DXPE - Earnings call transcript Q1 2024

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Operator

Thank you for standing by, and welcome to the DXP Enterprises First Quarter Earnings Call. [Operator Instructions] a reminder that this conference is being recorded.

Now I would like to turn the call over to Kent Yee, Chief Financial Officer. Kent, please go ahead.

Kent Yee

Thank you. and our DXP's quarter results XX, Yee, Call XXXX ending Kent XXXX. discuss to for is welcome QX to Conference March This the first

and today David our me Chairman Joining Little. is CEO,

is a may the started, statements. I have A these believe effect includes remind today's recorded Before we many from our we business being Actual those may want filings. and results get webcast statements. forward-looking of factors materially on you that detailed to an contained material that discussion call differ basis ongoing forward-looking in by and contemplated SEC our on are

However, no assumes events. as or that information future a result DXP to new information obligation of update

reconciliation turn earnings of in presentation Little, to is call, provide now included will release. accompanying in performance measures ir.dxpe.com. I available over now press first our GAAP results. may and CEO, During GAAP and to call this our and and A we quarter financial David website non-GAAP on his our summary of Chairman press both investor the the present release The to are a and non-GAAP thoughts at measures. financial our

David Little

everyone and Fiscal Kent, you, morning, thanks joining Call. and our Good today us on XXXX, to Conference thank Quarter First for

We providing remain great expertise. are off start on to We highly focused a in XXXX.

operations financial overall experts fueled for to solid successfully consistent ESG and people to their them Our products. DXP and increase continue demand customers objectives have those come their our focus achieve to to in running and remains customers, results. being finding supply our safe. especially their channel our manage see their has energy This space of increase utility and expect approach to help operations. DXP ways customer-driven their industrial, keep from their uptime, market committed end Many productivity, run

driving DXP was people efforts of of First quarter our per diluted as company, we of to X.X%. across build personally all operational Thanks our the while improve business. in $XX.X sequential on hard And results $X.XX EBITDA their customers. I particular, in improvements continue million to of grow for thank growth adjusted XXXX. by we for financial all people and as to our continue supported and to performing the share and fiscal earnings determination DXP further adjusted the sales work our DXP all stakeholders, positive want

through key with focused my the remainder We Q&A. Overall, will organically on our remain of first and thoughts you the first by our XXXX. prepared results in take on after and our remarks. year and on fiscal today financial After pleased details are comments, XXXX. we we business results. encouraged his some our Kent quarter inorganically I will quarter growing perspective then will for are with open begin

with trends DXP a through Our of and of highlights additional on a now versus number execution quarter normalized across focused first lot and capturing inflation. working share effort market good managing

as more and Associates. uncertain have can seeing index, believe year, company, Pro-Seal experienced to part we quarter, conditions. we inorganic growth in additional to industrial welcome great addition we Hennesy mechanical moving and and went an of accelerate acquisitions, sales and including end a increases gives due our in you market our back and a also DXP's business we of Water This acquisitions reading to moved to To growth X diversification we the show of new that last today as in acquisition began building Kappe manufacturing DXP. That are case, steel evidence markets, solid primarily We DXP's market XX.X% XX.X%. performance to is and DXP We the and great our are of these execution XX% generate discussed people, to continue a industrial to in broad-based DXP efforts. our closed X you see continued to resilience reading it's first by PMI in an from a said, -- continued efforts in which and DXP January diversified DXP -- and of is price technically demand economic QX. resilient, end And April, territory. strategy of in DXP's business which industrial contraction March. share. The continues how ISM to trend will broad XX.X% markets us from reading perform, growing indication But of

because today's we We demand inflationary contraction moving by increases, continue our continued channel. And price the growth DXP's environment, the case, this in is and still markets serve getting in slight to through strategies. of believe in offset supply growth

monitor to the And has XXXX, we Oil XXXX. we DXP through remaining through shown growth XX% continue gas, the will move is in of of demand and parts future. consistent early and XXXX. anticipate We the as which

and in circumstances our to geopolitical is increases budgets. the capital the oil Given business gas of most prices, and production tied closer relative overall in strength and actual in

sales pickup increase continue We reflects in in QX, we activity a the continue see. backlog to which in to experience

per demand, per the broader from in trends day, quarter as fourth business remaining strongest Regarding March the going is million per million $X.X underlying day to with in and typical were January per and X,XXX million day March. Total consistent trends $X.X to of with sales quarter. first average increased or day $XXX.X your in $X.X and the hard the for million for are sales sequentially people DXP business QX work you for dedication. DX Thank X.X% an

