a acquisition I’ll Slide more results Starting our cash with Ken. to taxes, X. few on the America minutes North you, through segments operating go in then take cover detail. flow Cardinal Thank the and will for QX and
America solid North in in sales in By sales. hardware sales compare. results driven quarter, security $X.X of of grew category, services, primarily professional billion, sales by XX% delivered maintenance net the growth round due very cloud up year-over-year, with tough XX% second growth software Our higher team against a of and to another Services sales increased year-over-year, and year-over-year X% devices. primarily
profit clients, devices to and services – increased sold higher of due decreased our XX administrative a in – offset enterprise are and in – lower solutions gross expenses and North now reported and higher earned performance. more basis Software primarily mix services cloud-based sales And large including on gross Selling cloud-based clients grew because investments to fees margin, they to gross to migrated sale XX.X% higher are America profit, software year-over-year to in margin the agreements. agency higher maintenance reflected and gross margin, by cloud sales on by sales of driven X% Gross points product security sales. solutions. due partly margin net, variable license sales headcount decreased as compensation decreased
of to quarter, the moving million, of QX profit partner with And gross year-over-year services an XX million. constant from a profit X% decline from to decreased year-over-year. operations million earnings grew of Pacific, addition X%. second professional X% operations quarter lower earned same of and driven XX% on XX. increased Asia by of X% $XX.X All in constant up sales acceleration the basis services last was the is enterprise $XXX XXXX. funding to $XX Slide in to due $XX to mix XX.X% primarily margin $XX XX, largest earnings currency hardware, the margin second in increase sales led market. In year, grew year. Slide year-over-year from to GAAP gross our earnings those in Gross growth in fees into in agreements APAC The results on up constant each quarter year-over-year growth XXXX. operations engagements. our our in was compared to second On lower reported of as quarter and Australia, of the by in an in were result our currency, in in EMEA. of of in adjusted million, offset categories. currency, second On gross partly Adjusted the from software X% were this from operations this increase period GAAP of Net million, This incentives earnings net points
in respect in of million due With tax category, operations the quarter in quarter $X.X funding our to our earnings Our in partner the gross guidance at was second low lower million, of just to rate software margin decreased effective second from the X% tax last drove in primarily coming down $X.X constant currency year. which rate, to range. end the XX%, our under from
balance effective our XX% the tax we and be XX%. of For between XXXX, rate expect will
on Slide XX. to Moving
call, January our accounting modified rules ASC adopted new that As used a week, we XXX this from not previously under In XXX This last in basis. noted released we reconciliation will the results materials we on the the effective be the means results on provide to retrospective XXXX XXXX, today. a XX-Q standard. represented to later our X, our issued have
of reported the in effect on consolidated top ASC did XXX the have not a material half results bottom As or of our first expected, line XXXX. adoption
the impact items balance more However, was certain notable. on sheet
as reported six periods. result sales standard, Specifically, standard, ended under in certain the we the the of the the XXXX, adoption new been June that, previous of of a recognition future would have XX, for months accelerated
some recorded these we the also agent the in net of We sales were transaction. because
for in $XX primarily of due of cycle flow effect result cash a our in our quarter increased is the overall, similar was the This With the having sales balance XX million efficiency on increase expected accounts and receivable cash in an is on result, the up respect effect adoption second net $X to XXX for calculation as a adverse reported receivable on As accounts XXXX, without five metric QX of days to days of to conversion increased ASC change this year-over-year period. a our similar metrics while impact have the million. a sales year. DSO the
As we we by flow aged are on receivable cash operations from have our accounts reducing focused improving balances. mentioned, previously
our quarter as improvement with aged drive balances We’re very pleased cash progress in in flow our decrease helped our receivables sequential of during generation XXXX. the the accounts an second
our year use efficiency will months focused We million Rounding our million of approximately of of cash improve continue cash of first the the compared six of the cash out generated $XXX balance future. to operations to year. working a flow $XX XXXX, performance. our and the efforts capital last into over In
were on As for a of the by which due discussed calls, difference large QX $XXX million impacted in of effect XXXX XXXX was of collection timing flow results and the the receivable paid the recent XXXX. supplier cash of of approximately to payment single in January between a
difference, reducing and receivable this client-specific enhanced aged our and the arrangements. strong our payables minimizing reflect focus Excluding of our general on timing inventory impact balances, investments optimizing results
However, is operations as flow the a use quarter. in some our in third flow results. the reminder, and fourth our quarter cash generate there to seasonality cash Historically, flow cash
cash a define between million expenditures the up We million expect company’s common year. $XX approximately in full first and will half stock. financing the Adjusted $XXX flat of the to of of from first and $XXX operations make million half our For as capital of not the capital less XXXX. negative the operations we $XX first we did from cash year, the was we change we from million inventory In XXXX, the in repurchase be million. approximately last expenditures, acquisitions any facility, year-over-year, shares in $XXX plus free million XXX,XXX balance cash invested which flow flow, $XX used in half, roughly flow
last used first any to last quarter quarter Datalink and repurchase we $XXX not comparison, For in in did we the million second year, of of shares the acquire year.
the balance million end debt of end And and this subsidiaries. million our facility. This the of in $XXX the quarter, led QX we at of million foreign cash million of a XXXX. of $XXX under was debt which to resident of of outstanding of $XXX million $XXX cash our All had $XXX compares at of financing to outstanding
approximately of call Cardinal subject cash million, and working the to on back capital I’d acquisition final to you the financial acquired for on $XX Before update impact outlook. net turn We’ve of Ken, our I like to the Cardinal adjustments. acquired
intangibles including We earnings valuation the on work of estimated for on acquisition have the not acquired, completed to yet expect to neutral this but on be we expense. intangible our estimates, based from year, balance our assets operations this the our amortization
back debt Ken use now acquisition, is fund and impact new debt guidance will I will in review XXXX outlook. turn We to included today. the this the the our of call to provided to our