Wesco posts $7.2 billion third-quarter sales as data centers surge

Wesco’s third-quarter reported net sales reached $7.2 billion, a record and 17% above the year-earlier period. Sales were also up 8% sequentially, while organic sales increased 17% year over year. Data-center sales totaled $1.8 billion, up about 55% year over year, and non-data-center sales rose 7%.

The quarter extends a growth acceleration relative to Wesco’s FY 2025 revenue of $23.5 billion, which increased 7.8% year over year. The latest result also included a record total-company backlog, up about 80% year over year, indicating that the reported sales increase was accompanied by a larger forward order book.

The data-center business is the clearest named growth engine, connecting Wesco to spending on electrical and infrastructure equipment for data-center capacity. The non-data-center business also expanded, though at a slower 7% year-over-year rate, giving the quarter a broader base than data-center demand alone.

Third-quarter operating margin was 6.2%, up 60 basis points. The reported figures do not establish how much of the margin improvement came from mix, pricing, productivity or volume, leaving the durability of the step-up as an open point.

The next checkpoints are Wesco’s fourth-quarter results and whether data-center growth, non-data-center sales and backlog conversion remain at the reported pace. Investors will also have to assess whether operating margin holds above the company’s FY 2025 net margin of 2.7% on a comparable basis.