ScanSource, Inc. reported unaudited consolidated earnings results for the second quarter and six months ended December 31, 2011. For the quarter, the company reported net sales increased 14.5% to $782.7 million compared to $683.6 million in the prior year quarter. Operating income decreased by 4.3% to $32.1 million from $33.5 million in the same period last year. Net income decreased 1.2% to $21.4 million for the quarter ended December 31, 2011 versus $21.6 million in the prior year. Diluted earnings per share decreased 3.8% to $0.77 in the current quarter compared to $0.80 in the prior year quarter. EBITDA was $35.7 million compared to $35.5 million reported a year ago. Return on invested capital, annualized was 19.8% compared to 25.0% reported a year ago. The company has spent $3.2 million on capital expenditures during the quarter. For the six months, the company reported net income of $39.8 million or $1.44 per diluted share on net sales of $1,553 million compared to $37.3 million or $1.38 per diluted share on net sales of $1,318.2 million reported a year ago. Operating income was $63.7 million compared to $58.4 million reported a year ago. Income before income taxes was $60.8 million compared to $58.1 million reported a year ago. The company has spent $5.5 million on capital expenditures during the six months. The company announced its current expectations for the third quarter of fiscal 2012. The company expects that net revenues for the quarter ending March 31, 2012 could range from $700 million to $720 million, and diluted earnings per share could be in the range of $0.52 to $0.55 per share. The gross margin is projected to be about 30 basis points lower than the 10.2% reported in December. The company anticipates interest expense and fair value adjustment to offset reduced SG&A due to lower volume. All of this will result in about $0.53 EPS guidance at the midpoint.