þ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |
For the quarterly period ended March 31, 2018 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |
For the transition period from to |
Delaware (State or other jurisdiction of incorporation or organization) | 25-1723342 (I.R.S. Employer Identification No.) | |
225 West Station Square Drive Suite 700 Pittsburgh, Pennsylvania (Address of principal executive offices) | 15219 (Zip Code) |
Large accelerated filer þ | Accelerated filer o | |||
Non-accelerated filer o (Do not check if a smaller reporting company) | Smaller reporting company o | |||
Emerging growth company o | ||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o |
Page | |
PART I—FINANCIAL INFORMATION | |
PART II—OTHER INFORMATION | |
As of | |||||||
March 31, 2018 | December 31, 2017 | ||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 123,897 | $ | 117,953 | |||
Trade accounts receivable, net of allowance for doubtful accounts of $22,979 and $21,313 in 2018 and 2017, respectively | 1,205,046 | 1,170,080 | |||||
Other accounts receivable | 71,328 | 101,229 | |||||
Inventories | 949,511 | 956,148 | |||||
Prepaid expenses and other current assets | 68,889 | 63,439 | |||||
Total current assets | 2,418,671 | 2,408,849 | |||||
Property, buildings and equipment, net of accumulated depreciation of $281,818 and $278,455 in 2018 and 2017, respectively | 156,364 | 156,445 | |||||
Intangible assets, net of accumulated amortization of $73,824 and $66,800 in 2018 and 2017, respectively | 353,298 | 367,104 | |||||
Goodwill | 1,755,679 | 1,771,877 | |||||
Other assets | 29,301 | 31,193 | |||||
Total assets | $ | 4,713,313 | $ | 4,735,468 | |||
Liabilities and Stockholders’ Equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 805,380 | $ | 799,520 | |||
Accrued payroll and benefit costs | 47,411 | 72,686 | |||||
Short-term debt | 41,692 | 34,075 | |||||
Current portion of long-term debt | 1,210 | 1,224 | |||||
Bank overdrafts | 27,072 | 37,644 | |||||
Other current liabilities | 98,836 | 95,820 | |||||
Total current liabilities | 1,021,601 | 1,040,969 | |||||
Long-term debt, net of debt discount and debt issuance costs of $13,234 and $14,224 in 2018 and 2017, respectively | 1,292,094 | 1,313,261 | |||||
Deferred income taxes | 138,767 | 136,858 | |||||
Other noncurrent liabilities | 127,937 | 128,237 | |||||
Total liabilities | $ | 2,580,399 | $ | 2,619,325 | |||
Commitments and contingencies (Note 10) | |||||||
Stockholders’ equity: | |||||||
Preferred stock, $.01 par value; 20,000,000 shares authorized, no shares issued or outstanding | — | — | |||||
Common stock, $.01 par value; 210,000,000 shares authorized, 59,117,702 and 59,045,762 shares issued and 47,075,959 and 47,009,540 shares outstanding in 2018 and 2017, respectively | 591 | 591 | |||||
Class B nonvoting convertible common stock, $.01 par value; 20,000,000 shares authorized, 4,339,431 issued and no shares outstanding in 2018 and 2017, respectively | 43 | 43 | |||||
Additional capital | 1,001,794 | 999,156 | |||||
Retained earnings | 2,124,535 | 2,079,697 | |||||
Treasury stock, at cost; 16,381,174 and 16,375,653 shares in 2018 and 2017, respectively | (647,613 | ) | (647,158 | ) | |||
Accumulated other comprehensive loss | (341,390 | ) | (312,590 | ) | |||
Total WESCO International, Inc. stockholders' equity | 2,137,960 | 2,119,739 | |||||
Noncontrolling interests | (5,046 | ) | (3,596 | ) | |||
Total stockholders’ equity | 2,132,914 | 2,116,143 | |||||
Total liabilities and stockholders’ equity | $ | 4,713,313 | $ | 4,735,468 |
Three Months Ended | |||||||
March 31, | |||||||
2018 | 2017 | ||||||
Net sales (Note 3) | $ | 1,993,915 | $ | 1,772,591 | |||
Cost of goods sold (excluding depreciation and | |||||||
amortization) | 1,613,966 | 1,422,573 | |||||
Selling, general and administrative expenses (Note 8) | 290,829 | 267,419 | |||||
Depreciation and amortization | 15,879 | 15,965 | |||||
Income from operations | 73,241 | 66,634 | |||||
Net interest and other (Notes 8 and 9) | 19,783 | 16,266 | |||||
Income before income taxes | 53,458 | 50,368 | |||||
Provision for income taxes | 10,487 | 12,568 | |||||
Net income | 42,971 | 37,800 | |||||
Less: Net (loss) income attributable to noncontrolling interests | (1,450 | ) | 71 | ||||
Net income attributable to WESCO International, Inc. | $ | 44,421 | $ | 37,729 | |||
Other comprehensive income (loss): | |||||||
Foreign currency translation adjustments | (28,800 | ) | 11,568 | ||||
Post retirement benefit plan adjustments, net of tax | — | 252 | |||||
Comprehensive income attributable to WESCO International, Inc. | $ | 15,621 | $ | 49,549 | |||
Earnings per share attributable to WESCO International, Inc. | |||||||
Basic | $ | 0.94 | $ | 0.77 | |||
Diluted | $ | 0.93 | $ | 0.76 |
Three Months Ended | |||||||
March 31, | |||||||
2018 | 2017 | ||||||
Operating activities: | |||||||
Net income | $ | 42,971 | $ | 37,800 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Depreciation and amortization | 15,879 | 15,965 | |||||
Deferred income taxes | 2,736 | 2,290 | |||||
Other operating activities, net | 5,085 | 4,680 | |||||
Changes in assets and liabilities: | |||||||
Trade accounts receivable, net | (37,509 | ) | (22,083 | ) | |||
Other accounts receivable | 29,986 | 18,251 | |||||
Inventories | 2,992 | (26,362 | ) | ||||
Prepaid expenses and other assets | 4,817 | 6,870 | |||||
Accounts payable | 8,077 | 26,071 | |||||
Accrued payroll and benefit costs | (24,561 | ) | (21,768 | ) | |||
Other current and noncurrent liabilities | 2,520 | 5,926 | |||||
Net cash provided by operating activities | 52,993 | 47,640 | |||||
Investing activities: | |||||||
Capital expenditures | (7,662 | ) | (4,490 | ) | |||
Other investing activities | (8,760 | ) | 33 | ||||
Net cash used in investing activities | (16,422 | ) | (4,457 | ) | |||
Financing activities: | |||||||
Proceeds from issuance of short-term debt | 57,919 | 30,130 | |||||
Repayments of short-term debt | (52,220 | ) | (23,892 | ) | |||
Proceeds from issuance of long-term debt | 493,000 | 288,673 | |||||
Repayments of long-term debt | (515,000 | ) | (342,673 | ) | |||
Repurchases of common stock | (1,661 | ) | (6,536 | ) | |||
(Decrease) increase in bank overdrafts | (10,575 | ) | 4,062 | ||||
Other financing activities, net | (290 | ) | (452 | ) | |||
Net cash used in financing activities | (28,827 | ) | (50,688 | ) | |||
Effect of exchange rate changes on cash and cash equivalents | (1,800 | ) | 374 | ||||
Net change in cash and cash equivalents | 5,944 | (7,131 | ) | ||||
Cash and cash equivalents at the beginning of period | 117,953 | 110,131 | |||||
Cash and cash equivalents at the end of period | $ | 123,897 | $ | 103,000 | |||
Supplemental disclosures: | |||||||
Cash paid for interest | $ | 4,607 | $ | 3,792 | |||
Cash paid for income taxes | 5,505 | 2,042 |
Three Months Ended | |||||||
March 31, | |||||||
(In thousands) | 2018 | 2017 | |||||
Industrial | $ | 758,976 | $ | 678,292 | |||
Construction | 637,800 | 571,636 | |||||
Utility | 315,546 | 266,259 | |||||
Commercial, Institutional and Government ("CIG") | 281,593 | 256,404 | |||||
Total by end market | $ | 1,993,915 | $ | 1,772,591 |
Three Months Ended | |||||||
March 31, | |||||||
(In thousands) | 2018 | 2017 | |||||
United States | $ | 1,482,718 | $ | 1,343,217 | |||
Other (1) | 511,197 | 429,374 | |||||
Total by geography | $ | 1,993,915 | $ | 1,772,591 |
(1) | Other primarily includes net sales to customers in Canada. |
Three Months Ended | |||||||
March 31, | |||||||
(In thousands) | 2018 | 2017 | |||||
Beginning balance January 1 | $ | 1,771,877 | $ | 1,720,714 | |||
Foreign currency exchange rate changes | (16,198 | ) | 4,833 | ||||
Ending balance March 31 | $ | 1,755,679 | $ | 1,725,547 |
Three Months Ended | |||||||
March 31, 2018 | March 31, 2017 | ||||||
Stock-settled stock appreciation rights granted | 491,229 | 443,731 | |||||
Weighted-average fair value | $ | 18.40 | $ | 20.65 | |||
Restricted stock units granted | 114,269 | 98,680 | |||||
Weighted-average fair value | $ | 62.81 | $ | 71.65 | |||
Performance-based awards granted | 44,144 | 39,978 | |||||
