(11.7	)%
Foreign exchange impact(a)	5,187				—
Less: Acquisitions	(12,036		)		(98		)
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	251,887			$	292,999			(14.0	)%
Consolidated:
Net sales, reported	$	989,503			$	1,046,021			(5.4	)%
Planned Divestitures	(155,767		)		(173,611		)
Non-GAAP net sales, excluding Planned Divestitures	833,736				872,410				(4.4	)%
Foreign exchange impact(a)	6,986				—
Less: Acquisitions	(12,036		)		(98		)
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	828,686			$	872,312			(5.0	)%
(a) Year-over-year net sales growth rate excluding the translation impact of changes in foreign currency exchange rates. Calculated by translating the net sales for the quarter ended December 31, 2019 into U.S. dollars using the average foreign exchange rates for the quarter ended December 31, 2018.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
Net Sales by Segment:
	Six months ended December 31,
	2019				2018				% Change
Worldwide Barcode, Networking & Security:	(in thousands)
Net sales, as reported	$	1,384,028			$	1,356,752			2.0	%
Planned Divestitures	(227,840		)		(240,693		)
Non-GAAP net sales, excluding Planned Divestitures	1,156,188				1,116,059				3.6	%
Foreign exchange impact (a)	1,894				—
Less: Acquisitions	—				—
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	1,158,082			$	1,116,059			3.8	%
Worldwide Communications & Services:
Net sales, as reported	$	612,402			$	662,169			(7.5	)%
Planned Divestitures	(83,442		)		(92,564		)
Non-GAAP net sales, excluding Planned Divestitures	528,960				569,605				(7.1	)%
Foreign exchange impact (a)	5,431				—
Less: Acquisitions	(24,193		)		(1,062		)
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	510,198			$	568,543			(10.3	)%
Consolidated:
Net sales, as reported	$	1,996,430			$	2,018,921			(1.1	)%
Planned Divestitures	(311,282		)		(333,257		)
Non-GAAP net sales, excluding Planned Divestitures	1,685,148				1,685,664				—	%
Foreign exchange impact (a)	7,325				—
Less: Acquisitions	(24,193		)		(1,062		)
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	1,668,280			$	1,684,602			(1.0	)%
(a) Year-over-year net sales growth rate excluding the translation impact of changes in foreign currency exchange rates. Calculated by translating the net sales for the six months ended December 31, 2019 into U.S. dollars using the average foreign exchange rates for the six months ended December 31, 2018.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
Net Sales by Geography:
	Quarter ended December 31,
	2019				2018				% Change
United States and Canada:	(in thousands)
Net sales, as reported	$	736,129			$	779,455			(5.6	)%
Less: Acquisitions	(2,312		)		(98		)
Non-GAAP net sales, excluding acquisitions	$	733,817			$	779,357			(5.8	)%
International:
Net sales, as reported	$	253,374			$	266,566			(4.9	)%
Planned Divestitures	(155,767		)		(173,611		)
Non-GAAP net sales, excluding Planned Divestitures	97,607				92,955				5.0	%
Foreign exchange impact(a)	6,986				—
Less: Acquisitions	(9,724		)		—
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	94,869			$	92,955			2.1	%
Consolidated:
Net sales, as reported	$	989,503			$	1,046,021			(5.4	)%
Planned Divestitures	(155,767		)		(173,611		)
Non-GAAP net sales, excluding Planned Divestitures	833,736				872,410				(4.4	)%
Foreign exchange impact(a)	6,986				—
Less: Acquisitions	(12,036		)		(98		)
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	828,686			$	872,312			(5.0	)%