X.X% Solutions sequentially service the by growing terms and of results, sequentially, year-over-year XX% led financial sales sequentially. sales Innovative and followed then Services way, Chain Supply growing Pumping X.X% growing X.X% centers In QX also

QX Innovative stay to XXXX IPS going averages XXXX back our of to all backlog of with of the average. exception energy Solutions, terms ahead In average continues Pumping IPS

the XXXX months. months of next to should X revenues bookings to signals product February over Our in that start energy XX had March. this strong in have and And meaningful we us the

the move on bookings. centers Service likely that customers and keep energy-related We cycle forward we end diversity markets operating, are MROP, mentioned to growth good we through repair, maintenance, well MRO allows Regions get front work balanced first running stay were of year-over-year XXXX. as as the project necessary quarter. as within a South business. sales Atlantic, North essential And production, products that continuing for to experience continue look our the through services the centers end customer to sequential experienced we sales we with service earlier, us as to included growth Central. in to The of and in the nature

and included Additionally, sequentially primarily experienced new and and and decline facility Canadian our to to South below over DXP the growth equipment notable as be XXXX. of DXP's increased our also services perspective million in customers and Overall, experience QX that Rockies. quarter, top EBITDA sequential Supply due division stayed South margins increases Central leaders X.X% geographic special X.X% customers regions quarter perform year-over-year $XX.X from year-over-year, rotating and customers. as point a a people ramping and the with labor the Services new cycle produced product -- individual contributed customer overall of Southwest, gross to for Chain protracted. during increased that's basis some look for a as were can sales the of as customer And all this efficiencies have XX% we of on start XX%, for add diversified look of streamlining a steel well XX closures of added sequential we the But increasing technology XXXX. for to in will We we our products which we efficiencies. proven of as costs year-over-year of until product new for is year, last look inflation. mentioned growth brought who thanks and CSC But efficiency year. additions percent we our profit both improvement said, well last flatten will their DXP procurement EBITDA customers. That and move they will plus. we these sales and goal on A QX manage managing sales X.X%, to because continue supplier demand chemical to SCS and our and stated as overall forward we as and

and both, value the our continue investments DXP By these are capital allocations, acquisitions, are long-term strategic fuel we shares. opportunistically diversified through for while growth balancing diversity shareholders. approaches two make we pursuing repurchasing driving Regarding to to

we purchased free cash produced and expectations a to forward. going $XX.X flow, solid the in for start We $XX.X million. million amounting year quarter, over shares this During to our a XXX,XXX good benchmark

conclude profitability, by Let continued our saying am my me believe I positioned. I with and well encouraged that sales remarks improvement is in DXP sequential

is customers to our growth to ever. on strategies stronger commitments make We than continue progress our and

in these efforts with strategic making on are investments the business. complementing a while improving efficiency We focus

and We to and working are driving forward DXP, look improvements through and we at navigating fiscal XXXX. growth

XXXX. great a positive thank beginning DXP a Finally, I of the for would to start our like quarter to and People

more the next. With is Kent what for it detail. will turn review excited I are in to to now We that, back financials

Kent Yee

of you, quarter first to results. to ability all And joining our everyone our XXXX the you DXP's continue review create for through stakeholders. market performance financial successfully David. and to QX reflects Thank thank navigate and execute value financial for for us our

and have progress been far. still have transforming to successful in we We thus DXP diversifying make. But

navigating successful been the have We inflation in pressures.

the per day in for 'XX. first for in for $X.X day per sales per been daily less and will million QX to March, service day We have closed from points. a acquisitions, of first the during quarter the push per daily needs, per 'XX been year quarter-end said, to than $X.X highest and through into the January be to average quarter. quarter per dedicated million sequentially. daily quarter. first and for versus in industrial the sales customer the grow becoming $X.X building [indiscernible] the a $XX.X Acquisitions with of That QX quarter typical best customers' product a of went sales sales the solution day sales [Technical the million $X.X out versus as day XXXX million we contributed earnings quality million day $X.X becoming the million quarter in were in DXP we average Difficulty]. Increased Adjusting for successful day $X.X successful million in during per $X.X continuing during distributor were X.X% million trends first in XXXX. have reflecting DXP Average that and

terms This sales service centers of In growing by Pumping year-over-year. was and our X.X% Innovative sequentially Solutions followed segments, year-over-year. XX% sequentially grew declining X.X% X.X% business and

