The 10-second takeaway
For the quarter ended March 31 (Q1), WESCO International beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share grew significantly.
Gross margins dropped, operating margins increased, net margins improved.
WESCO International reported revenue of $1.61 billion. The 13 analysts polled by S&P Capital IQ looked for sales of $1.58 billion on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $1.43 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.03. The 15 earnings estimates compiled by S&P Capital IQ averaged $0.96 per share. GAAP EPS of $1.03 for Q1 were 39% higher than the prior-year quarter's $0.74 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 19.9%, 10 basis points worse than the prior-year quarter. Operating margin was 5.2%, 70 basis points better than the prior-year quarter. Net margin was 3.3%, 70 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.67 billion. On the bottom line, the average EPS estimate is $1.20.
Next year's average estimate for revenue is $6.70 billion. The average EPS estimate is $4.70.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on WESCO International is buy, with an average price target of $71.44.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.