Wesco International Q1 Revenue $6.08B Up 13.8%, EPS $3.37, Outlook Raised
Wesco International posted record Q1 net sales of $6.08 billion, up 13.8%, with data center sales soaring 70% to $1.4 billion and backlog climbing 22%. Adjusted EPS rose 52.5% to $3.37 and EBITDA margin expanded 60 basis points to 6.4%, prompting a raised full-year outlook.
1. Record Net Sales and Segment Performance
Wesco International reported Q1 net sales of $6.08 billion, up 13.8%. Data center sales surged 70% to $1.4 billion, representing 24% of total revenue, while organic sales growth reached 12.3% across all business segments.
2. Profitability and Margin Expansion
Adjusted earnings per share climbed 52.5% to $3.37, driven by gross margin expansion and operational leverage. Adjusted EBITDA margin widened by 60 basis points to 6.4%, and operating margin improved by 30 basis points to 4.8%.
3. Cash Flow Strength and Backlog Growth
Operating cash flow rose to $221 million, an increase of $193 million year-over-year, and free cash flow hit $213 million, equating to 128% of adjusted net income. The company ended the quarter with a record backlog up 22%, reflecting strong order momentum.
4. Raised Full-Year Outlook
Buoyed by the exceptional first-quarter performance and robust market demand, Wesco raised its full-year 2026 guidance, forecasting continued double-digit sales growth, margin expansion, and strong cash flow generation.