X.X% grew declined Services Supply and Chain sequentially year-over-year. X.X%

also Canadian equipment which steel Central. centers, year-over-year division our South Regions Rocky service and business From sequential our that the Southwest, regions the the contributed Central within South perspective, growth. as as Atlantic South of and In a sales include geographic quarter growth and rotating segment, Service sequential include our and year-over-year Center experienced sales regions. and terms product experienced notable well North during Other

increases we backlog. Pumping Innovative Solutions, of energy-related to terms continue In experience in the

be levels ahead except to we backlog all Our continues all are moving average The to XXXX. that continues notable grew our sales and QX backlog energy-related conclusion XXXX averages based levels, of remain and backlog above our XXXX QX stands our over average today. towards where and meaningfully upon X.X% and we are trending XXXX

expect been IPS XXXX. throughout experiencing have growth We organic within that and continue to strong sales we

in strength backlog see grow continues due combination also water and addition. our of a organic We IPS it to acquisition as to

recent over which performance QX backlog IPS in as Our grew ending a brought Services the to some decline closures mentioned to existing it's earnings due customers. increase QX primarily our call, Chain acquisitions. water we a sequentially our we excluding our customers streamlining efficiencies and with year-over-year, Water and new backlog, primarily most QX XX.X% X.X% reflects our but and Supply as well two facility

As look additions customer XXXX. David move new through we we will as mentioned, for

Centers Chain DXP's Turning over is XX This attributed a Pumping to gross business. That gross our mix contribution QX Innovative XXXX. our segment Innovative margins total Solutions consistency higher and centers Pumping to Service and was overall gross base and from contribution, XX%, improvement within a Services, in and service acquisitions the XX.X%, XX.X%. a contributed were Supply improvement sales margins margins. said, point Solutions DXP basis from relative XX% margin versus

by in improvements sequentially centers basis service In centers are improvement income million terms business segment at service supply of operating points primarily within reflects margins was impact relative versus segments operating high in QX XXXX. the XX services. million income operating margin. acquisitions margins Total XXXX. This increased $X.X $XX.X income a operating in operating X DXP in driven and income chain The QX of income, business Combined, was all

SG&A million. $X.X other for and the its investing people $X.X compensation XXXX XXX a XX.XX% mean, from reflects items million $XX.X year-over-year as normal as of quarter the pay increased as I and to terms SG&A basis payroll $XX.X and in sales. DXP XX.X% business Our in amounts QX, to -- through -- in me, of and XXXX to from administrative increased well million associated QX increase million taxes, points raises. growth excuse merit sales The percentage insurance the seasonal incentive and of

adjusted Adjusted is Turning that seasonality slightly million. was X.X%. items. to taxes, noting associated below associated $XX.X this worth insurance with were XX%-plus EBITDA normal QX, financial payroll recent is higher reflects our XXXX EBITDA. EBITDA It trends margins and and

We through it fixed from some with fiscal the associated will we to unique we expect leverage expense. excess to pick reflects still legal Additionally, benefit as onetime up acquisitions items XXXX. cost anticipate grow sales and and we move this continue experienced as SG&A

EPS, In $XX.X was income net of our million. QX terms for

per diluted for $X.XX for versus of share Our XXXX the earnings per QX, share. some previously year, earnings share $X.XX just per per $X.XX was diluted share XXXX items share QX, conservatively for onetime was per adjusting last mentioned,

balance the sheet flow. cash to Turning and

our working capital decreased of working million. $X.X December million from terms capital, $XXX.X In to

this percentage Or cash million sales, source decline cash consecutive working is of as capital That percentage $XX.X As DXP. amounted of to for quarters of X XX.X%. a sales. of in a of a creating a

of Kappe of million March during excuse of in $XX.X is end and as terms me, closed XX. This the to Hennesy, decrease cash, as and million -- QX repurchases. million balance the well the quarter, as Pro-Seal had in compared million, reflects we $XXX.X acquisitions of $XX.X cash sheet the share In X we on $XX.X a

QX a expect XXXX. CapEx, Last time of $X.X pick And last first decrease to versus $X.X CapEx was million in And this the XXXX. CapEx a compared terms or to to decrease XXXX. year, increased of $XXX,XXX year, versus versus of in QX, In XXXX. continue we like million up quarter CapEx XXXX

to our in software, continuing make operations investments business, our and We facilities our employees. for are

