CDW 10-Q Quarterly Reports

CDW Quarterly Report for Q3 Ended Sep 30, 2026

CDW Quarterly Report for Q2 Ended Jun 30, 2026

CDW Corporation reported net sales of $6.57 billion for the three months ended June 30, 2026, up 10.0% from $5.98 billion a year earlier, and $12.25 billion for the six months, up 9.6%. Net sales growth was led by data storage and servers, notebooks/mobile devices, software, and netcomm products, with all operating segments growing. Gross profit rose 6.3% to $1.32 billion for the quarter, but gross profit margin fell 70 basis points to 20.1%, driven by product mix and lower-margin hardware categories. Operating income increased 2.0% to $428.6 million, while net income rose 1.2% to $274.4 million and diluted EPS was $2.15, compared with $2.05 a year earlier. Non-GAAP diluted EPS was $2.91, versus $2.60. Cash flow weakened notably. Net cash provided by operating activities fell to $219.7 million for the six months from $443.1 million, mainly because of accounts receivable and merchandise inventory build, partly offset by higher accounts payable-trade. The cash conversion cycle lengthened to 21 days from 16 days. Total debt was $5.8 billion, with $175 million drawn on the revolver and $1.7 billion of revolver availability. During the six months, the company repurchased 4.5 million shares for $545 million, and the Board authorized a $1 billion increase to the repurchase program on May 13, 2026, leaving about $1.14 billion remaining at June 30, 2026. The company also declared a quarterly dividend of $0.630 per share on August 5, 2026. The filing also introduces a segment realignment effective January 1, 2026, into Commercial, Government, and Education reportable segments, with CDW UK and CDW Canada reported as Other. In the quarter, Commercial sales rose 9.2% and Government sales rose 13.6%, while Education was up 0.7%. The company notes a DOJ Civil Investigative Demand related to E-Rate bids but says it cannot assess the probability or financial impact of any outcome.

CDW Quarterly Report for Q1 Ended Mar 31, 2026

CDW Corporation's first-quarter 2026 Form 10-Q shows net sales rising 9.2% to $5.68 billion from $5.20 billion, with higher sales across all operating segments. Gross profit grew 6.0% to $1.19 billion, but gross profit margin fell to 21.0% from 21.6%, which the company attributes mainly to a lower contribution of netted down revenue. Operating income increased 4.0% to $376.0 million, and net income rose to $235.4 million from $224.9 million. Diluted EPS was $1.82 versus $1.69 a year earlier. Non-GAAP net income per diluted share was $2.28 compared with $2.15. Cash generation was weaker. Net cash provided by operating activities was $274.8 million versus $287.2 million, mainly because merchandise inventory rose $257.6 million, partly offset by a $341.3 million increase in trade payables. The cash conversion cycle lengthened to 16 days from 15 days, and days of sales outstanding rose to 96 from 86. Net debt was $5.06 billion, compared with $5.16 billion a year earlier. The company repurchased 1.6 million shares for $201 million and paid $81.1 million in dividends. It had $1.9 billion of availability under its revolving loan facility at quarter end. Segment results were mixed. Commercial net sales grew 9.6%, but its operating income fell 1.7%. Government gross profit declined 7.6% on a lower margin, while Education operating income rose 55.7%. The company's UK and Canada operations, reported as Other, grew net sales 17.9%. Management cited higher compensation, including performance-based incentives, and investments to support AI initiatives as drivers of selling and administrative expense growth.

CDW Quarterly Report for Q3 Ended Sep 30, 2025

CDW Corporation's third-quarter 2025 10-Q shows net sales rising to $5.74 billion for the three months ended September 30, 2025, up from $5.52 billion a year earlier, with gross profit of $1.26 billion and gross profit margin of 21.9%. However, operating income fell to $443.3 million from $481.6 million, and net income declined to $291.0 million from $316.4 million, with diluted EPS of $2.21 versus $2.34. For the nine months, net sales grew to $16.91 billion and net income was $787.1 million, versus $813.6 million a year earlier. Non-GAAP operating income was $530.6 million for the quarter, compared with $534.0 million in the prior-year period. Cash generation weakened over the nine months, with net cash provided by operating activities of $771.4 million versus $932.0 million, driven mainly by a $633.0 million increase in accounts receivable. The company repurchased $500.0 million of common stock and paid $246.9 million in dividends. Cash and cash equivalents were $452.9 million at quarter-end, and total debt was $5.6 billion, with $1.3 billion of availability under the Revolving Loan Facility. The cash conversion cycle improved to 11 days from 17 days, though days of sales outstanding rose to 92 from 79. The filing also discloses an ongoing Department of Justice False Claims Act investigation, opened via a Civil Investigative Demand issued June 11, 2024, relating to bids for E-Rate Program-funded contracts. The company says it cannot assess the probability or range of any outcome. In addition, the company implemented a new enterprise resource planning system during the third quarter, which led to changes in internal controls over financial reporting.

CDW Quarterly Report for Q2 Ended Jun 30, 2025

CDW Corporation's second-quarter 2025 Form 10-Q shows net sales rising 10.2% to $5.98 billion for the three months ended June 30, 2025, from $5.42 billion a year earlier, with higher sales across all operating segments, driven mainly by notebooks/mobile devices, software, netcomm products and data storage and servers. Gross profit grew 4.9% to $1.24 billion, but gross profit margin fell to 20.8% from 21.8%, and operating income declined 3.0% to $420.2 million. Net income was $271.2 million, down from $281.1 million, and diluted EPS was $2.05 versus $2.07. For the six months, net sales rose 8.5% to $11.18 billion and net income was $496.1 million, roughly flat versus $497.2 million. Non-GAAP diluted EPS was $2.60 for the quarter, up from $2.50. Cash flow from operations weakened to $443.1 million for the first six months from $589.9 million, mainly due to higher accounts receivable and inventory build, partly offset by accounts payable growth. The company repaid $211 million of 4.125% senior notes at maturity in May 2025, funded in part by a matured certificate of deposit. Total unsecured indebtedness was $5.6 billion, with $1.2 billion of revolving loan availability. Shareholder returns continued: the company repurchased 2.0 million shares for $350 million in the first half and paid $165.1 million in dividends. Net debt stood at $5,151.7 million, and cash conversion cycle improved slightly to 16 days from 17. The filing also discloses that the company received a Civil Investigative Demand from the Department of Justice on June 11, 2024, relating to a False Claims Act investigation over bids on E-Rate Program contracts. The company is cooperating and states it cannot assess the probability or range of any outcome at this stage. The company also declared a quarterly dividend of $0.625 per share on August 6, 2025.

CDW Quarterly Report for Q1 Ended Mar 31, 2025

CDW Corporation reported first-quarter 2025 net sales of $5.20 billion, up from $4.87 billion in the prior-year quarter, with net sales increasing $326 million, or 6.7%, driven by higher sales across all operating segments. Gross profit rose to $1.12 billion from $1.06 billion, though gross profit margin declined to 21.6% from 21.8% due to a mix shift toward lower-margin notebooks and mobile devices. Operating income increased $33 million, or 10.2%, to $361 million, and net income rose to $224.9 million from $216.1 million. Diluted earnings per share were $1.69 compared with $1.59 a year earlier. Non-GAAP net income per diluted share was $2.15, versus $1.92 in the prior-year period. Cash flow was weaker than the prior year. Net cash provided by operating activities fell to $287.2 million from $440.0 million, primarily due to higher accounts receivable and merchandise inventory, partially offset by accounts payable growth. Adjusted free cash flow was $248.8 million compared with $364.4 million. The company repurchased 1.1 million shares for $200 million during the quarter, and total debt stood at $5.9 billion. Cash and cash equivalents were $471.4 million at March 31, 2025, and the company had $1.3 billion of availability under its Revolving Loan Facility. The filing also discloses that the Department of Justice issued a Civil Investigative Demand on June 11, 2024, in connection with a False Claims Act investigation concerning bids for E-Rate Program contracts. The company is cooperating and states it cannot currently assess the probability of any outcome or range of possible loss. On May 7, 2025, the Board declared a quarterly dividend of $0.625 per share, payable June 10, 2025.

CDW Quarterly Report for Q3 Ended Sep 30, 2024

CDW Corporation's third-quarter 2024 Form 10-Q reports net sales of $5.52 billion for the three months ended September 30, 2024, down from $5.63 billion a year earlier, and $15.81 billion for the nine months, down from $16.36 billion. Net income was $316.4 million for the quarter versus $315.5 million in the prior-year quarter, and $813.6 million for the nine months versus $808.2 million. Diluted EPS was $2.34 for the quarter (versus $2.32) and $6.00 for the nine months (versus $5.92). The company attributes the sales decline to customers being cautious and measured in technology spending, with lower netcomm and collaboration products, partially offset by higher notebooks and mobile devices. Gross profit margin held at 21.8% for the quarter, while non-GAAP net income fell to $354.9 million from $369.4 million. Cash generation weakened over the nine months, with net cash provided by operating activities of $932.0 million versus $1,062.2 million, and adjusted free cash flow of $764.1 million versus $1,112.9 million. Net debt was $4.87 billion at September 30, 2024, compared with $5.26 billion a year earlier. During the quarter, CDW issued $600 million of 5.100% senior notes due 2030 and $600 million of 5.550% senior notes due 2034, and used the proceeds to tender for portions of its 2024 and 2025 notes. The company repurchased $354 million of common stock in the nine months and declared a quarterly dividend of $0.625 per share on October 30, 2024. The filing also discloses a Civil Investigative Demand from the Department of Justice dated June 11, 2024, relating to a False Claims Act investigation concerning bids submitted for contracts funded by the E-Rate Program. CDW states it is cooperating and cannot yet assess the probability or range of any possible loss. Management does not believe there is a reasonable possibility of a material loss beyond amounts already recognized in other proceedings.

