CDW CEO Christine Leahy weighed in today on her company's significant revenue drop during its first quarter 2023 as well as recent layoffs conducted by the $20bn IT giant.
"We are operating in choppy waters right now," said Leahy during CDW's earnings report this morning with media and analysts.
CRN breaks down the five biggest remarks made by Christine Leahy during CDW's earnings call today around recent layoffs, why the company witnessed such a large drop in sales, and how total revenue in 2023 is expected to be lower than 2022.
Before jumping into Leahy's boldest statements during today's earnings call, CRN takes a look at CDW's Q1 2023 results.
CDW generated total revenue of $5.1bn in the first quarter, representing a sales decline of more than 14 per cent year over year, compared to nearly $6bn in first quarter 2022.
"Large commercial customer client device declines had the greatest category impact as corporates worked through the impact of slower hiring and layoffs," said CDW's CEO Leahy.
The Vernon Hills, Ill.-based company reported net income declining 8 percent year over year from $250 million in first-quarter 2022 to $230m in first-quarter 2023. CDW's gross profit slightly dropped one per cent year over year to $1.09bn in first-quarter 2023. The company's operating income was $355 million in the quarter, representing a decrease of right per cent year over year.
CDW's stock is currently trading at $167.70 per share as of Wednesday afternoon, which is nearly flat compared to Tuesday.
Here's what Christine Leahy had to say about CDW's first quarter financial earnings results.
Click through to see what drove the decline in sales, and see how CEO Christine Leahy communicated the "tough decision" to reduce the reseller's workforce...
