$WCC · WESCO INTERNATIONAL INC
WESCO International filed an 8-K reporting record Q3 2026 results: net sales of $7.226B (+16.6% YoY), GAAP diluted EPS of $5.43, and adjusted diluted EPS of $5.77 (+47.2% YoY). All three segments posted double-digit organic growth, led by CSS at 21.4%. The company raised its full-year 2026 outlook, citing record backlog up ~80% YoY and strong free cash flow of $184M in the quarter.
- Record Q3 net sales of $7.226B, up 16.6% YoY with organic sales growth of 16.6%
- Data center sales hit $1.8B, up ~55% YoY; non-data center sales up 7% YoY
- Record Q3 adjusted diluted EPS of $5.77, up 47.2% vs $3.92 in prior-year quarter
- Record total company backlog up ~80% YoY, with new records in all three business units
- Financial leverage improved to 2.8x from 3.4x at 2025 year-end; free cash flow of $184M in Q3
Extended-hours trading shows WCC at $374.90, up 7.97% vs the regular-session close of $347.22, reflecting strong positive reaction to the beat-and-raise quarter. The $16.92B market-cap company delivered broad-based strength across all three segments.
A beat-and-raise quarter with 47% adjusted EPS growth, 17% organic sales growth, and an 80% backlog surge signals accelerating momentum well beyond typical industrial distribution results.
WESCO's data center exposure continues to be a powerful growth engine, with $1.8B in quarterly data center sales (+55% YoY) underscoring the electrical distribution sector's leverage to AI and cloud infrastructure buildout. The 80% backlog surge suggests multi-year visibility that peers may lack.
SG&A expenses rose 15.1% YoY driven by higher commissions, incentives, and salaries; digital transformation costs of $24.8M in Q3 (up from $8.8M prior year) could pressure margins if growth slows. Interest expense remains elevated at $93.6M for the quarter.