As will we we in continue And to appropriate. move focus on as the growth. these invest business investments as forward, we communicate will

reflects $XX.X flow along the in quarter required project our past profitability reduction excess product This cash in to QX the with inventory, and first in Free Turning free we improvements or and which versus cash cost continued XXXX. for of the highlighted increase in primarily work, X.X% investments flow. an was million have or business of days on has to receivable of to in from flow and at ROIC, we said, with first cash billings. That the we aspect to tightly investments. Return improve operating focus leverage XX.X% capital, and of as this a continue and invested perspective margins managing end quarter align the look run billings improve our and the continue rate of drive on was should our EBITDA. management

X.X:X was ratio of coverage covenant As debt was our with March the secured $XXX.X X.X:X XX fixed million. March for XX, of XX months $XXX.X leverage million. was outstanding ratio last Total our a on and EBITDA

We million of outlook strategy. liquidity million acquisition first quarter, In credit to our on of $X.X end. terms our quarter anticipate $XXX.X as with the we undrawn million of were with liquidity, execute including availability letters in poised closing and $XXX.X million, before $XXX.X DXP on in is of ABL another cash. of

pipeline the acquisitions them and XXXX. the rotating water DXP second look equipment Michigan and Kappe Kappe with and and Hennesy quarter on mechanical present continues municipal Pro-Seal with Pro-Seal. We with to fully active Pro-Seal. DXP's Associates for within and and in forward industries of continues and acquisition terms opportunity. DXP us X remain platforms industrial acquisitions, provider and to we quarter, DXP to steel reporting Welcome the market Hennesy, wastewater leading the a during Alaska. Hennesy In provides Kappe provides compelling and to closed of leading sales,

midyear second intent we during plan and as X a the call, quarter of accomplished discussed that acquisition on ends another that and end we by bringing second closing a have QX, before the of goal have we the the to before we letter acquisitions and closing QX anticipated of As earnings quarter. X acquisitions total of

That our said, execute and with we valuations to ability our continue reasonable. comfortable pipeline remain remain on to

in shareholders share QX. capital via Regarding million to $XX.X repurchased allocation, or repurchases returned we

chain and wastewater As we project summary, critical be markets move we through and has our XXXX, previously to support XXXX and exposure shareholders our our drive the continue profitability. Heading capital In through combined MRO and sustainable continue our as opportunistic and including mentioned, supply various and to to refreshed will solutions, in allowed invest shareholders. both trends, as us energy acquisitions, with secular resilient and and into we organically will which capabilities our balance through water move sales cycles. the sheet future to while returning also business we to

future. about excited are the We

our those on keep focused can the us. body of will things. control ahead We is We eyes in

embedded market there confidence now value because of substantial great the and questions. sustained excited for to look still future I turn with are the We forward in will over We call DXP. is performance. growth

Operator

from Cole [Operator Instructions] Your the Couzens line first from question comes of Stephens.

Cole Couzens

to wanted Just trends. ADS here start on

April kind organic can basis? mind, on you you you're what seeing and of and quarter-to-date organic May an walk through If early in both an

Kent Yee

of do given is through May view days back to the into our I'll I'll day between come the don't What and per we're you X Cole, of the amount a walk only and I usually a through of have mid business end April, quarter kind month. the fair sales

your your want I'll I kind you But there. So acquisition organic of -- basis, forecast versus then wouldn't trends anything an maybe half the get which will. to on to question, second was of if and

million business March, the as day million. And Going per April I were day. was $X.X million. million. back $X.X was $X.X from in per mentioned January script, sales $X.X February then was

a comparative April basis. is So year-over-year X.X% up on

in million million BordaValve Hennesy, April. February, was recent Reardon in you in day sales March $X.X and million January, on the will, $X.X if Kappe, some our per acquisitions, in trend $X.X business of Excluding, million $X.X and then meaning Pro-Seal, Alliance,

Cole Couzens

your reflective is of of typical -- is seasonality much that that view? in pretty how And

Kent Yee

Yes.

year, were saw, time get last March. a always the to at in think you if I quarter you in look frame what push we

we call average trend so that And we jumped I'll that QX we April, into year. of into experienced QX. it, right, again as And kind as this then above, we move

that day we're still that, in are growing following sales perspective. so we a per year-over-year the business last quantum as but And not year, same from

Cole Couzens

And do as remainder selling you mind the for well? here us maybe many XQ in reminding how the assuming of year you're and days

Kent Yee

Yes.

