DXP Enterprises, Inc. (NASDAQ:DXPE) Q1 2024 Earnings Call Transcript

Kent Yee: Yes, yes. So I’ll start with the latter. From an end markets perspective, everyone knows, we’ve had a real push on water wastewater. So I’ll call it really very likely towards more Q3, Q4, we’ll have one to two on the water, wastewater side continue to close. And then kind of one of our more recent themes is we found some nice, I’ll call it, down the fairway rotating equipment focused industrial type distributors. So the one likely to close before the end of Q2, it follows in that path. It will be just a nice tuck-in acquisition. We probably won’t have a lot of fanfare around that one just because it’s very similar to like a Pro-Seal just in terms of relative size, closer to our average acquisition size of $25 million to $35 million in revenue, but they have very nice profitability.

So they’ve got 10% plus EBITDA margins. And so we’ll just kind of move forward with that. And people will see, start to see that early in our results in Q2, but then as we move into Q3 and Q4. So that’s what I would say just in terms of kind of the acquisition focus and what people will see over the short to medium term.

Operator: And this does close out our Q&A session. I would like to thank our speakers for today’s presentation, and thank you all for joining us. This concludes today’s conference call. Enjoy the rest of your day. You may now disconnect.