Loading...
•
Jun 30
WESCO Q2 2025 Earnings Report
Wesco International reported its second quarter 2025 financial results, with net sales increasing by 7.7% year-over-year and organic sales up 7.2%. The company saw strong growth in data center sales and improved adjusted diluted EPS.
Key Takeaways
Wesco International delivered a strong second quarter in 2025, with reported net sales climbing 7.7% year-over-year and organic sales growing 7.2%. The company's performance was significantly boosted by a 65% surge in data center sales, which exceeded $1 billion. Adjusted diluted EPS increased by 6% year-over-year, and adjusted EBITDA margin improved sequentially, reflecting strong operating leverage.
Reported net sales increased by 7.7% year-over-year to $5,899.6 million, driven by strong organic growth.
Organic sales grew by 7.2% year-over-year, with significant contributions from CSS (17% organic growth) and EES (6% organic growth).
Data center sales reached a new record, surpassing $1 billion and growing approximately 65% year-over-year.
Adjusted diluted EPS rose by 6% year-over-year to $3.39, and adjusted EBITDA margin improved by 90 basis points sequentially to 6.7%.
WESCO
WESCO
WESCO Revenue by Segment
Revenue by Segment
Electrical & Electronic Solutions Revenue
CapyFin.comCommunications & Security Solutions Revenue
CapyFin.comUtility & Broadband Solutions Revenue
CapyFin.com Forward Guidance
Wesco International has raised its full-year 2025 organic sales growth outlook, maintaining its EPS mid-point, based on positive momentum through the first seven months of the year. The company remains focused on strategic initiatives and expects to outperform markets due to enduring secular trends.
Positive Outlook
- Full-year 2025 organic sales growth outlook raised due to positive momentum.
- Continued focus on executing cross-selling initiatives and enterprise-wide margin improvement programs.
- Delivering operational improvements enabled by technology-driven business transformation.
- Market leadership supported by enduring secular trends like AI-driven data centers, increased power generation, electrification, automation, and reshoring.
- Confidence in outperforming markets for the remainder of the year.
Challenges Ahead
- No specific negative forward guidance points were explicitly stated in the provided text.
- The company is maintaining its EPS mid-point, not raising it, which could be seen as a neutral point rather than a positive.
- Potential for unforeseen market disruptions or economic downturns not explicitly addressed.
- Execution risks associated with large-scale digital transformation and restructuring initiatives.
- Competitive pressures in the distribution industry could impact future performance.
Revenue & Expenses
Visualization of income flow from segment revenue to net income