WESCO International Inc. (NYSE:WCC) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
WESCO International Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 8.74% to $1.12 in the quarter versus EPS of $1.03 in the year-earlier quarter.
Revenue: Rose 12.58% to $1.81 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: WESCO International Inc. reported adjusted EPS income of $1.12 per share. By that measure, the company missed the mean analyst estimate of $1.15. It missed the average revenue estimate of $1.83 billion.
Quoting Management: Mr. John J. Engel, WESCO’s Chairman and Chief Executive Officer, stated, “Our first quarter results reflect solid execution in a challenging economic environment and, as expected, a continuation of the market trends experienced in the second half of last year. Although organic sales declined 3% in the quarter and were softer than expected, we continued to see the positive impact of our One WESCO sales, productivity and LEAN initiatives on our business. Overall sales and gross margins achieved record levels, and adjusted operating margins expanded 40 basis points to 5.6%, while backlog grew approximately 7% versus year end 2012. In addition, we were pleased with the performance and effective integration of our recent acquisitions, including EECOL where strong first quarter results support our full year EPS accretion expectations.”
Key Stats (on next page)…