Weighted-average fair value | $ | 62.80 | $ | 76.63 |
Three Months Ended | |||||
March 31, 2018 | March 31, 2017 | ||||
Risk free interest rate | 2.5 | % | 1.9 | % | |
Expected life (in years) | 5 | 5 | |||
Expected volatility | 28 | % | 29 | % |
Awards | Weighted- Average Exercise Price | Weighted- Average Remaining Contractual Term (In years) | Aggregate Intrinsic Value (In thousands) | |||||||||
Outstanding at December 31, 2017 | 2,238,607 | $ | 57.75 | |||||||||
Granted | 491,229 | 62.81 | ||||||||||
Exercised | (93,145 | ) | 42.52 | |||||||||
Forfeited | (48,248 | ) | 65.57 | |||||||||
Outstanding at March 31, 2018 | 2,588,443 | 59.11 | 6.6 | $ | 19,575 | |||||||
Exercisable at March 31, 2018 | 1,639,025 | $ | 57.81 | 5.1 | $ | 16,000 |
Awards | Weighted- Average Fair Value | |||||
Unvested at December 31, 2017 | 290,054 | $ | 58.11 | |||
Granted | 114,269 | 62.81 | ||||
Vested | (57,175 | ) | 69.44 | |||
Forfeited | (8,572 | ) | 56.00 | |||
Unvested at March 31, 2018 | 338,576 | $ | 57.84 |
Awards | Weighted- Average Fair Value | |||||
Unvested at December 31, 2017 | 148,508 | $ | 60.23 | |||
Granted | 44,144 | 62.80 | ||||
Vested | — | — | ||||
Forfeited | (46,858 | ) | 65.44 | |||
Unvested at March 31, 2018 | 145,794 | $ | 59.33 |
Three Months Ended | |||||||
March 31, 2018 | March 31, 2017 | ||||||
Grant date share price | $ | 62.80 | $ | 71.65 | |||
WESCO expected volatility | n/a | 29 | % | ||||
Peer group median volatility | n/a | 24 | % | ||||
Risk-free interest rate | n/a | 1.5 | % | ||||
Correlation of peer company returns | n/a | 114 | % |
Three Months Ended | |||||||
March 31, | |||||||
(In thousands, except per share data) | 2018 | 2017 | |||||
Net income attributable to WESCO International, Inc. | $ | 44,421 | $ | 37,729 | |||
Weighted-average common shares outstanding used in computing basic earnings per share | 47,038 | 48,707 | |||||
Common shares issuable upon exercise of dilutive equity awards | 570 | 694 | |||||
Weighted-average common shares outstanding and common share equivalents used in computing diluted earnings per share | 47,608 | 49,401 | |||||
Earnings per share attributable to WESCO International, Inc. | |||||||
Basic | $ | 0.94 | $ | 0.77 | |||
Diluted | $ | 0.93 | $ | 0.76 |
Three Months Ended | |||||||
March 31, | |||||||
(In thousands) | 2018 | 2017 | |||||
Service cost | $ | 1,347 | $ | 1,068 | |||
Interest cost | 1,066 | 962 | |||||
Expected return on plan assets | (1,540 | ) | (1,368 | ) | |||
Recognized actuarial gain | (12 | ) | (49 | ) | |||
Net periodic benefit cost | $ | 861 | $ | 613 |
Condensed Consolidating Balance Sheet | |||||||||||||||||||
March 31, 2018 | |||||||||||||||||||
(In thousands) | WESCO International, Inc. | WESCO Distribution, Inc. | Non-Guarantor Subsidiaries | Consolidating and Eliminating Entries | Consolidated | ||||||||||||||
Cash and cash equivalents | $ | — | $ | 66,313 | $ | 57,584 | $ | — | $ | 123,897 | |||||||||
Trade accounts receivable, net | — | — | 1,205,046 | — | 1,205,046 | ||||||||||||||
Inventories | — | 424,167 | 525,344 | — | 949,511 | ||||||||||||||
Prepaid expenses and other current assets | 4,943 | 23,444 | 131,937 | (20,107 | ) | 140,217 | |||||||||||||
Total current assets | 4,943 | 513,924 | 1,919,911 | (20,107 | ) | 2,418,671 | |||||||||||||
Intercompany receivables, net | — | — | 2,230,504 | (2,230,504 | ) | — | |||||||||||||
Property, buildings and equipment, net | — | 52,249 | 104,115 | — | 156,364 | ||||||||||||||
Intangible assets, net | — | 2,611 | 350,687 | — | 353,298 | ||||||||||||||
Goodwill | — | 257,623 | 1,498,056 | — | 1,755,679 | ||||||||||||||
Investments in affiliates | 3,072,786 | 5,040,227 | — | (8,113,013 | ) | — | |||||||||||||
Other assets | — | 2,780 | 26,521 | — | 29,301 | ||||||||||||||
Total assets | $ | 3,077,729 | $ | 5,869,414 | $ | 6,129,794 | $ | (10,363,624 | ) | $ | 4,713,313 | ||||||||
Accounts payable | $ | — | $ | 422,681 | $ | 382,699 | $ | — | $ | 805,380 | |||||||||
Short-term debt | — | — | 41,692 | — | 41,692 | ||||||||||||||
Other current liabilities | — | 53,780 | 140,856 | (20,107 | ) | 174,529 | |||||||||||||
Total current liabilities | — | 476,461 | 565,247 | (20,107 | ) | 1,021,601 | |||||||||||||
Intercompany payables, net | 935,949 | 1,294,555 | — | (2,230,504 | ) | — | |||||||||||||
Long-term debt, net | — | 902,701 | 389,393 | — | 1,292,094 | ||||||||||||||
Other noncurrent liabilities | 3,820 | 122,911 | 139,973 | — | 266,704 | ||||||||||||||
Total WESCO International, Inc. stockholders' equity | 2,137,960 | 3,072,786 | 5,040,227 | (8,113,013 | ) | 2,137,960 | |||||||||||||
Noncontrolling interests | — | — | (5,046 | ) | — | (5,046 | ) | ||||||||||||
Total liabilities and stockholders’ equity | $ | 3,077,729 | $ | 5,869,414 | $ | 6,129,794 | $ | (10,363,624 | ) | $ | 4,713,313 |
Condensed Consolidating Balance Sheet | |||||||||||||||||||
December 31, 2017 | |||||||||||||||||||
(In thousands) | WESCO International, Inc. | WESCO Distribution, Inc. | Non-Guarantor Subsidiaries | Consolidating and Eliminating Entries | Consolidated | ||||||||||||||
Cash and cash equivalents | $ | — | $ | 50,602 | $ | 67,351 | $ | — | $ | 117,953 | |||||||||
Trade accounts receivable, net | — | — | 1,170,080 | — | 1,170,080 | ||||||||||||||
Inventories | — | 430,092 | 526,056 | — | 956,148 | ||||||||||||||
Prepaid expenses and other current assets | 4,730 | 42,547 | 152,531 | (35,140 | ) | 164,668 | |||||||||||||
Total current assets | 4,730 | 523,241 | 1,916,018 | (35,140 | ) | 2,408,849 | |||||||||||||
Intercompany receivables, net | — | — | 2,189,136 | (2,189,136 | ) | — | |||||||||||||
Property, buildings and equipment, net | — | 50,198 | 106,247 | — | 156,445 | ||||||||||||||
Intangible assets, net | — | 2,770 | 364,334 | — | 367,104 | ||||||||||||||
Goodwill | — | 257,623 | 1,514,254 | — | 1,771,877 | ||||||||||||||
Investments in affiliates | 3,058,613 | 5,023,826 | — | (8,082,439 | ) | — | |||||||||||||
Other assets | — | 2,778 | 28,415 | — | 31,193 | ||||||||||||||
Total assets | $ | 3,063,343 | $ | 5,860,436 | $ | 6,118,404 | $ | (10,306,715 | ) | $ | 4,735,468 | ||||||||
Accounts payable | $ | — | $ | 417,690 | $ | 381,830 | $ | — | $ | 799,520 | |||||||||
Short-term debt | — | — | 34,075 | — | 34,075 | ||||||||||||||
Other current liabilities | — | 80,039 | 162,475 | (35,140 | ) | 207,374 | |||||||||||||
Total current liabilities | — | 497,729 | 578,380 | (35,140 | ) | 1,040,969 | |||||||||||||
Intercompany payables, net | 939,784 | 1,249,352 | — | (2,189,136 | ) | — | |||||||||||||
Long-term debt, net | — | 934,033 | 379,228 | — | 1,313,261 | ||||||||||||||
Other noncurrent liabilities | 3,820 | 120,709 | 140,566 | — | 265,095 | ||||||||||||||
Total WESCO International, Inc. stockholders' equity | 2,119,739 | 3,058,613 | 5,023,826 | (8,082,439 | ) | 2,119,739 | |||||||||||||
Noncontrolling interests | — | — | (3,596 | ) | — | (3,596 | ) | ||||||||||||
Total liabilities and stockholders’ equity | $ | 3,063,343 | $ | 5,860,436 | $ | 6,118,404 | $ | (10,306,715 | ) | $ | 4,735,468 |
Condensed Consolidating Statement of Income and Comprehensive Income | |||||||||||||||||||
Three Months Ended | |||||||||||||||||||
March 31, 2018 | |||||||||||||||||||
(In thousands) | WESCO International, Inc. | WESCO Distribution, Inc. | Non-Guarantor Subsidiaries | Consolidating and Eliminating Entries | Consolidated | ||||||||||||||
Net sales | $ | — | $ | 882,399 | $ | 1,150,110 | $ | (38,594 | ) | $ | 1,993,915 | ||||||||
Cost of goods sold (excluding depreciation and | |||||||||||||||||||
amortization) | — | 716,258 | 936,302 | (38,594 | ) | 1,613,966 | |||||||||||||
Selling, general and administrative expenses | — | 150,482 | 140,347 | — | 290,829 | ||||||||||||||
Depreciation and amortization | — | 4,616 | 11,263 | — | 15,879 | ||||||||||||||
Results of affiliates’ operations | 42,971 | 45,200 | — | (88,171 | ) | — | |||||||||||||
Net interest and other | — | 13,816 | 5,967 | — | 19,783 | ||||||||||||||
Income tax (benefit) expense | — | (544 | ) | 11,031 | — | 10,487 | |||||||||||||
Net income | 42,971 | 42,971 | 45,200 | (88,171 | ) | 42,971 | |||||||||||||
