David S. Schulz
everyone. morning good you, and Thank John,
X% to turn the on markets. currency, and up Momentum including and United customers were end X. In States. food Industrial consecutive several X% growth up in X% This beverage our Canada posted local beginning in again sales sales technology, page broad-based, organically, markets Industrial markets in including were XX% Let's double-digit as represents growth, of quarter with petrochemical, end aerospace. mining, was International year-over-year our improvement. and sixth metals and our
through healthy. and helping is costs, efficiently better and portfolio operate activity opportunity their more our reduce solutions. Accounts pipeline Global bidding Our supply Supply of chain Industrial manage WESCO customers Integrated our our levels projects and extensive remain
During United beverage to for and a awarded the electrical projects in and quarter capital multiyear a contract were support the States. manufacturer we food large supply MRO materials
posted growth of page across X% organic to U.S. in including Canada was with record positive growth Construction a Commercial the level sequentially, again Sales in with and year X% based to up X% and Industrial up up half the continued Canada quarter We quarter. momentum. Turning strong in was providing business currency. grew X. XXXX. the in a outlook sales second broad and to of fourth and local growth X%, U.S. contractors the XX% year-over-year both Sales and again new Backlog consecutive a for this
is time for With services job trades, provide budget. site to help non-residential for customers construction the and growth more demand of and efficiencies gains with seeking their our on value-added chain projects partners. are under skilled supply and current continued from supporting productivity that deliver WESCO customers outlook
wastewater awarded contractor contract in were the a to States. an a This to United for we provide high voltage quarter, treatment to upgrade facility a materials
page to Moving X.
partially market XX%, contractor and quarter, share decrease X% quarter by expanding U.S. Again Utility had we gained the with which another in in sales utility, this very were investor-owned strong relationships was customers. over prior Our our sequentially. Canada local XX% currency. power a in X% up by year the and business sales offset public as grew Utility utility
established products our expanding Over by creating of services, the we scope years, a track Utility while of value have record past our six and success for customers.
increasing sector, energy. renewable the including trends continued consolidation output, Construction are growth, benefit in and positioned for Utility from to market Industrial higher We well demand the secular continued
example logistics existing an of scope infrastructure of service an investor-owned multiyear in project. provide we utility quarter our customer were for an the a this awarded services improvement offerings, expanded support material of contract to As management
Finally, or local delivered Institutional along Canada turning organic in Commercial, in International. X% quarter and X. up growth XX% Government, page strong with growth We CIG, with the currency to on in
Our technical expertise with WESCO solutions projects. on drive to broadband data technology center, and cloud continue growth our and supply customers chain rely who for technology their
We retrofit our are deployments, to and broadband lighting add renovation and solutions. and to through cyber applications, our continuing customers infrastructure LED physical security fiber-to-the-x buildouts value
network of we contract a quarter for awarded this provide materials a outside electric cooperative. build-out an example, fiber-to-the-home an to plant were in As support
X. page to Moving
range. sales Our XX%. quarter the in outlook the for X% was end second and quarter top came for between of sales our growth Actual the at reported
quarter X%. X% prior the in increases. Gross the As sequential in with from and of organic approximately prior earlier, impact this all down gross versus XX.X% due was quarter, XX in The This John the and growth Canada geographies points broad-based the mentioned than in factors. growth with revenue was points favorable the end second included margin in again to year two year sequentially. was markets decline prior U.S. basis margin XX fewer as year-over-year a basis and and posting XX% and and provided Pricing International.