CDW Quarterly Report for Q2 Ended Jun 30, 2024

CDW Corporation's second-quarter 2024 Form 10-Q reports net sales of $5.42 billion for the three months ended June 30, 2024, down from $5.63 billion a year earlier, with the filing attributing the decline to customers being cautious and measured in their approach to technology spending amid continued economic uncertainty. Net income rose to $281.1 million from $262.6 million, and diluted EPS increased to $2.07 from $1.92. Operating income increased to $433.1 million from $412.2 million, aided by lower workplace optimization costs recorded in the second quarter of 2023. For the six months ended June 30, 2024, net sales were $10.30 billion versus $10.73 billion, while net income was $497.2 million versus $492.7 million. Cash flow and balance sheet items were steady. Net cash provided by operating activities was $589.9 million for the six months, and adjusted free cash flow was $502.8 million versus $683.9 million a year earlier. The company repurchased $254.0 million of common stock and paid $166.3 million in dividends during the six months. Total unsecured indebtedness was $5.6 billion, and current maturities of long-term debt rose to $1.20 billion from $613.1 million at year-end 2023, while cash and cash equivalents increased to $665.3 million. The company reported $1.2 billion of availability under its Revolving Loan Facility. The filing also discloses that on June 11, 2024, the company received a Civil Investigative Demand from the Department of Justice in connection with a False Claims Act investigation concerning bids submitted for contracts funded through the E-Rate Program. The company is cooperating and states it is unable to assess the probability or range of any possible loss at this stage.

CDW Quarterly Report for Q1 Ended Mar 31, 2024

CDW Corporation's first-quarter 2024 10-Q reports net sales of $4,872.7 million, down from $5,103.1 million in the prior-year quarter, a decline of 4.5%. The filing states the decrease occurred across all operating segments, with customers cautious and delaying or reducing technology spending amid economic uncertainty. Gross profit fell to $1,063.3 million from $1,089.4 million, though gross profit margin rose to 21.8% from 21.3%, driven by a favorable contribution of netted-down revenue, primarily software as a service. Operating income declined to $328.0 million from $355.3 million, and net income decreased to $216.1 million from $230.1 million. Diluted EPS was $1.59 versus $1.68, and non-GAAP diluted EPS was $1.92 versus $2.03. Cash flow and balance sheet metrics were stronger. Net cash provided by operating activities rose to $440.0 million from $365.4 million, and the cash conversion cycle improved to 16 days from 18. Net debt was $4,828.5 million compared with $5,516.2 million a year earlier. Cash and cash equivalents ended the quarter at $803.8 million. The company repurchased 0.2 million shares for $52.1 million and paid dividends of $83.3 million. Its Board declared a quarterly dividend of $0.620 per share on May 1, 2024, payable June 11, 2024. Segment results were mixed. Corporate net sales fell 3.1% and its operating income fell 7.9%, while Small Business operating income rose 12.0% on higher gross profit and lower bad debt expense. Public segment net sales fell 4.9%, with education down 10.4%, and Other (UK and Canada) net sales fell 6.5%. The filing also discloses a Department of Justice Civil Investigative Demand under the False Claims Act, to which the company is cooperating, and states it does not believe a material loss beyond amounts already recognized is reasonably possible.

CDW Quarterly Report for Q3 Ended Sep 30, 2023

CDW Corporation's third-quarter 2023 Form 10-Q shows net sales declining to $5,628.3 million for the three months ended September 30, 2023, down from $6,215.5 million a year earlier, a decrease the filing attributes to economic uncertainty leading customers to reduce or delay technology spending. Gross profit was nearly flat at $1,227.7 million, but gross profit margin rose to 21.8% from 19.8%, and operating income increased 2.6% to $478.4 million. Net income rose to $315.5 million from $297.8 million, and diluted EPS was $2.32 versus $2.17. Non-GAAP net income per diluted share was $2.72 compared with $2.60. For the nine months, net sales fell 10.7% to $16,357.5 million and net income declined to $808.2 million from $827.3 million. Cash provided by operating activities was $1,062.2 million, and adjusted free cash flow was $1,112.9 million. The company repurchased 2 million shares for $450 million during the period, paid dividends of $238.4 million, and prepaid $100 million on its Term Loan. Total unsecured indebtedness was $5.7 billion, and the company stated it was in compliance with its debt covenants. Stockholders' equity increased to $1,810.0 million, and the company declared a quarterly dividend of $0.620 per share on November 1, 2023. The filing also discloses a Civil Investigative Demand from the Department of Justice under a False Claims Act investigation concerning teaming agreements with original equipment manufacturers. The company says it is cooperating and cannot yet assess the probability or range of any loss.

CDW Quarterly Report for Q2 Ended Jun 30, 2023

CDW Corporation's second-quarter 2023 results show lower sales and profit. Net sales for the three months ended June 30, 2023 decreased $520 million, or 8.5%, to $5,626 million, and net income fell to $262.6 million from $279.3 million. For the six months, net sales decreased $1,366 million, or 11.3%, to $10,729 million, and net income was $492.7 million versus $529.5 million. The filing attributes the decline to customers reducing or deferring technology spending amid economic uncertainty, most notably in the Corporate and Small Business segments and in the UK and Canadian operations. Gross profit margin improved, rising to 21.0% in the quarter from 19.0%, driven by higher product margin and a higher mix of netted-down software-as-a-service revenue, but selling and administrative expenses rose 5.0% for the quarter, largely from workplace optimization costs and higher payroll. Cash generation and capital returns were mixed. Net cash provided by operating activities was $593.6 million for the six months, down from $761.1 million, and free cash flow was $683.9 million versus $717.4 million. The company repurchased 2 million shares for $396 million during the first half, and it declared a quarterly dividend of $0.590 per share payable September 12, 2023. Net debt was $5,559.3 million, compared with $6,045.3 million a year earlier, and the company had $1.0 billion of revolver availability at June 30, 2023. The filing also discloses a Civil Investigative Demand from the Department of Justice under the False Claims Act, related to teaming agreements with original equipment manufacturers. The company said it is cooperating and cannot yet assess the probability or range of any loss. Management stated that no material loss beyond amounts already recognized is reasonably possible for other proceedings.

CDW Quarterly Report for Q1 Ended Mar 31, 2023

CDW Corporation's first-quarter 2023 Form 10-Q reports net sales of $5.10 billion for the three months ended March 31, 2023, down from $5.95 billion a year earlier, with the decline occurring across all operating segments and driven mainly by lower hardware sales. Customers are pausing or deferring IT spend amid economic uncertainty. Gross profit was $1.09 billion versus $1.10 billion, and operating income fell to $355.3 million from $386.9 million, while net income was $230.1 million compared with $250.2 million. Diluted earnings per share were $1.68 versus $1.83. Non-GAAP net income per diluted share was $2.03 versus $2.20. Cash flow and balance sheet activity were shaped by capital returns. Net cash provided by operating activities was $365.4 million, and free cash flow was $411.3 million. The company repurchased 1.0 million shares for $200 million and paid dividends of $79.9 million. Total debt was reduced through a $50 million prepayment on the term loan, and net debt fell to $5.52 billion from $6.21 billion a year earlier. The cash conversion cycle improved to 18 days from 20 days. The company's revolving loan facility had $1.1 billion of available borrowing capacity at quarter end. The filing also discloses a Civil Investigative Demand from the Department of Justice under a False Claims Act investigation related to teaming agreements with original equipment manufacturers. The company says it is cooperating and cannot assess the probability or range of any outcome.

CDW Quarterly Report for Q3 Ended Sep 30, 2022

CDW Corporation reported strong third-quarter 2022 results, with Net sales of $6,215.5 million, up $915.5 million or 17.3% from $5,300.0 million a year earlier, and growth across all operating segments. Gross profit rose to $1,233.2 million from $914.9 million, with gross margin of 19.8% versus 17.3%. Operating income was $466.4 million, up 20.7%, and net income was $297.8 million compared with $266.6 million. Nine-month net sales reached $18,310.4 million, up 19.8%, and net income was $827.3 million. Selling and administrative expenses grew 45.1% in the quarter, driven by payroll and amortization and integration costs tied to the Sirius acquisition, which closed December 1, 2021 for approximately $2.4 billion. Cash flow and balance sheet activity were focused on deleveraging and shareholder returns. Net cash provided by operating activities for the nine months was $1,094.0 million, up from $636.7 million. The company prepaid $400 million on its Term Loan Facility during the quarter and paid $436 million on the term loan in total during the nine months. Total long-term debt was $6,100.0 million at September 30, 2022, down from $6,755.8 million at December 31, 2021. Stockholders' equity increased to $1,326.0 million from $705.7 million. The company made no share repurchases during the nine months, versus $1,185.3 million in the prior-year period, and declared a quarterly dividend of $0.59 per share on November 2, 2022. The filing also discloses a Civil Investigative Demand from the Department of Justice dated September 20, 2021 related to a False Claims Act investigation concerning teaming agreements with original equipment manufacturers. The company is cooperating and states it cannot assess the probability or range of any possible loss. Management characterized the macroeconomic environment as uncertain, citing inflation, interest rate increases, and supply constraints tied to the Russia-Ukraine conflict.