Net loss attributable to noncontrolling interests | — | — | (1,450 | ) | — | (1,450 | ) | ||||||||||||
Net income attributable to WESCO International, Inc. | $ | 42,971 | $ | 42,971 | $ | 46,650 | $ | (88,171 | ) | $ | 44,421 | ||||||||
Other comprehensive loss: | |||||||||||||||||||
Foreign currency translation adjustments | (28,800 | ) | (28,800 | ) | (28,800 | ) | 57,600 | (28,800 | ) | ||||||||||
Comprehensive income attributable to WESCO International, Inc. | $ | 14,171 | $ | 14,171 | $ | 17,850 | $ | (30,571 | ) | $ | 15,621 |
Condensed Consolidating Statement of Income and Comprehensive Income | |||||||||||||||||||
Three Months Ended | |||||||||||||||||||
March 31, 2017 | |||||||||||||||||||
(In thousands) | WESCO International, Inc. | WESCO Distribution, Inc. | Non-Guarantor Subsidiaries | Consolidating and Eliminating Entries | Consolidated | ||||||||||||||
Net sales | $ | — | $ | 778,611 | $ | 1,019,654 | $ | (25,674 | ) | $ | 1,772,591 | ||||||||
Cost of goods sold (excluding depreciation and | |||||||||||||||||||
amortization) | — | 621,748 | 826,499 | (25,674 | ) | 1,422,573 | |||||||||||||
Selling, general and administrative expenses | — | 135,257 | 132,162 | — | 267,419 | ||||||||||||||
Depreciation and amortization | — | 4,753 | 11,212 | — | 15,965 | ||||||||||||||
Results of affiliates’ operations | 37,800 | 34,428 | — | (72,228 | ) | — | |||||||||||||
Net interest and other | — | 21,008 | (4,742 | ) | — | 16,266 | |||||||||||||
Income tax (benefit) expense | — | (1,037 | ) | 13,605 | — | 12,568 | |||||||||||||
Net income | 37,800 | 31,310 | 40,918 | (72,228 | ) | 37,800 | |||||||||||||
Net income attributable to noncontrolling interests | — | — | 71 | — | 71 | ||||||||||||||
Net income attributable to WESCO International, Inc. | $ | 37,800 | $ | 31,310 | $ | 40,847 | $ | (72,228 | ) | $ | 37,729 | ||||||||
Other comprehensive income: | |||||||||||||||||||
Foreign currency translation adjustments | 11,568 | 11,568 | 11,568 | (23,136 | ) | 11,568 | |||||||||||||
Post retirement benefit plan adjustments, net of tax | 252 | 252 | 252 | (504 | ) | 252 | |||||||||||||
Comprehensive income attributable to WESCO International, Inc. | $ | 49,620 | $ | 43,130 | $ | 52,667 | $ | (95,868 | ) | $ | 49,549 |
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
Three Months Ended | |||||||||||||||||||
March 31, 2018 | |||||||||||||||||||
(In thousands) | WESCO International, Inc. | WESCO Distribution, Inc. | Non-Guarantor Subsidiaries | Consolidating and Eliminating Entries | Consolidated | ||||||||||||||
Net cash provided by (used in) operating activities | $ | 5,497 | $ | 57,694 | $ | (10,198 | ) | $ | — | $ | 52,993 | ||||||||
Investing activities: | |||||||||||||||||||
Capital expenditures | — | (2,954 | ) | (4,708 | ) | — | (7,662 | ) | |||||||||||
Dividends received from subsidiaries | — | 22,744 | — | (22,744 | ) | — | |||||||||||||
Other | — | (18,908 | ) | (8,760 | ) | 18,908 | (8,760 | ) | |||||||||||
Net cash provided by (used in) investing activities | — | 882 | (13,468 | ) | (3,836 | ) | (16,422 | ) | |||||||||||
Financing activities: | |||||||||||||||||||
Borrowings | — | 58,000 | 515,663 | (22,744 | ) | 550,919 | |||||||||||||
Repayments | (3,836 | ) | (90,000 | ) | (477,220 | ) | 3,836 | (567,220 | ) | ||||||||||
Repurchases of common stock | (1,661 | ) | — | — | — | (1,661 | ) | ||||||||||||
Decrease in bank overdrafts | — | (10,575 | ) | — | — | (10,575 | ) | ||||||||||||
Dividends paid by subsidiaries | — | — | (22,744 | ) | 22,744 | — | |||||||||||||
Other | — | (290 | ) | — | — | (290 | ) | ||||||||||||
Net cash (used in) provided by financing activities | (5,497 | ) | (42,865 | ) | 15,699 | 3,836 | (28,827 | ) | |||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (1,800 | ) | — | (1,800 | ) | ||||||||||||
Net change in cash and cash equivalents | — | 15,711 | (9,767 | ) | — | 5,944 | |||||||||||||
Cash and cash equivalents at the beginning of period | — | 50,602 | 67,351 | — | 117,953 | ||||||||||||||
Cash and cash equivalents at the end of period | $ | — | $ | 66,313 | $ | 57,584 | $ | — | $ | 123,897 |
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
Three Months Ended | |||||||||||||||||||
March 31, 2017 | |||||||||||||||||||
(In thousands) | WESCO International, Inc. | WESCO Distribution, Inc. | Non-Guarantor Subsidiaries | Consolidating and Eliminating Entries | Consolidated | ||||||||||||||
Net cash provided by operating activities | $ | 4,316 | $ | 24,580 | $ | 18,744 | $ | — | $ | 47,640 | |||||||||
Investing activities: | |||||||||||||||||||
Capital expenditures | — | (1,487 | ) | (3,003 | ) | — | (4,490 | ) | |||||||||||
Dividends received from subsidiaries | — | 16,979 | — | (16,979 | ) | — | |||||||||||||
Other | — | (14,834 | ) | 4,398 | 10,469 | 33 | |||||||||||||
Net cash provided by (used in) investing activities | — | 658 | 1,395 | (6,510 | ) | (4,457 | ) | ||||||||||||
Financing activities: | |||||||||||||||||||
Borrowings | 2,220 | 167,299 | 164,118 | (14,834 | ) | 318,803 | |||||||||||||
Repayments | — | (190,665 | ) | (180,265 | ) | 4,365 | (366,565 | ) | |||||||||||
Repurchases of common stock | (6,536 | ) | — | — | — | (6,536 | ) | ||||||||||||
Increase in bank overdrafts | — | 4,062 | — | — | 4,062 | ||||||||||||||
Dividends paid by subsidiaries | — | — | (16,979 | ) | 16,979 | — | |||||||||||||
Other | — | (452 | ) | — | — | (452 | ) | ||||||||||||
Net cash used in financing activities | (4,316 | ) | (19,756 | ) | (33,126 | ) | 6,510 | (50,688 | ) | ||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | 374 | — | 374 | ||||||||||||||
Net change in cash and cash equivalents | — | 5,482 | (12,613 | ) | — | (7,131 | ) | ||||||||||||
Cash and cash equivalents at the beginning of period | — | 41,552 | 68,579 | — | 110,131 | ||||||||||||||
Cash and cash equivalents at the end of period | $ | — | $ | 47,034 | $ | 55,966 | $ | — | $ | 103,000 |
Three Months Ended | |||||||
(In millions) | March 31, 2018 | March 31, 2017 | |||||
Cash flow provided by operations | $ | 53.0 | $ | 47.6 | |||
Less: Capital expenditures | (7.7 | ) | (4.5 | ) | |||
Free cash flow | $ | 45.3 | $ | 43.1 |
Three Months Ended | |||||
March 31, | |||||
2018 | 2017 | ||||
Net sales | 100.0 | % | 100.0 | % | |
Cost of goods sold (excluding depreciation and amortization) | 80.9 | 80.3 | |||
Selling, general and administrative expenses (1) | 14.6 | 15.1 | |||
Depreciation and amortization | 0.8 | 0.9 | |||
Income from operations | 3.7 | 3.7 | |||
Net interest and other (1) | 1.0 | 0.9 | |||
Income before income taxes | 2.7 | 2.8 | |||
Provision for income taxes | 0.5 | 0.7 | |||
Net income attributable to WESCO International, Inc. | 2.2 | % | 2.1 | % |
(1) | As described in Note 8 of the Notes to the unaudited Condensed Consolidated Financial Statements, we adopted Accounting Standards Update (ASU) 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, on a retrospective basis during the first quarter of 2018. This ASU requires the disaggregation of service cost from the other components of net periodic benefit cost. For the three months ended March 31, 2018 and 2017, the non-service cost components of net periodic benefit cost aggregated to a benefit of $0.5 million and are included in net interest and other. |
Three Months Ended | ||
March 31, 2018 | ||
Change in net sales | 12.5 | % |
Impact from acquisitions | — | % |
Impact from foreign exchange rates | 1.6 | % |
Impact from number of workdays | — | % |
Organic sales growth | 10.9 | % |
Twelve months ended | |||||||
(In millions of dollars, except ratio) | March 31, 2018 | December 31, 2017 | |||||
Income from operations (1) | $ | 325.6 | $ | 319.2 | |||
Depreciation and amortization | 63.9 | 64.0 | |||||
EBITDA | $ | 389.5 | $ | 383.2 | |||
March 31, 2018 | December 31, 2017 | ||||||
Short-term borrowings and current debt | $ | 42.9 | $ | 35.3 | |||
Long-term debt | 1,292.1 | 1,313.3 | |||||
Debt discount and debt issuance costs (2) | 13.2 | 14.2 | |||||
Total debt | $ | 1,348.2 | $ | 1,362.8 | |||
Financial leverage ratio | 3.5 | 3.6 |
