Slide 1: CDW Corporation Webcast Conference Call
CDW Corporation Webcast Conference Call February 4, 2026
Slide 2: Today's Agenda
Fourth Quarter and Full Year 2025 Results Performance Drivers Today's Agenda Outlook Q&A 2
Slide 3: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation that are not statements of historical fact are forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements regarding the futur
Slide 4: Non-GAAP Financial Measures
Non-GAAP Financial Measures Generally, a non-GAAP financial measure is a numerical measure of a company’s performance or financial condition that either excludes or includes amounts that are not normally included or excluded in the most directly comparable measure calculated and presented in accorda
Slide 5: Financial Performance
Financial Performance Fourth Quarter: Full Year: • Net sales of $5.5 billion • Net sales of $22.4 billion • Up 6.3% on a reported basis • Up 6.8% on a reported basis and ADS basis • Up 4.6% on an average daily sales ("ADS") basis • Up 6.6% on a constant currency basis* • Up 4.3% on a constant curren
Slide 6: Net Sales By Channel
Net Sales By Channel ($ in millions) Three Months Ended December 31, Year Ended December 31, Average Daily Percent Percent Percent 2025 2024 Change(1) Change(1) 2025 2024 Change(1) Corporate $ 2,369.5 $ 2,344.9 1.0 % (0.6)% $ 9,442.4 $ 8,837.2 6.8 % Small Business 457.0 380.0 20.3 18.4 1,726.7 1,523
Slide 7: Q4 2025 Financial Results
Q4 2025 Financial Results ($ in millions) Three Months Ended December 31, 2025 2024 Percent Change Net sales $ 5,511.0 $ 5,186.0 6.3 % Average daily net sales(1) $ 87.5 $ 83.6 4.6 Gross profit $ 1,254.4 $ 1,155.3 8.6 Gross profit margin 22.8 % 22.3 % Selling and administrative expenses $ 823.7 $ 746
Slide 8: Q4 2025 Earnings Per Diluted Share
Q4 2025 Earnings Per Diluted Share ($ in millions, except per share amounts) Three Months Ended December 31, 2025 2024 Percent Change US GAAP Net income $ 279.5 $ 264.2 5.8 % Weighted-average common shares outstanding - Diluted 130.6 134.4 Net income per diluted share $ 2.14 $ 1.97 8.8 % Non-GAAP ne
Slide 9: Full Year Financial Results
Full Year Financial Results ($ in millions) Year Ended December 31, 2025 2024 Percent Change Net sales $ 22,424.1 $ 20,998.7 6.8 % Average daily net sales(1) $ 88.3 $ 82.7 6.8 Gross profit $ 4,873.4 $ 4,602.4 5.9 Gross profit margin 21.7 % 21.9 % Selling and administrative expenses $ 3,217.8 $ 2,951
Slide 10: Full Year Earnings Per Diluted Share
Full Year Earnings Per Diluted Share ($ in millions, except per share amounts) Year Ended December 31, 2025 2024 Percent Change US GAAP Net income $ 1,066.6 $ 1,077.8 (1.0)% Weighted-average common shares outstanding - Diluted 132.1 135.2 Net income per diluted share $ 8.08 $ 7.97 1.3 % Non-GAAP net
Slide 11: Debt and Revolver Availability
Debt and Revolver Availability ($ in millions) December 31, 2025 December 31, 2024 Cash and cash equivalents $ 618.7 $ 503.5 Short-term investments — 214.2 Total debt 5,629.8 5,842.8 Net debt(1) 5,011.1 5,125.1 Revolver availability 1,925.8 1,244.1 Cash plus revolver availability 2,544.5 1,747.6 (1)
Slide 12: Cash Conversion Cycle
Cash Conversion Cycle (Based on a rolling three-month average) December 31, 2025 December 31, 2024 Days of sales outstanding 95 84 Days of supply in inventory 11 13 Days purchases outstanding (90) (79) Cash conversion cycle 16 18 12
Slide 13: Free Cash Flow and Adjusted Free Cash Flow
Free Cash Flow and Adjusted Free Cash Flow ($ in millions) Three Months Ended December 31, Year Ended December 31, 2025 2024 2025 2024 Net cash provided by operating activities $ 433.8 $ 345.3 $ 1,205.2 $ 1,277.3 Capital expenditures (37.9) (28.6) (117.1) (122.6) Free cash flow* 395.9 316.7 1,088.1
Slide 14: 2026 Capital Allocation Priorities
2026 Capital Allocation Priorities PRIORITIES OBJECTIVES ACTIONS Target ~25% payout of Non-GAAP net ~1% increase in November 2025 Increase Dividend annually income*; grow in-line with earnings to $2.52/share annually Target ~2.0 to 3.0 times Net Leverage Ratio; Maintain Net Leverage Ratio (1) consis
Slide 15: Outlook
• CUSTOMER SPEND U.S. IT growth plus a premium target of ~200 to 300 bps(3) 2026 (1),(2) • GROSS PROFIT Low single-digit growth Outlook • NON-GAAP EARNINGS PER DILUTED SHARE Mid single-digit growth 1. Certain annual outlooks are provided on a non-GAAP basis because certain reconciling items are depe
Slide 16: Modeling Thoughts
Modeling Thoughts Metric Expectations • Mid single-digit sequential declines in Q1 lead to mid single-digit year-over-year growth Gross profit • Closer to 50/50 between 1H and 2H vs historical levels (still slightly 2H weighted) • Currency expected to be neutral to growth for the year • Approximatel
Slide 17: Questions and Answers
Questions and Answers ————————