CDW Quarterly Report for Q2 Ended Jun 30, 2022

CDW Corporation's Form 10-Q for the quarter ended June 30, 2022 reports net sales of $6,145.8 million for the three months ended June 30, 2022, up from $5,146.4 million a year earlier, with operating income of $435.3 million (versus $369.9 million) and net income of $279.3 million (versus $274.1 million). For the six months, net sales were $12,094.9 million (versus $9,983.9 million), operating income $822.2 million, and net income $529.5 million. Management attributes growth primarily to the Corporate and Public segments and the UK and Canadian operations, and to the acquisition of Sirius Computer Solutions, which closed on December 1, 2021 for approximately $2.4 billion net of cash acquired. Selling and administrative expenses rose faster than gross profit, reflecting higher payroll, intangible amortization and Sirius integration costs. On the balance sheet, cash and cash equivalents rose to $541.6 million from $258.1 million at year-end 2021, and total debt-related figures were reduced: long-term debt was $6,481.4 million, and total unsecured indebtedness was $6.6 billion. Net cash provided by operating activities was $761.1 million for the six months, compared with $344.9 million a year earlier, while the company made no share repurchases in 2022 after $735.3 million of repurchases in the prior-year period. Dividends of $0.50 per share were paid in each quarter of 2022, and a further $0.50 quarterly dividend was declared on August 3, 2022. The filing also discloses a Civil Investigative Demand dated September 20, 2021 from the Department of Justice in connection with a False Claims Act investigation concerning teaming agreements with original equipment manufacturers. The company states it is cooperating and cannot yet assess the probability or range of any outcome. Management also cites macroeconomic uncertainty, inflation, rising interest rates, and the Russia-Ukraine conflict as factors affecting customer technology spending.

CDW Quarterly Report for Q1 Ended Mar 31, 2022

CDW Corporation's first-quarter 2022 results, filed on May 4, 2022, show net sales rising $1,112 million, or 23.0%, to $5,949 million from $4,837.5 million a year earlier. The increase was driven by higher demand in hardware, services and software and included the contribution from the acquisition of Sirius Computer Solutions, Inc., which closed on December 1, 2021 for approximately $2.4 billion. Gross profit grew to $1,104.1 million, with gross margin rising to 18.6% from 16.4%, while selling and administrative expenses increased to $717.2 million. Operating income was $386.9 million, and net income was $250.2 million, compared with $232.6 million in the prior-year quarter. Diluted earnings per share were $1.83, versus $1.63. The balance sheet shows total long-term debt of $6,514.8 million at March 31, 2022, down from $6,755.8 million at December 31, 2021, and cash and cash equivalents of $386.9 million. Net cash provided by operating activities was $380.8 million, versus $344.6 million, and the company made no share repurchases in the quarter. Non-GAAP net income was $301.5 million, up from $249.4 million. The company also declared a quarterly dividend of $0.50 per share on May 4, 2022. The filing notes ongoing macroeconomic uncertainty tied to COVID-19, supply constraints, and the military conflict between Russia and Ukraine. A subsidiary received a Department of Justice Civil Investigative Demand dated September 20, 2021 related to a False Claims Act investigation, and the company says it cannot yet assess the probability or range of any outcome given the early stage of the matter.

CDW Quarterly Report for Q3 Ended Sep 30, 2021

CDW Corporation reported third-quarter 2021 net sales of $5.30 billion, up 11.4% from $4.76 billion a year earlier, with operating income of $386.4 million, up from $317.8 million, and net income of $266.6 million, up from $193.2 million. For the nine months ended September 30, 2021, net sales were $15.28 billion, up 13.1%, operating income was $1.08 billion, and net income was $773.3 million. Growth was led by the Corporate and Small Business segments and by Education and Healthcare customers, while Government sales declined 32.9% in the quarter following the completion of the Census project in 2020. Gross margin slipped 10 basis points to 17.3% in the quarter, and the company cited lower product margin, including notebook mix and rate, for the nine-month decline. Cash and cash equivalents fell to $245.1 million from $1.41 billion at year-end 2020, driven by $1.19 billion of share repurchases in the nine months and $167.1 million of dividends. Total debt rose to $4.1 billion, of which $1.6 billion was secured, and net debt was $3.82 billion. Stockholders' equity declined to $837.0 million from $1.30 billion at December 31, 2020. Shares outstanding fell to 136.2 million from 141.9 million. On October 15, 2021, CDW agreed to acquire Sirius Computer Solutions for $2.5 billion in cash, financed in part by a commitment for a $2.5 billion 364-day bridge loan, with closing expected in the fourth quarter of 2021 subject to Hart-Scott-Rodino clearance. The filing also discloses a Civil Investigative Demand from the US Department of Justice dated September 20, 2021, in connection with a False Claims Act investigation concerning teaming agreements with original equipment manufacturers, and the company says it cannot yet assess the outcome.

CDW Quarterly Report for Q2 Ended Jun 30, 2021

CDW Corporation's 10-Q for the quarter ended June 30, 2021 shows a strong second quarter: net sales rose $781 million, or 17.9%, to $5,146 million, and net income increased to $274.1 million from $189.1 million. Operating income grew 30.5% to $369.9 million, with gross profit up to $882.8 million and gross margin at 17.2%. Growth was led by the Corporate, Education and Small Business customer groups, while Government sales declined 28.7%. Diluted EPS was $1.93 versus $1.31 a year earlier. For the six months, net sales reached $9,983.9 million, up 14.0%, and net income was $506.7 million. Cash flow from operations was $344.9 million, down from $515.8 million, and cash fell to $501.2 million from $1,410.2 million at year-end 2020. The decline reflects $735.3 million of share repurchases, $112.3 million of dividends, and the $211.6 million Amplified IT acquisition. Total debt was $3.9 billion, and stockholders' equity fell to $1,048.8 million from $1,297.1 million. Subsequent to quarter end, the company completed the acquisition of Focal Point Data Risk LLC on July 30, 2021, and on August 4, 2021 declared a quarterly dividend of $0.40 per share. The company remained in compliance with its debt covenants, and it had $1.2 billion of additional revolver availability at June 30, 2021.

CDW Quarterly Report for Q1 Ended Mar 31, 2021

CDW Corporation reported first-quarter 2021 Net sales of $4.84 billion, up from $4.39 billion in the prior-year quarter, and Net income of $232.6 million, compared with $167.9 million a year earlier. Diluted earnings per share were $1.63, versus $1.16. Operating income rose to $323.4 million from $245.8 million, and operating margin improved to 6.7% from 5.6%. Growth was led by the Public segment, where Education net sales rose 98.1% to $943.3 million, while Corporate segment net sales declined 5.5% to $1.81 billion. Gross profit margin fell to 16.4% from 17.2%, as lower product margin was partially offset by a higher mix of netted-down revenues, primarily Software as a Service. Cash flow from operations was $344.6 million, but cash and cash equivalents fell to $878.6 million from $1.41 billion at year-end 2020, driven by $358.4 million of share repurchases and a $212.9 million acquisition of Amplified IT LLC, a Google Cloud partner for education customers completed on March 15, 2021. Goodwill rose to $2.81 billion as a result. Net debt was $3.05 billion, and the company had $1.3 billion of available borrowing capacity under its revolving credit facility, which was amended in the quarter to increase capacity to $1.60 billion and extend maturity to March 2026. Total stockholders' equity declined to $1.17 billion from $1.30 billion, reflecting the share repurchases and dividends. Management also declared a quarterly cash dividend of $0.40 per share on May 5, 2021, payable June 10, 2021. The company stated that it believes it has adequate liquidity for at least the next year, while noting ongoing COVID-19-related supply constraints and uncertainty around seasonality.

CDW Quarterly Report for Q3 Ended Sep 30, 2020

CDW Corporation reported third-quarter 2020 Net sales of $4.76 billion, down $151 million, or 3.1%, from $4.91 billion a year earlier, with constant currency Net sales down 3.3%. Corporate segment sales fell 13.2% and Small Business fell 12.7%, while Public segment sales rose 9.2%, led by Education (up 33.6%) and Government (up 6.8%), partly offset by Healthcare (down 26.5%). The filing attributes the decline to COVID-19's impact on customer demand. Operating income was $317.8 million versus $320.6 million, and net income was $193.2 million, or $1.33 per diluted share, compared with $201.7 million and $1.37 a year earlier. Gross margin rose to 17.4% from 16.6%, but Selling and administrative expenses increased 2.4%, driven partly by a workforce reduction program. For the nine months ended September 30, 2020, Net sales were $13.51 billion, roughly flat, and net income was $550.2 million. Cash flow from operations was $738.4 million, and cash and cash equivalents ended the period at $1.25 billion versus $154.0 million at December 31, 2019. Total debt rose with the issuance of $600 million of 4.125% senior notes due 2025 in April 2020 and $700 million of 3.25% senior notes due 2029 in August 2020, the latter used to redeem $600 million of 5.000% notes due 2025. The company temporarily suspended share repurchases from March 2020 through October 2020 and, per the filing, announced in November 2020 that it would resume the program. The Board declared a quarterly dividend of $0.400 per share on November 2, 2020. Management states it believes it has adequate liquidity for at least the next year, while noting that the duration and economic impact of COVID-19 remain uncertain. The company recognized a $30 million increase in credit loss reserves during the nine months, and reported net debt of $2.68 billion versus $3.12 billion a year earlier.

