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ePlus inc. 2026 Annual Report Results Driven
This year marked ePlus 30th anniversary of trading on the Nasdaq exchange. We can proudly claim that we are one of only 11% of Nasdaq-traded companies who have been in business for more than 30 years and we can confidently attribute this to one thing: Results. Results absolutely refer to our financial performance, which this year included our first billion-dollar quarter in gross billings and double-digit growth across key revenue and operating metrics. But, when we talk about results we mean more than our financial execution; we mean the expectation of delivered excellence, consistent achievement and positive outcomes we set across our entire business. We focus on results in the way we service customers and the solutions and services we develop as well as in the overall experience we provide to the organizations who trust us. Our focus, every minute of every day, is customer success. It s creating an experience that allows customer organizations to replace strain and stagnation with positive results and advancement. We bring a disciplined and tireless commitment to delivering outcomes through dedication and consistent performance. This came across loud and clear in our first, customer-facing Net Promoter Score survey, which was conducted this year by an independent third party. More than 1,400 customer respondents took the opportunity to register their feelings about ePlus and the work we do for them. We proudly received a score of 74 widely considered to be world-class and well ahead of the industry average, which lingers around 40-50. These customers, who spanned every area of our solutions and services business, largely indicated that they would recommend ePlus to another organization. This speaks volumes about the high satisfaction levels they are experiencing and is absolutely inclusive of the results they re experiencing across their businesses. We don t just sell technology; we sell outcomes. And, we sell solutions and services that lay the technology groundwork necessary to achieve those outcomes. We work with our customers to help transform their organizations into modernized engines of achievement, built on solid, foundationally strong technology that enables progress. Whether they need to optimize costs, evaluate and implement an AI use case or modernize their network infrastructure to become more efficient, more productive or empower stronger operations, we enable powerful results. Our guidance and expertise allows them to understand, weigh and identify what solution or technology components they need to move forward. Our support allows them to redirect internal resources while we manage technology on their behalf to lighten the load on their overly stressed and stretched teams. A part of creating excellence in customer experience is our consistent ability to bring expertise to bear in technologies that are emerging and growing in the current market. From AI, Data Center or Compute capabilities to Networking, Security and infrastructure services, we take accountability for specialized and expansi ive knowledge. knowlled dge Our team members regularly earn, carry and maintain the latest technology expansive certificates and credentials and then put that knowledge to work with our customers. We employ incredib sharp technology minds that figure out the design, development and implementation of new innovative and incredibly solutions or services that can help customers achieve more, faster. Whether advanced services that help customers scale and grow their businesses or the services that simply help them take a step forward, everything our team brings to market is designed with customer results in mind. Our consulting, professional and managed services allow us to move beyond technology implementation, bringing us into the true inner circle of trusted partnership that ingrains us in their businesses. Innovative workshops and assessments help organizations advance across many technology areas, from AI envisioning or use case selection to data readiness, infrastructure planning or cybersecurity maturity. Our collective drive to develop and launch transformative solutions to overcome challenges or to harness opportunities sets us apart. Our corporate 35+ year legacy has been forged through expertise, collaboration, partnership and applied innovation. It has been built on deep understanding of industry dynamics, ever-changing technological capabilities and knowledge levels that exceed expectations, continuously. It has been built on agility and the ability to anticipate and respond to each moment quickly and nimbly. Our formula for results is one embraced and recited far and wide across our company: Customer First. Services Led. Results Driven. This slogan graces every decision we make, every investment we target, every relationship we forge and every new solution we develop. Our results show that it s working.
TABLE OF CONTENTS Shareholder Letter i ePlus Solutions & Services: How We Deliver ii Customer Success Stories: Results in Action iii ePlus Gives Back: Creating Positive Outcomes v Key Financial Highlights vii Leaning into Partnership ix Executive Officers and Directors x A Legacy of Success, Enabled by Agility xi
DEAR FELLOW SHAREHOLDERS Fiscal year 2026 was a year of significant accomplishment for ePlus defined by strong financial performance and strategic success. We delivered double-digit growth across our key financial metrics, completed a transformational divestiture that fundamentally reshaped how we compete moving forward, and returned capital to shareholders through share repurchases and our first quarterly dividends program. Beyond the MARK P. MARRON financials, we achieved a world-class CEO and President Net Promoter Score, a testament to th t th off our client li t relationships, while celebrating our 30th the strength anniversary of trading on Nasdaq. A Pure-Play Technology Company The successful divestiture of our financing business, as expected, has enabled us to direct our focus, capital, and talent toward faster-growing technology solutions and service markets where we have deep expertise. ePlus is now a pure-play technology company, and that clarity is already strengthening our ability to capture share in our core markets. This is reflected in our Net Promoter Score of 74, placing us among the top performers in the technology and IT services industry and well above industry averages. Financial Performance Fiscal 2026 financial performance reflected broad-based momentum and growth across many of the technology segments of our business. Consolidated net sales reached $2.4 billion, up 22%, and gross billings hit a record $3.8 billion, growing 17%. Adjusted EBITDA increased nearly 50% to $204.8 million, and diluted EPS from continuing operations rose 