(1) | Due to the adoption of ASU 2017-07 on a retrospective basis in the first quarter of 2018, we classified the non-service cost components of net periodic benefit cost as part of net interest and other for the twelve months ended March 31, 2018 and December 31, 2017. These components aggregated to a benefit of $1.9 million and $1.8 million, respectively. |
(2) | Long-term debt is presented in the condensed consolidated balance sheets net of debt discount and debt issuance costs. |
WESCO International, Inc. | ||
(Registrant) |
May 4, 2018 | By: | /s/ David S. Schulz |
(Date) | David S. Schulz | |
Senior Vice President and Chief Financial Officer |
Date: | May 4, 2018 | By: | /s/ John J. Engel | ||
John J. Engel | |||||
Chairman, President and Chief Executive Officer |
Date: | May 4, 2018 | By: | /s/ David S. Schulz | ||
David S. Schulz | |||||
Senior Vice President and Chief Financial Officer |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company. |
May 4, 2018 | By: | /s/ John J. Engel |
John J. Engel | ||
Chairman, President and Chief Executive Officer |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company. |
May 4, 2018 | By: | /s/ David S. Schulz |
David S. Schulz | ||
Senior Vice President and Chief Financial Officer |
DOCUMENT AND ENTITY INFORMATION Document - shares |
3 Months Ended | |
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Mar. 31, 2018 |
May 03, 2018 |
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Entity [Abstract] | ||
Entity Registrant Name | WESCO INTERNATIONAL INC. | |
Entity Central Index Key | 0000929008 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2018 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 47,077,150 |
ORGANIZATION |
3 Months Ended |
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Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | 1. ORGANIZATION WESCO International, Inc. ("WESCO International") and its subsidiaries (collectively, “WESCO” or the "Company"), headquartered in Pittsburgh, Pennsylvania, is a full-line distributor of electrical, industrial and communications maintenance, repair and operating ("MRO") and original equipment manufacturer ("OEM") products, construction materials, and advanced supply chain management and logistics services used primarily in the industrial, construction, utility and commercial, institutional and government markets. WESCO serves approximately 70,000 active customers globally through approximately 500 branches and 10 distribution centers located primarily in the United States and Canada, with operations in 16 additional countries. |
ACCOUNTING POLICIES |
3 Months Ended |
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Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | 2. ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements of WESCO have been prepared in accordance with Rule 10-01 of Regulation S-X of the Securities and Exchange Commission (the “SEC”). The unaudited condensed consolidated financial information should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto included in WESCO’s 2017 Annual Report on Form 10-K as filed with the SEC on February 22, 2018. The Condensed Consolidated Balance Sheet at December 31, 2017 was derived from the audited Consolidated Financial Statements as of that date, but does not include all of the disclosures required by accounting principles generally accepted in the United States of America. The unaudited Condensed Consolidated Balance Sheet as of March 31, 2018, the unaudited Condensed Consolidated Statements of Income and Comprehensive Income for the three months ended March 31, 2018 and 2017, respectively, and the unaudited Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2018 and 2017, respectively, in the opinion of management, have been prepared on the same basis as the audited Consolidated Financial Statements and include all adjustments necessary for the fair statement of the results of the interim periods presented herein. All adjustments reflected in the unaudited condensed consolidated financial information are of a normal recurring nature unless indicated. The results for the interim periods presented herein are not necessarily indicative of the results to be expected for the full year. Reclassifications Effective January 1, 2018, WESCO adopted Accounting Standards Update (ASU) 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The adoption of this ASU, as described below and in Note 8, resulted in the reclassification of amounts reported in the unaudited Condensed Consolidated Statements of Income and Comprehensive Income for the three months ended March 31, 2017. Recently Adopted Accounting Pronouncements Effective January 1, 2018, WESCO adopted ASU 2014-09, Revenue from Contracts with Customers, and all the related amendments (“Topic 606”) using the modified retrospective approach to all open contracts. There was no impact to WESCO’s previously reported consolidated financial statements and WESCO does not expect the adoption of Topic 606 to have a material impact on its revenue and results of operations on an ongoing basis. WESCO’s significant accounting policies are disclosed in Note 2 of the Notes to Consolidated Financial Statements in the Annual Report on Form 10-K for the year ended December 31, 2017. Changes to the Company’s significant accounting policies as a result of adopting Topic 606 are described in Note 3 below. In August 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force). This ASU provides guidance on eight specific cash flow issues where there is diversity in practice. The Company adopted this ASU in the first quarter of 2018. The adoption of this guidance did not have an impact on the unaudited condensed consolidated financial information presented herein. In March 2017, the FASB issued ASU 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This ASU requires that an employer disaggregate the service cost from the other components of net benefit cost. The Company adopted this guidance on a retrospective basis in the first quarter of 2018. See Note 8 for a description of the impact of this accounting standard on the unaudited Condensed Consolidated Statements of Income and Comprehensive Income presented herein. The adoption of this guidance did not have an impact on the Company's unaudited Condensed Consolidated Balance Sheets and the unaudited Condensed Consolidated Statements of Cash Flows presented herein. In May 2017, the FASB issued ASU 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting. This ASU clarifies when to account for a change to the terms or conditions of a share-based payment award as a modification. Under the new guidance, modification accounting is required only if the fair value, the vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions. The Company adopted this ASU in the first quarter of 2018. The adoption of this guidance did not have an impact on the unaudited condensed consolidated financial information presented herein. Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, Leases, a comprehensive new standard that amends various aspects of existing accounting guidance for leases, including the recognition of a right-of-use asset and a lease liability in the balance sheet and disclosing key information about leasing arrangements. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The new leasing standard requires modified retrospective transition, which requires application of the new guidance at the beginning of the earliest comparative period presented in the year of adoption. Management is currently evaluating the impact of this standard. Right-of-use assets and lease liabilities will be recorded in the Consolidated Balance Sheets upon adoption; however, an estimate of the impact of this standard is not currently determinable. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which introduces new guidance for the accounting for credit losses on certain financial instruments. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. Management does not expect the adoption of this accounting standard to have a material impact on its consolidated financial statements and notes thereto. In January 2017, the FASB issued ASU 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, which eliminates Step 2 of the goodwill impairment test. Under the amendments in this ASU, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. An entity should apply the amendments in this ASU on a prospective basis. This guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Management expects to adopt this ASU in the fourth quarter of 2018 when the Company performs its annual impairment testing. The Company does not expect the adoption of this accounting standard to have a material impact on its consolidated financial statements and notes thereto. Other pronouncements issued by the FASB or other authoritative accounting standards groups with future effective dates are either not applicable or are not expected to be significant to WESCO’s financial position, results of operations or cash flows. |
