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Why Wesco International (WCC) International Revenue Trends Deserve Your Attention

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Have you looked into how Wesco International (WCC - Free Report) performed internationally during the quarter ending March 2025? Considering the widespread global presence of this maker of electrical and industrial maintenance supplies and construction materials, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.

In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of growth. For investors, the key is to grasp how reliant a company is on overseas markets, as this provides insights into the durability of its earnings, its ability to exploit different economic cycles, and its overall growth capabilities.

Presence in international markets can act as a hedge against domestic economic downturns and provide access to faster-growing economies. However, this diversification also brings complexities due to currency fluctuations, geopolitical risks and differing market dynamics.

While analyzing WCC's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.

The company's total revenue for the quarter amounted to $5.34 billion, marking a decrease of 0.1% from the year-ago quarter. We will next turn our attention to dissecting WCC's international revenue to get a clearer picture of how significant its operations are outside its main base.

Unveiling Trends in WCC's International Revenues

Of the total revenue, $712.8 million came from Canada during the last fiscal quarter, accounting for 13.34%. This represented a surprise of +1.68% as analysts had expected the region to contribute $701.01 million to the total revenue. In comparison, the region contributed $713.5 million, or 12.97%, and $718.5 million, or 13.43%, to total revenue in the previous and year-ago quarters, respectively.

During the quarter, Other International contributed $656.3 million in revenue, making up 12.28% of the total revenue. When compared to the consensus estimate of $707.09 million, this meant a surprise of -7.18%. Looking back, Other International contributed $685.9 million, or 12.47%, in the previous quarter, and $633.9 million, or 11.85%, in the same quarter of the previous year.

Revenue Forecasts for the International Markets

Wall Street analysts expect Wesco International to report a total revenue of $5.74 billion in the current fiscal quarter, which suggests an increase of 4.8% from the prior-year quarter. Revenue shares from Canada and Other International are predicted to be 12.9% and 15.8%, corresponding to amounts of $739.24 million and $905.72 million, respectively.

For the full year, a total revenue of $22.46 billion is expected for the company, reflecting an increase of 2.9% from the year before. The revenues from Canada and Other International are expected to make up 13.5% and 12.5% of this total, corresponding to $3.02 billion and $2.81 billion respectively.

In Conclusion

Relying on international markets for revenues, Wesco International faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.

In a world where international interdependencies and geopolitical conflicts are ever-increasing, Wall Street analysts closely monitor these trends for companies having international presence to adjust their earnings forecasts. Of course, there are several other factors, including a company's standing within its home borders, that influence analysts' earnings forecasts.

At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.

With an impressive externally audited track record, our proprietary stock rating tool - the Zacks Rank - harnesses the power of earnings estimate revisions and serves as an effective indicator of a stock's near-term price performance.

Currently, Wesco International holds a Zacks Rank #3 (Hold), signifying its potential to match the overall market's performance in the forthcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Examining the Latest Trends in Wesco International's Stock Value

Over the preceding four weeks, the stock's value has appreciated by 14.4%, against an upturn of 9.1% in the Zacks S&P 500 composite. In parallel, the Zacks Computer and Technology sector, which counts Wesco International among its entities, has appreciated by 11.9%. Over the past three months, the company's shares have seen a decline of 12.8% versus the S&P 500's 3.1% decline. The sector overall has witnessed a decline of 6.8% over the same period.

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