CDW Quarterly Report for Q2 Ended Jun 30, 2020

CDW Corporation reported second-quarter 2020 net sales of $4.37 billion, down 5.7% from $4.63 billion a year earlier, as the COVID-19 pandemic reduced customer demand in the Corporate and Small Business segments. Net sales in the Public segment rose 9.9% to $2.02 billion, led by Government (up 24.4%) and Education (up 13.3%), while Healthcare fell 12.8%. Operating income was $283.4 million, down 5.6%, and net income was $189.1 million, compared with $196.6 million in the prior-year quarter. Diluted EPS was $1.31, versus $1.33 a year earlier. For the six months ended June 30, 2020, net sales rose 1.9% to $8.75 billion and net income increased to $357.0 million from $349.5 million, while operating income was flat at $529.2 million. The company recorded a higher provision for credit losses, including a $27 million allowance tied to expected COVID-19 credit deterioration. Net cash provided by operating activities was $515.8 million, versus $414.5 million a year earlier. Liquidity was strengthened during the period. CDW issued $600 million of 4.125% Senior Notes due 2025 in April 2020, lifting cash and cash equivalents to $958.4 million from $154.0 million at year-end 2019. Total debt was $3.9 billion, and share repurchases were suspended in March 2020 as a precaution. The Board declared a quarterly dividend of $0.380 per share on August 5, 2020.

CDW Quarterly Report for Q1 Ended Mar 31, 2020

CDW Corporation's first-quarter 2020 Form 10-Q shows net sales of $4.39 billion, up 10.9% from $3.96 billion a year earlier, with net sales on an average daily sales basis up 9.2%. Management attributes the strong quarter largely to robust customer demand for remote work enablement amid the COVID-19 pandemic, and states that some portion of March sales is likely a pull-forward of future demand and that demand is expected to moderate as customers' workforces become more fully enabled for remote work. Gross profit rose to $756.5 million (gross margin 17.2%, up 20 basis points), while operating income increased 7.4% to $245.8 million, although operating margin declined to 5.6% due to a higher provision for credit losses. Net income was $167.9 million, or $1.16 per diluted share, compared with $152.9 million and $1.02 a year earlier. Balance sheet and liquidity items drew attention. Accounts receivable rose to $3.15 billion, and the allowance for credit losses increased to $35.1 million from $7.9 million. Total debt stood at $3.5 billion, with net debt of $3.26 billion, and the company had about $0.9 billion of availability under its asset-based revolver. Operating cash flow was $223.0 million. Management suspended share repurchases as a precaution, and in April 2020 it issued $600 million of 4.125% senior notes due 2025 to bolster liquidity. The company also declared a quarterly dividend of $0.380 per share on May 6, 2020. The filing notes that the company expects to be compliant with its debt covenants, that the CARES Act will defer certain US tax and payroll tax payments, and that the ultimate impact of COVID-19 remains highly uncertain. Management states it believes it has adequate liquidity for at least the next year.

CDW Quarterly Report for Q3 Ended Sep 30, 2019

CDW Corporation's Form 10-Q for the quarter ended September 30, 2019 shows net sales of $4,907.7 million for the three months, up 12.2% from $4,373.2 million, and $13,495.5 million for the nine months, up 10.9% from $12,165.7 million. Gross profit rose to $816.5 million for the quarter (16.6% of net sales) and operating income reached $320.6 million, up 16.7%. Net income was $201.7 million for the quarter, compared with $183.7 million a year earlier, and diluted EPS was $1.37 versus $1.20. Non-GAAP net income was $249.9 million for the quarter, up 14.8%. Growth was led by the Corporate and Public segments, with Government sales up 24.1% for the quarter. The balance sheet shows total assets of $7,703.1 million and total stockholders' equity of $935.1 million at September 30, 2019, down from $975.2 million at year-end 2018, reflecting $493.3 million of share repurchases in the nine months. Cash and cash equivalents were $166.9 million, and total long-term debt was $3,259.0 million. During 2019 the company acquired Scalar Decisions Inc. for $88 million, issued $600 million of 4.25% Senior Notes due 2028 to redeem the 2023 Senior Notes, and extended the Term Loan maturity to October 2026. Operating cash flow for the nine months was $682.3 million, and the company declared a quarterly dividend of $0.380 per share on October 31, 2019. The company reports it was in compliance with its debt covenants, had $1.1 billion of additional borrowing capacity under its senior secured asset-based revolving credit facility, and described its cash conversion cycle as 17 days. Management stated that it believes it has adequate liquidity for at least the next year.

CDW Quarterly Report for Q2 Ended Jun 30, 2019

CDW Corporation's second-quarter 2019 Form 10-Q shows net sales of $4,629.9 million for the three months ended June 30, 2019, up from $4,186.1 million a year earlier, and net income of $196.6 million versus $173.0 million. For the six months, net sales were $8,587.8 million (versus $7,792.5 million) and net income was $349.5 million (versus $300.0 million). Diluted EPS was $1.33 for the quarter and $2.35 for the six months, compared with $1.12 and $1.94 in the prior-year periods. Operating income rose to $300.3 million in the quarter and $529.2 million for the six months, and the company reported Non-GAAP operating income of $358.4 million for the quarter and $645.7 million for the six months. Cash flow from operations was $414.5 million for the six months ended June 30, 2019, versus $332.3 million a year earlier. The company repurchased 3.4 million shares for $332.2 million during the first half and paid $86.3 million in dividends. Total debt was $3.3 billion at June 30, 2019, of which $1.6 billion was secured, and the company had $973 million of availability under its senior secured asset-based revolving credit facility. Stockholders' equity was $936.1 million at period end, down from $975.2 million at December 31, 2018, reflecting the share repurchases. The company completed the acquisition of Scalar Decisions Inc., a Canadian technology solutions provider, on February 1, 2019, for a total purchase price of $88 million. The company also adopted the new lease accounting standard (ASC 842) on January 1, 2019, recognizing $81 million of right-of-use assets and lease liabilities. Management stated that CDW was in compliance with its debt covenants at June 30, 2019 and declared a quarterly dividend of $0.295 per share on July 31, 2019.

CDW Quarterly Report for Q1 Ended Mar 31, 2019

CDW Corporation's first-quarter 2019 Form 10-Q reports net sales of $3,957.9 million, up 9.7% from $3,606.4 million in the first quarter of 2018, with constant currency net sales growth of 10.6%. Gross profit rose to $672.1 million (17.0% of net sales) from $603.9 million, and operating income increased to $228.9 million from $204.1 million. Net income was $152.9 million, compared with $127.0 million a year earlier, and diluted EPS was $1.02 versus $0.82. Non-GAAP operating income was $287.3 million, and Non-GAAP net income was $185.4 million. Growth was broad across most product categories, with Corporate segment net sales up 10.9% and Public segment net sales up 8.2%. The Scalar Decisions acquisition, completed February 1, 2019 for a preliminary purchase price of $86 million, contributed two months of sales in Canada. Cash flow from operations was $252.4 million, compared with $222.2 million in the prior-year period. The company repurchased 1.9 million shares for $177.1 million and paid $43.4 million in dividends. Total debt was $3.3 billion, of which $1.6 billion was secured, and the company reported $938 million of availability under its senior secured asset-based revolving credit facility. The balance sheet showed total stockholders' equity of $927.3 million, down from $975.2 million at December 31, 2018, reflecting the share repurchases. The company stated it was in compliance with its debt covenants and that it believes it has adequate liquidity for at least the next year. The filing also notes that the company adopted ASU 2016-02 (Topic 842) on January 1, 2019, recognizing $81 million of right-of-use assets and lease liabilities. Management said CDW UK has not yet seen significant changes in customer buying behavior related to Brexit, though it has established a presence on the continent as a contingency.

CDW Quarterly Report for Q3 Ended Sep 30, 2018

CDW Corporation's third-quarter 2018 Form 10-Q shows net sales of $4.37 billion for the three months ended September 30, 2018, up from $3.93 billion a year earlier, and income from operations of $274.8 million versus $244.0 million. Net income rose to $183.7 million from $129.3 million, and diluted EPS was $1.20 versus $0.83. For the nine months, net sales reached $12.17 billion (versus $11.08 billion) and net income was $483.7 million (versus $328.3 million). The company adopted ASC 606 on a full retrospective basis effective January 1, 2018, and prior-period figures were adjusted accordingly. The balance sheet shows total assets of $7.38 billion, total debt of $3.24 billion (principal), and cash of $255.1 million at September 30, 2018. Stockholders' equity increased to $1.16 billion from $985.6 million at December 31, 2017, reflecting net income, $232.5 million in share repurchases, and $95.5 million in dividends paid during the nine months. Operating cash flow was $602.3 million for the nine months, compared with $439.1 million a year earlier, and capital expenditures were $53.4 million. Management reported a total net debt figure of $2,964.3 million and a cash conversion cycle of 18 days. The company also declared a quarterly dividend of $0.295 per share on October 31, 2018, payable December 10, 2018. Segment results showed growth across Corporate, Small Business, Public and Other, with Public sales up 10.7% in the quarter. Management attributed growth primarily to client device refresh and solutions such as software, data center and networking.

