Wesco International — No. 1 on MDM’s 2026 Top Electrical/Data/Security Distributors list — reported record 3Q26 sales of $7.23 billion, up 16.6% year-over-year and 8.4% sequentially, as growth accelerated across all three business units.

Organic sales increased 16.6%, driven by strong volume growth and an estimated 3% pricing benefit. Data center sales jumped approximately 55% to $1.8 billion, while non-data center sales increased 7%. Wesco’s backlog surged approximately 80% to another record, with all three business units reaching new highs.

“Our customers continue to invest in major capital and infrastructure projects,” Chairman, President and CEO John Engel said, emphasizing growing multi-year customer commitments and Wesco’s expanding services portfolio.

Gross margin improved 40 basis points to 21.7%. Adjusted EBITDA increased 33% to a record $562 million, while margin expanded 100 basis points to 7.8%. Free cash flow totaled $184 million.

Wesco Leads Distributor Trio on Fortune’s AIQ 75 Ranking

By business unit:

• Communications and Security Solutions: Sales climbed 22% to $2.93 billion, including approximately 40% growth for Wesco Data Center Solutions. Backlog increased about 140%, while adjusted EBITDA margin expanded 160 basis points to a record 10.7%.
• Electrical and Electronic Solutions: Sales jumped 18% to $2.77 billion. Construction grew mid-teens, industrial increased mid-single digits and OEM sales rose approximately 30%. Data center sales more than doubled, while non-data center sales grew high-single digits. Backlog increased about 40%.
• Utility and Broadband Solutions: Sales increased 6% to $1.52 billion, with utility sales up high-single digits and broadband flat against a strong year-earlier comparison. Backlog climbed approximately 90%, driven by Grid Services activity, while adjusted EBITDA margin held at 10.4%.

Wesco’s Outlook

Wesco again raised its full-year 2026 outlook, now projecting reported sales growth of 14%-15% and revenue of $26.8 billion-$27 billion, up from its July forecast of $25.9 billion-$26.3 billion. Its organic growth outlook increased to 13%-14% from 9%-11%, while expected adjusted EBITDA margin rose to approximately 7.2%.

The company expects fourth-quarter sales growth in the low- to mid-teens, with preliminary October sales per workday up high-teens.

The results follow Wesco’s July 1 completion of its approximately $136 million acquisition of Singapore-based Newark Engineering Group, expanding its data center cooling and lifecycle services capabilities. On Oct. 15, Wesco also opened its first technology deployment center in Irving, TX, enabling preassembly, integration and testing of AI-ready data center infrastructure.

MDM Analysis

Wesco’s accelerating growth offers encouraging signals for distributors serving electrical, industrial and infrastructure markets. Data centers remain the standout driver, but 7% growth outside that market, double-digit gains in construction and improving industrial demand suggest broader strength. With volume accounting for most of its growth, the results point to genuine demand expansion rather than inflation-driven gains. Meanwhile, an 80% backlog increase and Wesco’s expanding engineering and deployment services underscore how large-project capabilities can deepen customer relationships and provide longer-term revenue visibility.