cost the from we Utility to mentioned businesses. align Integrated labor mix policies, company's last certain business from to expense And increase with and costs of proportion lower quarter, in International an cost Supply of second, the with recognition sales associated of reflecting margin services as First, our reclassified traditionally sales. gross operating
compensation resulting related customer million long operating gross of reduced improved gross margin these customer. basis This to the factors continue the of five quarter. increases the an pushing was future outlook informed to increase points On prior unanticipated past was than a were placed represented quarters. initiatives range Operating customer Canadian Margins this our of basis our margin this stabilized XX.X% was for a planned approximately customers. into the partially SG&A bad term classification in for the XX X.X%. July basis, year an margin by from $X approximately X.X% result with charge leverage at lender, sales points prior combined higher will and sales, that points XX quarters, restoration versus million offset We midpoint year. price two in lower to Adjusting year. as through basis we $X.X debt supplier have variable We continue and of benefit factors, first X.X% in execute to prior ceasing points. The of operations. of than XX the line our these improvement while by their in the higher expenses was over XX margin of by basis receivership
QX, valuation planned to at leverage period is would Excluding tax over our for been of end was impact Jobs for favorable quarter points mentioned the of was cost reflect allowance Credit compared outlook one our year debt The assets debt operating results was than of American deferred our X.X base of XX which the range. the profit a of Tax variable the South just this and pull-through certain for points margins the guidance the tax a the prior which quarter, Similar gross percentage basis bad we as Act of have second XX.X%, achieved tax to bad against rate the due of expense entities. to compensation lower prior the top reported and restoring recorded the operating XXXX. EBIT reduced for the incremental effective The XX%. approximately charge, we year. higher X.X% rate charge, by our Adjusting than to
per benefit operating $X.XX, prior share an increase net EPS walk foreign reflects the favorable exchange earnings $X.XX This the a program rate. of tax to lower results, versus diluted page Moving of XX% X, reported favorable increase our share rate, year. repurchase we diluted of on a the and or
page of initiatives. receivable. as income. or flow bit of year increased up prior a reflecting XX, approximately XX% below target cash X% our $XX sales growth in of year-to-date asset drove sales Turning Year-to-date is accounts XX% net increased XX% reported under of the impact to This was higher million, versus capital free support working positive net management
is leverage EBITDA debt leverage back was times net cash EBITDA. trailing target is ratio of XX-months Leverage X.X and within Our range. our X.X times
of and other plus of of discount our million in amortization trailing million outlined and at the XX-months strong with the accounting impact We $XXX,XXX benefit over standard recent borrowing As adopting financial Interest includes $XXX minor including liquidity impact deck the certain accelerated the relatively capacity associated quarter costs loan. quarter. the a $XX the maintain net leverage was available for to defined costs. term approximately the leverage. committed of had cash on This of issuance end in appendix expense the repayments webcast periodic of debt as the
balanced appropriately between rate weighted rate rate Our expect with entire cash to historical quarter, of borrowing history strong average business and was cycle for variable We fixed a the has and is generating the consistent our believe WESCO continue. we X.X% throughout averages. instruments. free this flow debt
Our priorities allocation remain consistent. capital
to invest profitably The first acquisitions cash in priority grow initiatives organic and is our business. strengthen and growth to accretive
EBITDA. a times Second, between X financial we of leverage X.X times target and ratio
through $XXX dilution return stock Third, We under share said buyback that purchase to cash share our to offset we grants. under intend our authorization. to million shareholders from three-year equity we repurchase previously authorization buyback
expect do to which the timing subject later We this to conditions. market so year is of
to jurisdictions. options in held evaluate We to cash continue repatriate foreign
use existing priorities. with any consistent our of will repatriated We our expect be cash allocation capital that
to full year slide on quarter and Now let's outlook for our XX. the XXXX turn third
range growth sales of of For operating third projecting X.X%. the are to X% the to to an be margin X% we X.X% in and quarter
have third period. impacted discussed, comparison by be expense variable will not quarter the in unfavorably EBIT previously compensation As base we lower
of effective an tax rate expecting are approximately the XX% quarter. We in
of $X.XX excluding range $X EPS expect outlook midpoint our the range increasing any repurchase We in of range. the now of growth X% X% sales EPS in growth and activity. share We our the are to in guidance diluted sales diluted to
rate adjusting of differ X.X% expect in charge Tax Note X.X%. this resulting IRS. be tax comply Cuts certain XXXX to operating margin cause to tax expect could and and Act bad Jobs effective the to between to items basis the our ago are Discrete now to from effective TCJA to continue to We that operating adjustments the guidance outlook that moment we an ultimately And rate points XX%. booked from to the including subject further estimates expectation. midpoint XX% margin of debt and with our I the reflect impacts the X from a remain provisional discussed
the generating We John? also free like call are comments of than expectation net income. questions. make to reaffirming a we XX% open cash of flow our before John of few more additional to would
