CDW Surpasses Wall Street Estimates in Q4, Driven by IT Demand
CDW (NASDAQ: CDW) reported strong fourth-quarter results, exceeding analysts' expectations. The company's revenue surged as small and medium-sized businesses continued to invest in IT solutions.
Key Financial Highlights:
* Net sales: $5.19 billion, surpassing estimates of $4.93 billion
* Adjusted earnings per share: $2.48, exceeding estimates of $2.32
* Corporate segment revenue: $2.35 billion, up 4.2% year-over-year
Growth Drivers:
* Increased demand for cloud and end-point services
* Contribution from healthcare and government sectors
* Ongoing improvement in customer spending despite economic uncertainty
Other Updates:
* Gross profit margin: 22.3%, slightly lower than 23% in the prior year
* Share repurchase authorization increased by $750 million
* Quarterly cash dividend raised by 1% to $0.625 per share