Distribution Solutions Group, Inc. · NASDAQ:DSGR
Distribution Solutions — Non-Deal Roadshow (December 2025)
32 slides from Distribution Solutions's roadshow presentation, December 2025
Slide 1: Powerful Solutions. Proven Results. Non-Deal Roadshow
Powerful Solutions. Proven Results. NASDAQ: DSGR Non-Deal Roadshow December 2025
Slide 2: Disclaimers
Disclaimers Cautionary Note Regarding Forward-Looking Statements This presentation contains certain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the “safe-harbor” provisio
Slide 3: Presenters
Presenters Ron Knutson Brett Scarbrough EVP & CFO for Vice President, Strategy & DSG and Lawson Products Investor Relations for DSG 9DSG DISTRIBUTION SOLUTIONS GROUP.
Slide 4: Leading Specialty Industrial Distribution Platform
Leading Specialty Industrial Distribution Platform MRO Focus OEM Focus Industrial Technologies Focus VMI Focus Canadian Branch Focus Leading vendor managed Leading wholesale distributor of Leading global supply chain services Leading supplier of electronic and inventory provider of C-parts to MRO su
Slide 5: Why Invest in DSG?
Why Invest in DSG? Value-added services managing complexities, embedded customer relationships, consistent cash flow Specialty Distributor and high returns on working capital with asset light model Highly diverse platform Connecting over 200,000+ customers, 10,000+ suppliers, largest customer < than
Slide 6: Attractive Attributes of Specialty Distributors
Attractive Attributes of Specialty Distributors ✔ Business model repeatedly demonstrating a clear, differentiated value proposition for customers ✔ Fortified competitive moat of technical knowledge, service capabilities, sourcing of complex, scarce products ✔ Ability to rapidly and consistently scal
Slide 7: Highly Diverse Platform of Customers & Suppliers
Highly Diverse Platform of Customers & Suppliers Diverse customer base and end markets with product focus and reach fosters growth with both suppliers and customers Customer Concentration Supplier Concentration 200,000+ customers 10,000+ suppliers Top 1 Top 1 Top 2-5 5.6% 4.1% Top 2-5 Top 6-10 4.7%
Slide 8: Case Study: Aerospace Production Plant
Case Study: Aerospace Production Plant Our “Power of Three” Main Assembly Multi-platform benefits & opportunities ▪ One C-Suite ▪ Cash operating cost savings ▪ Shared M&A team ▪ Shared operational best Fasteners ▪ Sourcing advantages & practices & culture adjacent products ▪ Significant cash generat
Slide 9: DSG Serves a Broad & Diverse Set of End Markets
DSG Serves a Broad & Diverse Set of End Markets Spotlight: Revenue and End Market Diversification A&D Industry – example of how DSG serves customers up and down the value chain within >200,000 customers various end markets: in a robust set of end markets R&D - TE | OEM - GS/TE/Hisco | MRO - Lawson/H
Slide 10: MRO Focus: Overview
MRO Focus: Overview Business Unit Snapshot Products ▪ Fasteners ▪ Hydraulics MRO Focus 35% of Total Revenue ▪ Chemicals ▪ Other broad offerings and (TTM $703.5M) (1) C-Parts ▪ Cutting tools ▪ Safety OEM Focus Services ▪ Managed inventory ▪ Product recommendations Industrial Technologies ▪ Industrial
Slide 11: OEM Focus: Overview
OEM Focus: Overview Business Unit Snapshot Comprehensive Supply Chain Solutions MRO Focus OEM Focus 25% of Total Revenue (TTM $496.4M) (1) Vendor Managed Kitting & Industrial Technologies Inventory (VMI) Assembly Aftermarket / Technology Installation Focus Diverse End Markets Current Strategic Initi
Slide 12: Industrial Technologies Focus: Overview
Industrial Technologies Focus: Overview Business Unit Snapshot Current Strategic Initiatives MRO Focus ▪ New high-energy leadership, reworking go-to-market strategy OEM Focus ▪ Enhance value proposition across 3 core categories: Design & Test, Build & Assembly, Maintain & Repair Industrial Technolog
Slide 13: M&A Strategy
M&A Strategy Acquisition Criteria MRO Focus OEM Focus Industrial Technologies Focus • Product offering expansion in safety, cutting • Expansion of fasteners, fabrication, electricals, • Distribution: EPS & T&M, with emphasis on tools, automotive, and fluid power categories mechanicals, & gasket/seal
Slide 14: Capital Allocation Strategy
Capital Allocation Strategy Robust Net Working Capital Focus on Deleveraging via Return Capital to Organic Growth M&A Earnings Growth and Free Cash Flow Shareholders Investment Generation $485.7M • Market share • Adding scale, 3.6x • Authorized $37.5M growth footprint, product share repurchase adjac
Slide 15: Accelerated Growth Since DSG Established
Accelerated Growth Since DSG Established 20.5% CAGR < Pre-merger Post-merger > $1,979M Revenue(1)(4) $1,804M $1,570M $1,269M $938M +~2.5x vs ‘21 Adj. EBITDA(2)(4) $175M $185M $157M $123M $75M +~$900M or ~$19/share Equity Val.(3)(4) $1,587M $1,409M $1,445M $1,084M $688M FY 2021 FY 2022 FY 2023 FY 202
Slide 16: Highly Aligned Leadership / Governance
Highly Aligned Leadership / Governance J. Bryan King Ron Knutson DSG Chairman & CEO EVP and CFO Dedicated LKCM Headwater team LKCM HW Managing Partner Lawson and DSG investing significant time, resources and well aligned capital LAWSON PRODUCTS GEXPRO SERVICES TESTEQUITY GROUP Cesar Lanuza Bob Conno
Slide 17: LKCM Headwater Introduction
LKCM Headwater Introduction SIGNIFICANT PRIVATE COMPANY DISTRIBUTION EXPERIENCE • LG - Leading distributor of fabricated hose, gaskets and belting for specialized and mission-critical applications • Private, employee-owned SEC-registered investment advisor • ESP - Value-added provider of mission-cri
Slide 18: Questions?