XX had day one year. last So we in QX, obviously, way, by less which, was selling than time this the days,

second performance forecasting of your year-over-year. basis, just comparative XX April. for a on already with factor QX. in we're So of do to QX, happening in need QX then just XX days for that the And kind you terms in question,

For literally the around but it's days. days usually usually fall have and XXX year, I XXX usually pad, it's pen put XXX. to out the between

Cole Couzens

then last one revenue. And on Okay.

But a here bit are I year-over-year or with seems on or it last softer And think categories is a down is product there basis? sequential on year-over-year. quarter? underlying basis, little it that anything first the some changed then end quarter. were market any in category of markets broadly like that's was What notable product the consistent versus demand a

Kent Yee

Yes. any do we our And segment. insights my from perspective, did but we frequently in Pumping has Solutions if what work, pretty David kind typical, was have which here, of project we I see Innovative don't know about talk

once think pretty to it's absolutely backlog is I those will ship. And some so of time again, And when jobs robust. always our hard

will know I energy-related the year-end, happen. necessarily call some wastewater, in So quite water, of if and I projects so whether didn't I think it is our where so is those market-driven I'm some shift getting that it's much don't

to not project any know if hasn't of percentage there. and into But once of has the work David I some get don't details, the insights of started. is that's some just but Now again, that completion on

David Little

pretty deviation category. But consistent. board up categories, product consistent a were actually was middle pumps a the on bit. pretty consistent, product words, Safety much not was it across little there's Well, around other working

Cole Couzens

here? And Okay. sequential XQ segments, to into That's expecting a X kind of directionally of here, on then across guys just as the progress kind are helpful. basis we you each move of from how revenue

David Little

the the then and second it's is better quarter quarter quarter. first So and third quarter the than quarter quarter every almost just first is that better the quickly, than the second

invariably something almost that happens big So every happens a days or from -- time. swing there's unless a in

that's that to I question, if So totally know I want do your don't but out. point

Kent Yee

year, together, call think we is, to up obviously, I per was think up bit don't just of day, X% any right, was actual would everyone then Once time with January call knows, sales and little a you February seeing things back agree think if all year-over-year. necessarily in businesses that but down said, I X.X% that we I to if we was buying it, you X%, David. what the business March we're performance to That's in business equal, trending slightly see We -- going of can't go kind announce range was always as April but to the we're I shifts. I X.X%. being a basis. And you're think I'll the from I we I the big guess the, comment. being give on X.X%. again, is see, basis, year-over-year, the blend the don't look trends those That in we technically I things guidance. DXP as we those acquisitive. formally when the year-over-year We're a we're X.X% growing back point say an appropriate. and

David Little

just our all a color is can trying manufacturers took towards little I picture. part to I of that on end I've the A disciplined said said, of is broader around the on ship what quarters. because everything what But we're simply quarter

things. shipping is everybody so And

a too. X actually X And little crazy, quite we business the days so of do the then last of last gets a in quarter of And bit month. days the a

reason I'd you give a just it. for So

Cole Couzens

or in But is in lower think some know level reason? do this, XX% here of the and kind for that going acknowledged in any EBITDA you know in impacting Yes, you're guys goal our kind terms XX% but to it that's view, that in helpful. seasonality QX, forward I QX. there's then move Or just range And in of you margin, it higher of I attainable? QX guys should

Kent Yee

is definitely the XX% attainable. call We think Yes.

which on. That adjusted conservatively some cost, spot definitely at back seasonality would and onetime our today. EBITDA us and said, hit we add QX, into QX, And conservatively we emphasized just included mix given XX% we There some that it I've QX attainable X.X%. as see to unique in as and put You move was materializing. that

Cole Couzens

on given little is that seen bit, good think going most be there? think the of improvement you've to line a your that Or And drive you mix, as you to gross leverage on some margin well? expand to do I

Kent Yee

XX%-plus I my a to far pay we've job to the a very inflation. system. raise is Inflation have come managing that. always contributed we've mean, grow perspective margins get the DXP, perspective, but the also had for hey, the not got continue we comments of Yes. just consistent pressures leverage everybody, I to Merit operating work And over out that get wins to there's some see us we we've -- product gross we continue needing growth. XX sales easily. leverage once that, are And script. consistent think here and and more that the business lift last through in from per system. The a my as with good and months for operating recently, through been those again, some has from done to challenging expect is thus definitely to X as you pretty But the and that's But we'll EBITDA margins, good of not grow people X sales in but that to -- get to

