CDW · 8-K · 20260805PR000062

Gross Margin Drivers

CDW Corp · 2026-08-05 · Importance 49 · Surprise 32

Second-quarter gross profit increased 6.3% to $1,319.8 million from $1,241.2 million. Gross profit margin declined to 20.1% from 20.8%, a 70-basis-point decrease despite higher gross profit. The margin reduction was primarily caused by mix into and lower margins in certain hardware categories. A higher contribution of netted-down revenue partially offset the hardware-related pressure.

Key facts

• Gross profit in the second quarter of 2026 was $1,320 million, compared to $1,241 million for the second quarter of 2025, representing an increase of 6.3 percent. source
• Gross profit margin was 20.1 percent in the second quarter of 2026 compared to 20.8 percent in the second quarter of 2025. source
• Operating income margin was 6.5 percent for the second quarter of 2026 and 7.0 percent for the second quarter of 2025. source
• Non-GAAP operating income margin was 8.5 percent for the second quarter of 2026 and 8.7 percent for the second quarter of 2025. source
• The decrease in Gross profit margin was primarily driven by mix into and lower margin in certain hardware categories, partially offset by a higher contribution of netted down revenue. source