Questions? Visit our websites for more information www.lawsonproducts.com www.testequity.com www.gexproservices.com www.lkcmheadwater.com www.distributionsolutionsgroup.com DSG Investor Presentation
Slide 19: Investor Contacts
Investor Contacts Three Part Advisors, LLC (214) 872-2710 Steven Hooser shooser@threepa.com Sandy Martin smartin@threepa.com 19 DSG Investor Presentation
Slide 20: Appendix
Appendix DSG Investor Presentation
Slide 21: Historical Acquisitions
Historical Acquisitions COMPANY FOCUS STRATEGIC RATIONALE CLOSING DATE REVENUE (1) PURCHASE PRICE Industrial • Expanded geographic coverage and expanded customer base with an additional ~22,000 customer locations January 2017 $45.1 $25.0 Technologies • Complementary value-added products / services (
Slide 22: Historical Acquisitions (Continued)
Historical Acquisitions (Continued) COMPANY FOCUS STRATEGIC RATIONALE CLOSING DATE REVENUE (1) PURCHASE PRICE • Leading global renewables supplier within the OEM segment OEM January 2022 $31.9 $38.0 • Opened new strategic markets in Europe, the Middle East, and Asia • Enhances B & C-class product an
Slide 23: Q3 2025 Consolidated Financial Highlights
Q3 2025 Consolidated Financial Highlights ✔ Q3 revenue of $518M; up $50M or 10.7% over a year ago primarily from organic daily sales growth of 6.0% and three acquisitions closed in the second half of 2024; organic daily sales up 3.1% sequentially over Q2. ✔ Q3 adjusted EBITDA of $48.5M or 9.4% of sa
Slide 24: Q3 2025 Consolidated Financial Highlights
Q3 2025 Consolidated Financial Highlights Results Inclusive of Pre-Acquisition Results ✔ Adjusted Revenue and adjusted EBITDA below include the reported GAAP results and the pre-acquisition results of other businesses that were acquired at any time during the Q3 2024-Q3 2025 period. Adj EBITDA Margi
Slide 25: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Q3 Revenue and Adjusted EBITDA Reconciliation ($000s) (Unaudited) Canada Branch Lawson Products Gexpro Services TestEquity Division All Other Eliminations Consolidated DSG Quarter Ended Q3 2025 Q3 2024 Q3 2025 Q3 2024 Q3 2025 Q3 2024 Q3 2025 Q3 2024 Q3 2025 Q3 2024 Q
Slide 26: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Adjusted Revenue and Adjusted EBITDA Reconciliation ($000s) Results Inclusive of Acquisitions – Pre-Acquisition Date (Unaudited) Consolidated DSG Quarter Ended Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Revenue $ 468,019 $ 480,463 $ 478,029 $ 502,437 $ 517,958 Pre-acqui
Slide 27: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Adjusted Revenue and EBITDA Reconciliation – Table Footnotes 1. Represents additional revenue and operating income of acquisitions prior to their acquisition dates not in reported GAAP results. 2. Transaction and integration costs related to acquisitions. 3. Expense
Slide 28: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations GAAP Net Income (Loss) and GAAP Diluted EPS to Non-GAAP Adjusted Net Income and Non-GAAP Adjusted Diluted EPS Reconciliation ($000s, except per share data) (Unaudited) Consolidated DSG Q3 2025 Q3 2024 Q2 2025 Diluted Diluted Diluted Amount EPS(2) Amount EPS(2) Amount
Slide 29: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Adjusted EBITDA Reconciliation ($000s) (Unaudited) References to table footnotes are on slide 31 Results are presented on an Adjusted (Non-GAAP) and continuing operations basis. 29
Slide 30: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Revenue and Adjusted Revenue ($000s) (Unaudited) References to table footnotes are on slide 31 Results are presented on an Adjusted (Non-GAAP) and continuing operations basis. 30
Slide 31: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Adjusted Revenue and EBITDA Reconciliation – Table Footnotes 1. Transaction and integration costs related to acquisitions. 2. Expense (benefit) primarily for stock-based compensation, of which a portion varies with the Company’s stock price. 3. Includes severance exp
Slide 32: Who We Are
Who We Are DSG is a best-in-class specialty distribution company providing high-touch, value-added distribution solutions to the MRO, OEM, and Industrial Technologies verticals in a diversified set of end markets. We take a solutions-based approach to serving our customers the way they want to be se
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