Climb's Third-Quarter Sales Growth Reaccelerates

The Tip Desk · November 10, 2026 · 2 min read

Net sales rose 37% to $220.3 million and gross billings 40% to $706.4 million, faster than the second quarter's 9% and 17% year-ago increases.

Climb Global Solutions (CLMB), a value-added global IT channel company, reported record third-quarter results as year-over-year growth reaccelerated after a slower second quarter.

Net sales increased 37% to $220.3 million, compared with $161.3 million a year earlier. Gross billings, the company’s key operational metric, rose 40% to $706.4 million. Both rates were faster than the second quarter, when net sales were up 9% and gross billings 17%.

Distribution gross billings increased 41% to $680.5 million. Solutions gross billings rose 14% to $25.9 million.

Gross profit rose 28% to $33.0 million, from $25.7 million a year earlier. The company said the increase was driven by organic growth from new and existing vendors in North America and Europe, as well as contribution from Interworks, acquired earlier in the year.

Net income increased 69% to $7.9 million, or $0.43 a share, from $4.7 million, or $0.25 a share, a year earlier. Adjusted net income rose 34% to $8.0 million, or $0.43 a share. Adjusted EBITDA increased 35% to $14.7 million.

Effective margin, defined as adjusted EBITDA as a percentage of gross profit, rose 230 basis points to 44.6% from 42.3% a year earlier. SG&A expenses were $20.9 million. The company said the increase was primarily attributable to SG&A associated with Interworks and variable sales compensation tied to higher organic gross profit, as well as investments in IT infrastructure and automation. SG&A as a percentage of gross billings decreased to 3.0% from 3.2% a year earlier.

Chief Executive Dale Foster said the quarter was driven by momentum across the vendor portfolio, execution against strategic priorities and Interworks. He said 19 of the top 20 vendors generated sequential growth and that the company was seeing progress with newer relationships including Fortinet and Darktrace.

Cash and cash equivalents were $66.9 million on September 30, 2026. The company said the increase was primarily attributed to the timing of receivable collections and payables. Climb had no outstanding debt and no borrowings under its $50 million revolving credit facility.

Subsequent to quarter end, Climb expanded its European presence through the acquisition of NeoVAD, which the company said would bolster its position in France with a complementary team, reseller network and vendor portfolio. Foster said the company would continue to evaluate accretive acquisition opportunities, with Europe as a key area of focus, and that it believes its balance sheet and execution track record will enable it to close out 2026 on a strong note and deliver another year of record performance.