Company: DXPE
Filing Date: 2025-03-10
Form Type: 10-K
Source: 0001020710-25-000036
Chunk: 152

Company: DXP ENTERPRISES INC
Filing Date: 2025-03-10
Form: 10-K
Item: Item 7
Chunk 152
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 calculate organic sales to include locations and acquisitions under our ownership for at least twelve months. “Acquisition Sales” are sales from acquisitions that have been under our ownership for less than twelve months and are excluded in our calculation of Organic Sales.

The following table sets forth the reconciliation of Acquisition Sales and Organic Sales to the most comparable U.S. GAAP financial measure (in thousands):

Twelve Months Ended December 31,20242023(1)2022(1)Service Centers$1,222,599 $1,199,501 $1,041,462 Innovative Pumping Solutions323,026 218,731 198,895 Supply Chain Services256,415 260,368 240,475 Total DXP Sales$1,802,040 $1,678,600 $1,480,832 Acquisition Sales$98,500 $33,078 $41,527 Organic Sales$1,703,540 $1,645,522 $1,439,305 (1) Prior period segment disclosures have been recast. For additional information, please refer to Note 20. Segment Reporting.

36

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, amortization, less non-controlling interest. We define and calculate Adjusted EBITDA as Net income attributable to DXP Enterprises, Inc., plus interest, taxes, depreciation, amortization plus stock-based compensation expense, non-controlling interest before taxes 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):

Twelve Months Ended December 31,202420232022Net income attributable to DXP Enterprises, Inc.$70,489 $68,812 $48,155 Less: Net loss attributable