# EDGAR Filing Document

**Accession Number:** 0000945983
**File Stem:** 0001437749-25-032187
**Filing Date:** 2025-10
**Character Count:** 26428
**Document Hash:** a849af7f9a214f50ae5858194ceeb997
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001437749-25-032187.hdr.sgml**: 20251029

**ACCESSION NUMBER**: 0001437749-25-032187

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 15

**CONFORMED PERIOD OF REPORT**: 20251029

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20251029

**DATE AS OF CHANGE**: 20251029

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Climb Global Solutions, Inc.
- **CENTRAL INDEX KEY:** 0000945983
- **STANDARD INDUSTRIAL CLASSIFICATION:** WHOLESALE-COMPUTER & PERIPHERAL EQUIPMENT & SOFTWARE [5045]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 133136104
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-26408
- **FILM NUMBER:** 251430028

**BUSINESS ADDRESS:**
- **STREET 1:** 4 INDUSTRIAL WAY WEST
- **STREET 2:** SUITE 300
- **CITY:** EATONTOWN
- **STATE:** NJ
- **ZIP:** 07724
- **BUSINESS PHONE:** 732-389-0932

**MAIL ADDRESS:**
- **STREET 1:** 4 INDUSTRIAL WAY WEST
- **STREET 2:** SUITE 300
- **CITY:** EATONTOWN
- **STATE:** NJ
- **ZIP:** 07724

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Wayside Technology Group, Inc.
- **DATE OF NAME CHANGE:** 20061027

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** PROGRAMMERS PARADISE INC
- **DATE OF NAME CHANGE:** 19950531

?xml version='1.0' encoding='ASCII'? clmb20250802_8k.htm

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**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

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**FORM 8-K**

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**CURRENT REPORT**

**Pursuant to Section 13 or 15(d) of the**

**Securities Exchange Act of 1934**

Date of Report (Date of earliest event reported): **October 29, 2025**

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**CLIMB GLOBAL SOLUTIONS, INC.**

(Exact name of registrant as specified in its charter)

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| | | |
|:---|:---|:---|
| **Delaware** | **000-26408** | **13-3136104** |
| (State or other jurisdiction<br> of incorporation) | (Commission<br> File Number) | (IRS Employer<br> Identification No.) |

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| | |
|:---|:---|
| **4 Industrial Way West, Suite 300**,**<br> **Eatontown**, **New Jersey** | **07724** |
| (Address of principal executive offices) | (Zip Code) |

---

**732**-**389-0932**

(Registrant's telephone number, including area code)

**Not applicable**

(Former name or former address, if changed since last report)

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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

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| | |
|:---|:---|
| Title of each class | Name of each exchange on which registered |
| Common stock, $.01 par value<br> CLMB | The Nasdaq Global Market |

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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company&nbsp;&nbsp;&nbsp;&nbsp; ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

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**Item 2.02**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Results of Operations and Financial Condition.**

On October 29, 2025, the Company issued a press release announcing its financial results for the quarter ended September 30, 2025. A copy of this press release is furnished as Exhibit 99.1 to this report and incorporated herein by reference (the "Press Release").

The information in this Item 2.02 of the Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

**Item 9.01. Financial Statements and Exhibits.**

(d) Exhibits.

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;99.1 | [<u>Press Release dated October 29, 2025.</u>](ex_847238.htm) |
| &nbsp;&nbsp;&nbsp;104 | Cover Page Interactive Data File (formatted as inline XBRL). |

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**SIGNATURE**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

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| | | |
|:---|:---|:---|
|  | CLIMB GLOBAL SOLUTIONS, INC. | CLIMB GLOBAL SOLUTIONS, INC. |
| Date: October 29, 2025 | By: | /s/ Matthew Sullivan |
|  | Name: | Matthew Sullivan |
|  | Title: | Chief Financial Officer |

---

## Exhibit 99.1

**Exhibit 99.1**

![clmb-20240228xex99d1001.jpg](clmb-20240228xex99d1001.jpg)

**Climb Global Solutions Reports Third Quarter 2025 Results**

*Net Sales up 35% to $161.3 Million, with Gross Billings up 8% to $504.6 Million*

**EATONTOWN, N.J., October 29, 2025** – Climb Global Solutions, Inc. (NASDAQ:CLMB) ("Climb" or the "Company"), a value-added global IT channel company providing unique sales and distribution solutions for innovative technology vendors, is reporting results for the third quarter ended September 30, 2025.

