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Home » Distribution Industry News » CDW Pushes AI, Managed Services as YTD Sales Rise 9%

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  • Published on: September 4, 2025

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Distribution Industry News

CDW Pushes AI, Managed Services as YTD Sales Rise 9%

CDW Corp., a technology and information services distributor and retailer serving businesses, government, healthcare, and education, is expanding its AI and managed services offerings even as it reported strong year-to-date results.

For the quarter ending June 30, CDW posted $6 billion in sales, up 10% from a year earlier, with net income of $344 million, a 1.4% increase. Year-to-date, sales reached $12 billion, up 9%, with net income of $646 million, up 3%. “Our second-quarter results underscore the power of our diversified portfolio and the execution of our customer-focused strategy,” CEO Christine Leahy said.

Growth was led by commercial and healthcare sectors, which offset expected softness in federal and K-12 education spending. Corporate sales climbed 18%, driven by client device upgrades and hybrid infrastructure projects, while healthcare rose 24%, reflecting investments in clinical continuity. Small businesses also delivered strong double-digit growth as customers adopted cloud and SaaS solutions.

CDW is accelerating its AI capabilities through a new AI Center of Excellence, a multidisciplinary team that guides clients from strategy and proof-of-concept to full deployment. Leahy highlighted a recent project with a rapidly growing apparel company: “By combining cloud-managed services with generative AI, we streamlined IT support operations and freed engineers to focus on strategic initiatives.”

Another example is a multiyear managed security services engagement with a North American transport company valued at $10 million. “We delivered a full-scale identity and access management solution, including 24/7 monitoring and endpoint protection across their technology stack,” Leahy said.

“Our priority is helping customers tackle complex IT challenges, from AI to cybersecurity, while improving productivity and operational efficiency,” she added.

Looking ahead, CDW expects low single-digit IT market growth for the remainder of 2025 and plans to continue investing in AI, managed services, and full stack solutions. The company also remains committed to share repurchases, dividends, and targeted acquisitions.

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