ACQUISITIONS |
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Business Combinations [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
ACQUISITIONS | 3. REVENUE WESCO’s revenue arrangements generally consist of a single performance obligation to transfer a promised good or service, or a combination of goods and services. Revenue is recognized when control has transferred to the customer, which is generally when the product has shipped from a WESCO facility or directly from a supplier. For products that ship directly from suppliers to customers, WESCO acts as the principal in the transaction and recognizes revenue on a gross basis. Revenue for integrated supply services is recognized over time based on hours incurred. This method reflects the transfer of control as the customer benefits from these services as they are being performed. WESCO generally satisfies its performance obligations within a year or less. WESCO generally does not have significant financing terms associated with its contracts; payments are normally received within 60 days. There are no significant costs associated with obtaining customer contracts. WESCO generally passes through the warranties offered by the applicable manufacturer or supplier to its customers. Sales taxes (and value added taxes in foreign jurisdictions) collected from customers and remitted to governmental authorities are excluded from net sales. The following tables disaggregate WESCO’s revenue by end market and geography:
WESCO distributes products and provides services to customers globally within the following end markets: (1) industrial, (2) construction, (3) utility, and (4) CIG. Revenue is measured as the amount of consideration WESCO expects to receive in exchange for transferring goods or providing services. In accordance with certain contractual arrangements, WESCO receives payment from its customers in advance and recognizes such payment as deferred revenue. Revenue for advance payment is recognized when the performance obligation has been satisfied and control has transferred to the customer, which is generally upon shipment. Deferred revenue is usually recognized within a year or less from the date of the customer’s advance payment. At March 31, 2018 and December 31, 2017, $11.2 million and $15.5 million, respectively, of deferred revenue was recorded as a component of other current liabilities in the Condensed Consolidated Balance Sheets. WESCO’s revenues are adjusted for variable consideration, which includes customer volume rebates, returns, and discounts. WESCO measures variable consideration by estimating expected outcomes using analysis and inputs based upon anticipated performance, historical data, as well as current and forecasted information. Measurement and recognition of variable consideration is reviewed by management on a monthly basis and revenue is adjusted accordingly. Variable consideration reduced revenue for the three months ended March 31, 2018 and 2017 by approximately $23.8 million and $20.0 million, respectively. Shipping and handling costs are recognized in net sales when they are billed to the customer. These costs are recognized as a component of selling, general and administrative expenses when WESCO does not bill the customer. WESCO has elected to recognize shipping and handling costs as a fulfillment cost. Shipping and handling costs recorded as a component of selling, general and administrative expenses totaled $18.2 million and $13.3 million for the three months ended March 31, 2018 and 2017, respectively. |
STOCK-BASED COMPENSATION |
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Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
STOCK-BASED COMPENSATION | . STOCK-BASED COMPENSATION WESCO’s stock-based employee compensation plans are comprised of stock-settled stock appreciation rights, restricted stock units and performance-based awards. Compensation cost for all stock-based awards is measured at fair value on the date of grant and compensation cost is recognized, net of estimated forfeitures, over the service period for awards expected to vest. The fair value of stock-settled stock appreciation rights and performance-based awards with market conditions is determined using the Black-Scholes and Monte Carlo simulation models, respectively. The fair value of restricted stock units and performance-based awards with performance conditions is determined by the grant-date closing price of WESCO’s common stock. The forfeiture assumption is based on WESCO’s historical employee behavior that is reviewed on an annual basis. No dividends are assumed. Effective January 1, 2018, performance-based awards are based on two equally-weighted performance measures, which include the three-year average growth rate of the Company’s fully diluted earnings per share and the three-year cumulative return on net assets. From 2015 to 2017, the two equally-weighted performance-based award metrics were the three-year average growth rate of WESCO's net income and WESCO's total stockholder return in relation to the total stockholder return of a select group of peer companies over a three-year period. During the three months ended March 31, 2018 and 2017, WESCO granted the following stock-settled stock appreciation rights, restricted stock units and performance-based awards at the following weighted-average fair values:
The fair value of stock-settled stock appreciation rights was estimated using the following weighted-average assumptions:
The risk-free interest rate is based on the U.S. Treasury Daily Yield Curve as of the grant date. The expected life is based on historical exercise experience and the expected volatility is based on the volatility of the Company's daily stock prices over a five-year period preceding the grant date. The following table sets forth a summary of stock-settled stock appreciation rights and related information for the three months ended March 31, 2018:
The following table sets forth a summary of time-based restricted stock units and related information for the three months ended March 31, 2018:
Performance shares are awards for which the vesting will occur based on market or performance conditions. The following table sets forth a summary of performance-based awards for the three months ended March 31, 2018:
The fair value of the performance shares granted during the three months ended March 31, 2018 and 2017 was estimated using the following weighted-average assumptions:
The unvested performance-based awards in the table above include 50,825 shares in which vesting of the ultimate number of shares is dependent upon WESCO's total stockholder return in relation to the total stockholder return of a select group of peer companies over a three-year period. These awards are accounted for as awards with market conditions; compensation cost is recognized over the service period, regardless of whether the market conditions are achieved and the awards ultimately vest. Vesting of the remaining 94,969 shares of performance-based awards in the table above is dependent upon the achievement of certain performance targets, including 50,825 that are dependent upon the three-year average growth rate of WESCO's net income, 22,072 that are dependent upon the three-year average growth rate of the Company's fully diluted earnings per share, and 22,072 that are based upon the three-year cumulative return on net assets. These awards are accounted for as awards with performance conditions; compensation cost is recognized over the performance period based upon WESCO's determination of whether it is probable that the performance targets will be achieved. WESCO recognized $3.9 million and $3.6 million of non-cash stock-based compensation expense, which is included in selling, general and administrative expenses, for the three months ended March 31, 2018 and 2017, respectively. As of March 31, 2018, there was $31.7 million of total unrecognized compensation cost related to non-vested stock-based compensation arrangements for all awards previously made, of which approximately $12.7 million is expected to be recognized over the remainder of 2018, $12.0 million in 2019, $6.3 million in 2020 and $0.7 million in 2021. |
EARNINGS PER SHARE |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
EARNINGS PER SHARE | 7. EARNINGS PER SHARE Basic earnings per share is computed by dividing net income attributable to WESCO International by the weighted-average number of common shares outstanding during the periods. Diluted earnings per share is computed by dividing net income attributable to WESCO International by the weighted-average common shares and common share equivalents outstanding during the periods. The dilutive effect of common share equivalents is considered in the diluted earnings per share computation using the treasury stock method, which includes consideration of equity awards. The following table sets forth the details of basic and diluted earnings per share:
For the three months ended March 31, 2018 and 2017, the computation of diluted earnings per share attributable to WESCO International, Inc. excluded stock-based awards of approximately 1.5 million and 1.3 million, respectively. These amounts were excluded because their effect would have been antidilutive. |
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EMPLOYEE BENEFIT PLANS | 8. EMPLOYEE BENEFIT PLANS A majority of WESCO’s employees are covered by defined contribution retirement savings plans for their services rendered subsequent to WESCO’s formation. WESCO also offers a deferred compensation plan for select individuals. For U.S. participants, WESCO matches contributions made by employees at an amount equal to 50% of participants' total monthly contributions up to a maximum of 6% of eligible compensation. For Canadian participants, WESCO makes contributions in amounts ranging from 3% to 5% of participants' eligible compensation based on years of continuous service. WESCO may also make, subject to the Board of Directors' approval, a discretionary contribution to the defined contribution retirement savings plan covering U.S. participants if certain predetermined profit levels are attained. For the three months ended March 31, 2018 and 2017, WESCO incurred charges of $10.7 million and $5.5 million, respectively, for all such plans. Contributions are made in cash to employee retirement savings plan accounts. The deferred compensation plan is an unfunded plan. As of March 31, 2018 and December 31, 2017, the Company's obligation under the deferred compensation plan was $24.0 million and $24.3 million, respectively. Employees have the option to transfer balances allocated to their accounts in the defined contribution retirement savings plan and the deferred compensation plan into any of the available investment options. The Company sponsors a contributory defined benefit plan covering substantially all Canadian employees of EECOL and a Supplemental Executive Retirement Plan (the "SERP") for certain executives of EECOL. During the three months ended March 31, 2018, the Company contributed $0.1 million to the SERP. The following table sets forth the components of net periodic benefit costs for the defined benefit plans:
In accordance with ASU 2017-07, as described in Note 2, the service cost of $1.3 million for the three months ended March 31, 2018 was reported as a component of selling, general and administrative expenses. The other components of net periodic benefit cost totaling a net benefit of $0.5 million for the three months ended March 31, 2018 were presented as a component of net interest and other, as described in Note 9 below. For the three months ended March 31, 2017, the Company reclassified a net benefit of $0.5 million from selling, general and administrative expenses to net interest and other. The Company used the amounts disclosed in Note 7 of the Notes to Condensed Consolidated Financial Statements in the Quarterly Report on Form 10-Q for the three months ended March 31, 2017 as the estimation basis for applying the retrospective presentation requirements. |
COMMITMENTS AND CONTINGENCIES |
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Mar. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 10. COMMITMENTS AND CONTINGENCIES From time to time, a number of lawsuits and claims have been or may be asserted against us relating to the conduct of our business, including routine litigation relating to commercial and employment matters. The outcome of any litigation cannot be predicted with certainty, and some lawsuits may be determined adversely to us. However, management does not believe that the ultimate outcome of any such pending matters is likely to have a material adverse effect on our financial condition or liquidity, although the resolution in any fiscal period of one or more of these matters may have a material adverse effect on our results of operations for that period. |
INCOME TAXES |
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Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 11. INCOME TAXES The effective tax rate for the three months ended March 31, 2018 and 2017 was 19.6% and 25.0%, respectively. WESCO’s effective tax rate is typically impacted by the tax effect of intercompany financing, foreign tax rate differences, other nondeductible expenses and state income taxes. The lower effective tax rate for the three months ended March 31, 2018 was primarily due to the Tax Cuts and Jobs Act of 2017 (the "TCJA"), which permanently reduced the U.S. federal statutory income tax rate from 35% to 21%, effective January 1, 2018. There were no material discrete items for the three months ended March 31, 2018. In the first quarter of 2017, the application of ASU 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting, resulted in a discrete benefit from the exercise and vesting of stock-based awards, which lowered the effective tax rate by 3.1 percentage points. As of March 31, 2018, provisional amounts are recorded for certain income tax effects of the TCJA for which the accounting is incomplete, but a reasonable estimate can be determined. Future adjustments (if any) will be recognized as discrete income tax expense or benefit in the period the adjustments are determined. |
OTHER FINANCIAL INFORMATION |
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Condensed Financial Information [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
OTHER FINANCIAL INFORMATION | 12. CONDENSED CONSOLIDATING FINANCIAL INFORMATION WESCO Distribution has outstanding $500 million in aggregate principal amount of 5.375% Senior Notes due 2021 (the "2021 Notes") and $350 million in aggregate principal amount of 5.375% Senior Notes due 2024 (the "2024 Notes"). The 2021 Notes and 2024 Notes are unsecured senior obligations of WESCO Distribution and are fully and unconditionally guaranteed on a senior unsecured basis by WESCO International. Condensed consolidating financial information for WESCO International, WESCO Distribution and the non-guarantor subsidiaries is presented in the following tables.
Reclassification As described in Note 8, the Company reclassified a net benefit of $0.5 million from selling, general and administrative expenses to net interest and other in the previously reported Condensed Consolidated Statement of Income and Comprehensive Income for the three months ended March 31, 2017.
