NASDAQ$CDW

CDW Corp · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Delivered record net sales and profitability, demonstrating the ability to meet customers' evolving business needs.

CDW Corporation announced third quarter 2022 results, reporting record net sales of $6,215.5 million, a 17.3% increase compared to the third quarter of 2021. The company's EPS increased by 13.7% to $2.17, and non-GAAP EPS increased by 22.0% to $2.60.

  • Net sales in the third quarter of 2022 were $6,216 million, compared to $5,300 million in the third quarter of 2021, an increase of 17.3 percent.
  • Gross profit in the third quarter of 2022 was $1,233 million, compared to $915 million for the third quarter of 2021, representing an increase of 34.8 percent.
  • Operating income was $466 million in the third quarter of 2022, compared to $386 million in the third quarter of 2021, representing an increase of 20.7 percent.
  • Non-GAAP net income per diluted share for the third quarter of 2022 was $2.60, compared to $2.13 for the third quarter of 2021, representing an increase of 22.0 percent.

Headline financials

Total Revenue

$6.22B

Previous: $5.3B+17.3%
EPS (adj)

$2.60

Previous: $2.13+22.1%
Non-GAAP Operating Income Margin

8.8%

No prior period
Average Daily Sales

$197M

Previous: $183M+7.8%
Capital Expenditures

-$97.2M

Previous: -$66.2M-46.8%
Free Cash Flow

$201M

Previous: $200M+0.1%
Net Income

$298M

Previous: $267M+11.7%
Operating Income

$466M

Previous: $386M+20.7%
Gross Profit

$1.23B

Previous: $915M+34.8%
Cash & Equivalents

$385M

Previous: $245M+56.9%
Total Assets

$13.5B

Previous: $9.01B+49.5%

Revenue & EPS history

CDW · Revenue · Quarterly

$6.22B

Q3 2022+17.3%vs Q3 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

CDW · $6.22B total across 4 segments · Q3 2022

  • Corporate
    $2.58B+24.7%
  • Public
    $2.42B+12.6%
  • Other (UK and Canada)
    $722M+18.1%
  • Small Business
    $491M+5.2%

Forward guidance

We expect our premium on US IT market growth to be at the higher end of our prior 325 to 425 basis point expected range on a constant currency basis.

Tailwinds

  • Execute our strategy
  • Invest in the business
  • Be laser-focused on meeting the needs of our more than 250,000 customers around the globe
  • Remain the partner of choice for more than 1,000 leading and emerging technology brands
  • Market continues to evolve

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 2022

Historical avgQ3 2022

+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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