How strong was the second-quarter 2026 sales and profit performance?

Net sales were a record $6,665.1 million, up 13.0% year over year. Operating profit rose 18.6% to $382.2 million, and adjusted EBITDA rose 23.6% to $487.2 million, with the adjusted EBITDA margin expanding 60 basis points to 7.3%. Gross margin was 21.8% versus 21.1%.

Why did operating and free cash flow decline in the quarter?

The filing attributes the decline mainly to a $182.8 million impact from changes in trade accounts receivable, driven by sales growth and the timing of customer receipts, and a $155.3 million impact from other current and noncurrent assets, primarily increased supplier prepayments. These were partially offset by a $129.9 million benefit from higher deferred revenue. For the first six months, operating cash flow was still $275.1 million, up from $135.8 million.

What changed in the full-year 2026 outlook?

Reported sales growth was raised to 10% to 12% from 6% to 9%, with reported sales of $25.9 billion to $26.3 billion. Adjusted EBITDA margin was raised to 6.9% to 7.1% from 6.6% to 7.0%, and adjusted diluted EPS to $16.00 to $17.50 from $15.00 to $17.00. Free cash flow guidance was lowered to $300 million to $600 million from $500 million to $800 million.

How did the company's balance sheet and debt profile change?

The financial leverage ratio improved to 3.0 from 3.4 at December 31, 2025. During the first half, Wesco issued $650 million of 5.250% Senior Notes due 2031 and $850 million of 5.500% Senior Notes due 2034, using the proceeds to redeem $1,325 million of 7.250% Senior Notes due 2028 and to repay part of the Revolving Credit Facility. The redemption resulted in a $10.0 million non-cash loss on extinguishment. Cash and cash equivalents were $808.9 million at June 30, 2026.

What drove growth in the data center business and what acquisitions support it?

Data center sales were $1.5 billion in Q2 2026, up about 45% year over year. The company cited a significant multi-year Grid Services award in its UBS business from a hyperscale data center customer. It also closed the acquisition of Singapore-based Newark Engineering Group on July 1, 2026, which adds mission-critical cooling and thermal management capabilities; the filing says Newark had approximately $60 million of 2025 sales.

WCC 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

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

Wesco International, Inc. furnished an 8-K on July 30, 2026 reporting second-quarter 2026 results.

Net sales were a record $6,665.1 million^a, up 13.0% year over year and up 9.6% sequentially, with organic sales up 12.6%. Data center sales reached $1.5 billion, up about 45% year over year, and total company backlog was a record, up about 60% year over year. GAAP diluted EPS was $4.23 versus $3.83, and adjusted diluted EPS was a record $4.57, up 34.8%.

Adjusted EBITDA was $487.2 million^b, up 23.6%, with an adjusted EBITDA margin of 7.3%, up 60 basis points. Cash generation was weaker in the quarter. Operating cash flow was $53.7 million versus $107.8 million a year earlier, and free cash flow was $32.3 million versus $86.5 million, reflecting higher trade receivables and supplier prepayments.

For the first six months, operating cash flow was $275.1 million^c and free cash flow was $245.7 million. The financial leverage ratio improved to 3.0 from 3.4 at year-end 2025, and the company issued $650 million of 5.250% notes due 2031 and $850 million of 5.500% notes due 2034 to redeem its 7.250% Senior Notes due 2028. Management raised its full-year 2026 outlook.

Reported sales growth is now expected at 10% to 12% (previously 6% to 9%), with reported sales of $25.9 billion to $26.3 billion^d, adjusted EBITDA margin of 6.9% to 7.1%, and adjusted diluted EPS of $16.00 to $17.50 (previously $15.00 to $17.00). Free cash flow guidance was lowered to $300 million to $600 million from $500 million to $800 million.

For the third quarter, the company expects reported sales up low double digits year over year, with adjusted EBITDA margin slightly lower sequentially. The filing also announced the July 1, 2026 closing of the Newark Engineering Group acquisition, which adds data center cooling capabilities.

02—Key points

Key Highlights

Record Q2 2026 net sales of $6,665.1 million, up 13.0% year over year and 9.6% sequentially; organic sales grew 12.6%.
Total company backlog reached a record, up approximately 60% year over year; Communications and Security Solutions backlog was up about 95% and Utility and Broadband Solutions backlog up about 80%.
Data center sales were $1.5 billion in Q2 2026, up about 45% year over year.
Record adjusted diluted EPS of $4.57, up 34.8% from $3.39; GAAP diluted EPS was $4.23 versus $3.83.
Adjusted EBITDA of $487.2 million, up 23.6%, with adjusted EBITDA margin of 7.3%, up 60 basis points.
Operating cash flow fell to $53.7 million from $107.8 million and free cash flow to $32.3 million from $86.5 million, driven by receivables growth and supplier prepayments.
Full-year 2026 reported sales growth outlook raised to 10% to 12% from 6% to 9%; free cash flow outlook lowered to $300 million to $600 million from $500 million to $800 million.

03—Questions

Frequently Asked Questions

How strong was the second-quarter 2026 sales and profit performance?
Net sales were a record $6,665.1 million, up 13.0% year over year. Operating profit rose 18.6% to $382.2 million, and adjusted EBITDA rose 23.6% to $487.2 million, with the adjusted EBITDA margin expanding 60 basis points to 7.3%. Gross margin was 21.8% versus 21.1%.
Why did operating and free cash flow decline in the quarter?
The filing attributes the decline mainly to a $182.8 million impact from changes in trade accounts receivable, driven by sales growth and the timing of customer receipts, and a $155.3 million impact from other current and noncurrent assets, primarily increased supplier prepayments. These were partially offset by a $129.9 million benefit from higher deferred revenue. For the first six months, operating cash flow was still $275.1 million, up from $135.8 million.
What changed in the full-year 2026 outlook?
Reported sales growth was raised to 10% to 12% from 6% to 9%, with reported sales of $25.9 billion to $26.3 billion. Adjusted EBITDA margin was raised to 6.9% to 7.1% from 6.6% to 7.0%, and adjusted diluted EPS to $16.00 to $17.50 from $15.00 to $17.00. Free cash flow guidance was lowered to $300 million to $600 million from $500 million to $800 million.
How did the company's balance sheet and debt profile change?
The financial leverage ratio improved to 3.0 from 3.4 at December 31, 2025. During the first half, Wesco issued $650 million of 5.250% Senior Notes due 2031 and $850 million of 5.500% Senior Notes due 2034, using the proceeds to redeem $1,325 million of 7.250% Senior Notes due 2028 and to repay part of the Revolving Credit Facility. The redemption resulted in a $10.0 million non-cash loss on extinguishment. Cash and cash equivalents were $808.9 million at June 30, 2026.
What drove growth in the data center business and what acquisitions support it?
Data center sales were $1.5 billion in Q2 2026, up about 45% year over year. The company cited a significant multi-year Grid Services award in its UBS business from a hyperscale data center customer. It also closed the acquisition of Singapore-based Newark Engineering Group on July 1, 2026, which adds mission-critical cooling and thermal management capabilities; the filing says Newark had approximately $60 million of 2025 sales.

04—Continue

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