What drove the growth in first-quarter 2026 results?

Organic sales grew 12.3%, reflecting volume growth in all three segments (CSS, EES and UBS) and a favorable price impact. Management attributed the strength primarily to data center demand, with CSS organic sales up 21.9% and data center sales up approximately 70%. Gross margin rose to 21.2% from 21.1%, and SG&A as a percentage of sales, excluding digital transformation costs, declined to 15.3% from 15.5%.

How did the company's cash flow and balance sheet change?

Operating cash flow was $221.4 million compared with $28.0 million in the prior-year quarter, driven largely by a $105.7 million impact from accounts payable changes. Free cash flow was $213.4 million. Cash and cash equivalents rose to $696.6 million from $604.8 million at year-end 2025, and total debt was $5,824.5 million at March 31, 2026. The company issued $650 million of 2031 Notes and $850 million of 2034 Notes during the quarter.

What changed in the 2026 outlook?

Reported sales growth was raised to 6% to 9% from 5% to 8%, with reported sales now expected at $24.9 to $25.6 billion versus $24.7 to $25.4 billion previously. Organic sales growth was raised to 5% to 8% from 4% to 7%. Adjusted diluted EPS was raised to $15.00 to $17.00 from $14.50 to $16.50. Adjusted EBITDA margin of 6.6% to 7.0% and free cash flow of $500 to $800 million were unchanged. The company expects Data Center sales to be up 20% or more, versus mid-teens previously.

What is the outlook for the second quarter of 2026?

The company expects second-quarter reported sales to be up high single digits year over year and adjusted EBITDA margin to be approximately flat, at around 0% change. Management noted that April preliminary sales per workday were up approximately 10%.

What were the effects of the debt refinancing?

The company executed a $1.5 billion bond offering in the first quarter to redeem its 2028 senior notes, which are to be redeemed in June 2026. The 2031 notes priced at a 5.250% coupon and the 2034 notes at 5.500%. The refinancing is expected to generate more than $20 million in annualized interest expense savings beginning in June, with less than $10 million of savings in 2026.

WCC 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

Summary of the 8-K filed April 30, 2026. Cited figures are marked; the original filing is the authoritative source.

Wesco International, Inc. (NYSE: WCC) reported record first-quarter 2026 net sales of $6.08 billion^a, up 13.8% year over year, with organic sales growth of 12.3%.

Growth was led by data center demand: data center sales reached $1.4 billion^b, up approximately 70% year over year and representing 24% of total Wesco sales. Total company backlog hit a record level, up 22% year over year. Net income attributable to common stockholders was $153.8 million, or $3.11 per diluted share, compared with $104.0 million, or $2.10 per diluted share, in the prior-year quarter.

Adjusted diluted EPS was $3.37^c, up 52.5%, and adjusted EBITDA was $388.8 million, up 25.1%, with adjusted EBITDA margin of 6.4%, up 60 basis points. Cash generation improved markedly, with operating cash flow of $221.4 million versus $28.0 million a year earlier and free cash flow of $213.4 million, equal to 128% of adjusted net income according to the filing. The financial leverage ratio improved to 3.2 from 3.4 at December 31, 2025.

The company issued $650 million^d of 5.250% Senior Notes due 2031 and $850 million of 5.500% Senior Notes due 2034, and expects to redeem its 2028 senior notes in June 2026, with more than $20 million of annualized interest savings expected beginning in June. Management raised its full-year 2026 outlook. Reported sales growth is now expected at 6% to 9% (previously 5% to 8%), with reported sales of $24.9 to $25.6 billion, and adjusted diluted EPS is now expected at $15.00 to $17.00 (previously $14.50 to $16.50).

Adjusted EBITDA margin (6.6% to 7.0%) and free cash flow ($500 to $800 million) were unchanged. Management also said April preliminary sales per workday were up approximately 10%.

02—Key points

Key Highlights

Record first-quarter net sales of $6.08 billion, up 13.8% reported and 12.3% organic; third consecutive quarter of double-digit sales growth per management.
Data center sales of $1.4 billion, up approximately 70% year over year, representing 24% of total Wesco sales.
Record total company backlog, up 22% year over year; CSS backlog up approximately 40% driven by data center projects.
Adjusted diluted EPS of $3.37, up 52.5% from $2.21; GAAP diluted EPS of $3.11 versus $2.10.
Adjusted EBITDA of $388.8 million, up 25.1%, with adjusted EBITDA margin of 6.4%, up 60 basis points.
Operating cash flow of $221.4 million and free cash flow of $213.4 million (128% of adjusted net income); financial leverage ratio improved to 3.2 from 3.4.
Full-year 2026 outlook raised: reported sales growth 6% to 9% and adjusted diluted EPS $15.00 to $17.00; April preliminary sales per workday up approximately 10%.

03—Questions

Frequently Asked Questions

What drove the growth in first-quarter 2026 results?
Organic sales grew 12.3%, reflecting volume growth in all three segments (CSS, EES and UBS) and a favorable price impact. Management attributed the strength primarily to data center demand, with CSS organic sales up 21.9% and data center sales up approximately 70%. Gross margin rose to 21.2% from 21.1%, and SG&A as a percentage of sales, excluding digital transformation costs, declined to 15.3% from 15.5%.
How did the company's cash flow and balance sheet change?
Operating cash flow was $221.4 million compared with $28.0 million in the prior-year quarter, driven largely by a $105.7 million impact from accounts payable changes. Free cash flow was $213.4 million. Cash and cash equivalents rose to $696.6 million from $604.8 million at year-end 2025, and total debt was $5,824.5 million at March 31, 2026. The company issued $650 million of 2031 Notes and $850 million of 2034 Notes during the quarter.
What changed in the 2026 outlook?
Reported sales growth was raised to 6% to 9% from 5% to 8%, with reported sales now expected at $24.9 to $25.6 billion versus $24.7 to $25.4 billion previously. Organic sales growth was raised to 5% to 8% from 4% to 7%. Adjusted diluted EPS was raised to $15.00 to $17.00 from $14.50 to $16.50. Adjusted EBITDA margin of 6.6% to 7.0% and free cash flow of $500 to $800 million were unchanged. The company expects Data Center sales to be up 20% or more, versus mid-teens previously.
What is the outlook for the second quarter of 2026?
The company expects second-quarter reported sales to be up high single digits year over year and adjusted EBITDA margin to be approximately flat, at around 0% change. Management noted that April preliminary sales per workday were up approximately 10%.
What were the effects of the debt refinancing?
The company executed a $1.5 billion bond offering in the first quarter to redeem its 2028 senior notes, which are to be redeemed in June 2026. The 2031 notes priced at a 5.250% coupon and the 2034 notes at 5.500%. The refinancing is expected to generate more than $20 million in annualized interest expense savings beginning in June, with less than $10 million of savings in 2026.

04—Continue

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