**Third Quarter 2025 Summary vs. Same Year-Ago Quarter**

● Net sales increased 35% to $161.3 million.

● Net income was $4.7 million or $1.02 per diluted share compared to $5.5 million or $1.19 per diluted share.

● Adjusted net income (a non-GAAP financial measure defined below) was $6.0 million or $1.31 per diluted share compared to $7.1 million or $1.55 per diluted share.

● Adjusted EBITDA (a non-GAAP financial measure defined below) was $10.9 million compared to $11.1 million.

● Gross billings (a key operational metric defined below) increased 8% to $504.6 million. Distribution segment gross billings increased 9% to $481.9 million, and Solutions segment gross billings decreased 5% to $22.7 million.

**Management Commentary**

"We continued to execute on our core initiatives in Q3 as we generated double digit organic growth, benefitted from the acquisition of Douglas Stewart Software & Services, LLC ("DSS") last year, and deepened existing partnerships while signing new, cutting-edge vendors to our line card," said CEO Dale Foster. "I'm proud of our team's ability to deliver solid results, maintain operational discipline, and continue driving growth, even in the face of a challenging comp from last year with unique profit characteristics."

"Looking ahead, we will continue to work through a healthy pipeline of strategic acquisition opportunities – with increasing interest in European markets, to enhance our offerings and expand our presence in both North America and overseas. We believe these initiatives, coupled with our robust balance sheet and demonstrated track record of accretive M&A, will enable us to close out 2025 on a strong note and deliver another year of record results."

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**Dividend**

Subsequent to quarter end, on October 28, 2025, Climb's Board of Directors declared a quarterly dividend of $0.17 per share of its common stock payable on November 17, 2025, to shareholders of record on November 10, 2025.

**Third Quarter 2025 Financial Results**

Net sales in the third quarter of 2025 increased 35% to $161.3 million compared to $119.3 million for the same period in 2024. This reflects double digit organic growth from new and existing vendors, as well as contribution from the Company's acquisition of DSS on July 31, 2024. In addition, gross billings in the third quarter of 2025 increased 8% to $504.6 million compared to $465.2 million in the year-ago period.

Gross profit in the third quarter of 2025 increased 6% to $25.7 million compared to $24.3 million for the same period in 2024. The increase was driven by organic growth from new and existing vendors in both North America and Europe, as well as contribution from DSS.

Selling, general, and administrative ("SG&A") expenses in the third quarter of 2025 were $16.2 million compared to $13.9 million in the year-ago period. SG&A as a percentage of gross billings was 3.2% for the third quarter of 2025 compared to 3.0% in the year-ago period.

Net income in the third quarter of 2025 was $4.7 million or $1.02 per diluted share, compared to $5.5 million or $1.19 per diluted share for the same period in 2024. Adjusted net income was $6.0 million or $1.31 per diluted share, compared to $7.1 million or $1.55 per diluted share for the year-ago period.

Adjusted EBITDA in the third quarter of 2025 was $10.9 million compared to $11.1 million for the same period in 2024. The slight decrease was primarily driven by a large vendor transaction in the year-ago period that carried a higher flow-through to Adjusted EBITDA as sales compensation related to this transaction was paid through a contingent earnout. Effective margin, which is defined as adjusted EBITDA as a percentage of gross profit, was 42.3% compared to 45.7% for the same period in 2024.

On September 30, 2025, cash and cash equivalents were $49.8 million compared to $29.8 million on December 31, 2024, while working capital increased by $18.3 million during this period. The increase in cash was primarily attributed to the timing of receivable collections and payables. Climb had $0.3 million of outstanding debt on September 30, 2025, with no borrowings outstanding under its $50 million revolving credit facility.

For more information on the non-GAAP financial measures discussed in this press release, please see the section titled, "Non-GAAP Financial Measures," and the reconciliations of non-GAAP financial measures to their nearest comparable GAAP financial measures at the end of this press release.

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**Conference Call**

The Company will conduct a conference call tomorrow, October 30, 2025, at 8:30 a.m. Eastern time to discuss its results for the third quarter ended September 30, 2025.

Climb management will host the conference call, followed by a question-and-answer period.

Date: Thursday, October 30, 2025<br> Time: 8:30 a.m. Eastern time<br> Toll-free dial-in number: (800) 445-7795

International dial-in number: (785) 424-1699

Conference ID: CLIMB

Webcast: <u>Climb's Q3 2025 Conference Call</u>

If you have any difficulty registering or connecting with the conference call, please contact Elevate IR at (720) 330-2829.

