Wesco International (NYSE: WCC), a leading provider of B2B distribution, logistics and supply chain services, has announced record sales numbers for 2022. The company made a record $21.4 billion worth of sales, an increase of 18% compared to 2021. Additionally, closing operating profits were at $1.4 billion, with adjusted EBITDA at a record $1.7 billion, an increase of 47% from 2021.
The company’s Q4 numbers also showcased a similar success story, with record net sales of $5.6 billion in Q4, an increase of 15% YOY. Meanwhile, the company’s operating profit for the quarter rang in at $382 million with an adjusted EBITDA of $451 million, up 41% YOY.
“Wesco delivered a stellar encore performance for the full year 2022 including exceptional fourth quarter results, clearly demonstrating our ability to drive sustained growth and market outperformance,” says John Engel, Chairman, President and CEO.
“The success of our business model and integration efforts over the past two and a half years since our transformational combination with Anixter resulted in record full year sales of $21.4 billion, an increase of 18% over last year. We again set new company records for margin and profitability, and reduced leverage to below 3.0x for the first time since 2019.
“With this trajectory, we have taken a significant step forward in the achievement of our long-term target of 10%+ EBITDA margin. I am confident 2023 will be another transformational year with additional advances in our digital capabilities, strong topline growth, continued margin expansion and record free cash generation to support our capital allocation priorities.”
Engel also noted the easing of supply chain pressures, which helped support the Wesco‘s Q4 growth .
Leadership Views Closing Data as Strong Momentum Indicators Leading into 2023
Overall, Engel noted high confidence with Wesco’s momentum heading into 2023.
“Our three-year post-merger integration plan is coming to a close. Our digital transformation plan is accelerating, and we are on-track to deliver advanced digital capabilities that will create superior value for our customers and supplier partners,” Engel concludes.
“We are confident in our ability to drive mid- to high-single digit sales growth this year, along with continued EBITDA margin expansion and approximately $600 to $800 million in free cash flow generation that supports our growth initiatives and capital allocation priorities.
“Most importantly, our dedicated team of colleagues continues to provide resilient and critical supply chain solutions for our customers around the world, capturing the benefits of our exposure to sustainable secular trends that are deep and drive our future sales and profitability. We look forward with greater confidence than ever to a future of sustained growth and market outperformance.”
