DXP Enterprises Q4 sales ease past expectations

DXP Enterprises

25/02/2026 22:38

Overview

Industrial distributor's Q4 sales rose 12% yr/yr, beating analyst expectations

Company completed six acquisitions during fiscal 2025

Outlook

DXP sees positive dynamics in water & wastewater markets in 2026

Company expects growth in traditional energy markets in 2nd half of 2026

DXP plans to drive growth through acquisitions and organic expansion in 2026

Result Drivers

SEGMENT PERFORMANCE - Service Centers and Innovative Pumping Solutions segments drove revenue growth, with increases of 11% and 26.4% respectively, while Supply Chain Services saw a 1.4% decline

REFINANCING - Co refinanced Senior Secured Term Loan B, raising an incremental $205 million and reducing borrowing costs by 50 basis points

ACQUISITIONS - Completed six acquisitions during fiscal 2025, contributing to overall growth

Company press release: ID:nBw7G4nwMa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Beat
$527.39 mln
$507.10 mln (3 Analysts)
Q4 Net Income
Miss
$22.85 mln
$24.50 mln (2 Analysts)
Q4 Operating income
Beat
$46.67 mln
$42.65 mln (3 Analysts)
Q4 Pretax Profit
Slight Beat*
$31.001 mln
$31 mln (1 Analyst)
Q4 Gross Profit
$166.59 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

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 $121.00, about 24.1% below its February 24 closing price of $159.37

The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 19 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)