The conference call will also be available for replay on the investor relations section of the Company's website at <u>www.climbglobalsolutions.com</u>.

**About Climb Global Solutions**

Climb Global Solutions, Inc. (NASDAQ:CLMB) is a value-added global IT distribution and solutions company specializing in emerging and innovative technologies. Climb operates across the U.S., Canada and Europe through multiple business units, including Climb Channel Solutions, Grey Matter and Climb Global Services. The Company provides IT distribution and solutions for companies in the Security, Data Management, Connectivity, Storage & HCI, Virtualization & Cloud, and Software & ALM industries.

Additional information can be found by visiting <u>www.climbglobalsolutions.com</u>.

**Non-GAAP Financial Measures**

Climb Global Solutions uses non-GAAP financial measures, including adjusted net income and adjusted EBITDA, as supplemental measures of the performance of the Company's business. Use of these financial measures has limitations, and you should not consider them in isolation or use them as substitutes for analysis of Climb's financial results under generally accepted accounting principles in the United States of America ("U.S. GAAP"). The attached tables provide definitions of these measures and a reconciliation of each non-GAAP financial measure to the most nearly comparable measure under U.S. GAAP.

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**Key Operational Metric**

*Gross Billings*

Gross billings are the total dollar value of customer purchases of goods and services during the period, net of customer returns and credit memos, sales, or other taxes. Gross billings include the transaction values for certain sales transactions that are recognized on a net basis, and, therefore, includes amounts that will not be recognized as revenue. Our methodology for calculating gross billings was unchanged from prior periods. We use gross billings as an operational metric to assess the volume of transactions or market share for our business as well as to understand changes in our accounts receivable and accounts payable. We believe gross billings will aid investors in the same manner.

**Forward-Looking Statements**

The statements in this release, other than statements of historical fact, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and are intended to come within the safe harbor protection provided by those sections. These forward-looking statements are subject to certain risks and uncertainties. Many of the forward-looking statements may be identified by words such as "looking ahead," "believes," "expects," "intends," "anticipates," "plans," "estimates," "projects," "forecasts," "should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "in process," "under construction," "in development," "opportunity," "target," "outlook," "maintain," "continue," "goal," "aim," "commit," or similar expressions, or when we discuss our priorities, strategy, goals, vision, mission, opportunities, projections, intentions or expectations. In this press release, the forward-looking statements relate to, among other things, declaring and reaffirming our strategic goals, future operating results, and the effects and potential benefits of the strategic acquisition on our business. Factors, among others, that could cause actual results and events to differ materially from those described in any forward-looking statements include, without limitation, our ability to recognize the anticipated benefits of the acquisition of Douglas Stewart Software & Services, LLC, the continued acceptance of the Company's distribution channel by vendors and customers, the timely availability and acceptance of new products, product mix, market conditions, competitive pricing pressures, the successful integration of acquisitions, contribution of key vendor relationships and support programs, inflation, import and export tariffs, interest rate risk and impact thereof, as well as factors that affect the software industry in general. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described in the section entitled "Risk Factors" contained in Item 1A. of our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, and from time to time in the Company's filings with the Securities and Exchange Commission. We undertake no obligation to update any forward-looking statements to reflect events or circumstances after the date of this release, except as required by law.

**Company Contact**

Matthew Sullivan<br> Chief Financial Officer<br> (732) 847-2451<br> MatthewS@ClimbCS.com

**Investor Relations Contact**

Sean Mansouri, CFA or Aaron D'Souza

Elevate IR

(720) 330-2829

CLMB@elevate-ir.com

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**CLIMB GLOBAL SOLUTIONS, INC. AND SUBSIDIARIES<br> CONDENSED CONSOLIDATED BALANCE SHEETS<br> (Unaudited)<br> (Amounts in thousands, except share and per share amounts)**

