Company: WCC
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0000929008-25-000012
Chunk: 67

Company: WESCO INTERNATIONAL INC
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 1
Chunk 67
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 in transportation costs consistent with higher sales, increased salaries of $4.0 million and increased commissions and incentives of $3.5 million. 

26

Table of Contents   WESCO INTERNATIONAL, INC. AND SUBSIDIARIES

Utility & Broadband Solutions

Three Months EndedGrowth/(Decline)March 31, 2025March 31, 2024Reported SalesDivestitureForeign ExchangeWorkdayOrganic Sales(In millions)Net sales$1,278.1$1,580.9(19.2)%(12.2)%(0.5)%(1.6)%(4.9)%Adjusted EBITDA$138.3$169.4Adjusted EBITDA margin %10.8 %10.7 %

UBS reported net sales of $1,278.1 million for the first quarter of 2025 compared to $1,580.9 million for the first quarter of 2024, a decrease of $302.8 million, or 19.2%, which is inclusive of an unfavorable impact from the divestiture of the WIS business of 12.2%. UBS organic sales for the first quarter of 2025 declined by 4.9%, reflecting volume declines, primarily as a result of ongoing customer destocking. Changes in price did not have a material impact on the year-over-year decline in UBS organic sales.

UBS adjusted EBITDA decreased $31.1 million, or 18.4% year-over-year. The decrease primarily reflects the $302.8 million decline in net sales, as described above, partially offset by a corresponding decrease in cost of goods sold of $254.4 million, which is inclusive of lower supplier volume rebates of $3.8 million. SG&A expenses decreased $17.8 million as compared to the prior year, primarily due to lower salaries of $5.2 million, lower commissions and incentives of $4.0 million, and lower benefits of $2.6 million, all of which are primarily attributable to the divestiture of the WIS business.

The following tables reconcile net income attributable to common stockholders to adjusted EBITDA and adjusted EBITDA margin % by segment, which are non-GAAP financial measures, for the periods presented: 

Three Months Ended March 31, 2025(In millions)EESCSSUBSCorporateTotalNet income attributable to common stockholders$125.1$127.2$130.