{"id":432628,"date":"2021-02-10T07:03:16","date_gmt":"2021-02-10T12:03:16","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=432628"},"modified":"2021-02-10T07:03:16","modified_gmt":"2021-02-10T12:03:16","slug":"cdw-reports-fourth-quarter-and-full-year-2020-earnings","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/cdw-reports-fourth-quarter-and-full-year-2020-earnings\/","title":{"rendered":"CDW Reports Fourth Quarter and Full Year 2020 Earnings"},"content":{"rendered":"

<\/p>\n

CDW Reports Fourth Quarter and Full Year 2020 Earnings<\/b><\/p>\n

Reinforces Power of Business Model and Strategy<\/i><\/p>\n

LINCOLNSHIRE, Ill.–(BUSINESS WIRE<\/a>)–
\nCDW Corporation (Nasdaq:CDW):\n<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n
(Dollars in millions, except per share amounts)<\/td>\n\n

\nThree Months Ended
\n
December 31, 2020\n<\/p>\n<\/td>\n

\n

\nThree Months Ended
\n
December 31, 2019\n<\/p>\n<\/td>\n

\n

\n%
\n
Chg.\n<\/p>\n<\/td>\n

\n

\nYear Ended
\n
December 31, 2020\n<\/p>\n<\/td>\n

\n

\nYear Ended
\n
December 31, 2019\n<\/p>\n<\/td>\n

\n

\n%
\n
Chg.\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nNet Sales\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n4,956.2\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n4,536.9\n<\/p>\n<\/td>\n

\n

\n9.2\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n18,467.5\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n18,032.4\n<\/p>\n<\/td>\n

\n

\n2.4\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nAverage Daily Sales1<\/sup><\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n79.9\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n72.0\n<\/p>\n<\/td>\n

\n

\n11.0\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n72.7\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n71.0\n<\/p>\n<\/td>\n

\n

\n2.4\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nGross Profit\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n880.9\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n777.5\n<\/p>\n<\/td>\n

\n

\n13.3\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n3,210.1\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n3,039.9\n<\/p>\n<\/td>\n

\n

\n5.6\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nOperating Income\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n332.2\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n283.8\n<\/p>\n<\/td>\n

\n

\n17.1\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n1,179.2\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n1,133.6\n<\/p>\n<\/td>\n

\n

\n4.0\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nNet Income\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n238.3\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n185.6\n<\/p>\n<\/td>\n

\n

\n28.4\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n788.5\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n736.8\n<\/p>\n<\/td>\n

\n

\n7.0\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nNon-GAAP Operating Income2<\/sup><\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n376.2\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n342.3\n<\/p>\n<\/td>\n

\n

\n9.9\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n1,404.6\n<\/p>\n<\/td>\n

\n

\n\u00a0\n<\/p>\n<\/td>\n

\n

\n1,368.4\n<\/p>\n<\/td>\n

\n

\n2.6\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nNet Income per Diluted Share\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n1.65\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n1.27\n<\/p>\n<\/td>\n

\n

\n29.6\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n5.45\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n4.99\n<\/p>\n<\/td>\n

\n

\n9.2\n<\/p>\n<\/td>\n<\/tr>\n

\n

\nNon-GAAP Net Income per Diluted Share2<\/sup><\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n1.82\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n1.57\n<\/p>\n<\/td>\n

\n

\n16.1\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n6.59\n<\/p>\n<\/td>\n

\n

\n$\n<\/p>\n<\/td>\n

\n

\n6.10\n<\/p>\n<\/td>\n

\n

\n8.0\n<\/p>\n<\/td>\n<\/tr>\n

\n

1 <\/sup>There were 62 and 63 selling days for the three months ended December 31, 2020 and 2019, respectively. There were 254 selling days for both the years ended December 31, 2020 and 2019.\n<\/p>\n<\/td>\n<\/tr>\n

\n

2 <\/sup>Non-GAAP measures used in this release that are not based on accounting principles generally accepted in the United States of America (“US GAAP”) are each defined and reconciled to the most directly comparable US GAAP measures in the attached schedules.\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n

\nCDW Corporation (Nasdaq:CDW), a leading multi-brand provider of information technology solutions to business, government, education and healthcare customers in the United States, the United Kingdom and Canada, today announced fourth quarter and year end 2020 results. The company also announced the approval by its Board of Directors of a $1.25 billion increase to its share repurchase authorization and a quarterly cash dividend to be paid in March 2021.\n<\/p>\n

\n\u201cOur strong fourth quarter and full year performance amidst global health and macroeconomic challenges due to the COVID-19 pandemic demonstrated the power of our business model with balance across customer end markets and our product and solutions portfolio, and reinforced confidence in our strategy,\u201d said Christine A. Leahy, president and chief executive officer, CDW. \u201c2020 brought rapid and remarkable change in how we work and live, and I am extremely proud of the commitment, agility and resolve of our coworkers, who successfully helped our customers address their mission-critical IT and operational needs across the full IT solutions stack and lifecycle.\u201d\n<\/p>\n

\n\u201cFor 2020, we delivered an 8 percent increase in non-GAAP net income per diluted share with operating results amplified by a lower effective tax rate and share repurchases,” said Collin B. Kebo, chief financial officer of CDW. “Our performance drove strong free cash flow, enabling us to return more than $560 million to our shareholders in 2020 through share repurchases and dividends and end the year with approximately $2.5 billion of liquidity.\u201d\n<\/p>\n

\n\u201cFor 2021, we expect to continue to outpace US IT market growth by 200 to 300 basis points on a constant currency basis. Macroeconomic uncertainty continues in the near term, so we will focus on what we can control. We will continue to execute our strategy, invest in the business, and be laser-focused on meeting the needs of our more than 250,000 customers in the United States, the United Kingdom and Canada and remaining the partner of choice for more than 1,000 leading and emerging technology brands as the technology market continues to evolve,” concluded Leahy.\n<\/p>\n

\nA quarterly cash dividend of $0.40 per share, which is 5.3 percent higher than the prior year period, will be paid on March 10, 2021 to all stockholders of record as of the close of business on February 25, 2021.\n<\/p>\n

Fourth Quarter of 2020 Highlights:<\/span><\/p>\n

\nTotal Net sales in the fourth quarter of 2020 were $4,956 million, compared to $4,537 million in the fourth quarter of 2019, an increase of 9.2 percent. There were 62 and 63 selling days for the three months ended December 31, 2020 and 2019, respectively. On an average daily sales basis, Net sales growth increased 11.0 percent and Net sales on a constant currency basis average daily sales basis increased 10.7 percent versus the fourth quarter of 2019. Currency impact to Net sales growth was driven by favorable translation of the British pound and Canadian dollar to US dollar. Fourth quarter Net sales performance, on an average daily sales basis, included:\n<\/p>\n