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Subsequent Events SUBSEQUENT EVENTS (Notes) |
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Mar. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | 13. SUBSEQUENT EVENTS The Company evaluated subsequent events and concluded that no subsequent events have occurred that would require recognition in the unaudited Condensed Consolidated Financial Statements or disclosure in the Notes thereto. |
GOODWILL (Notes) |
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Goodwill Disclosure [Text Block] | 5. GOODWILL The following table sets forth the changes in the carrying value of goodwill:
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NET INTEREST AND OTHER (Notes) |
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Mar. 31, 2018 | |
Other Income and Expenses [Abstract] | |
Other Nonoperating Income and Expense [Text Block] | 9. NET INTEREST AND OTHER Net interest and other includes interest expense, interest income, amortization of debt discount and debt issuance costs, the non-service cost components of net periodic benefit cost, and foreign exchange gains and losses from the remeasurement of certain financial instruments. For the three months ended March 31, 2018, a foreign exchange loss of $3.0 million from the remeasurement of a financial instrument was reported as a component of net interest and other. Foreign currency exchange gains and losses were not material for the three months ended March 31, 2017. |
ACCOUNTING POLICIES (Policies) |
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Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements of WESCO have been prepared in accordance with Rule 10-01 of Regulation S-X of the Securities and Exchange Commission (the “SEC”). The unaudited condensed consolidated financial information should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto included in WESCO’s 2017 Annual Report on Form 10-K as filed with the SEC on February 22, 2018. The Condensed Consolidated Balance Sheet at December 31, 2017 was derived from the audited Consolidated Financial Statements as of that date, but does not include all of the disclosures required by accounting principles generally accepted in the United States of America. The unaudited Condensed Consolidated Balance Sheet as of March 31, 2018, the unaudited Condensed Consolidated Statements of Income and Comprehensive Income for the three months ended March 31, 2018 and 2017, respectively, and the unaudited Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2018 and 2017, respectively, in the opinion of management, have been prepared on the same basis as the audited Consolidated Financial Statements and include all adjustments necessary for the fair statement of the results of the interim periods presented herein. All adjustments reflected in the unaudited condensed consolidated financial information are of a normal recurring nature unless indicated. The results for the interim periods presented herein are not necessarily indicative of the results to be expected for the full year. |
Reclassifications [Text Block] | Reclassifications Effective January 1, 2018, WESCO adopted Accounting Standards Update (ASU) 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The adoption of this ASU, as described below and in Note 8, resulted in the reclassification of amounts reported in the unaudited Condensed Consolidated Statements of Income and Comprehensive Income for the three months ended March 31, 2017. |
Fair Value of Financial Instruments | 4. FAIR VALUE OF FINANCIAL INSTRUMENTS The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, bank overdrafts, and outstanding indebtedness. The reported carrying amounts of WESCO’s debt instruments totaled $1.3 billion and $1.4 billion at March 31, 2018 and December 31, 2017, respectively, and approximated their fair values of $1.4 billion. The Company uses a market approach to determine the fair value of its debt instruments, utilizing quoted prices in active markets, interest rates and other relevant information generated by market transactions involving similar instruments. Therefore, the Company's debt instruments are classified as Level 2 within the fair value hierarchy. For the Company's remaining financial instruments, carrying values are considered to approximate fair value. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Accounting Pronouncements Effective January 1, 2018, WESCO adopted ASU 2014-09, Revenue from Contracts with Customers, and all the related amendments (“Topic 606”) using the modified retrospective approach to all open contracts. There was no impact to WESCO’s previously reported consolidated financial statements and WESCO does not expect the adoption of Topic 606 to have a material impact on its revenue and results of operations on an ongoing basis. WESCO’s significant accounting policies are disclosed in Note 2 of the Notes to Consolidated Financial Statements in the Annual Report on Form 10-K for the year ended December 31, 2017. Changes to the Company’s significant accounting policies as a result of adopting Topic 606 are described in Note 3 below. In August 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force). This ASU provides guidance on eight specific cash flow issues where there is diversity in practice. The Company adopted this ASU in the first quarter of 2018. The adoption of this guidance did not have an impact on the unaudited condensed consolidated financial information presented herein. In March 2017, the FASB issued ASU 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This ASU requires that an employer disaggregate the service cost from the other components of net benefit cost. The Company adopted this guidance on a retrospective basis in the first quarter of 2018. See Note 8 for a description of the impact of this accounting standard on the unaudited Condensed Consolidated Statements of Income and Comprehensive Income presented herein. The adoption of this guidance did not have an impact on the Company's unaudited Condensed Consolidated Balance Sheets and the unaudited Condensed Consolidated Statements of Cash Flows presented herein. In May 2017, the FASB issued ASU 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting. This ASU clarifies when to account for a change to the terms or conditions of a share-based payment award as a modification. Under the new guidance, modification accounting is required only if the fair value, the vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions. The Company adopted this ASU in the first quarter of 2018. The adoption of this guidance did not have an impact on the unaudited condensed consolidated financial information presented herein. Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, Leases, a comprehensive new standard that amends various aspects of existing accounting guidance for leases, including the recognition of a right-of-use asset and a lease liability in the balance sheet and disclosing key information about leasing arrangements. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The new leasing standard requires modified retrospective transition, which requires application of the new guidance at the beginning of the earliest comparative period presented in the year of adoption. Management is currently evaluating the impact of this standard. Right-of-use assets and lease liabilities will be recorded in the Consolidated Balance Sheets upon adoption; however, an estimate of the impact of this standard is not currently determinable. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which introduces new guidance for the accounting for credit losses on certain financial instruments. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. Management does not expect the adoption of this accounting standard to have a material impact on its consolidated financial statements and notes thereto. In January 2017, the FASB issued ASU 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, which eliminates Step 2 of the goodwill impairment test. Under the amendments in this ASU, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. An entity should apply the amendments in this ASU on a prospective basis. This guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Management expects to adopt this ASU in the fourth quarter of 2018 when the Company performs its annual impairment testing. The Company does not expect the adoption of this accounting standard to have a material impact on its consolidated financial statements and notes thereto. Other pronouncements issued by the FASB or other authoritative accounting standards groups with future effective dates are either not applicable or are not expected to be significant to WESCO’s financial position, results of operations or cash flows. |
STOCK-BASED COMPENSATION (Tables) |
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Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | During the three months ended March 31, 2018 and 2017, WESCO granted the following stock-settled stock appreciation rights, restricted stock units and performance-based awards at the following weighted-average fair values:
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Schedule of Share-based Compensation, Stock Options and Stock Appreciation Rights Award Activity [Table Text Block] | The following table sets forth a summary of stock-settled stock appreciation rights and related information for the three months ended March 31, 2018:
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Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | The following table sets forth a summary of time-based restricted stock units and related information for the three months ended March 31, 2018:
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Schedule of Nonvested Performance-based Units Activity [Table Text Block] | The following table sets forth a summary of performance-based awards for the three months ended March 31, 2018:
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Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The fair value of stock-settled stock appreciation rights was estimated using the following weighted-average assumptions:
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Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The fair value of the performance shares granted during the three months ended March 31, 2018 and 2017 was estimated using the following weighted-average assumptions:
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EARNINGS PER SHARE (Tables) |
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Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table sets forth the details of basic and diluted earnings per share:
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EMPLOYEE BENEFIT PLANS Schedule of Net Benefit Costs (Tables) |
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Schedule of Net Benefit Costs [Table Text Block] | The following table sets forth the components of net periodic benefit costs for the defined benefit plans:
