Overview

• Industrial distributor's Q1 sales rose 9.5% yr/yr to $521.7 mln

• Diluted EPS declined to $1.22 from $1.25 a year ago

• Company completed three acquisitions during the quarter

Outlook

• Company expects to continue fiscal year 2026 with strong momentum

Result Drivers

• GROWTH STRATEGY EXECUTION - Co said Q1 results reflected continued execution of its growth strategy and diversification efforts

• INNOVATIVE PUMPING SOLUTIONS GROWTH - Segment revenue rose 37.7% yr/yr, outpacing other segments

Company press release: ID:nBw7NSM9ta

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Sales	Miss	$521.66 mln	$535 mln (1 Analyst)
Q1 Net Income	Miss	$19.98 mln	$25 mln (1 Analyst)
Q1 Operating income	Miss	$42.47 mln	$51 mln (1 Analyst)
Q1 Gross Profit		$168.61 mln
Q1 Pretax Profit		$26.63 mln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

• Wall Street's median 12-month price target for DXP Enterprises Inc is $154.00, about 15.2% below its May 6 closing price of $181.51

• The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 20 three months ago

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