ePlus has completed its acquisition of Daymark Solutions, a Massachusetts-based IT services provider, in a deal that closed on August 21 and was announced three days later. The acquisition adds a Microsoft Tier 1 Cloud Solution Provider with expertise in Azure, Microsoft 365, and cybersecurity, deepening ePlus' presence in New England and bolstering its managed services segment, which grew 15.1% to $51.3 million in the first quarter. However, the company's overall profitability slipped, with net earnings from continuing operations down 5.4% to $30.3 million and gross margin falling to 23.3% from 23.9%, as margin compression affected all three business segments. ePlus' cash reserves rose to $448.9 million, providing flexibility for further acquisitions, dividends, and buybacks. Terms of the Daymark deal were not disclosed, leaving uncertainty about its near-term financial impact.
ePlus incePlus completes acquisition of Daymark Solutions, expanding Microsoft services and managed services segment.
Microsoft Corporation