NASDAQ$DXPE

DXP Enterprises Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

DXP Enterprises reported strong first quarter results with increased sales and earnings, driven by growth across all business segments and strategic acquisitions.

DXP Enterprises reported a strong first quarter in 2022, with sales increasing by 30.1% year-over-year to $319.4 million. The company's earnings per diluted share reached $0.65, and adjusted EBITDA significantly improved, reflecting the company's focus on customers and improving market conditions. DXP closed acquisitions of Drydon Equipment Inc. and Burlingame Engineers Inc.

  • Sales increased 30.1% year-over-year to $319.4 million.
  • Earnings per diluted share reached $0.65, compared to $0.02 in the prior year.
  • Adjusted EBITDA increased sequentially, resulting in strong margin improvement.
  • The company closed the acquisition of Drydon Equipment Inc. and Burlingame Engineers Inc.

Headline financials

Total Revenue

$319M

Previous: $246M+30.0%
EPS (adj)

$0.65

Previous: $0.08+712.5%
Adjusted EBITDA

$28.3M

No prior period
Capital Expenditures

-$740K

Previous: -$680K-8.8%
Free Cash Flow

$11.9M

Previous: -$340K+3600.6%
Net Income

$12.6M

Previous: $340K+3618.2%
Operating Income

$21.6M

Previous: $6.21M+247.1%
Gross Profit

$94.9M

Previous: $71.6M+32.5%
Cash & Equivalents

$36.6M

Previous: $127M-71.3%
Total Assets

$902M

Previous: $869M+3.8%
Stock-Based Comp

$370K

Previous: $380K-2.6%

Revenue & EPS history

DXP · Revenue · Quarterly

$319M

Q1 2022+30%vs Q1 2021
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

DXP · $319M total across 3 segments · Q1 2022

  • Service Centers
    $219M
  • Innovative Pumping Solutions
    $53.1M
  • Supply Chain Services
    $47.6M

Forward guidance

While the near-term environment remains dynamic with product inflation, supply chain and labor challenges, and broader economic uncertainty, we remain confident that the underlying demand trends, our robust acquisition pipeline, and our strategic initiatives will allow us to achieve excellent performance and growth in 2022 and beyond.

Tailwinds

  • Underlying demand trends
  • Robust acquisition pipeline
  • Strategic initiatives
  • Focus on customers
  • Improving market conditions

Headwinds

  • Product inflation
  • Supply chain challenges
  • Labor challenges
  • Broader economic uncertainty
  • Impacts from inflation and the abating COVID crisis

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+1.9%

Avg return

Earnings day

+3.6%

Avg return

5 days after

+6.9%

Avg return

30 days after

48%

31 / 65 earnings

Positive

+55.7%

Q2 2016

Best reaction

-38.4%

Q1 2014

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-17.5%-20.8%-13.4%
Q4 2025-3.4%-8.8%-11.3%
Q3 2025-17.8%-19.7%-21.5%
Q1 2025-2.9%+1.2%-7.6%
Q4 2024+0.3%+9.2%-6.4%
Q3 2024+22.3%+41.2%+47.4%
Q2 2024-0.0%+3.6%+4.2%
Q1 2024-4.7%-5.7%-10.5%
Q4 2023+29.0%+27.9%+59.0%
Q3 2023-7.2%-7.4%-4.3%
Q2 2023-15.3%-12.2%-6.4%
Q1 2023+17.0%+26.2%+51.3%
Q4 2022-0.5%+0.2%+16.7%
Q3 2022-9.0%-11.3%-16.4%
Q2 2022-16.7%-16.9%-22.9%
Q1 2022+16.8%+17.1%+42.7%
Q4 2021-13.3%-12.7%-20.1%
Q3 2021-2.0%-4.0%-5.3%
Q2 2021+4.6%+0.5%-5.3%
Q1 2021+0.2%+0.5%+4.9%
Q4 2020-3.7%+0.4%-9.4%
Q3 2020+24.5%+23.2%+39.4%
Q2 2020-1.1%+10.4%+5.5%
Q1 2020-1.0%-16.0%+72.8%
Q4 2019-37.0%-41.1%-59.2%
Q3 2019+13.7%+16.4%+11.9%
Q2 2019+8.8%+4.8%+6.3%
Q1 2019-14.6%-14.8%-22.1%
Q4 2018+31.0%+25.5%+32.3%
Q3 2018+22.1%+14.5%-0.2%
Q2 2018+16.4%+11.4%+7.6%
Q1 2018-0.2%-0.1%+4.5%
Q4 2017+23.9%+21.9%+17.7%
Q3 2017-13.9%-15.0%-7.9%
Q2 2017-7.0%-11.5%-22.1%
Q1 2017+27.0%+17.0%+9.8%
Q4 2016+16.1%+12.5%+11.4%
Q3 2016+15.3%+15.6%+40.5%
Q2 2016+55.7%+58.0%+56.3%
Q1 2016-19.9%
Q4 2015-4.4%
Q3 2015+0.8%
Q2 2015-12.8%
Q1 2015-2.8%
Q4 2014+3.3%
Q3 2014-6.0%
Q2 2014+9.2%
Q1 2014-38.4%
Q4 2013+6.3%
Q3 2013+8.3%
Q2 2013-0.2%
Q1 2013-16.0%
Q1 2010-0.3%
Q4 2012+10.9%
Q3 2012+3.7%
Q2 2012-0.7%
Q1 2011-0.5%
Q1 2012+8.3%
Q4 2009+2.9%
Q4 2011+2.9%
Q3 2010-0.1%
Q3 2011-0.1%
Q2 2011+3.5%
Q2 2010+3.5%
Q4 2010+3.5%

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