WESCO International Increases Sales but Misses Estimates on Earnings

WESCO International (NYSE: WCC  ) reported earnings on April 18. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), WESCO International met expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share grew. GAAP earnings per share increased significantly.

Margins grew across the board.

Revenue details
WESCO International recorded revenue of $1.81 billion. The 18 analysts polled by S&P Capital IQ predicted revenue of $1.83 billion on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $1.61 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $1.12. The 19 earnings estimates compiled by S&P Capital IQ averaged $1.14 per share. Non-GAAP EPS of $1.12 for Q1 were 8.7% higher than the prior-year quarter's $1.03 per share. GAAP EPS of $1.60 for Q1 were 55% higher than the prior-year quarter's $1.03 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 21.1%, 120 basis points better than the prior-year quarter. Operating margin was 7.6%, 240 basis points better than the prior-year quarter. Net margin was 4.7%, 140 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $1.96 billion. On the bottom line, the average EPS estimate is $1.48.

Next year's average estimate for revenue is $7.73 billion. The average EPS estimate is $5.80.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on WESCO International is outperform, with an average price target of $80.25.

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