(a) Year-over-year net sales growth rate excluding the translation impact of changes in foreign currency exchange rates. Calculated by translating the net sales for the quarter ended December 31, 2019 into U.S. dollars using the average foreign exchange rates for the quarter ended December 31, 2018.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
Net Sales by Geography:
	Six months ended December 31,
	2019				2018				% Change
United States and Canada:	(in thousands)
Net sales, as reported	$	1,505,766			$	1,517,412			(0.8	)%
Less: Acquisitions	(5,907		)		(1,062		)
Net sales, excluding acquisitions	$	1,499,859			$	1,516,350			(1.1	)%
International:
Net sales, as reported	$	490,664			$	501,509			(2.2	)%
Planned Divestitures	(311,282		)		(333,257		)
Non-GAAP net sales, excluding Planned Divestitures	179,382				168,252				6.6	%
Foreign exchange impact (a)	7,325				—
Less: Acquisitions	(18,286		)		—
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	168,421			$	168,252			2.1	%
Consolidated:
Net sales, as reported	$	1,996,430			$	2,018,921			(5.4	)%
Planned Divestitures	(311,282		)		(333,257		)
Non-GAAP net sales, excluding Planned Divestitures	1,685,148				1,685,664				(4.4	)%
Foreign exchange impact (a)	7,325				—
Less: Acquisitions	(24,193		)		(1,062		)
Non-GAAP net sales, constant currency excluding Planned Divestitures and acquisitions	$	1,668,280			$	1,684,602			(5.0	)%
(a) Year-over-year net sales growth rate excluding the translation impact of changes in foreign currency exchange rates. Calculated by translating the net sales for the six months ended December 31, 2019 into U.S. dollars using the average foreign exchange rates for the six months ended December 31, 2018.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
Non-GAAP Financial Information:
	Quarter ended December 31, 2019
	Reported GAAP measure				Intangible amortization expense				Change in fair value of contingent consideration				Acquisition and Divestiture costs(a)				Restructuring costs				Impact of Planned Divestitures				Non-GAAP measure
	in thousands, except per share data
Net sales	$	989,503			$	—			$	—			$	—			$	—			$	(155,767	)		$	833,736
Gross profit	113,884				—				—				—				—				(15,471		)		98,413
Operating income	18,497				5,631				3,176				1,151				490				(371		)		28,574
Other expense, net	2,777				—				—				—				—				(238		)		2,539
Pre-tax income	15,720				5,631				3,176				1,151				490				(133		)		26,035
Net income	11,366				4,289				2,401				1,151				378				(121		)		19,464
Diluted EPS	$	0.45			$	0.17			$	0.09			$	0.05			$	0.01			$	—			$	0.77
	Quarter ended December 31, 2018
	Reported GAAP measure				Intangible amortization expense				Change in fair value of contingent consideration				Acquisition costs (a)				Restructuring costs				Impact of Planned Divestitures				Non-GAAP measure
	in thousands, except per share data
Net sales	$	1,046,021			$	—			$	—			$	—			$	—			$	(173,611	)		$	872,410
Gross profit	120,478				—				—				—				—				(16,998		)		103,480
Operating income	29,706				4,700				1,850				414				—				(2,102		)		34,568
Other expense, net	3,056				—				—				—				—				(513		)		2,543
Pre-tax income	26,650				4,700				1,850				414				—				(1,588		)		32,026
Net income	19,982				3,567				1,408				414				—				(650		)		24,721
Diluted EPS	$	0.78			$	0.14			$	0.05			$	0.02			$	—			$	(0.03	)		$	0.96
(a) Acquisition and divestiture costs are generally non-deductible for tax purposes.