64% to $4.71. This strong performance reflects both top-line strength and meaningful operating leverage. That leverage is worth highlighting. Operating expenses grew just 9% against 22% net sales growth, with headcount remaining essentially flat. This is the scalable model we constructed to achieve operational leverage and it performed as designed. Our Focus on Services, Solutions, and Artificial Intelligence We continue to broaden our portfolio in the areas that matter most to customers: cloud, security, Artificial Intelligence (AI), managed services and collaboration. Services revenue grew more than 15% for the year, with professional services up 19% supported by the Bailiwick acquisition and managed services advancing approximately 11%. We now offer managed collaboration solutions for Cisco, Zoom, and Microsoft, and have secured multiyear wins in storage and backup through our Storageas-a-Service and Backup-as-a-Service offerings. AI continues to be one of the most significant drivers of technology investment across our customer base. During fiscal 2026, we saw growing customer interest in leveraging AI to improve productivity, streamline operations, enhance customer engagement, and create measurable business outcomes. Our role as a trusted advisor allows us to engage customers early in their AI journeys, helping them evaluate use cases, prioritize investments, and build the infrastructure necessary to support AI workloads. Specifically, our AI Ignite program, AI Experience Center, and Secure GenAI Accelerator give customers private, hands-on environments to explore and test AI use cases. This depth of capability earned us recognition as both Dell s Channel Strategic Impact Partner of the Year and Digital Realty s 2025 Americas Partner of the Year. We also proudly hold both the NVIDIA DGX AI Factory Certification and NVIDIA DGX-Ready Managed Services certification in the U.S., i demonstrating our expertise in designing, deploying, and managing NVIDIA s advanced AI infrastructure. A notable recent development was our rollout of Cisco s AIpowered portfolio for enterprise customers. Cisco s growing AI capabilities in networking, security, and collaboration align directly with our customers investments, and our longstanding partnership positions us well to help them move from AI pilots to productionscale deployments. Additionally, security remains a top priority across our customer base. Security gross product billings grew more than 23% to $842 million, representing approximately 22% of total fiscal 2026 gross billings, underscoring the trust customers place in ePlus as a strategic security partner. Financial Strength and Capital Allocation With a year end cash balance of $410.8 million, well above the prior year, our balance sheet is a significant competitive advantage, providing the flexibility to invest organically, pursue strategic acquisitions, and return capital to shareholders. To that end, during fiscal 2026, we repurchased more than 362,000 shares, and initiated our first quarterly cash dividend, and more recently, our Board of Directors approved an 8% increase in our quarterly dividend, to $0.27 per share, reflecting confidence in our business prospects and long-term outlook. ePlus: Supporting our Community Giving back and supporting the communities where we live and work is a core part of our culture. In fiscal 2026, we continued our longstanding partnership with NMDP (the National Marrow Donor Program), supporting the critical work of connecting patients with life-saving donors and our work with Habitat for Humanity. We also maintained our support of GRIT: Girls Re-Imagining Tomorrow , our program that works to address the cybersecurity talent shortage by introducing school-age girls to technology careers. In addition, we continued our participation in The Est e Lauder Companies Tech Day of Pink , which has become an annual tradition for ePlus. These commitments and others regionally reflect our belief that the strength of our business carries with it a responsibility to strengthen the communities we serve. Looking Ahead We enter fiscal year 2027 with strong momentum, a sharp strategic focus, and a team that has proven it can execute. While we remain attentive to potential headwinds including the global memory chip shortage and geopolitical uncertainties, the demand environment remains supportive. AI, digital transformation, and cybersecurity represent durable growth drivers for ePlus in the years ahead. Our integrated solutions approach continues to resonate with customers seeking trusted advisors capable of helping them address increasingly complex technology requirements. As organizations continue to consolidate spending among strategic partners, we believe our broad capabilities and deep expertise position us well to capture additional opportunities. As we reflect on 30 years of ePlus trading on Nasdaq, we are grateful for the trust our customers, partners, employees, and shareholders have placed in us. That trust drives everything we do, and we look forward to building on this strong foundation in the years ahead. Sincerely, Mark P. Marron CEO and President, ePlus inc.
SOLUTIONS AND SERVICES: How We Deliver More than ever, the technology landscape is fast-moving, rapidly-changing and difficult to navigate. Organizations increasingly struggle to quickly identify and successfully implement the technology they need due to resource constraints and competing priorities. Wherever they are on their journey, ePlus helps them take the next step forward and overcome hurdles. Want to delve into the world of AI but not sure where to start? Check out our AI Envisioning workshop or our AI Ignite journey support. Have a use case already picked out but not sure if your infrastructure is ready to support it? Our AI Experience Center allows customers to experience the full AI Infrastructure lifecycle before deploying it at scale. And what about data management is the data ready, accessible, secure and available be used? The ePlus Data Accelerator provides data landscape mapping and a data AI readiness assessment to help define the path for AI success. While AI continues to move fast and furious through every industry, the elements that inhibit its success are numerous and complex and ePlus excels at all of them. All of our offerings are designed with our customers progress in mind helping them to evolve and successfully navigate a modern world. COMPREHENSIVE SOLUTIONS AND SERVICES ii
 • shareholder letter icon 7/24/2026 Letter Continued (Full PDF)
 • stockholder letter icon 7/25/2023 PLUS Stockholder Letter
 • stockholder letter icon 7/22/2024 PLUS Stockholder Letter
 • stockholder letter icon 7/25/2025 PLUS Stockholder Letter
 • stockholder letter icon More "Application Software" Category Stockholder Letters
 • Benford's Law Stocks icon PLUS Benford's Law Stock Score = 62


