What happened

Shares of Tech Data (NASDAQ:TECD) are up 21.1% as of 1:45 p.m. EST Thursday after the IT products and services distributor announced strong fiscal third-quarter 2018 results. 

More specifically, Tech Data's quarterly revenue climbed 11% year over year to $9.34 billion, while adjusted net income soared more than 50% to $116.3 million, or $3.02 per share. Most investors would have settled for earnings of just $2.17 per share on revenue of $8.92 billion.

Man in suit drawing arrow chart indicating steep gains.

IMAGE SOURCE: GETTY IMAGES.

So what

Tech Data CEO Rich Hume called it a "strong Q3 performance with great execution across" its three Americas, Europe, and Asia-Pacific regions. Tech Data also paid down $100 million of debt and repurchased $44 million in shares during the quarter.

"Our Q3 results reflect the powerful combination of our end-to-end portfolio and strong execution by our global teams," Hume added. "They also validate the strategic role we play in the IT supply chain -- delivering high value through our end-to-end portfolio to channel partners across the broad spectrum of IT products and solutions."

Now what

What's more, for the current fiscal fourth quarter, Tech Data anticipates revenue ranging from $10.5 billion to $10.9 billion and adjusted earnings per share of $3.90 to $4.20. Even the lower ends of both ranges are well above consensus estimates, which predicted fiscal Q4 earnings of $3.77 per share on revenue closer to $10.3 billion.

In the end, this was a straightforward beat-and-raise scenario for Tech Data, and the stock is understandably responding in kind.

Steve Symington has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.