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ScanSource Announces Second Quarter Results

	Six months ended December 31, 2019
	Reported GAAP measure				Intangible amortization expense				Change in fair value of contingent consideration				Acquisition and divestiture costs(a)				Restructuring costs				Impact of Planned Divestitures				Non-GAAP measure
	(in thousands, except per share data)
Net sales	$	1,996,430			$	—			$	—			$	—			$	—			$	(311,282	)		$	1,685,148
Gross profit	225,983				—				—				—				—				(28,867		)		197,116
Operating income	37,101				10,593				5,649				1,909				659				136				56,047
Other expense, net	5,800				—				—				—				—				(378		)		5,422
Pre-tax income	31,301				10,593				5,649				1,909				659				514				50,625
Net income	22,896				8,035				4,270				1,909				505				323				37,938
Diluted EPS	$	0.90			$	0.32			$	0.17			$	0.07			$	0.02			$	0.01			$	1.49
	Six months ended December 31, 2018
	Reported GAAP measure				Intangible amortization expense				Change in fair value of contingent consideration				Acquisition and divestiture costs(a)				Restructuring costs				Impact of Planned Divestitures				Non-GAAP measure
	(in thousands, except per share data)
Net sales	$	2,018,921			$	—			$	—			$	—			$	—			$	(333,257	)		$	1,685,664
Gross profit	232,692				—				—				—				—				(32,196		)		200,496
Operating income	51,137				9,703				6,434				769				1,328				(2,150		)		67,221
Other expense, net	5,264				—				—				—				—				(346		)		4,918
Pre-tax income	45,873				9,703				6,434				769				1,328				(1,804		)		62,303
Net income	34,303				7,365				4,895				769				955				(697		)		47,590
Diluted EPS	$	1.33			$	0.29			$	0.19			$	0.03			$	0.04			$	(0.03	)		$	1.85

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
(in thousands, except percentages)
Non-GAAP Financial Information:
	Quarter ended December 31,
	2019				2018
Return on invested capital ratio (ROIC), annualized (a)	9.9		%		12.7		%
Reconciliation of net income to EBITDA:
Net income (GAAP)	$	11,366			$	19,982
Plus: Interest expense	3,751				3,119
Plus: Income taxes	4,354				6,668
Plus: Depreciation and amortization	9,700				8,935
EBITDA (non-GAAP)	29,171				38,704
Plus: Change in fair value of contingent consideration	3,176				1,850
Plus: Acquisition and divestiture costs	1,151				414
Plus: Restructuring costs	490				—
Plus: Impact of Planned Divestitures	(870		)		(1,864		)
Adjusted EBITDA (numerator for ROIC) (non-GAAP)	$	33,118			$	39,104
Invested Capital Calculation
Equity – beginning of the quarter	$	905,751			$	877,897
Equity – end of the quarter	927,580				899,503
Plus: Change in fair value of contingent consideration, net of tax	2,401				1,408
Plus: Acquisition and divestiture costs	1,151				414
Plus: Restructuring, net of tax	378				—
Plus: Impact of Planned Divestitures, net of tax	(121		)		(650		)
Average equity	918,570				889,286
Average funded debt(b)	411,614				333,138
Invested capital (denominator for ROIC) (non-GAAP)	$	1,330,184			$	1,222,424
(a) Calculated as earnings before interest expense, income taxes, depreciation and amortization (EBITDA), plus change in fair value of contingent consideration and other adjustments, annualized and divided by invested capital for the period. Invested capital is defined as average equity plus average daily funded interest-bearing debt for the period.
(b) Average funded debt is calculated as the average daily amounts outstanding on short-term and long-term interest-bearing debt.

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ScanSource Announces Second Quarter Results

ScanSource, Inc. and Subsidiaries
Supplementary Information (Unaudited)
(in thousands, except per share data)
Non-GAAP Financial Information:
	Forecast for Quarter ending March 31, 2020
	Range Low				Range High
GAAP net sales, reported	$	865,000			$	915,000
Adjustments:
Net sales for Planned Divestitures	(140,000		)		(140,000		)
Non-GAAP net sales, excluding Planned Divestitures	$	725,000			$	775,000
GAAP diluted EPS	$	0.16			$	0.26
Adjustments:
Amortization of intangible assets	0.16				0.16
Change in fair value of contingent consideration	0.06				0.06
Impact of Planned Divestitures(a)	0.03				0.03
Other (restructuring costs and divestiture costs)	0.03				0.03
Non-GAAP diluted EPS	$	0.44			$	0.54
(a) Reflects operating results for Planned Divestitures and does not include any non-cash charges from write-downs or costs associated with a sale or liquidation of the businesses and their assets.

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