Insight Enterprises lifts FY26 outlook after double-digit Q2

AI demand across cloud, infrastructure and services fuelled momentum

Insight Enterprises has reported double-digit Q2 sales growth, fuelled by increasing AI demand across cloud, infrastructure and services.

Net sales jumped 15 per cent year-on-year to $2.4bn (£1.8bn) during the three months ended 30 June, up from $2.1bn the year prior.

Gross profit climbed 18 per cent from $442.3m to $521.6m

“We delivered broad-based growth across our business and generated strong operating leverage, with strength in cloud, infrastructure, and services, driven by AI demand,” said president and CEO Jack Azagury.

Product and services sales jump

Product net sales rose 13 per cent year-on-year during Q2, reaching $1.89bn.

Hardware was the main driver, with turnover soared 21 per cent, while software sales fell six per cent.

Services net sales skyrocketed 21 per cent to $513.9m and accounted for 21 per cent of Insight’s overall sales mix, compared with 20 per cent the year prior.

Cloud gross profit climbed 39 per cent year on year, while Insight Core services gross profit rose 21 per cent.

EMEA turnover rises eight per cent

Insight reported sales increases across each of its three geographic segments during the quarter.

North America, the organisation’s largest market, posted a 15 per cent top line rise to $1.94bn.

Product sales grew 14 per cent to $1.6bn, while services climbed 19 per cent to $368.2m.

EMEA turnover increased eight per cent to $375.2m, compared with $348.6m the year prior.

The region’s product sales rose five per cent to $274.4m, while services jumped 14 per cent to $100.8m.

On the other hand, EMEA earnings from operations dipped 15 per cent to $9.5m.

Insight ranks number nine on CRN’s Top VARs list.

APAC recorded the strongest top line increase, with earnings soaring 46 per cent to $85.6m.

Product sales jumped 34 per cent to $40.7m, while services surged 59 per cent to $44.9m.

Insight raises FY26 outlook

Following its Q2 performance, Insight raised its full-year expectations, pointing to continued momentum across its operations, assuming no significant change in the macroeconomic environment, including from tariffs.

The organisation now projects gross profit to increase between eight and ten per cent in FY26, with gross margin forecast between 21.5 and 22 per cent.

Momentum follows a flat Q1, when the firm’s net sales rose one per cent to $2.1bn.

Last quarter, Azagury also announced plans to pause its M&A strategy for at least the remainder of 2026 to focus on its organic business and more closely integrate and leverage its previous acquisitions.

The new CEO took the helm of the organisation in March following Joyce Mullen’s retirement.