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| | | |
|:---|:---|:---|
|  | **September 30,** | **December 31,** |
|  | **2025** | **2024** |
| **ASSETS** |  |  |
| Current assets: |  |  |
| Cash and cash equivalents | $49842 | $29778 |
| Accounts receivable, net of allowance for doubtful accounts of $666 and $588, respectively | 224471 | 341597 |
| Inventory, net | 3187 | 2447 |
| Prepaid expenses and other current assets | 10016 | 6874 |
| Total current assets | 287516 | 380696 |
| Equipment and leasehold improvements, net | 13485 | 12853 |
| Goodwill | 36777 | 34924 |
| Other intangibles, net | 33765 | 36550 |
| Right-of-use assets, net | 1881 | 1965 |
| Accounts receivable, net of current portion | 878 | 1174 |
| Other assets | 585 | 824 |
| Deferred income tax assets | 1204 | 193 |
| Total assets | $376091 | $469179 |
| **LIABILITIES AND STOCKHOLDERS**' **EQUITY** |  |  |
| Current liabilities: |  |  |
| Accounts payable and accrued expenses | $258990 | $370397 |
| Lease liability, current portion | 798 | 654 |
| Term loan, current portion | 334 | 560 |
| Total current liabilities | 260122 | 371611 |
| Lease liability, net of current portion | 1405 | 1685 |
| Deferred income tax liabilities | 4921 | 4723 |
| Term loan, net of current portion |  | 191 |
| Other non-current liabilities | 381 | 381 |
| Total liabilities | 266829 | 378591 |
| Commitments and contingencies |  |  |
| Stockholders' equity: |  |  |
| Common stock, $.01 par value; 10,000,000 shares authorized; 5,284,500 shares issued: 4,613,446 and 4,601,302 shares outstanding, respectively | 53 | 53 |
| Additional paid-in capital | 41136 | 37977 |
| Treasury stock, at cost, 671,054 and 683,198 shares, respectively | (14588) | (13337) |
| Retained earnings | 80829 | 68787 |
| Accumulated other comprehensive income (loss) | 1832 | (2892) |
| Total stockholders' equity | 109262 | 90588 |
| Total liabilities and stockholders' equity | $376091 | $469179 |

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**CLIMB GLOBAL SOLUTIONS, INC. AND SUBSIDIARIES**

**CONDENSED CONSOLIDATED STATEMENTS OF INCOME**

**(Unaudited)**

**(Amounts in thousands, except per share data)**

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Nine months ended** | **Nine months ended** | **Three months ended** | **Three months ended** |
|  | **September 30,** | **September 30,** | **September 30,** | **September 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Net sales | $458671 | $303847 | $161343 | $119349 |
| Cost of sales | 383234 | 244014 | 135610 | 95092 |
| Gross profit | 75437 | 59833 | 25733 | 24257 |
| Selling, general, and administrative expenses | 49339 | 39433 | 16226 | 13937 |
| Depreciation and amortization expense | 5696 | 2933 | 1976 | 1197 |
| Acquisition related costs | 733 | 1201 | 594 | 609 |
| Total selling, general and administrative expenses | 55768 | 43567 | 18796 | 15743 |
| Income from operations | 19669 | 16266 | 6937 | 8514 |
| Interest, net | 562 | 755 | 224 | 198 |
| Foreign currency transaction (loss) gain | (566) | (688) | 2 | (442) |
| Change in fair value of acquisition contingent consideration | (1374) | (1152) | (860) | (1152) |
| Income before provision for income taxes | 18291 | 15181 | 6303 | 7118 |
| Provision for income taxes | 3945 | 3561 | 1607 | 1659 |
| Net income | $14346 | $11620 | $4696 | $5459 |
| Income per common share-Basic | $3.13 | $2.54 | $1.02 | $1.19 |
| Income per common share-Diluted | $3.13 | $2.54 | $1.02 | $1.19 |
| Weighted average common shares outstanding — Basic | 4518 | 4458 | 4536 | 4476 |
| Weighted average common shares outstanding — Diluted | 4518 | 4458 | 4536 | 4476 |
| Dividends paid per common share | $0.51 | $0.51 | $0.17 | $0.17 |

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**Reconciliation of GAAP and Non-GAAP Financial Measures (unaudited)**

