Company: DXPE
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050322
Chunk: 52

Company: DXP ENTERPRISES INC
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 52
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 of $11.6 million. The Company acquired this business to expand its end markets and enhance a geographic region in order to maintain its leading position as the largest distributor of rotating equipment in North America.A summary of the preliminary allocation of the total purchase consideration of our business acquisition during the nine months ended September 30, 2025 is presented as follows (in thousands): Q1 2025Q2 2025Q3 2025TotalTotal Acquisitions1113  Cash payments $12,981 $1,027 $10,916 $24,924 Contingent Consideration— — 683 683 Total purchase price consideration $12,981 $1,027 $11,599 $25,607 Tangible assets acquired8,160 927 5,219 14,306 Intangible assets acquired3,284 203 2,305 5,792 Total assets acquired$11,444 $1,130 $7,524 $20,098 Total liabilities assumed(4,983)(508)(1,179)(6,670)Net assets acquired6,461 622 6,345 13,428 Goodwill$6,520 $405 $5,254 $12,179 The total purchase consideration related to our acquisitions for the nine months ended September 30, 2025 consisted primarily of cash consideration. The total cash and cash equivalents acquired for these acquisitions was $1.2 million. Transaction-related costs included within selling, general, and administrative expenses in the consolidated statements of operations was $1.0 million for the nine months ended September 30, 2025.The goodwill total of approximately $12.2 million for the nine months ended September 30, 2025 assigned to our SC segment was primarily attributable to expected synergies and the assembled workforce of the entities. The total amount of goodwill expected to be deductible for tax purposes is $11.8 million.The acquisitions' operating results are included within the Company's consolidated statements of operations from the date of acquisition, which were not material for the nine months ended September 30, 2025. Pro forma results of operations information have not been presented, as the effects of the acquisitions were not material to our financial results. 

Of the $5.8 million of acquired intangible assets, $0.3 million was provisionally assigned to non-compete agreements that are subject to amortization