CDW Quarterly Report for Q2 Ended Jun 30, 2018

CDW Corporation's second-quarter 2018 Form 10-Q reports net sales of $4.19 billion for the three months ended June 30, 2018, up $294 million, or 7.6%, from $3.89 billion a year earlier, with constant currency net sales growth of 7.0%. Gross profit rose to $695.6 million (16.6% of net sales) and income from operations increased 15.1% to $265.5 million. Net income for the quarter was $173.0 million, compared with $140.9 million, and diluted EPS was $1.12 versus $0.89. For the six months, net sales were $7.79 billion (up 9.0%) and net income was $300.0 million. Growth was driven mainly by client device refresh across most customer end markets, with Corporate segment net sales up 9.7%, Public segment net sales up 0.2% (Healthcare up 6.3%, Government down 5.7%), and the Other segment (UK and Canada) up 34.0%. Adjusted EBITDA was $344.7 million for the quarter, up 9.6%. The company repurchased 2.4 million shares for $176 million in the first half and paid dividends of $0.21 per share in each quarter of 2018, with a further $0.21 quarterly dividend declared August 2, 2018. Balance sheet items to note include total debt of $3.24 billion (carrying value) and net debt of $3.14 billion, with cash of $100.7 million at June 30, 2018. Accounts receivable rose to $2.61 billion from $2.33 billion at December 31, 2017, and inventory increased to $576.9 million. The filing also states that the company adopted ASC 606 on a full retrospective basis effective January 1, 2018, with prior periods adjusted accordingly.

CDW Quarterly Report for Q1 Ended Mar 31, 2018

CDW Corporation's first-quarter 2018 Form 10-Q reports net sales of $3,606.4 million for the three months ended March 31, 2018, up from $3,256.0 million (as adjusted) a year earlier, an increase of $350.4 million or 10.8%. On a constant currency basis, net sales growth was 9.6%. Gross profit rose to $603.9 million from $553.5 million, but gross profit margin declined to 16.7% from 17.0%, which the company attributes to product margin compression from higher hardware sales and a decline in partner funding margin. Income from operations increased 19.6% to $204.1 million, and net income rose to $127.0 million, or $0.82 per diluted share, from $58.2 million, or $0.36 per diluted share. The prior-year period included a $57.4 million net loss on extinguishment of long-term debt, which did not recur in 2018. The company's balance sheet at March 31, 2018 showed cash of $221.0 million, total debt principal of $3,255.0 million, and stockholders' equity of $996.9 million. Net debt was $3,014.5 million, and the total net leverage ratio was 2.49:1.00. Operating cash flow was $222.2 million, down from $369.9 million, mainly due to a smaller decline in accounts receivable compared with the prior year. The company repurchased 1.5 million shares for $109.2 million during the quarter and paid dividends of $32.0 million. Adjusted EBITDA rose to $279.8 million from $250.1 million. During the quarter, the company's Public segment grew 6.6% and the Other segment (CDW UK and CDW Canada) grew 30.6%, with foreign currency adding approximately 1,100 basis points to Other sales growth. Subsequent to quarter end, on April 3, 2018, the company amended its Term Loan to reduce Revolving Loan interest margins by 25 basis points and raised its restricted payments covenant to a total net leverage ratio below 3.75:1.00.

CDW Quarterly Report for Q3 Ended Sep 30, 2017

CDW Corporation reported third-quarter 2017 net sales of $4.03 billion, up from $3.71 billion a year earlier, with net income of $129.2 million versus $125.9 million. For the nine months ended September 30, 2017, net sales were $11.35 billion and net income was $327.8 million. Gross profit rose to $642.0 million for the quarter, but gross margin declined to 15.9% from 16.6%, which the company attributed mainly to increased hardware sales, particularly client devices, and an ongoing competitive marketplace. The balance sheet shows total assets of $7.10 billion and total stockholders' equity of $806.5 million, down from $1,045.5 million at December 31, 2016, reflecting $534.0 million in share repurchases during the nine months. Total debt stood at $3.43 billion as of September 30, 2017, against cash of $97.9 million. Nine-month refinancing activity included issuing $600 million of 5.0% Senior Notes due 2025, redeeming the $600 million 6.0% Senior Notes due 2022, and a $57.4 million net loss on extinguishment of long-term debt. Cash used in financing activities was $547.6 million for the nine months, and operating cash flow was $439.1 million. The company stated it had $794 million of available borrowings under its revolving credit facility and a total net leverage ratio of 2.88:1.00, below the 3.25:1.00 threshold for separate restricted payments. On November 1, 2017, the Board declared a quarterly dividend of $0.21 per share, payable December 11, 2017.

CDW Quarterly Report for Q2 Ended Jun 30, 2017

CDW Corporation reported second-quarter 2017 results with Net sales of $3,994.4 million, up 9.0% from $3,664.6 million a year earlier, and Net income of $141.0 million versus $117.5 million. For the six months ended June 30, 2017, Net sales were $7,319.1 million (up 7.9%) and Net income was $198.7 million. Gross profit as a percentage of Net sales declined to 16.1% in the quarter from 16.7%, which the company attributed to increased hardware sales and an ongoing competitive marketplace, partially offset by vendor partner funding and net service contract revenue. Income from operations rose 3.4% to $231.1 million, while operating margin fell to 5.8% from 6.1%. Adjusted EBITDA was $314.7 million for the quarter, up from $300.6 million. Balance sheet and capital allocation activity were significant in the period. In March 2017 the company issued $600 million of 5.0% Senior Notes due 2025 and used the proceeds, with cash on hand and revolver borrowings, to redeem the $600 million 6.0% Senior Notes due 2022, incurring a $57.4 million net loss on extinguishment of long-term debt for the six months. Total debt was $3,296.3 million at June 30, 2017, and cash fell to $79.0 million from $263.7 million at year-end. The company repurchased shares totaling $359.4 million in the six months, and on August 3, 2017 its Board authorized a $750 million increase to the share repurchase program and declared a quarterly dividend of $0.16 per share. The filing also discloses that the SEC concluded its investigation of the company's vendor partner program incentives on May 19, 2017 and does not intend to recommend enforcement action. The company also disclosed that it expects to adopt the new revenue recognition standard (ASU 2014-09) on January 1, 2018 using the full retrospective method, and estimates that net presentation of certain software sales would have reduced both 2016 Net sales and Cost of sales by $200 million to $300 million, with no impact on Gross profit.

CDW Quarterly Report for Q1 Ended Mar 31, 2017

CDW Corporation's first-quarter 2017 Form 10-Q reports net sales of $3,324.7 million, up from $3,116.7 million in the prior-year quarter, with income from operations of $169.8 million versus $161.0 million. Net income fell to $57.6 million from $77.8 million, largely due to a $57.4 million net loss on extinguishments of long-term debt tied to the February term loan repricing and the March redemption of the 6.0% Senior Notes due 2022. Diluted earnings per share were $0.35, compared with $0.46 a year earlier. Adjusted EBITDA rose to $249.2 million from $232.7 million, and Non-GAAP net income was $121.3 million versus $112.7 million. By segment, Corporate net sales rose to $1,476.3 million, Small Business to $298.7 million (now its own reportable segment effective January 1, 2017), and Public to $1,176.5 million. Public sales grew 10.0%, driven by Government and Education. Gross margin slipped to 16.6% from 16.8% of net sales, mainly from lower product margin. Cash from operations was $369.9 million, against $427.8 million a year earlier, and the company repurchased $175.4 million of common stock during the quarter. On the balance sheet, total debt was $3,303.1 million principal at March 31, 2017, following the issuance of $600 million of 5.0% Senior Notes due 2025 and the expanded $1,450 million Revolving Loan maturing in 2022. The company reported total stockholders' equity of $907.3 million, down from $1,045.5 million at December 31, 2016, and the total net leverage ratio was 2.68:1.00. The SEC's investigation of the company's vendor partner program remains ongoing, and the company does not believe a material loss beyond amounts recognized is reasonably possible.

CDW Quarterly Report for Q3 Ended Sep 30, 2016

CDW Corporation's third-quarter 2016 Form 10-Q shows net sales of $3,708.2 million for the three months ended September 30, 2016, up from $3,501.1 million a year earlier, with net income of $125.9 million compared with $150.9 million. For the nine months, net sales were $10,489.5 million versus $9,570.3 million, and net income was $321.2 million versus $313.8 million. Income from operations rose to $237.5 million for the quarter from $204.6 million, and to $622.0 million for the nine months from $562.1 million. The company reports Non-GAAP net income of $160.3 million and Adjusted EBITDA of $310.4 million for the quarter. The balance sheet shows cash and cash equivalents of $118.3 million, total debt of $3,241.4 million, and total stockholders' equity of $990.5 million at September 30, 2016. During the nine months, the company repurchased 8.4 million shares for $355 million and paid dividends of $53.1 million. In August 2016 it refinanced its senior secured term loan with a new seven-year $1,490 million facility, and it reported a $2.1 million loss on extinguishment of debt. Net cash provided by operating activities was $499.3 million for the nine months, compared with $294.9 million a year earlier. The filing also discloses an ongoing SEC investigation into the company's vendor partner program incentives, which the company is cooperating with. Management states it does not believe a material loss beyond amounts already recognized is reasonably possible, while acknowledging that outcomes are inherently unpredictable. Management also flags Brexit-related uncertainty and cautions that economic conditions have caused some medium/large customers to delay longer projects.

