ePlus inc. (NASDAQ:PLUS) Q2 2020 Earnings Conference Call - Final Transcript
Nov 06, 2019 • 04:30 pm ET
Good day ladies and gentlemen. Welcome to the ePlus Earnings Results Conference Call. [Operator Instructions]. I would like to introduce your host for today's conference Mr. Kley Parkhurst SVP. Sir you may begin.
Thank you for joining us today. On the call is Mark Marron CEO and President; Elaine Marion Chief Financial Officer; and Erica Stoecker General Counsel. I want to take a moment to remind you that the statements we make this afternoon that are not historical facts may be deemed to be forward-looking statements and are based on management's current plans estimates and projections. Actual and anticipated future results may vary materially due to certain risks and uncertainties detailed in the earnings release we issued this afternoon and our periodic filings with the Securities and Exchange Commission including our Form 10-K for the year ended March 31 2019 and our Form 10-Q for the quarter ended September 30 2019 when filed. The company undertakes no responsibility to update any of these forward-looking statements in light of new information or future events. In addition during the call we may make reference to non-GAAP financial measures and we have included a GAAP financial reconciliation in our earnings release which is posted on the investor information section of our website at www.eplus.com.
I'd like to turn the call over to Mark Marron. Mark?
Thank you Kley and thank you everyone for participating in today's call to discuss our second quarter results. Our performance in the second quarter were strong as we achieved double-digit growth across key metrics benefiting from solid demand from our customers and execution by our sales engineering and support teams. This performance came on the heels of a strong Q1 and demonstrates that our strategy of focusing on the higher growth IT solutions areas that we have identified and prioritized is compelling. We believe that our quarterly and year-to-date results support the investments we have made in people technology and service offerings to drive long-term growth which Elaine will go over in more detail in her remarks. Our marketplace is dynamic and fast-paced and ePlus has been committed to staying ahead of the curve. This means anticipating and preparing for industry shifts like the migration from one-off transactions to subscription sales and increasing customer needs for Lifecycle Services. Today ePlus has the capabilities to provide our customers with end-to-end solutions from assessments through long-term support along with flexible consumption and financing models. This positioning has enabled ePlus to grow our gross profit show strong gross margin growth and build share with existing and new customers. It also clearly shows the advantage we have by leveraging both our technology and finance segments to create full solutions with creative and flexible payment options.
This allows us to provide clients with the solutions they need to run their business today while finding creative ways to reduce their overall spend. In the second quarter adjusted gross billings increased 19.2% primarily driven by organic growth and reflecting our ability to deliver complex solutions around