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DSGR

Distribution Solutions Group, Inc.

DSGR

Distribution Solutions Group, Inc. • NASDAQ
$27.76 ▼ -1.10% (-0.31)
Market Cap $1.28 B
52w High $40.08
52w Low $21.87
Dividend Yield 0%
P/E -115.67
Volume 28.48K
Outstanding Shares 46.24M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $517.958M ▲ $146.707M ▲ $6.452M ▲ 1.246% ▲ $0.14 ▲ $42.378M ▼
Q2-2025 $502.437M ▲ $131.461M ▼ $5.003M ▲ 0.996% ▲ $0.11 ▲ $46.438M ▲
Q1-2025 $478.029M ▼ $143.883M ▲ $3.261M ▲ 0.682% ▲ $0.07 ▲ $20.097M ▼
Q4-2024 $480.463M ▲ $139.924M ▲ $-25.925M ▼ -5.396% ▼ $-0.55 ▼ $39.665M ▲
Q3-2024 $468.019M $139.901M $21.921M 4.684% $0.47 $36.698M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $69.214M ▲ $1.767B ▲ $1.113B ▲ $653.874M ▲
Q2-2025 $47.43M ▼ $1.752B ▼ $1.103B ▼ $649.375M ▲
Q1-2025 $65.442M ▼ $1.763B ▲ $1.126B ▲ $636.713M ▼
Q4-2024 $66.479M ▲ $1.727B ▼ $1.087B ▼ $640.543M ▼
Q3-2024 $61.344M $1.785B $1.104B $680.762M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $6.452M ▲ $38.37M ▲ $-8.475M ▼ $-9.387M ▲ $20.937M ▲ $32.863M ▲
Q2-2025 $5.003M ▲ $33.298M ▲ $-6.936M ▼ $-46.691M ▼ $-18.274M ▼ $24.339M ▲
Q1-2025 $3.261M ▲ $-4.762M ▼ $-5.053M ▲ $7.633M ▲ $-1.689M ▼ $-13.269M ▼
Q4-2024 $-25.925M ▼ $45.717M ▲ $-24.291M ▲ $-12.648M ▼ $5.959M ▼ $37.318M ▲
Q3-2024 $21.921M $-17.273M $-103.022M $138.741M $18.856M $-17.321M

Revenue by Products

Product Q1-2022Q4-2022Q2-2025Q3-2025
Lawson Segment
Lawson Segment
 $100.00M ▲$220.00M ▲$120.00M ▼$120.00M ▲
Bolt Supply Segment
Bolt Supply Segment
 $10.00M ▲$0 ▼$0 ▲$0 ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue has grown strongly over the past few years, largely driven by acquisitions and an expanded footprint across MRO, OEM, and test equipment. However, profitability has not kept pace with this growth. Gross profit dollars are up, but margins are thinner than in the past, and operating margins remain modest. The company has hovered around breakeven at the bottom line recently, with small losses in the last two years after earlier modest profitability. This suggests a business still digesting acquisitions, absorbing integration and interest costs, and working to translate scale into consistently stronger earnings.

Balance Sheet

Balance Sheet The balance sheet reflects a much larger company than just a few years ago, with significantly higher total assets from acquired businesses and inventory to support a broader customer base. This expansion has been financed largely with debt, which is now a meaningful part of the capital structure, while equity has also grown but more slowly. Cash on hand is relatively modest, so the company is more reliant on ongoing cash generation and access to credit. Overall, the balance sheet shows a scaled-up platform with higher leverage, which brings both growth potential and higher financial risk if business conditions weaken.

Cash Flow

Cash Flow Cash generation from operations has generally been positive outside of one integration-heavy year, and free cash flow has been positive in most recent periods. Capital spending needs appear relatively light, which fits the asset-light nature of distribution and services. That said, free cash flow is not yet robust relative to the size of the business and its debt load, so consistent execution is important. The cash flow profile suggests the core business can support itself and some debt reduction over time, but it leaves less room for error if operating performance softens or if acquisition activity remains aggressive.

Competitive Edge

Competitive Edge DSGR operates as a specialty distributor rather than a pure product middleman, focusing on high-touch service, technical support, and supply-chain solutions. By combining Lawson Products, Gexpro Services, and TestEquity, it serves a wide range of industrial, OEM, and test-and-measurement needs, with a very diversified customer base and limited concentration risk. Its strengths include vendor‑managed inventory programs, kitting, global logistics capabilities, and value-added services like calibration and repair. These offerings deepen customer relationships and help embed DSGR in customer operations. The flip side is that it competes in a crowded, cyclical industrial market where price pressure and service expectations are high, and it must continually prove its value to justify premium, relationship-driven contracts.

Innovation and R&D

Innovation and R&D Innovation at DSGR is focused on processes, technology, and service models rather than traditional laboratory R&D. The company is investing in digital tools such as advanced inventory management, mobile apps, electronic labels, sensor-based solutions, and a unified e-commerce and e-procurement platform. These systems are designed to improve visibility into inventory, automate ordering, and integrate with customers’ own purchasing platforms. DSGR is also leaning into data analytics and, over time, AI to refine forecasting and personalize service. This type of innovation can strengthen customer stickiness and operational efficiency, but its impact depends on successful rollout across all business units and on competitors not closing the technology gap.

Summary

DSGR has transformed itself from a smaller distributor into a much larger, multi-platform specialty distribution group with a strong service orientation. Top-line growth has been impressive, but earnings have lagged as the company absorbs acquisitions and operates with thin margins and higher interest costs. The balance sheet is now more leveraged, which magnifies both the potential upside from successful integration and the downside if growth or margins disappoint. Cash flow is generally positive and capital-light, but not yet abundant relative to debt. Strategically, DSGR’s high-touch service model, digital initiatives, and diversified end markets create meaningful opportunities, while key uncertainties revolve around execution on integrations, turning scale into durable profitability, and managing leverage through industrial cycles.

NEWS

November 24, 2025 · 12:00 PM UTC

Distribution Solutions Group Names Sean Dwyer as Senior Vice President, Head of M&A and Strategy

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November 17, 2025 · 7:30 AM UTC

Distribution Solutions Group Announces $30 Million Increase to Its Share Repurchase Program

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November 3, 2025 · 4:30 PM UTC

Distribution Solutions Group to Participate in Three Investor Conferences in November 2025

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October 30, 2025 · 7:30 AM UTC

Distribution Solutions Group Announces Third Quarter 2025 Results

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October 13, 2025 · 7:30 AM UTC

Distribution Solutions Group Announces Timing for Third Quarter Results and Conference Call

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