CDW Corp. reported a slight decline in full-year 2024 earnings, citing continued economic uncertainty and cautious customer spending as sales dropped.
The company is a leading provider of IT product and services to business, government, education, and health care sectors in the U.S., U.K., and Canada. CDW posted net sales of $21.0 billion for 2024, down 1.8% from $21.4 billion in 2023. Net income for the year was $1.08 billion, a 2.4% decrease from $1.1 billion the previous year.
CDW’s corporate segment reported sales of $8.84 billion, down 1.4% from 2023. Small business sales declined 2.1% to $1.52 billion.
Meanwhile, public-sector sales — which include government, education, and health care — totaled $8.16 billion for a 1.8% decrease. While sales to government and education customers dropped 6.8% and 4%, respectively, health care sales grew 7.1%. And sales in the U.K. and Canada, reported under “other,” reached $2.48 billion, down 2.9%.
CDW sales in Q4 2024
In its fiscal Q4, CDW reported net sales of $5.19 billion. That’s a 3.3% increase from $5.02 billion in the same period of 2023.
Average daily sales rose 5%. Corporate segment sales increased 4.2% to $2.35 billion, while small business sales grew 4.4% to $380 million.
Public-sector sales were $1.85 billion, up 6.1%, driven by a 29.5% increase in health care sales, which offset declines in government and education sales. Sales from the U.K. and Canada reached $607 million, a 5.1% increase.
Net income for the quarter was $264 million, down 10.8%, with non-GAAP net income at $333 million, down 4.7%.
CEO Christine Leahy noted that customer spending remains cautious, with many focusing on short-term returns and avoiding large-scale projects.
“As always, we base our view of IT growth on what we are seeing in the market and what our customers are telling us about their plans and priorities for 2025,” she said. “Right now, our commercial and public customers’ decisions remain deliberate with ongoing project scrutiny, pursuit of short-term ROI and continued large project buying hesitancy. While our market view recognizes the potential for meaningful exogenous factors to impact demand, including policy uncertainty, the level of inflation, the impact of tariffs and other potential disruptors, it does not weigh these wildcards too heavily.”
Leahy added that the company remains focused on exceeding U.S. IT market growth in 2025 by continuing to meet the evolving needs of over 250,000 customers and maintaining its position as a preferred partner for more than 1,000 leading and emerging technology brands.
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