2023-04-18 16:28:10 ET
- Shares of CDW ( NASDAQ: CDW ) fell 10.7% to $170 in post-market trading on Tuesday after the provider of IT products reported preliminary Q1 net sales significantly below consensus.
- The company said Q1 net sales were about $5.1B, compared to a consensus revenue estimate of $5.58B.
- "The first quarter was marked by a period of intensifying economic uncertainty that led our customers to spend more cautiously and prioritize mission critical initiatives," CDW CEO Christine Leahy said in a statement.
- "This demand contraction resulted in first-quarter performance below our expectations. Volume declines were most acute with our largest commercial customers and across transactional products," Leahy added.
- The company also said that it now expects FY 2023 adj. EPS to be "modestly below" FY 2022.
- Additionally, CDW said its Q1 adj. operating income margin came in at the low end of its FY range.
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CDW stock slips ~11% after hours as preliminary Q1 sales comes in below consensus