CDW Provides Business Updates on Impact of COVID-19

LINCOLNSHIRE, Ill., April 16, 2020 (GLOBE NEWSWIRE) -- CDW Corporation (Nasdaq:CDW) today announced updates related to the novel coronavirus, COVID-19.

“Our mission at CDW is to help our customers navigate change and be successful in an ever-evolving world.  This mission is even more relevant during the current COVID-19 crisis,” said Christine A. Leahy, chief executive officer, CDW. “First quarter demand was strong as customers looked to CDW to meet urgent needs for greater technology capabilities.  CDW teams have worked tirelessly to safeguard the health and well-being of each other and to continue delivering for our customers at this time of great need.”

“Given the depth and duration of the pandemic is unknown, it is too early to predict the full impact of COVID-19 on our business.  We are committed to deliver on our mission by providing the essential technology required across all sectors of the economy – from vital healthcare, education and government entities to businesses of all sizes – as organizations strive to achieve their goals during this pandemic,” concluded Leahy. 

Business Update
For the first quarter, preliminary Net sales are expected to be $4.39 billion, Operating income is expected to be $246 million and Non-GAAP operating income is expected to be $304 million.  Net income per diluted share is expected to be $1.16 and Non-GAAP net income per diluted share is expected to be $1.38.  Non-GAAP operating income and Non-GAAP net income per diluted share are measures that are not based on accounting principles generally accepted in the United States (“GAAP”). Reconciliations to the most directly comparable GAAP measures are included in the attached schedules.  These preliminary results have not been reviewed, audited or subjected to any agreed-upon procedures by our independent registered public accounting firm.  Final results for the first quarter may ultimately differ from these preliminary results. 

CDW is focused on the well-being and safety of its coworkers, leveraging standing crisis management protocols and following guidelines from public health authorities. CDW implemented precautions to help keep its coworkers healthy and safe, including activating a cross-functional response team led by Executive Committee members, moving to remote working for its office coworkers, and implementing safety protocols at its distribution centers, including social distancing measures, segmented shifts, additional personal protective equipment, enhanced facility cleanings, and temperature screening for anyone entering the facilities.  In recent weeks, to limit the virus spread after a few coworkers tested positive for COVID-19, CDW decided to close its Vernon Hills, Illinois distribution center for several days and to require a shift of configuration center coworkers to self-isolate.  CDW has continued to pay its affected coworkers their wages.  These actions have not had a material impact to date as the company leveraged flexibility in its distribution and configuration capabilities where possible, and where not, shipping times modestly increased.