CDW · 10-Q · 2026Q2 · Full report

Operating Expense Trends

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

Selling and administrative expenses increased $123 million, or 7.8%, to $1,705.2 million in the six months ended June 30, 2026. The increase was primarily attributable to higher compensation expense, including performance-based incentives, and workplace optimization costs. Second-quarter selling and administrative expenses increased $70 million, or 8.6%, to $891.2 million. Workplace optimization charges included workforce reductions and reductions in the real estate lease portfolio, totaling $44.2 million in the six-month non-GAAP operating-income reconciliation versus $12.8 million in the prior-year period.

Key facts

• Selling and administrative expenses increased $70 million, or 8.6%, for the three months ended June 30, 2026 primarily due to higher compensation expense, including performance-based incentives, and workplace optimization costs source
• Selling and administrative expenses increased $123 million, or 7.8%, for the six months ended June 30, 2026 primarily due to higher compensation expense, including performance-based incentives, and workplace optimization costs source
• Headquarters operating loss for three months ended June 30, 2026: $(131.0) million, a $(29.8) million increase versus prior year source
• The company identified current and future legal proceedings, investigations, and audits, including intellectual property infringement claims, as important factors that could cause actual results or events to differ from expectations. source
• Six months ended June 30, 2026 Capital expenditures: $53.9 million source
• Amortization of intangibles included $42.4 million for the three months ended June 30, 2026 and $85.1 million for the six months ended June 30, 2026 source