PLUS Shareholder/Stockholder Letter Transcript:

ePlus inc.

2026
Annual
Report
Results
Driven

This year marked ePlus    30th anniversary of trading on the Nasdaq exchange.
We can proudly claim that we are one of only 11% of Nasdaq-traded companies
who have been in business for more than 30 years and we can confidently
attribute this to one thing: Results.
Results absolutely refer to our financial performance, which this year included our first billion-dollar quarter in gross billings
and double-digit growth across key revenue and operating metrics. But, when we talk about results we mean more than our
financial execution; we mean the expectation of delivered excellence, consistent achievement and positive outcomes we set
across our entire business. We focus on results in the way we service customers and the solutions and services we develop as
well as in the overall experience we provide to the organizations who trust us.
Our focus, every minute of every day, is customer success. It   s creating an experience that allows
customer organizations to replace strain and stagnation with positive results and advancement.
We bring a disciplined and tireless commitment to delivering outcomes through dedication and
consistent performance. This came across loud and clear in our first, customer-facing Net Promoter
Score survey, which was conducted this year by an independent third party. More than 1,400
customer respondents took the opportunity to register their feelings about ePlus and the work we
do for them. We proudly received a score of 74    widely considered to be world-class    and well
ahead of the industry average, which lingers around 40-50. These customers, who spanned every
area of our solutions and services business, largely indicated that they would recommend ePlus to another organization. This
speaks volumes about the high satisfaction levels they are experiencing and is absolutely
inclusive of the results they   re experiencing across their businesses.
We don   t just sell technology; we sell outcomes. And, we sell solutions and services that
lay the technology groundwork necessary to achieve those outcomes. We work with our
customers to help transform their organizations into modernized engines of achievement,
built on solid, foundationally strong technology that enables progress. Whether they need
to optimize costs, evaluate and implement an AI use case or modernize their network
infrastructure to become more efficient, more productive or empower stronger operations,
we enable powerful results. Our guidance and expertise allows them to understand, weigh
and identify what solution or technology components they need to move forward. Our
support allows them to redirect internal resources while we manage technology
on their behalf to lighten the load on their overly stressed and stretched teams.
A part of creating excellence in customer experience is our consistent ability to
bring expertise to bear in technologies that are emerging and growing in the
current market. From AI, Data Center or Compute capabilities to Networking,
Security and infrastructure services, we take accountability for specialized and
expansi
ive knowledge.
knowlled
dge Our team members regularly earn, carry and maintain the latest technology
expansive
certificates and credentials and then put that knowledge to work with our customers. We employ
incredib sharp technology minds that figure out the design, development and implementation of new
innovative and incredibly
solutions or services that can help customers achieve more, faster.
Whether advanced services that help customers scale and grow their businesses or the services that simply help them take
a step forward, everything our team brings to market is designed with customer results in mind. Our consulting, professional
and managed services allow us to move beyond technology implementation, bringing us into the true inner circle of trusted
partnership that ingrains us in their businesses. Innovative workshops and assessments help organizations advance across
many technology areas, from AI envisioning or use case selection to data readiness, infrastructure planning or cybersecurity
maturity. Our collective drive to develop and launch transformative solutions to overcome challenges or to harness
opportunities sets us apart.
Our corporate 35+ year legacy has been forged through expertise, collaboration, partnership and applied innovation. It has
been built on deep understanding of industry dynamics, ever-changing technological capabilities and knowledge levels that
exceed expectations, continuously. It has been built on agility and the ability to anticipate and respond to each moment quickly
and nimbly. Our formula for results is one embraced and recited far and wide across our company: Customer First. Services
Led. Results Driven. This slogan graces every decision we make, every investment we target, every relationship we forge and
every new solution we develop. Our results show that it   s working.

