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CDW · 10-Q filed May 6, 2026

CDW earnings analysis

What we found in CDW's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.

Our reading of the filing · Free to read, no account needed

CDW Corporation reported strong Q1 2026 earnings with revenue of $5.68 billion, exceeding prior estimates and showing a 9.2% increase year-over-year, while EPS also surpassed expectations at $2.28. Segment performance varied, with solid growth in Commercial and Other segments, but some margin pressure was noted across the Government segment.

What stood out

The parts that mattered.

Pulled out of the filing itself, with the figures the company reported.

Revenue Growth Exceeds Expectations
Actual revenue reached $5.68 billion, up 9.2% from $5.20 billion in Q1 2025.
EPS Surpasses Consensus
Reported EPS of $2.28 compared to consensus estimate of $2.26.
Strong Segment Performance
Commercial segment revenues grew by 9.6%, totaling $3.57 billion.
Increased Free Cash Flow
Free cash flow improved slightly to $248.4 million from $260.3 million year-over-year.
Decreased Interest Expense
Interest expense net decreased by $2 million, reflecting lower debt levels.
Higher Net Sales Across Segments
All operating segments reported increased net sales with Commercial and Other segments leading.
What to watch

And the other side of it.

The offsets in the same document — the things a summary that only listed the good news would have left out.

Declining Gross Margin
Gross margin decreased to 21.0% in Q1 2026 from 21.6% in Q1 2025.
Operating Income Margin Compression
Operating income margin reduced to 6.6% from 7.0% year-over-year due to increased selling expenses.
Economic and Geopolitical Uncertainties
Management highlighted ongoing global trade and geopolitical uncertainties affecting technology spending.
The numbers

What they reported.

What the company itself reported, taken out of the document.

What survived to operating profit
Of every $100 of revenue Cost of sales $79 Operating expenses $14 Left as operating profit $7
Percentages of revenue, taken from the filing. Drawn this way because it holds whatever scale the company reports in.
Earnings per share
$2.28
Gross margin
21.0%
Operating margin
6.6%
Segment
Commercial
Segment
Government
Segment
Education
Segment
Other
Guidance

What they said about what is next.

No updated numeric guidance was provided.

How we read the filing overall

The filing reads better than the one before it.

One reading of one document. It is not advice, and it is not a forecast.
Earlier filings

What came before.

10-K · February 20, 2026
CDW reported Net sales of $22,424.1 million in 2025, up from $20,998.7 million in 2024, and positions itself as a multi‑brand IT solutions provider serving over 250,000 customers across the US, UK and Canada. The…
10-Q · May 7, 2025
CDW reported net sales of $5,199.1 million for the quarter, up $326.4 million (+6.7%) versus the prior-year quarter, with diluted EPS of $1.69 (vs. $1.59). Operating income rose to $361.4 million and gross profit…
10-K · February 21, 2025
CDW describes itself as a large, multi‑brand IT solutions provider with scale across the US, UK and Canada, serving over 250,000 customers and offering hardware, software and services across the IT lifecycle. 2024 Net…
10-Q · May 1, 2024
CDW reported Q1 net sales of $4,872.7 million, down $230.4 million (4.5%) versus $5,103.1 million in the prior-year quarter. Gross profit declined to $1,063.3 million but gross margin ticked up to ~21.8%; operating…

This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.

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