Company: WCC
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000929008-25-000023
Chunk: 122

Company: WESCO INTERNATIONAL INC
Filing Date: 2025-07-31
Form: 10-Q
Item: Item 8
Chunk 122
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 increase in cost of goods sold as a percentage of net sales, the decrease in other income, and the increase in SG&A expenses. Additionally, there was a positive impact from the reduction in outstanding shares during the first six months of 2025 as compared to the first six months of 2024.

Adjusted EBITDA

Adjusted EBITDA, a non-GAAP financial measure, was $704.9 million for the first six months of 2025 compared to $740.5 million for the first six months of 2024, a decrease of $35.6 million, or 4.8% year-over-year. The decrease primarily reflects a $381.2 million increase in cost of goods sold, and a $50.7 million increase in SG&A expenses, as described above, partially offset by a $413.6 million increase in net sales. Included in the increase in SG&A expenses was a $17.8 million increase from the absence of asset abandonment loss in first six months of 2025 compared to the first six months of 2024, and a $4.8 million increase from the absence of excise taxes on excess pension plan assets in first six months of 2025 compared to the first six months of 2024. Additionally, there was a year-over-year decrease in restructuring costs of $7.4 million. All three items are adjustments to calculate adjusted EBITDA. 

Segment Results

Electrical & Electronic Solutions

Six Months EndedGrowth/(Decline)June 30, 2025June 30, 2024Reported SalesAcquisitionForeign ExchangeWorkdayOrganic Sales(In millions)Net sales$4,323.1$4,198.83.0 %— %(0.9)%(0.8)%4.7 %Adjusted EBITDA$325.5$351.9Adjusted EBITDA Margin %7.5%8.4%

EES reported net sales of $4.3 billion for the first six months of 2025 compared to $4.2 billion for the first six months of 2024, an increase of $124.3 million, or 3.0%. EES organic sales for the first six months of 2025 grew by 4.7%, driven primarily by volume growth of approximately 3%, primarily as a result of growth in the original equipment manufacturers business, and by the impact of changes in price, which favorably impacted organic sales by approximately 2