CDW has had a miserable third quarter. Not only was it hacked by an aggressive ransomware outfit it also saw net sales for the period amounting to £4.61 billion globally.
This figure was a 9.4 per cent decrease compared to $6.2 billion in the third quarter of 2022.
The IT giant’s UK and Canadian operations reported combined net sales of $601 million, a 15.4 per cent decrease compared to 2022.
Most of the problems were poor sales in the corporate and small business segments as businesses faced economic uncertainties.
Gross profit in the third quarter of 2023 stood at $1.2 billion, representing a slight decrease of 0.4 per cent compared to the 1.2 per cent reported for the third quarter of 2022.
The gross profit margin expanded to 21.8 per cent in the third quarter of 2023, up from 19.8 per cent in the third quarter of 2022, driven by higher product margins, improved margin rates across various categories, and a more favourable contribution of netted down revenue, especially in software-as-a-service offerings.
Public segment net sales saw a 1.5 per cent increase in 2023, primarily due to higher sales to healthcare and education customers. Government customer sales remained flat.
Net sales in the corporate and small business segments saw declines of 12.3 per cent and 21.7 per cent, respectively.
This is similar to what happened in the second quarter and the company hoped to fix all that with layoffs in April.
