Company: DXPE
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050322
Chunk: 68

Company: DXP ENTERPRISES INC
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 68
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quisition Sales$18,403 $28,535 $74,120 63,713 Organic Sales$495,321 $444,400 $1,414,855 $1,267,413 

EBITDA, Adjusted EBITDA, EBITDA Margin, and Adjusted EBITDA Margin

We define and calculate EBITDA as Net income attributable to DXP Enterprises, Inc., plus interest, taxes, depreciation, and amortization. We define and calculate Adjusted EBITDA as Net income attributable to DXP Enterprises, Inc., plus interest, taxes, depreciation, and amortization minus stock-based compensation expense and all other non-cash charges, adjustments, and non-recurring items. We identify the impact of all other non-cash charges, adjustments and non-recurring items because we believe these items do not directly reflect our underlying operations.

We define and calculate EBITDA Margin as EBITDA divided by sales. We define and calculate Adjusted EBITDA Margin as Adjusted EBITDA divided by sales.

The following table sets forth the reconciliation of EBITDA, EBITDA Margin, Adjusted EBITDA, and Adjusted EBITDA Margin to the most comparable U.S. GAAP financial measure (in thousands):

Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Net income attributable to DXP Enterprises, Inc.$21,631 $21,101 $65,832 $49,126 Plus: Interest expense14,894 15,716 44,298 46,644 Plus: Provision for income tax expense7,821 2,631 22,389 13,165 Plus: Depreciation and amortization9,920 8,720 28,544 24,385 EBITDA$54,266 $48,168 $161,063 $133,320 Plus: other non-recurring items(1)757 2,950 992 4,292 Plus: stock compensation expense1,478 1,322 4,278 3,398 Adjusted EBITDA$56,501 $52,440 $166,333 $141,010 Operating Income Margin8.5 %8.4 %8.7 %8.0 %Net Income Margin4.2 %4.5 %4.4 %3