CDW (CDW) Financials

CDW Corp (CDW) has shown steady profitability and solid operating cash flow across the past four years, with quarterly revenue generally in the $5.0–$6.0 billion range. While leverage remains high and certain balance-sheet items have grown due to acquisitions and non-operating charges, the company continues to return capital to shareholders via dividends and share repurchases. Below are the key takeaways for investors from the latest four years of CDW’s quarterly statements.

• Strong operating cash flow supports cash returns and coverage. Net cash from continuing operating activities has remained robust, with quarterly figures such as about $433.8M (Q4 2025) and generally positive cash flow across periods, signaling durable operating profitability.
• Stable dividend policy and ongoing share repurchases. Cash dividends per share are typically $0.625, and quarterly share repurchases have been ongoing, reflecting shareholder-friendly capital allocation.
• Revenue sits in a solid band around $5.0–$6.0B per quarter, with occasional peaks. Quarterly operating revenues frequently land in the mid-$5B range, peaking near $6.0B in some 2025 quarters, indicating continued demand for CDW’s product mix and services.
• Gross margin remains in a consistent range (~22%). Total gross profit as a percentage of revenue has held around the low- to mid-20s percent, suggesting stable pricing and cost of goods sold dynamics over time.
• Operating margins are steady, though a notch lower in some 2025 periods. Operating income as a percent of revenue has generally trended in the high single digits, with some quarterly variation (around 7–9%).
• Heavy indebtedness and rising liabilities. Total liabilities run around $12–12.8B with long-term debt in the $5.5–5.6B range, indicating a leverage-heavy balance sheet that may constrain flexibility.
• Retained earnings and some equity metrics show cumulative deficits. Retained earnings are reported as negative in several periods, contributing to a smaller cumulative equity base despite positive net income in many quarters.
• Very large goodwill and intangible assets cap the balance sheet. Goodwill often sits in the multi‑billion-dollar range (e.g., ~$4.3–4.6B), along with substantial intangible assets, which can heighten impairment risk if acquisitions don’t perform as expected.
• Cash used for buybacks and debt activities can pressure liquidity in weaker quarters. Net cash from financing activities is mostly negative due to dividend payments and repurchases, and debt repayments/issuance vary by quarter, affecting cash balances.
• EPS variability lags shifts in share count and quarterly results. Diluted earnings per share generally sit in the $2.0–$2.3 range across quarters, with minor fluctuations tied to changes in the weighted-average shares outstanding and quarterly earnings.