CDW Quarterly Report for Q2 Ended Jun 30, 2016

CDW Corporation's quarterly report for the period ended June 30, 2016 shows net sales of $3.66 billion for the three months ended June 30, 2016, up from $3.31 billion a year earlier, with the increase reflecting the consolidation of three months of CDW UK (formerly Kelway TopCo Limited, acquired August 1, 2015) net sales. Organic net sales, excluding CDW UK, rose 4.3% to $3.46 billion for the quarter. Net income was $117.5 million, compared with $108.2 million, and diluted EPS was $0.70 versus $0.63. Adjusted EBITDA was $300.6 million, up from $268.0 million. For the six months ended June 30, 2016, net sales were $6.78 billion, up 11.7% from $6.07 billion, and net income was $195.3 million versus $162.9 million. Operating cash flow improved to $313.1 million from $99.1 million, while the company repurchased 5.5 million shares for $223 million during the six months. Total debt was $3.24 billion, and the company reported a total net leverage ratio of 2.9 with a restricted payment capacity under the Term Loan of $680 million. The filing also discloses an SEC document request dated October 29, 2015 related to an investigation of the company's vendor partner program incentives; the company states it does not believe a material loss beyond amounts already recognized is reasonably possible. Gross margin rose to 16.7% for the quarter from 16.1%, while selling and administrative expenses rose to 9.4% of net sales from 8.8%, reflecting higher coworker headcount, which stood at 8,712 at June 30, 2016.

CDW Quarterly Report for Q1 Ended Mar 31, 2016

CDW Corporation reported first-quarter 2016 net sales of $3,116.7 million, up from $2,755.2 million in the prior-year quarter, a 13.1% increase that reflects both organic growth and the consolidation of three months of CDW UK net sales. Organic net sales rose 4.7% to $2,884.6 million. Gross profit increased to $524.5 million (16.8% of net sales, versus 16.6%), while income from operations rose to $161.0 million from $151.6 million. Net income was $77.8 million, or $0.46 per diluted share, compared with $54.7 million, or $0.32 per diluted share, a year earlier. The prior-year quarter included a $24.3 million net loss on debt extinguishment that did not recur. Cash flow strengthened considerably, with net cash provided by operating activities of $427.6 million versus $177.8 million a year earlier, driven largely by a decrease in accounts receivable. Cash and cash equivalents ended the quarter at $248.2 million, and total debt was $3,252 million at March 31, 2016. The company repurchased 3.0 million shares for $118 million during the quarter and paid a $0.1075 dividend per share. Subsequent to quarter-end, on May 4, 2016, the board declared a quarterly dividend of $0.1075 per share and increased the share repurchase authorization by $750 million. The filing also notes the SEC's October 2015 document request regarding the company's vendor partner program incentives, which the company is cooperating with. Management stated it does not believe there is a reasonable possibility of a material loss beyond amounts already recognized.

CDW Quarterly Report for Q3 Ended Sep 30, 2015

CDW Corporation reported third-quarter 2015 net sales of $3,501.1 million, up 7.2% from $3,266.1 million a year earlier, with the increase reflecting organic growth and two months of Kelway net sales. Organic net sales grew 3.0% to $3,362.7 million (3.6% on a constant currency basis). Income from operations rose 10.8% to $204.6 million, and net income more than doubled to $150.9 million from $55.6 million, helped by a $98.1 million non-cash gain on remeasurement of the company's previously held 35% stake in Kelway. Adjusted EBITDA was $282.1 million, up from $242.6 million, and Non-GAAP net income was $143.2 million. Nine-month net sales were $9,570.3 million, up 6.0%, and net income was $313.8 million. On August 1, 2015, CDW acquired the remaining 65% of Kelway TopCo Limited, a UK-based IT solutions provider, for total consideration of $499.7 million, including $291.6 million in cash, 1.6 million common shares and the fair value of the prior stake. Goodwill from the deal was $313.8 million. The company also repurchased 2.7 million shares for $101.6 million in the quarter under a $500 million program, with $306.7 million remaining at quarter end. Total long-term debt was $3,267.8 million, and cash fell to $97.5 million from $344.5 million at year-end 2014. Revolver availability was $981.5 million. The filing also discloses that on October 29, 2015 the company received an SEC request for documents related to an investigation of its vendor partner program incentives, which the company is cooperating with. Management does not believe there is a reasonable possibility of a material loss beyond amounts already recognized in the ordinary-course legal proceedings described.

CDW Quarterly Report for Q2 Ended Jun 30, 2015

CDW Corporation reported net sales of $3,314.0 million for the three months ended June 30, 2015, up from $3,106.0 million a year earlier, and net income of $108.2 million compared with $86.6 million. For the six months ended June 30, 2015, net sales were $6,069.2 million and net income was $162.9 million. Income from operations rose to $205.9 million for the quarter and $357.5 million for the first half. Net sales growth was led by the Corporate and Public segments, with government sales up 22.9% in the quarter and 18.7% for the six months. Adjusted EBITDA was $268.0 million for the quarter, an increase of $20.9 million, or 8.4%. The balance sheet showed total assets of $6,251.2 million and total shareholders' equity of $995.8 million at June 30, 2015. During the first half, the company issued $525.0 million of 5.0% Senior Notes due 2023 and redeemed the remaining $503.9 million of 8.5% Senior Notes due 2019, recording a $24.3 million loss on extinguishment of debt. It also repurchased 2.5 million shares for $91.7 million under its $500 million repurchase program. Total long-term debt was $3,169.6 million, and the Term Loan's total net leverage ratio was 3.0. After the period, on August 1, 2015, CDW completed the acquisition of Kelway TopCo Limited for $431.0 million before transaction fees, of which $372.3 million was settled in cash and $58.7 million in 1.6 million CDW shares. The company also declared a quarterly dividend of $0.0675 per share, payable September 10, 2015.

CDW Quarterly Report for Q1 Ended Mar 31, 2015

CDW Corporation reported first-quarter 2015 net sales of $2,755.2 million, up $102.9 million, or 3.9%, from $2,652.3 million a year earlier, with income from operations rising 11.7% to $151.6 million and net income increasing to $54.7 million from $50.9 million. Gross profit margin improved 60 basis points to 16.6%, driven by favorable price/mix in notebooks and mobile devices, higher net service contract revenue, and the absence of inventory adjustments recorded in the prior-year quarter. Growth came from both segments: Corporate net sales rose 4.5% to $1,574.0 million and Public net sales rose 3.7% to $1,005.8 million, with government sales up 13.5% and healthcare down 5.2%. Selling and administrative expenses rose 5.6%, and the company noted that the economic growth slowed in the first quarter of 2015. On the balance sheet and cash flow side, CDW issued $525.0 million of 5.0% Senior Notes due 2023 on March 3, 2015 and used the proceeds, with cash on hand, to redeem the remaining $503.9 million of 8.5% Senior Notes due 2019. That redemption produced a $24.3 million loss on extinguishment of debt. Net cash provided by operating activities was $177.8 million, down from $246.3 million, and cash and cash equivalents ended the quarter at $447.4 million. Total indebtedness was $3.2 billion, of which $1.5 billion was secured, and the company stated it was in compliance with its covenants. The Board declared a quarterly dividend of $0.0675 per share, payable June 10, 2015.

CDW Quarterly Report for Q3 Ended Sep 30, 2014

CDW Corporation's third-quarter 2014 10-Q shows net sales of $3,266.1 million for the three months ended September 30, 2014, up from $2,864.3 million a year earlier, with net income of $55.6 million versus a net loss of $2.2 million. For the nine months, net sales rose to $9,024.4 million from $8,055.3 million and net income reached $193.1 million compared with $72.8 million. Growth was led by the Public segment (education, government and healthcare) and the Corporate segment, driven mainly by notebooks/mobile devices. Gross margin edged down to 15.5% in the quarter from 16.0%, while income from operations rose to $184.7 million from $92.9 million, partly because the prior-year quarter carried $74.1 million of IPO-related expenses. The balance sheet and capital structure were actively reshaped during the period. In August 2014 the company issued $600.0 million of 6.0% Senior Notes due 2022 and used the proceeds, with cash on hand, to redeem the remaining $325.0 million of Senior Secured Notes and $234.7 million of 8.5% Senior Notes due 2019. It also entered a new $1,250.0 million asset-based revolving credit facility in June 2014. Total long-term debt fell to $3,161.7 million from $3,251.2 million at year-end 2013, and cash and cash equivalents increased to $357.8 million. Net cash provided by operating activities was $350.5 million for the nine months. After the quarter, the company announced an increase in its quarterly cash dividend to $0.0675 per share and a new $500 million share repurchase program, and agreed to acquire a 35% noncontrolling equity interest in Kelway, a UK-based IT solutions provider, closed on November 10, 2014.

CDW Quarterly Report for Q2 Ended Jun 30, 2014

CDW Corporation reported results for the quarter ended June 30, 2014 in this Form 10-Q. Net sales for the three months rose $326.7 million, or 11.8%, to $3,106.0 million, and income from operations increased $34.6 million, or 22.5%, to $188.2 million. Net income was $86.6 million, compared with $46.7 million a year earlier. For the six months, net sales were $5,758.3 million, up 10.9%, and net income was $137.5 million versus $75.0 million. Growth was driven mainly by notebooks/mobile devices and desktop computers, with Public segment sales (education up 25.3% in the quarter) and Corporate segment sales both growing. Gross margin declined to 16.0% from 16.2% in the quarter, reflecting unfavorable price/mix and product margin compression. Balance sheet and capital structure changed meaningfully. Long-term debt fell to $3,126.0 million from $3,251.2 million at December 31, 2013, and total shareholders' equity rose to $844.8 million from $711.7 million. The company entered a new $1,250.0 million senior secured asset-based revolving credit facility in June 2014, with no borrowings outstanding at June 30, 2014. After quarter end, on August 5, 2014, CDW issued $600.0 million of 6.0% Senior Notes due 2022 and used the proceeds, with cash on hand, to redeem the remaining $325.0 million of Senior Secured Notes and $234.7 million of Senior Notes, which the filing says is expected to produce a $45.8 million loss on extinguishment in the third quarter. The company also began paying a quarterly cash dividend of $0.0425 per share, with a further dividend declared on July 31, 2014.

