01—Abstract
Summary
Summary of the 10-Q filed October 29, 2026. Cited figures are marked; the original filing is the authoritative source.
Wesco International, Inc. reported strong third-quarter 2026 results, with net sales of $7,226.4 milliona, up 16.6% from $6,199.1 million a year earlier, and organic sales growth of 16.6%, driven by roughly 14% volume growth across all three segments and about 3% from price.
Income from operations rose to $450.8 millionb from $345.4 million, and net income attributable to WESCO International, Inc. was $267.8 million, or $5.43 per diluted share, versus $187.5 million, or $3.79, a year earlier. The company's non-GAAP Adjusted EBITDA was $561.5 million, up 32.7% year over year. For the first nine months of 2026, net sales reached $19,971.6 million, up 14.5%, with organic sales growth of 13.9%, and diluted EPS was $12.77 versus $9.71.
Cash flow and liquidity improved meaningfully. Net cash provided by operating activities for the nine months was $469.0 millionc, compared with $53.1 million in the prior-year period, largely due to higher accounts payable and customer advance payments, partly offset by higher receivables and inventories. Total debt was $6,058.2 million at September 30, 2026, and the financial leverage ratio improved to 2.8x from 3.4x at December 31, 2025.
Liquidity was approximately $2.1 billiond, including $433.1 million of available cash. During the period the company issued $650 million of 5.250% Senior Notes due 2031 and $850 million of 5.500% Senior Notes due 2034, used them to redeem its $1,325 million 7.250% Senior Notes due 2028, and extended and upsized its Receivables Facility and Revolving Credit Facility to 2029 and 2031, respectively.
The company also completed the acquisition of Newark Engineering Group, a Singapore-based data center cooling provider, for $127.7 million net of cash acquired, and it continues to carry a loss contingency-related reversal of $49.0 million following resolution of a previously disclosed matter. The filing notes that IEEPA tariff refunds are not expected to materially affect the financial statements, and that the company's Digital and Data Platform implementation is ongoing with digital transformation costs of $24.8 million in the quarter.
02—Key points
Key Highlights
- Net sales rose 16.6% to $7,226.4 million in Q3 2026, with organic growth of 16.6% driven by roughly 14% volume growth and about 3% from price.
- Diluted EPS was $5.43 in Q3 2026 versus $3.79 in Q3 2025; net income attributable to WESCO International, Inc. was $267.8 million versus $187.5 million.
- Income from operations increased 30.5% to $450.8 million, and Adjusted EBITDA grew 32.7% to $561.5 million.
- Operating cash flow for the first nine months was $469.0 million, up from $53.1 million, while the financial leverage ratio improved to 2.8x from 3.4x at year-end 2025.
- The company refinanced its capital structure: issued $650 million 2031 Notes and $850 million 2034 Notes, redeemed $1,325 million of 2028 Notes, and extended the Receivables Facility to 2029 and the Revolving Credit Facility to 2031.
- Newark Engineering Group, a Singapore-based data center cooling provider, was acquired on July 1, 2026 for $127.7 million net of cash acquired.
- Inventories rose to $4,687.1 million and accounts payable to $4,166.1 million at September 30, 2026, with total debt at $6,058.2 million.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2026filed October 29, 2026Financial Statements
Q3 FY2026 against Q3 FY2025
| Line item | Q3 FY2026Q3 FY2025 | Change |
|---|---|---|
| Revenue | $7.23B$6.20B | +16.6% |
| SG&A Expenses | $1.06B$922.90M | +15.1% |
| Operating Income | $450.80M$345.40M | +30.5% |
| Net Income | $267.80M$187.50M | +42.8% |
| EPS (Basic) | $5.50$3.85 | +42.9% |
| EPS (Diluted) | $5.43$3.79 | +43.3% |
| Shares Outstanding (Basic) | 48.70M48.70M | 0.0% |
| Shares Outstanding (Diluted) | 49.30M49.50M | −0.4% |
05—Questions
Frequently Asked Questions
How strong was Wesco's sales growth in the third quarter of 2026?
Net sales were $7,226.4 million, up 16.6% from $6,199.1 million in the third quarter of 2025. Organic sales also grew 16.6%, reflecting about 14% volume growth across CSS, EES and UBS and an approximate 3% benefit from price. CSS, which is led by data center solutions, grew 21.7% on a reported basis.
How did earnings per share change compared with the prior year?
Diluted EPS attributable to common stockholders was $5.43 for the third quarter of 2026, compared with $3.79 a year earlier. For the first nine months, diluted EPS was $12.77 versus $9.71. Adjusted diluted EPS for the quarter was $5.77 versus $3.92, based on non-GAAP measures the company defines in the filing.
What changed in the company's debt and liquidity position?
Total debt was $6,058.2 million at September 30, 2026, and the financial leverage ratio was 2.8x, down from 3.4x at December 31, 2025. The company issued $650 million of 5.250% notes due 2031 and $850 million of 5.500% notes due 2034 to redeem its $1,325 million 7.250% notes due 2028. Liquidity was about $2.1 billion, including $433.1 million of available cash, and the company stated it has no significant debt maturities until 2029.
Did the company's cash flow from operations improve?
Net cash provided by operating activities was $469.0 million for the first nine months of 2026, compared with $53.1 million a year earlier. The filing attributes the increase mainly to a $478.2 million impact from accounts payable and a $397.7 million impact from other current and noncurrent liabilities, including customer advance payments. These were partially offset by a $299.9 million impact from trade receivables and a $261.6 million impact from other assets.
What were the notable one-time or discrete items this quarter?
The company reversed a previously recorded loss contingency of $49.0 million, along with a corresponding insurance recovery receivable of $48.5 million, after the matter was resolved. It also recognized a $9.1 million discrete tax benefit related to return-to-provision adjustments and a $2.0 million pension settlement gain. Digital transformation costs were $24.8 million in the quarter.
06—Continue