NASDAQ$CDW

CDW Corp · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Demonstrated balance and strength of business model, and reinforced confidence in, and commitment to, our strategy.

CDW Corporation announced third quarter 2020 results, with total net sales of $4,756.4 million, a decrease of 3.1 percent compared to the third quarter of 2019. Despite the decrease in net sales, gross profit increased by 1.1 percent, and the company increased the dividend and resumed share repurchases, while continuing to invest in their growth strategy.

  • Total Net sales decreased by 3.1 percent compared to Q3 2019.
  • Gross profit increased by 1.1 percent compared to Q3 2019.
  • Operating income decreased by 0.9 percent compared to Q3 2019.
  • CDW increased the dividend and is resuming share repurchases.

Headline financials

Total Revenue

$4.76B

Previous: $4.91B-3.1%
EPS (adj)

$1.83

Previous: $1.70+7.6%
Non-GAAP Operating Income Margin

8.1%

No prior period
Capital Expenditures

-$134M

Previous: -$75M-78.1%
Free Cash Flow

$59.6M

Previous: $127M-53.0%
Net Income

$193M

Previous: $202M-4.2%
Operating Income

$318M

Previous: $321M-0.9%
Gross Profit

$826M

Previous: $817M+1.1%
Cash & Equivalents

$1.25B

Previous: $167M+648.7%
Total Assets

$9.22B

Previous: $7.7B+19.7%

Revenue & EPS history

CDW · Revenue · Quarterly

$4.76B

Q3 2020-3.1%vs Q3 2019
Beat estimate in 16 of 16 quarters(100%)
ActualEstimate

Revenue by segment

CDW · $4.76B total across 4 segments · Q3 2020

  • Public
    $2.29B+9.2%
  • Corporate
    $1.66B-13.2%
  • Other (UK and Canada)
    $466M-8.2%
  • Small Business
    $337M-12.7%

Forward guidance

The duration and varying potential implications of COVID-19 on our more than 250,000 customers remain uncertain and unknowable. However, we will remain laser-focused on meeting our customers’ needs, while being the partner of choice for more than 1,000 leading and emerging technology brands as the technology market continues to evolve and becomes increasingly essential and more complex.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+1.1%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+1.5%

Avg return

30 days after

61%

31 / 51 earnings

Positive

+11.2%

Q3 2018

Best reaction

-14.4%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.2%-25.0%-2.7%
Q4 2025+9.4%+13.7%-2.2%
Q3 2025-8.7%-8.0%-6.6%
Q1 2025+7.1%+15.2%+8.7%
Q4 2024+3.4%-3.9%-15.5%
Q3 2024-14.4%-13.1%-20.0%
Q2 2024-8.1%-11.1%-2.9%
Q1 2024-9.7%-8.3%-7.5%
Q4 2023+5.8%+5.0%+7.6%
Q3 2023+3.1%+5.3%+6.1%
Q2 2023+6.4%+8.3%+13.8%
Q1 2023-2.4%-1.0%+3.8%
Q4 2022+2.0%+6.0%-4.4%
Q3 2022+0.1%-0.2%+10.1%
Q2 2022-0.2%-1.0%-6.6%
Q1 2022+2.1%-1.7%+4.7%
Q4 2021-5.8%-9.6%-12.7%
Q3 2021-2.2%-2.1%+1.3%
Q2 2021+2.9%+2.3%+9.4%
Q1 2021-2.1%-2.8%-5.0%
Q4 2020+3.5%+2.5%+5.6%
Q3 2020+6.6%+12.6%+7.0%
Q2 2020-4.0%-5.5%-4.4%
Q1 2020-3.0%-4.6%+14.0%
Q4 2019-2.5%-0.1%-18.0%
Q3 2019+3.0%+6.6%+6.0%
Q2 2019+4.3%-5.3%+1.7%
Q1 2019+2.0%+3.3%-6.8%
Q4 2018+5.8%+8.6%+8.1%
Q3 2018+11.2%+9.3%+15.5%
Q2 2018+1.6%+2.5%+4.4%
Q1 2018+2.9%+5.5%+11.9%
Q4 2017-5.7%-6.7%+1.6%
Q3 2017+0.0%+0.3%-1.2%
Q2 2017-0.8%+0.0%-2.7%
Q1 2017+0.2%-0.0%+3.7%
Q4 2016+7.0%+9.9%+11.5%
Q3 2016-2.5%+0.3%+17.0%
Q2 2016+3.9%+5.5%+5.0%
Q1 2016+5.6%
Q4 2015-1.6%
Q3 2015+4.0%
Q2 2015+8.8%
Q1 2015-5.0%
Q4 2014-0.2%
Q3 2014+4.0%
Q2 2014-1.0%
Q1 2014+5.6%
Q4 2013+2.7%
Q3 2013+4.3%
Q2 2013+5.2%
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2012
Q4 2011
Q3 2011
Q4 2010
Q2 2011
Q1 2011
Q3 2010
Q2 2010
Q1 2010

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