CDW Corporation's Stock Analysis

CDW Announces Q2 2025 Financial Results and Dividend Declaration

CDW Corporation reported net sales of $5,977 million for the second quarter of 2025, reflecting a 10.2% increase compared to $5,423 million in the same quarter of 2024. The growth was driven by increased demand for notebooks, software, and data storage solutions. The Corporate segment saw a significant rise in net sales, increasing by 17.6%, while the Small Business and Public segments also experienced growth. However, gross profit margin declined to 20.8% from 21.8% the previous year due to lower rates in certain hardware categories and increased selling and administrative expenses.

Additionally, CDW's Board of Directors declared a quarterly cash dividend of $0.625 per share, set to be paid on September 10, 2025, to stockholders of record by August 25, 2025. The company's net income for the second quarter was $271 million, a decrease of 3.5% from $281 million in the prior year, while non-GAAP net income rose slightly to $344 million. The effective income tax rate decreased to 25.7% from 26.0%, contributing to the overall financial results amidst ongoing economic uncertainty.

Aug 06, 2025 07:06:25

CDW Reports Q1 2025 Earnings and Declares Dividend Payment

CDW Corporation announced its first quarter 2025 financial results, reporting net sales of $5,199 million, a 6.7% increase from $4,873 million in the same quarter of 2024. The company's gross profit rose to $1,122 million, up 5.5% year-over-year, although the gross profit margin slightly decreased to 21.6%. Operating income grew by 10.2% to $361 million, while net income increased 4.1% to $225 million. The company also highlighted strong demand in specific segments, particularly in healthcare and education, contributing to the overall sales growth despite some economic uncertainties. Additionally, CDW’s Board of Directors approved a quarterly cash dividend of $0.625 per common share, scheduled for payment on June 10, 2025, to stockholders of record as of May 26, 2025.

The financial performance for the quarter included a non-GAAP operating income of $444 million, reflecting a 10% increase compared to the previous year. The report indicated an increase in selling and administrative expenses, attributed mainly to higher compensation and transformation costs. CDW's average daily sales also showed an 8.4% increase, indicating a positive trend in customer demand. The company continues to focus on optimizing cash flow and managing working capital effectively while maintaining a diverse portfolio across various customer end-markets.

May 07, 2025 07:06:49

CDW Reports $5.2 Billion in Q4 2024 Net Sales

CDW Corporation reported a net sales increase of 3.3% in the fourth quarter of 2024, reaching $5.2 billion compared to $5.0 billion in the same period last year. The company also announced a $750 million increase in its share repurchase authorization and a quarterly cash dividend of $0.625 per share, reflecting a commitment to returning value to shareholders. Despite economic uncertainties, certain end-markets showed improvement, contributing to a 5.0% rise in average daily sales.

However, the company faced challenges with net income, which decreased by 10.8% to $264 million compared to the previous year, alongside a decline in net income per diluted share by 9.8%. Full-year net sales also fell by 1.8% to $21.0 billion, driven by cautious customer spending across all operating segments. Increased selling and administrative expenses and a rise in interest expense further impacted overall profitability, highlighting the ongoing challenges in the technology landscape.

Feb 05, 2025 07:07:20

CDW Reports Third Quarter 2024 Financial Results

CDW Corporation reported a slight decrease in net sales for the third quarter of 2024, totaling $5.52 billion, down 2.0% from $5.63 billion in the same period last year. The company maintained a consistent gross profit margin of 21.8% and achieved a net income of $316 million, which was comparable to the previous year. Additionally, CDW's management highlighted strong performance in cloud and endpoint solutions, and a quarterly cash dividend of $0.625 per share was approved, indicating ongoing shareholder returns despite market challenges.

On the downside, the company faced a decline in hardware solutions demand, particularly affecting its Corporate and Public segments, which saw respective decreases of 4.4% and 5.1% in net sales. Economic uncertainty and a complex technology landscape contributed to cautious customer spending and delays in decision-making. Non-GAAP operating income fell by 4.0% compared to the prior year, and average daily sales also dropped by 3.5%. These factors underscore the challenges CDW is navigating in the current market environment.

Oct 30, 2024 07:03:29

CDW Announces Leadership Changes to Enhance Growth Strategy

CDW has revealed a succession plan for its executive team, signaling a commitment to future growth and effective leadership. Chris Corley will transition to a new role focusing on international strategy, while Liz Connelly will expand her responsibilities as Chief Commercial Officer, overseeing U.S. sales and technology solutions. Both leaders are recognized for their customer-centric approaches and ability to drive results, which CDW believes will be pivotal for the company's continued success.

The announcement highlights CDW's proactive approach to leadership changes, aiming to maintain momentum in its growth strategy. Chris Leahy, the CEO, expressed confidence in the capabilities of both Corley and Connelly, emphasizing their contributions in critical business areas. This strategic reshuffling reflects CDW's focus on leveraging talent to navigate the complexities of the IT market and enhance its service offerings across various sectors.

Oct 25, 2024 07:26:00

Company Report Signed by Authorized Representative

The company has filed its financial statements and exhibits as required by regulatory standards. This report has been officially signed by Albert J. Miralles, confirming its authenticity and compliance with the necessary regulations.

This action demonstrates the company's commitment to transparency and accountability in its financial reporting. By fulfilling these requirements, the company aims to maintain investor trust and uphold its reputation in the market.

Aug 22, 2024 16:14:30

CDW Corporation Announces Tender Offers for Senior Debt Securities

CDW Corporation has initiated cash tender offers to purchase all outstanding senior debt securities, specifically the 5.500% Notes due in 2024 and the 4.125% Notes due in 2025. This move is seen as a proactive step to manage its debt obligations, with the offers set to expire on August 16, 2024, allowing holders to receive accrued interest as well.

While the tender offers present an opportunity for investors to sell their notes, they are subject to specific conditions and are not contingent on a minimum amount being tendered. The company has engaged BofA Securities and J.P. Morgan Securities as advisors for this process, indicating a strategic approach to financial management amidst a complex market environment.

Aug 12, 2024 09:16:30

CDW Reports Mixed Earnings Amid Economic Uncertainty

CDW Corporation's second quarter 2024 results showed a 3.6% decline in net sales compared to the previous year, reflecting cautious spending amid economic challenges. However, the company achieved a 7% increase in net income, boosted by strong operating margins and effective cost management. Additionally, a quarterly cash dividend of $0.62 per share was announced, highlighting financial stability. Despite these positives, non-GAAP metrics showed slight declines, indicating ongoing challenges in the market.

Jul 31, 2024 07:07:22

CDW Corporation Q1 2024 Earnings Report

CDW Corporation's Q1 2024 results show a decrease in net sales and income compared to Q1 2023. Despite challenges, the company maintains a strong gross profit margin and cash flow. The Board of Directors approved a quarterly cash dividend. The company aims to optimize cash flow and remain a trusted IT solutions provider despite weaker market conditions. CDW focuses on customer needs and aims to exceed US IT market growth rates. Net sales declined across segments, but the company remains well-positioned for future growth.

May 01, 2024 07:11:15

CDW Reports Strong Margins and Earnings Growth in Q4 2023

CDW Corporation announced a 7.7% decrease in net sales for Q4 2023, but highlighted strong margins and earnings growth. The company reported a 3.1% increase in net income and a 4.3% increase in net income per diluted share compared to Q4 2022. Additionally, CDW's Board of Directors approved a $750 million share repurchase and a 5% higher quarterly cash dividend. The company aims to outpace US IT market growth in 2024 and remains focused on meeting customer needs and maintaining strong partnerships.

Feb 07, 2024 07:04:35