TABLE OF CONTENTS
Shareholder Letter
i
ePlus Solutions & Services: How We Deliver
ii
Customer Success Stories: Results in Action
iii
ePlus Gives Back: Creating Positive Outcomes
v
Key Financial Highlights
vii
Leaning into Partnership
ix
Executive Officers and Directors
x
A Legacy of Success, Enabled by Agility
xi

DEAR FELLOW SHAREHOLDERS
Fiscal year 2026 was a year of
significant accomplishment for ePlus
defined by strong financial performance
and strategic success. We delivered
double-digit growth across our
key financial metrics, completed a
transformational divestiture that
fundamentally reshaped how we
compete moving forward, and returned
capital to shareholders through share
repurchases and our first quarterly
dividends program. Beyond the
MARK P. MARRON
financials, we achieved a world-class
CEO and President
Net Promoter Score, a testament to
th
t
th off our client
li t relationships, while celebrating our 30th
the strength
anniversary of trading on Nasdaq.
A Pure-Play Technology Company
The successful divestiture of our financing business, as expected,
has enabled us to direct our focus, capital, and talent toward
faster-growing technology solutions and service    markets where
we have deep expertise. ePlus is now a pure-play technology
company, and that clarity is already strengthening our ability to
capture share in our core markets. This is reflected in our Net
Promoter Score of 74, placing us among the top performers in the
technology and IT services industry and well above industry
averages.
Financial Performance
Fiscal 2026 financial performance reflected broad-based
momentum and growth across many of the technology segments
of our business. Consolidated net sales reached $2.4 billion, up
22%, and gross billings hit a record $3.8 billion, growing 17%.
Adjusted EBITDA increased nearly 50% to $204.8 million, and
diluted EPS from continuing operations rose 64% to $4.71. This
strong performance reflects both top-line strength and meaningful
operating leverage.
That leverage is worth highlighting. Operating expenses grew
just 9% against 22% net sales growth, with headcount remaining
essentially flat. This is the scalable model we constructed to
achieve operational leverage    and it performed as designed.
Our Focus on Services, Solutions, and Artificial Intelligence
We continue to broaden our portfolio in the areas that matter
most to customers: cloud, security, Artificial Intelligence (AI),
managed services and collaboration. Services revenue grew more
than 15% for the year, with professional services up 19%
supported by the Bailiwick acquisition and managed services
advancing approximately 11%. We now offer managed
collaboration solutions for Cisco, Zoom, and Microsoft, and have
secured multiyear wins in storage and backup through our Storageas-a-Service and Backup-as-a-Service offerings.
AI continues to be one of the most significant drivers of
technology investment across our customer base. During fiscal
2026, we saw growing customer interest in leveraging AI to
improve productivity, streamline operations, enhance customer
engagement, and create measurable business outcomes. Our role
as a trusted advisor allows us to engage customers early in their AI
journeys, helping them evaluate use cases, prioritize investments,
and build the infrastructure necessary to support AI workloads.
Specifically, our AI Ignite program, AI Experience Center, and
Secure GenAI Accelerator give customers private, hands-on
environments to explore and test AI use cases. This depth of
capability earned us recognition as both Dell   s Channel Strategic
Impact Partner of the Year and Digital Realty   s 2025 Americas
Partner of the Year. We also proudly hold both the NVIDIA DGX AI
Factory Certification and NVIDIA DGX-Ready Managed Services
certification in the U.S.,
i
demonstrating our expertise in designing, deploying, and managing
NVIDIA   s advanced AI infrastructure.
A notable recent development was our rollout of Cisco   s AIpowered portfolio for enterprise customers. Cisco   s growing AI
capabilities in networking, security, and collaboration align directly
with our customers    investments, and our longstanding partnership
positions us well to help them move from AI pilots to productionscale deployments.