CDW Quarterly Report for Q1 Ended Mar 31, 2014

CDW Corporation's first-quarter 2014 Form 10-Q reports net sales of $2,652.3 million, up from $2,411.7 million in the first quarter of 2013, with the filing stating total net sales increased $240.6 million, or 10.0%. Income from operations rose to $135.8 million from $120.1 million, and net income increased to $50.9 million from $28.3 million. Adjusted EBITDA was $193.7 million compared with $178.6 million, and Non-GAAP net income was $81.1 million compared with $56.3 million. Gross margin declined to 16.0% from 16.7% of net sales, as the filing attributes the decline to unfavorable price/mix within product margin and cooperative advertising funding, while selling and administrative expenses fell to 9.8% of net sales from 10.4%. The Public segment was the strongest growth driver, with net sales rising 14.5% to $969.9 million, led by an education channel increase of 38.5%. The Corporate segment grew 7.2% to $1,505.6 million, led by medium/large customers. Cash flow from operations was $246.3 million versus $208.0 million a year earlier, and net debt (long-term debt minus cash) was $2,865.7 million at March 31, 2014, compared with $3,533.7 million a year earlier. Balance-sheet and capital-return actions included repurchasing $25.0 million of Senior Notes at 109.75% of principal, and redeeming $50.0 million of Senior Subordinated Notes in January and February 2014. Subsequent to quarter end, the company redeemed the remaining $42.5 million of Senior Subordinated Notes on May 9, 2014 and declared a quarterly cash dividend of $0.0425 per share payable June 10, 2014. The filing also notes that the company paid $7.3 million in dividends in the quarter.

CDW Quarterly Report for Q3 Ended Sep 30, 2013

CDW Corporation's third-quarter 2013 10-Q reports net sales of $2,864.3 million for the three months ended September 30, 2013, up from $2,623.3 million a year earlier, while income from operations fell to $92.9 million from $139.7 million. Net loss was $2.2 million, compared with net income of $38.0 million in the prior-year quarter. The decline was driven mainly by $74.1 million of pre-tax IPO related expenses recorded in selling and administrative expenses, which followed the company's July 2, 2013 initial public offering on NASDAQ under the symbol "CDW." Net proceeds from the IPO, including the over-allotment option, were $424.7 million. For the nine months, net sales rose to $8,055.3 million from $7,527.2 million, and net income was $72.8 million versus $85.7 million. The company used IPO proceeds and incremental term loan borrowings to retire high-cost debt. Total long-term debt fell to $3,410.1 million at September 30, 2013 from $3,771.0 million at December 31, 2012, and the company recorded net losses on debt extinguishments of $41.3 million in the quarter and $55.5 million for the nine months. Shareholders' equity rose to $659.8 million from $136.5 million, and cash and cash equivalents increased to $350.2 million. Subsequent to quarter end, the company redeemed $155.0 million of senior subordinated notes and declared a cash dividend of $0.0425 per common share, payable December 2, 2013. For investors, the key points are the IPO-driven drop in operating income and swing to a quarterly net loss, offset by top-line growth in the Corporate and Public segments and a materially reduced debt load. Management attributed sales growth largely to notebooks/mobile devices and netcomm products, and cited federal government spending delays as a drag on Public segment government sales.

CDW Quarterly Report for Q2 Ended Jun 30, 2013

CDW Corporation's Form 10-Q for the quarter ended June 30, 2013 shows net sales of $2,779.3 million for the three months ended June 30, 2013, up from $2,584.7 million a year earlier, and net sales of $5,191.0 million for the six months, up from $4,903.9 million. Income from operations rose to $153.6 million for the quarter from $136.4 million, and net income rose to $46.7 million from $36.8 million. The company reported Adjusted EBITDA of $212.6 million for the quarter and Non-GAAP net income of $79.2 million. Cash rose to $179.3 million at June 30, 2013, and shareholders' equity was $209.0 million. The filing is dominated by subsequent events tied to CDW's initial public offering. On July 2, 2013, the company completed an IPO of 23,250,000 shares at $17.00 per share, and on July 31, 2013 the underwriters exercised their overallotment option for an additional 3,487,500 shares. The filing states aggregate net proceeds of approximately $429.5 million (or $424.5 million after $29.9 million in underwriting discounts, per Part II). Proceeds were used to pay a $24.4 million termination fee to sponsor affiliates, redeem $175.0 million of senior secured notes due 2018, and redeem $146.0 million of senior subordinated notes, with further redemptions of $324.0 million of subordinated notes on August 1, 2013 funded partly by $190.0 million of incremental term loan borrowings. The company expects third-quarter 2013 pre-tax charges including $36.7 million for accelerated equity award expense, $24.4 million for the termination fee, $16.7 million and $24.7 million for debt extinguishment losses, and $7.5 million for Restricted Debt Unit Plan compensation. It also expects to pay a quarterly dividend of $0.0425 per share starting in the fourth quarter of 2013.

CDW Quarterly Report for Q1 Ended Mar 31, 2013

CDW Corporation's first quarter 2013 Form 10-Q reports net sales of $2,411.7 million, up from $2,319.2 million in the first quarter of 2012, an increase of $92.5 million or 4.0%. Income from operations rose to $120.1 million from $103.6 million, and net income was $28.3 million compared with $10.9 million a year earlier. Gross profit was $402.0 million, or 16.7% of net sales, and selling and administrative expenses were essentially flat at $251.5 million. Adjusted EBITDA increased 7.3% to $178.6 million. The company attributes growth to favorable price/mix in hardware, software growth, and healthcare channel strength, while small business sales declined 5.7% and government sales fell 3.9%. Cash flow from operations was $208.0 million, compared with $223.0 million a year earlier, mainly due to a smaller accounts receivable contribution partly offset by higher accounts payable-trade. Total long-term debt declined to $3,680.8 million from $3,771.0 million at December 31, 2012, following a $40.0 million optional term loan prepayment and a $50.0 million redemption of senior subordinated notes. Shareholders' equity increased to $163.8 million from $136.5 million. Net debt was $3,533.7 million at quarter end. After the quarter, on April 29, 2013, the company entered into a new seven-year, $1,350.0 million senior secured term loan facility to refinance the $1,299.5 million outstanding Term Loan, and expects a $10.3 million loss on extinguishment in the second quarter. The company also filed a Form S-1 on March 22, 2013 for a proposed initial public offering, with terms not yet determined.

CDW Quarterly Report for Q3 Ended Sep 30, 2012

CDW Corporation's quarterly report for the period ended September 30, 2012 shows net sales of $2,623.3 million for the three months, up 1.6% from $2,581.4 million, and $7,527.2 million for the nine months, up 5.7% from $7,123.1 million. Income from operations was $139.7 million for the quarter, flat year over year, and $379.7 million for the nine months, up from $359.6 million. Net income was $38.0 million for the quarter versus $37.1 million a year earlier, and $85.7 million for the nine months versus a net loss of $1.9 million in the prior-year period, which was driven by a $118.9 million loss on debt extinguishments in 2011. The filing notes that customers took a more cautious approach to spending during the second and third quarters of 2012, and the company expects this trend to continue through at least the end of 2012. Balance sheet and cash flow results improved. Cash and cash equivalents rose to $193.0 million from $99.9 million at December 31, 2011, and net cash provided by operating activities was $367.1 million for the nine months versus $171.5 million a year earlier. Total shareholders' equity moved to a positive $98.2 million from a deficit of $7.3 million. Long-term debt was $3,871.2 million at September 30, 2012, and the senior secured term loan was reduced to $1,339.5 million. The company reported that the senior secured leverage ratio was 2.2, against a covenant maximum of 6.75, and that the total net leverage ratio was 5.2. The company's debt is still large relative to its equity, and the filing identifies interest expense as a significant cost, with net interest expense of $232.5 million for the nine months. Management stated that its current sources of funds are sufficient to meet cash operating requirements for the next year. The company is majority owned by CDW Holdings LLC, which is controlled by investment funds affiliated with Madison Dearborn Partners and Providence Equity Partners.

CDW Quarterly Report for Q2 Ended Jun 30, 2012

CDW Corporation's second-quarter 2012 Form 10-Q shows net sales rising to $2,584.7 million for the three months ended June 30, 2012, up 7.2% from $2,412.1 million, while net income swung to $36.8 million from a net loss of $34.8 million in the prior-year quarter. The prior-year loss was driven by a $115.7 million loss on extinguishment of long-term debt, which did not recur in 2012. For the six months, net sales were $4,903.9 million (up 8.0%), operating income was $240.0 million (up 9.1%), and net income was $47.7 million compared with a net loss of $39.0 million. Management stated that customers became more cautious about spending in the second quarter of 2012 and expects this trend to continue throughout 2012. Balance sheet and liquidity improved during the period. Cash and cash equivalents rose to $158.7 million from $99.9 million at December 31, 2011, and total shareholders' equity turned positive at $51.1 million from a deficit of $7.3 million. The company made $201.0 million in term loan prepayments tied to its excess cash flow requirement and refinanced its 2015 senior notes with $130.0 million of new 8.5% senior notes due 2019. Total long-term debt was $3,871.4 million at June 30, 2012. The senior secured asset-based revolving credit facility had no outstanding borrowings, and the company could have borrowed up to an additional $651.7 million under it. Adjusted EBITDA, a non-GAAP measure defined in the credit agreements, was $367.0 million for the six months, up 7.0%. The company reported a senior secured leverage ratio of 2.3, compared with a covenant maximum of 7.0. The filing also reclassified certain inventory financing amounts and revised prior-period cash flow statements, with no effect on net income or total cash.