David Little

margins There's little to a that to big I'll bit. gross push get up. a add profit incremental

actually et our And things of are inflation a cost is not up to pass more only but going to and people so cost and get up, cetera, ourselves product little up. because going going on for

And allocation is higher and EBITDA capital value. higher compressors doing margins. gross the pushing we're profit water that with consistent air So and and margins on we're acquisitions our then have

healthy. that's So

Cole Couzens

you some back too, press capital little Got the come talked in think of executing about I those but -- level in hope playbook just Can what the quarter that? this And if we're quarter have and right what bit. recently you you guys walk what initiatives to I you allocation execute exactly goes guys last maybe by you a growth are higher more here. achieve And kind release, can through and in? everything think it. And I'll and to inning

David Little

I'm an world not sure Well, sales. the honest. Being question. that's to interesting what I'm XXX% want quite tell I doing grow to

don't And so we that. talk about

that just trying and obvious that things Every little to motion, are rotating national our think are we'll of like transmission. power on people about a a accounts equipment people that talk that's on do bit, business. of team side and bearings I national capture accounts AIT, some the

or that a of scenario. in doing we're for from process So that pump rotating equipment working That's us.

capabilities I'm something Sometimes, is product. incremental with It's same we're you consistent for working to same doesn't again, going every also But the and and that the always and us. We're national not lead attachment it's customer, to in incrementally a account. to creating product -- an XXX% it that's case, it's business tell what, product. that but adding product

so readily force. it's our being accepted sales And existing by

a there's expense lot added so of it. not really And doing to

sale. incrementally $XX a But all million. is it's services when one, million get the long helping that so then And time really is $XX supply chain you or us. And we're

large it's sale. So a

lot our a and -- company to business on So play for they in And to service et And had that closed the pushing with lot always customers a chain little or cetera, productivity designed if BXB don't business sense. help we're fighting channel a those [indiscernible]. always get happen money so offering. ourselves company the of very easier And hope lumpy and of they it of But then It's significant. every each don't through are, we're it a we on they're just development, content integrated commerce We've spend got make to pretty we've opportunities us. our some do day. a as -- supply supply table. in

in something. always the that's So works getting

Kent Yee

I'd only that Cole, add I with we complement there, thing Yes. is obviously, The then mean growth organic acquisitions.

caddish And less We so We the put is guidance. strategic to reasons question think of I to answering our kind Copy growth it initiatives. think for the disclosed around your here. way it. comes do best when world's

strategically And also position organic view know we're that growth We private DXP, et that take strategics articulating we growth. do through absolute company. if so on equity, people as focused plans we given of other ourselves yes, we always cetera. have a always the acquisitions with disclosure And

David think right nose. the hit it I on

So.

Cole Couzens

understand good on just capital there. That's color up And and Great. to allocation. completely lastly, circle

some know all what kind in there done lot reaped the have a on good have more more of like you benefits. of of in that diversification color sounds I those the can provide earlier call mentioned efforts there's on pipeline. executing You kind a any deals and it you here some of job like your Is look deals

So size color appreciated? terms would just be or end any in market of

Kent Yee

yes. Yes,

with had So I'll we've real markets the perspective, knows, start end push on everyone a water an wastewater. latter. From

So call we then of equipment QX, we'll likely distributors. kind type side call to one towards some QX, more focused X water, very rotating down industrial have on And found X of the really it is our wastewater recent I'll fairway the more continue close. themes I'll to it, nice,

$XX just in closer have to to around similar very very like have the it to likely be close revenue, to size one of profitability. probably $XX it's before end follows that tuck-in size will -- We relative in of nice lot of a Pro-Seal million in they just average terms a our QX, because just a fanfare nice acquisition the path. It of one won't million So that acquisition. but

plus XX% margins. got EBITDA they've So

move kind our move start see of in with into early but then in that just will we results And see And forward so QX. QX, QX and people to as that. we'll --

what the the to would in So of and people say just that's terms will of medium acquisition over term. what I see kind short focus

Cole Couzens

time, the Thanks. appreciate I Great. Okay. guys.

Operator

our Q&A out joining of us. thank today's day. the Enjoy our thank session. presentation, like you This to close speakers I rest for and for all does today's this concludes call. conference And would your

You disconnect. may now

DXP Enterprises (DXPE) 9 May 242024 Q1 Earnings call transcript