Additionally, security remains a top priority across our customer
base. Security gross product billings grew more than 23% to $842
million, representing approximately 22% of total fiscal 2026 gross
billings, underscoring the trust customers place in ePlus as a
strategic security partner.
Financial Strength and Capital Allocation
With a year end cash balance of $410.8 million, well above the
prior year, our balance sheet is a significant competitive advantage,
providing the flexibility to invest organically, pursue strategic
acquisitions, and return capital to shareholders. To that end,
during fiscal 2026, we repurchased more than 362,000 shares,
and initiated our first quarterly cash dividend, and more recently,
our Board of Directors approved an 8% increase in our quarterly
dividend, to $0.27 per share, reflecting confidence in our business
prospects and long-term outlook.
ePlus: Supporting our Community
Giving back and supporting the communities where we live and
work is a core part of our culture. In fiscal 2026, we continued our
longstanding partnership with NMDP (the National Marrow Donor
Program), supporting the critical work of connecting patients with
life-saving donors and our work with Habitat for Humanity.
We also maintained our support of GRIT: Girls Re-Imagining
Tomorrow  , our program that works to address the cybersecurity
talent shortage by introducing school-age girls to technology
careers. In addition, we continued our participation in The Est  e
Lauder Companies       Tech Day of Pink   , which has become an annual
tradition for ePlus. These commitments and others regionally
reflect our belief that the strength of our business carries with it
a responsibility to strengthen the communities we serve.
Looking Ahead
We enter fiscal year 2027 with strong momentum, a sharp strategic
focus, and a team that has proven it can execute. While we remain
attentive to potential headwinds including the global memory chip
shortage and geopolitical uncertainties, the demand environment
remains supportive. AI, digital transformation, and cybersecurity
represent durable growth drivers for ePlus in the years ahead.
Our integrated solutions approach continues to resonate with
customers seeking trusted advisors capable of helping them
address increasingly complex technology requirements. As
organizations continue to consolidate spending among strategic
partners, we believe our broad capabilities and deep expertise
position us well to capture additional opportunities.
As we reflect on 30 years of ePlus trading on Nasdaq, we are
grateful for the trust our customers, partners, employees, and
shareholders have placed in us. That trust drives everything we do,
and we look forward to building on this strong foundation in the
years ahead.
Sincerely,
Mark P. Marron
CEO and President, ePlus inc.

SOLUTIONS AND SERVICES:
How We Deliver
More than ever, the technology landscape is fast-moving, rapidly-changing and difficult to navigate.
Organizations increasingly struggle to quickly identify and successfully implement the technology they need
due to resource constraints and competing priorities. Wherever they are on their journey, ePlus helps them
take the next step forward and overcome hurdles.
Want to delve into the world of AI but not sure where to start? Check out our AI Envisioning workshop or our
AI Ignite journey support. Have a use case already picked out but not sure if your infrastructure is ready to
support it? Our AI Experience Center allows customers to experience the full AI Infrastructure lifecycle before
deploying it at scale. And what about data management     is the data ready, accessible, secure and available
be used? The ePlus Data Accelerator provides data landscape mapping and a data AI readiness assessment to
help define the path for AI success.
While AI continues to move fast and furious through every industry, the elements that inhibit its success are
numerous and complex     and ePlus excels at all of them. All of our offerings are designed with our customers   
progress in mind     helping them to evolve and successfully navigate a modern world.
COMPREHENSIVE SOLUTIONS AND SERVICES
ii


shareholder letter icon 7/24/2026 Letter Continued (Full PDF)
 

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