CDW Quarterly Report for Q1 Ended Mar 31, 2012

CDW Corporation's first quarter 2012 results show net sales of $2.32 billion, up 8.9% from $2.13 billion in the first quarter of 2011, with income from operations of $103.6 million, up 13.0% from $91.7 million. Net income was $10.9 million, compared with a net loss of $4.2 million a year earlier. Gross profit rose 9.8% to $384.6 million, and Adjusted EBITDA increased 7.0% to $166.4 million. The company describes itself as a multi-brand technology solutions provider to business, government, education and healthcare customers in the U.S. and Canada. The balance sheet remains highly leveraged, with total long-term debt of $3.87 billion at March 31, 2012 and total shareholders' equity of $10.6 million. Cash fell to $36.5 million from $99.9 million at year-end 2011, mainly because the company repaid $201.0 million of its senior secured term loan and refinanced its 2015 senior notes through a $130.0 million add-on of 8.5% senior notes due 2019. Operating cash flow was $223.0 million, boosted by a $162.3 million reduction in accounts receivable. Management reports a senior secured leverage ratio of 2.5 against a covenant maximum of 7.0, and $692.8 million of additional availability under its revolving loan. The company also disclosed that it increased purchases of certain products, primarily hard-disk drives, to address supply shortages linked to flooding in Thailand.

CDW Quarterly Report for Q3 Ended Sep 30, 2011

CDW Corporation reported third-quarter 2011 net sales of $2,581.4 million, up $207.0 million, or 8.7%, from $2,374.4 million a year earlier, and income from operations of $139.7 million, up $35.0 million, or 33.5%. Net income was $37.1 million, compared with a net loss of $0.3 million in the prior-year quarter. For the nine months ended September 30, 2011, net sales were $7,123.1 million (up 9.1%) and the company posted a net loss of $1.9 million, which was affected by a $118.9 million loss on extinguishment of long-term debt tied to the April and May 2011 refinancing of 2015 senior notes with new 8.5% senior notes due 2019. The balance sheet remains highly leveraged. Long-term debt, excluding capital leases, totaled $4,071.0 million at September 30, 2011, against cash of $25.9 million, and total shareholders' deficit was $35.5 million. Interest expense, net fell to $243.3 million for the nine months from $288.7 million, reflecting lower effective rates after the swap terminations and refinancing. Adjusted EBITDA, a non-GAAP measure used in the credit agreements, rose 19.1% to $543.1 million for the nine months. Liquidity was supported by a new $900.0 million senior secured asset-based revolving credit facility entered into in June 2011, under which the company could borrow up to an additional $702.6 million at quarter-end. Management stated that current sources of funds should be sufficient to fund cash operating requirements for the next year. Operating cash flow weakened to $171.5 million for the nine months from $363.8 million, driven mainly by accounts payable and other working capital changes, and the company reported that it was in compliance with its debt covenants.

CDW Quarterly Report (Amendment) for Q2 Ended Jun 30, 2011

CDW Corporation filed Amendment No. 1 to its Form 10-Q for the quarterly period ended June 30, 2011, on September 14, 2011. The original Form 10-Q was filed with the SEC on August 15, 2011. This amendment's sole purpose is to furnish Exhibit 101, which provides the consolidated financial statements and related notes from the original Form 10-Q in XBRL (eXtensible Business Reporting Language). The filing states that no other changes were made, that it speaks as of the original filing date, and that it does not update any disclosures in the original report. The cover page identifies CDW as a non-accelerated filer and a Delaware corporation headquartered in Vernon Hills, Illinois. As of August 10, 2011, there were 100,000 Class A common shares and 912,076 Class B common shares outstanding, all owned by CDW Holdings LLC. The registrant checked "No" on whether it had filed all reports required under Section 13 or 15(d) during the preceding 12 months. The filing is signed by Ann E. Ziegler, Senior Vice President and Chief Financial Officer. The filing itself contains no operating results, balance sheet, cash flow, or other financial figures. Investors seeking the quarter's financial results should refer to the original Form 10-Q filed August 15, 2011, and to the XBRL exhibit furnished with this amendment.

CDW Quarterly Report for Q2 Ended Jun 30, 2011

CDW Corporation's Form 10-Q for the quarter ended June 30, 2011 shows net sales of $2,412.1 million for the three months, up $188.8 million, or 8.5%, from $2,223.3 million a year earlier, and net sales of $4,541.7 million for the six months, up $384.3 million, or 9.2%. Income from operations rose to $128.2 million for the quarter (from $95.6 million) and to $219.9 million for the six months (from $166.9 million). Adjusted EBITDA was $187.5 million for the quarter, up 17.9%, and $343.0 million for the six months, up 17.3%. The company still reported a net loss of $34.8 million for the quarter and $39.0 million for the six months, driven mainly by a $115.7 million loss on extinguishment of long-term debt in the quarter, and total shareholders' deficit stood at $(69.3) million at June 30, 2011. The quarter's main event was a debt refinancing. In April and May 2011, the company repurchased $1,078.0 million of its 11.0% and PIK-election Senior Notes due 2015 through cash tender offers, funded by issuing $1,175.0 million of 8.5% Senior Notes due 2019. Long-term debt, excluding capital leases, was $4,226.0 million at June 30, 2011, compared with $4,289.1 million at December 31, 2010. In June 2011 the company also replaced its revolving credit facility with a new five-year $900.0 million senior secured asset-based facility maturing June 24, 2016. Operating performance was driven primarily by the Corporate segment, where net sales rose 12.1% in the quarter and gross margin improved to 16.7% from 16.2%. Public segment sales grew only 2.2%, as healthcare growth offset a 13.7% decline in government sales. Cash flow from operations was $207.4 million for the six months, down $52.9 million year over year, largely because of a smaller accounts payable contribution. The company reported a cash conversion cycle of 28 days at June 30, 2011, versus 32 days a year earlier.

CDW Quarterly Report for Q1 Ended Mar 31, 2011

CDW Corporation's first-quarter 2011 Form 10-Q, filed May 13, 2011, reports net sales of $2,129.6 million, up $195.5 million, or 10.1%, from $1,934.1 million in the first quarter of 2010. Gross profit rose to $351.5 million, with gross margin at 16.5% versus 15.8% a year earlier, driven by favorable price/mix and increased vendor funding. Income from operations was $91.7 million, up 28.6%, and Adjusted EBITDA was $155.5 million, up 16.7%. The company posted a net loss of $4.2 million, compared with net income of $2.2 million in the prior-year quarter, largely because interest expense, net, rose to $92.1 million and a $3.2 million loss on debt extinguishment was recorded. Cash flow and balance sheet activity were mixed. Net cash provided by operating activities was $196.3 million, down $117.0 million, mainly because accounts payable grew less than in the prior year. Long-term debt, excluding capital leases, fell to $4,145.7 million from $4,289.1 million at December 31, 2010, reflecting a $132.0 million mandatory term loan prepayment in March 2011. Shareholders' deficit narrowed to $(39.6) million. The company disclosed a Senior Notes tender offer funded by $725.0 million of new 8.5% senior notes due 2019, plus a follow-on tender offer and a $450.0 million add-on offering expected to close May 20, 2011. The filing shows a company growing sales and operating profit while carrying a heavy debt load, with the refinancing program in progress as of the filing date. Investors will likely focus on whether the April 2011 notes transactions reduce interest costs and extend maturities, and on the continued strength of the Corporate segment, which grew 14.6%.

CDW Quarterly Report for Q3 Ended Sep 30, 2010

CDW Corporation's third-quarter 2010 Form 10-Q reports net sales of $2,374.4 million for the three months ended September 30, 2010, up from $1,963.4 million a year earlier, and net sales of $6,531.8 million for the nine months, up from $5,198.1 million. Income from operations was $104.6 million for the quarter versus $70.3 million, and the company reported a net loss of $0.3 million for the quarter compared with $25.0 million a year earlier. For the nine months, net loss narrowed to $5.1 million from $336.0 million, a period that included a $235.0 million goodwill impairment charge in 2009. Adjusted EBITDA was $163.6 million for the quarter and $456.0 million for the nine months, and management attributed the sales growth primarily to a rebound in the Corporate segment. The balance sheet remains highly leveraged. Total long-term debt, excluding capital leases, was $4,292.1 million at September 30, 2010, and shareholders' deficit was $(37.1) million. Cash and cash equivalents were $67.0 million, and the company had $191.1 million outstanding under its $800.0 million asset-based revolving facility. Net cash provided by operating activities was $397.6 million for the nine months, while net cash used in financing activities was $335.8 million, reflecting net repayments on the revolver. The senior secured leverage ratio was 4.1 against a required maximum of 7.75. The filing notes that the company is a privately held, post-acquisition entity following the 2007 Madison Dearborn Partners and Providence Equity Partners acquisition, and that its Registration Statement on Form S-4 was declared effective on October 25, 2010, with an exchange offer for the Initial Notes open until November 24, 2010 unless extended. Management's reported Adjusted EBITDA reconciliation and cash conversion cycle of 33 days are also disclosed.