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OTHER FINANCIAL INFORMATION (Tables) |
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---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Balance Sheet Statements, Captions [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Balance Sheet [Table Text Block] |
|
OTHER FINANCIAL INFORMATION Condensed Income Statement (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Income Statement [Table Text Block] |
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OTHER FINANCIAL INFORMATION Condensed Cash Flow Statement (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Cash Flow Statements, Captions [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Cash Flow Statement [Table Text Block] |
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GOODWILL (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Goodwill [Table Text Block] |
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REVENUE (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue [Table Text Block] | The following tables disaggregate WESCO’s revenue by end market and geography:
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Revenue Recognition, Revenue Reductions [Policy Text Block] | WESCO’s revenues are adjusted for variable consideration, which includes customer volume rebates, returns, and discounts. WESCO measures variable consideration by estimating expected outcomes using analysis and inputs based upon anticipated performance, historical data, as well as current and forecasted information. Measurement and recognition of variable consideration is reviewed by management on a monthly basis and revenue is adjusted accordingly. Variable consideration reduced revenue for the three months ended March 31, 2018 and 2017 by approximately $23.8 million and $20.0 million, respectively. |
ORGANIZATION (Details) |
Mar. 31, 2018
customers
countries
branches
|
---|---|
Restructuring Cost and Reserve [Line Items] | |
Active customers (in customers) | customers | 70,000 |
Full service branches (in branches) | branches | 500 |
Additional countries (in countries) | countries | 16 |
ACCOUNTING POLICIES (Details) - USD ($) $ in Thousands |
Mar. 31, 2018 |
Dec. 31, 2017 |
Mar. 31, 2017 |
Dec. 31, 2016 |
---|---|---|---|---|
Accounting Policies [Abstract] | ||||
Prepaid expenses and other current assets | $ 68,889 | $ 63,439 | ||
Assets, Current | 2,418,671 | 2,408,849 | ||
Goodwill | 1,755,679 | 1,771,877 | $ 1,725,547 | $ 1,720,714 |
Liabilities and Equity | 4,713,313 | 4,735,468 | ||
Other Accrued Liabilities, Current | 98,836 | 95,820 | ||
Liabilities, Current | 1,021,601 | 1,040,969 | ||
Assets | 4,713,313 | 4,735,468 | ||
Deferred Tax Liabilities, Net, Noncurrent | 138,767 | 136,858 | ||
Liabilities | 2,580,399 | 2,619,325 | ||
Retained earnings | 2,124,535 | 2,079,697 | ||
Accumulated other comprehensive income | (341,390) | (312,590) | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 2,132,914 | $ 2,116,143 |
ACQUISITIONS - ACQUISITIONS (Details) |
Mar. 31, 2018
branches
|
---|---|
Business Acquisition [Line Items] | |
Number of Stores | 500 |
SUMMARY OF RESTRICTED STOCK UNITS (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
Dec. 31, 2017 |
|
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Unvested (in shares) | 338,576 | 290,054 | |
Granted (in shares) | 114,269 | 98,680 | |
Vested (in shares) | (57,175) | ||
Forfeited (in shares) | (8,572) | ||
Unvested, Weighted Average Fair Value (in dollars per share) | $ 57.84 | $ 58.11 | |
Granted, Weighted Average Fair Value (in dollars per share) | 62.81 | $ 71.65 | |
Vested in Period, Weighted Average Fair Value (in dollars per share) | 69.44 | ||
Forfeited in Period, Weighted Average Fair Value (in dollars per share) | $ 56.00 |
SCHEDULE OF SHARE-BASED PAYMENT AWARD, PERFORMANCE-BASED AWARDS, VALUATION ASSUMPTIONS (Details) - $ / shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
WESCO expected volatility | 28.00% | 29.00% |
Risk free interest rate | 2.50% | 1.90% |
Correlation | 0.00% | |
Performance Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 62.80 | $ 71.65 |
WESCO expected volatility | 0.00% | |
Risk free interest rate | 0.00% |
STOCK-BASED COMPENSATION (Details) - USD ($) $ in Millions |
3 Months Ended | 9 Months Ended | 12 Months Ended | |||
---|---|---|---|---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
Dec. 31, 2018 |
Dec. 31, 2021 |
Dec. 31, 2020 |
Dec. 31, 2019 |
|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 3.9 | $ 3.6 | ||||
Total unrecognized compensation cost | $ 31.7 | |||||
Share-based Compensation Award, Tranche One [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Performance-based awards outstanding (in shares) | 50,825 | |||||
Performance-based Awards - Peer Group Total Shareholder Return [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Performance-based awards outstanding (in shares) | 94,969 | |||||
Scenario, Forecast [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 12.7 | $ 0.7 | $ 6.3 | $ 12.0 |
SCHEDULE OF EARNINGS PER SHARE, BASIC AND DILUTED (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Earnings Per Share [Abstract] | ||
Net income (loss) attributable to WESCO International, Inc. | $ 44,421 | $ 37,729 |
Weighted average common shares outstanding used in computing basic earnings per share (in shares) | 47,038 | 48,707 |
Common shares issuable upon exercise of dilutive stock options (in shares) | 570 | 694 |
Weighted average common shares outstanding and common share equivalents used in computing diluted earnings per share (in shares) | 47,608 | 49,401 |
Earnings Per Share, Basic and Diluted [Abstract] | ||
Basic (in dollars per share) | $ 0.94 | $ 0.77 |
Diluted (in dollars per share) | $ 0.93 | $ 0.76 |
EARNINGS PER SHARE (Details) - shares shares in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Equity Award [Domain] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1.5 | 1.3 |
EARNINGS PER SHARE Accelerated Share Repurchase (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Accelerated Share Repurchases [Line Items] | ||
Payments for Repurchase of Common Stock | $ (1,661) | $ (6,536) |
EMPLOYEE BENEFIT PLANS (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
Dec. 31, 2017 |
|
Retirement Benefits [Abstract] | |||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 100 | ||
Schedule of Employee Benefit Plans [Line Items] | |||
Defined Benefit Plan, Service Cost | 1,347 | $ 1,068 | |
Postemployment Benefits, Period Expense | 10,700 | $ 5,500 | |
Deferred Compensation Liability, Classified, Noncurrent | $ 24,000 | $ 24,300 | |
CANADA | Minimum [Member] | |||
Schedule of Employee Benefit Plans [Line Items] | |||
Defined Contribution Plan Employer Matching Contribution Percent | 3.00% | ||
CANADA | Maximum [Member] | |||
Schedule of Employee Benefit Plans [Line Items] | |||
Defined Contribution Plan Employer Matching Contribution Percent | 5.00% | ||
UNITED STATES | |||
Schedule of Employee Benefit Plans [Line Items] | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 50.00% | ||
Defined Contribution Plan Employer Matching Contribution Percent | 6.00% |
EMPLOYEE BENEFIT PLANS EMPLOYEE BENEFIT PLANS Pension Costs (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 100 | |
Service cost | 1,347 | $ 1,068 |
Interest cost | 1,066 | 962 |
Expected return on plan assets | (1,540) | (1,368) |
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | (12) | (49) |
Net periodic benefit cost | 861 | 613 |
Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other Nonoperating Gains (Losses) | $ (500) | $ (500) |
INCOME TAXES (Details) |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Income Tax Contingency [Line Items] | ||
Effective tax rate | 19.60% | 24.95235% |
Federal statutory rate | 21.00% |
INCOME TAXES Income Tax Rates (Details) |
3 Months Ended |
---|---|
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% |
OTHER FINANCIAL INFORMATION (Details) - Unsecured Debt [Member] $ in Millions |
Mar. 31, 2018
USD ($)
|
---|---|
2021 Notes [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Face Amount | $ 500 |
2024 Notes [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Face Amount | $ 350 |
GOODWILL (Details) - USD ($) $ in Thousands |
3 Months Ended | |||
---|---|---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
Dec. 31, 2017 |
Dec. 31, 2016 |
|
Goodwill [Line Items] | ||||
Goodwill | $ 1,755,679 | $ 1,725,547 | $ 1,771,877 | $ 1,720,714 |
Goodwill, Foreign Currency Translation Gain (Loss) | $ (16,198) | $ 4,833 |
REVENUE Deferred Revenue (Details) - USD ($) $ in Millions |
Mar. 31, 2018 |
Dec. 31, 2017 |
---|---|---|
Revenue from Contract with Customer [Abstract] | ||
Deferred Revenue | $ 11.2 | $ 15.5 |
REVENUE Shipping and Handling Costs (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2018 |
Mar. 31, 2017 |
|
Revenue from Contract with Customer [Abstract] | ||
Shipping, Handling and Transportation Costs | $ 18.2 | $ 13.3 |
REVENUE Variable Consideration (Details) |
3 Months Ended |
---|---|
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition, Revenue Reductions [Policy Text Block] | WESCO’s revenues are adjusted for variable consideration, which includes customer volume rebates, returns, and discounts. WESCO measures variable consideration by estimating expected outcomes using analysis and inputs based upon anticipated performance, historical data, as well as current and forecasted information. Measurement and recognition of variable consideration is reviewed by management on a monthly basis and revenue is adjusted accordingly. Variable consideration reduced revenue for the three months ended March 31, 2018 and 2017 by approximately $23.8 million and $20.0 million, respectively. |
REVENUE Revenue, Performance Obligation (Details) |
3 Months Ended |
---|---|
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Performance Obligation, Description of Timing | WESCO’s revenue arrangements generally consist of a single performance obligation to transfer a promised good or service, or a combination of goods and services. Revenue is recognized when control has transferred to the customer, which is generally when the product has shipped from a WESCO facility or directly from a supplier. For products that ship directly from suppliers to customers, WESCO acts as the principal in the transaction and recognizes revenue on a gross basis. Revenue for integrated supply services is recognized over time based on hours incurred. This method reflects the transfer of control as the customer benefits from these services as they are being performed. WESCO generally satisfies its performance obligations within a year or less. |
Fair Value (Details) - USD ($) $ in Billions |
Mar. 31, 2018 |
Dec. 31, 2017 |
---|---|---|
Fair Value Disclosures [Abstract] | ||
Debt and Capital Lease Obligations | $ 1.3 | $ 1.4 |
Long-term Debt, Fair Value | $ 1.4 |
NET INTEREST AND OTHER (Details) $ in Millions |
3 Months Ended |
---|---|
Mar. 31, 2018
USD ($)
| |
Other Income and Expenses [Abstract] | |
Foreign Currency Transaction Gain (Loss), before Tax | $ 3.0 |
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