DXPE earnings analysis
What we found in DXPE's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
DXP Enterprises (DXPE) reported Q1 2026 results with revenues of $521.7 million, a slight year-over-year increase of 9.5%, but missing consensus estimates of $531.2 million. Diluted EPS stood at $1.22, down from $1.25 in the previous year. Despite segment growth particularly in the Innovative Pumping Solutions segment, overall profitability was impacted by rising SG&A expenses and increased interest costs, leading to a net income decrease from $20.6 million to $20.0 million.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Growth of 9.5%
- Q1 revenue increased to $521.7 million from $476.6 million year-over-year.
- Free Cash Flow Generation
- Free cash flow turned positive at $26.3 million, rebounding from a negative $16.9 million in Q1 2025.
- Solid Performance in IPS Segment
- Innovative Pumping Solutions segment revenue rose by 37.7% to $118.7 million, growing due to acquisitions.
- Improved Gross Margin
- Gross margin improved to 32.3%, up from 31.5% in the same quarter last year.
- Stable Operating Income
- Operating income rose to $42.5 million, reflecting continued operational efficiency despite higher SG&A expenses.
- Increase in Segment Revenues
- All segments posted revenue increases, with Service Centers up 3.3% and Supply Chain Services up 2.7%.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Earnings Misses Expectations
- Reported EPS of $1.22 fell short of estimates of $1.31, indicating potential downside risk.
- Increase in Interest Expense
- Interest expense rose to $16.4 million from $14.7 million due to refinancing activities.
- High Debt Levels
- Total debt as of March 31, 2026, stood at $844.7 million, potentially straining liquidity.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $1.22
- Gross margin
- 32.3%
- Operating margin
- 8.1%
- Segment
- Service Centers
- Segment
- Innovative Pumping Solutions
- Segment
- Supply Chain Services
What they said about what is next.
Outlook discusses increased acquisition activity but does not provide specific numeric guidance.
The filing reads about the same as the one before it.
What came before.
- 10-K · February 26, 2026
- DXP Enterprises reported multi-year top-line growth to $2,016.0 million in 2025 (from $1,802.0M in 2024 and $1,679.0M in 2023) with operating income of $177.0 million (8.8% margin) and EBITDA of $219.0 million (10.8%…
- 10-Q · November 6, 2025
- DXP reported Q3 sales of $513,724,000, up from $472,935,000 a year earlier, with gross profit rising to $161,259,000 and operating income to $43,698,000. Diluted EPS was $1.31 (vs. $1.27 in Q3 2024). Liquidity and…
- 10-Q · August 7, 2025
- DXP reported a stronger quarter: sales of $498,682 (in thousands) and diluted EPS of $1.43 for the three months ended June 30, 2025, both up materially versus the year-ago quarter. Margins expanded (gross profit…
- 10-K · March 10, 2025
- DXP reports multi-year organic and acquisitive growth: revenue rose to $1,802.0 million in 2024 (from $1,679.0M in 2023) with operating income of $145.0 million and an operating margin of 8.1%. Management emphasizes a…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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