Strong Organic Sales Growth
Wesco reported a 6% organic sales growth in the first quarter of 2025, with particular strength in the data center business, which grew by 70%.
Data Center Segment Expansion
The data center business represented 16% of Wesco's total sales in the quarter, up from 10% in the trailing 12 months through June 2024, indicating strong growth and increased customer engagement.
Financial Flexibility through Refinancing
Wesco issued $800 million of senior notes to redeem preferred stock, which is expected to strengthen the balance sheet and reduce total financing costs by approximately $30 million annually.
Positive Free Cash Flow
The company delivered $9 million of free cash flow, exceeding expectations for the quarter.
Backlog Growth
Backlog increased sequentially in all three business units, with CSS backlog rising by 18% sequentially.