**(Amounts in thousands, except per share data)**

The table below presents net income reconciled to adjusted EBITDA (Non-GAAP) (1):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Nine months ended** | **Nine months ended** | **Three months ended** | **Three months ended** |
|  | **September 30,** | **September 30,** | **September 30,** | **September 30,** |
| **Net income reconciled to adjusted EBITDA (Non-GAAP):** | **2025** | **2024** | **2025** | **2024** |
| Net income | $14346 | $11620 | $4696 | $5459 |
| Provision for income taxes | 3945 | 3561 | 1607 | 1659 |
| Depreciation and amortization | 5696 | 2933 | 1976 | 1197 |
| Interest expense | 226 | 266 | 67 | 105 |
| EBITDA | 24213 | 18380 | 8346 | 8420 |
| Share-based compensation | 3574 | 2810 | 1078 | 904 |
| Acquisition related costs | 733 | 1201 | 594 | 609 |
| Change in fair value of acquisition contingent consideration | 1374 | 1152 | 860 | 1152 |
| Adjusted EBITDA | $29894 | $23543 | $10878 | $11085 |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Nine months ended** | **Nine months ended** | **Three months ended** | **Three months ended** |
|  | **September 30,** | **September 30,** | **September 30,** | **September 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| **Components of interest, net** |  |  |  |  |
| Amortization of discount on accounts receivable with extended payment terms | $(34) | $(23) | $(10) | $(6) |
| Interest income | (754) | (998) | (281) | (297) |
| Interest expense | 226 | 266 | 67 | 105 |
| Interest, net | $(562) | $(755) | $(224) | $(198) |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) We define adjusted EBITDA, as net income, plus provision for income taxes, depreciation, amortization, share-based compensation, interest, acquisition related costs and change in fair value of acquisition contingent consideration. We define effective margin as adjusted EBITDA as a percentage of gross profit. We provided a reconciliation of adjusted EBITDA to net income, which is the most directly comparable US GAAP measure. We use adjusted EBITDA as a supplemental measure of our performance to gain insight into our businesses profitability, operating performance and performance trends, and to provide management and investors a useful measure for period-to-period comparisons by excluding items that management believes are not reflective of our underlying operating performance. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results. Adjusted EBITDA is also a component to our financial covenants in our credit facility. Our use of adjusted EBITDA has limitations, and you should not consider it in isolation or as a substitute for analysis of our financial results as reported under US GAAP. In addition, other companies, including companies in our industry, might calculate adjusted EBITDA, or similarly titled measures differently, which may reduce their usefulness as comparative measures.

The table below presents net income reconciled to adjusted net income (Non-GAAP) (2):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Nine months ended** | **Nine months ended** | **Three months ended**  | **Three months ended**  |
|  | **September 30,** | **September 30,** | **September 30,** | **September 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Net income | $14346 | $11620 | $4696 | $5459 |
| Acquisition related costs, net of income taxes | 550 | 901 | 446 | 457 |
| Change in fair value of acquisition contingent consideration | 1374 | 1152 | 860 | 1152 |
| Adjusted net income | $16270 | $13673 | $6002 | $7068 |
| Adjusted net income per common share - diluted | $3.55 | $3.00 | $1.31 | $1.55 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) We define adjusted net income as net income excluding acquisition related costs, net of income taxes and the change in fair value of acquisition contingent consideration. We provided a reconciliation of adjusted net income to net income, which is the most directly comparable U.S. GAAP measure. We use adjusted net income and adjusted net income per common share as supplemental measures of our performance to gain insight into our businesses profitability, operating performance and performance trends, and to provide management and investors a useful measure for period-to-period comparisons by excluding items that management believes are not reflective of our underlying operating performance. Accordingly, we believe that adjusted net income and adjust net income per common share provide useful information to investors and others in understanding and evaluating our operating results. Our use of adjusted net income has limitations, and you should not consider it in isolation or as a substitute for analysis of our financial results as reported under U.S. GAAP. In addition, other companies, including companies in our industry, might calculate adjusted net income, or similarly titled measures differently, which may reduce their usefulness as comparative measures.

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The table below presents the operational metric of gross billings by segment (3):

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Nine months ended** | **Nine months ended** | **Three months ended** | **Three months ended** |
|  | **September 30,** | **September 30,** | **September 30,** | **September 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Distribution gross billings | $1412503 | $1113575 | $481884 | $441389 |
| Solutions gross billings | 67247 | 66719 | 22716 | 23795 |
| Total gross billings | $1479750 | $1180294 | $504600 | $465184 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Gross billings are the total dollar value of customer purchases of goods and services during the period, net of customer returns and credit memos, sales, or other taxes. Gross billings include the transaction values for certain sales transactions that are recognized on a net basis, and, therefore, include amounts that will not be recognized as revenue. We use gross billings as an operational metric to assess the volume of transactions or market share for our business as well as to understand changes in our accounts receivable and accounts payable. We believe gross billings will aid investors in the same manner.