Msc Industrial Direct Company, Inc. · NYSE:MSM
Msc Industrial Direct — Q4 2025 Earnings Presentation
25 slides from Msc Industrial Direct's earnings presentation, Oct 23, 2025
Slide 1: Fiscal Fourth Quarter 2025 Earnings
FISCAL FOURTH QUARTER 2025 EARNINGS OCTOBER 23, 2025
Slide 2: Cautionary Note Regarding Forward-Looking Statements
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS Statements in this presentation may constitute “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. All statements, other than statements of present or historical fact, that address activities, events or develop
Slide 3: Fiscal Fourth Quarter and Full Year 2025 Highlights
FISCAL FOURTH QUARTER AND FULL YEAR 2025 HIGHLIGHTS 1 Average daily sales returned to growth in 4Q’25 with improvement of 2.7% YoY driven by benefits from growth initiatives and price but down 1.3% in FY’25, primarily due to softness in the first half of the fiscal year 2 Return to growth in Core an
Slide 4: Fiscal Fourth Quarter 2025 Reported and Adjusted Results
FISCAL FOURTH QUARTER 2025 REPORTED AND ADJUSTED RESULTS Net Sales Gross Profit Operating Profit Earnings (millions) (millions and % of sales) (millions and % of sales) (per diluted share) Reported Adjusted* Reported Adjusted* $94.2 $90.3 $1.09 $978.2 $390.6 $395.0 $1.03 $952.3 $90.9 $84.3 $0.99 $1.
Slide 5: Performance Against Industrial Production Improving as Momentum Builds from Growth Initiatives
PERFORMANCE AGAINST INDUSTRIAL PRODUCTION IMPROVING AS MOMENTUM BUILDS FROM GROWTH INITIATIVES MSC Total Organic Sales Growth 3-Month Average - IP Index 20% MSC Total Growth (3 Mo Avg) IP Growth (3 Mo Avg) 15% IP Index Performance YoY of MSC’s Top 5 Industries 10% Industry Group 4Q’25 5% Machinery &
Slide 6: Fiscal Year 2025 Reported and Adjusted Results
FISCAL YEAR 2025 REPORTED AND ADJUSTED RESULTS Net Sales Gross Profit Operating Profit Earnings (millions) (millions and % of sales) (millions and % of sales) (per diluted share) Reported Adjusted* Reported Adjusted* $3,769.5 $1,572.8 $390.4 $407.2 $4.58 $3,821.0 $1,536.1 $4.81 $301.6 $315.8 $3.57 $
Slide 7: Fiscal Fourth Quarter 2025 Balance Sheet and Cash Flow
FISCAL FOURTH QUARTER 2025 BALANCE SHEET AND CASH FLOW Free Cash Flow* (millions) Quarterly Year to Date $311.3 $81.2 • Strong operating cash flow conversion** of 143% in $240.9 the fiscal fourth quarter despite a step up in accounts $58.5 receivable associated with higher sales • Free cash flow con
Slide 8: Clear Capital Allocation Priorities
CLEAR CAPITAL ALLOCATION PRIORITIES Long-Term Priorities Significant capital allocation optionality after deprioritizing special Dividends and Share Strategic dividends; potential uses include organic growth investments, Repurchases Optionality strategic M&A, debt paydown, or further deployment to s
Slide 9: Early Momentum in Growth Initiatives Despite Macro Uncertainty
EARLY MOMENTUM IN GROWTH INITIATIVES DESPITE MACRO UNCERTAINTY Core and Other Customers National Accounts Public Sector Core Customer ADS National Accounts ADS Public Sectors ADS ADS & IP QOQ TRENDS IP Index Launch of Recent IP Index Launch of Recent IP Index Launch of Recent INDEXED TO 100 Growth I
Slide 10: Early Momentum in Growth Initiatives Resulting in Improving KPI's
EARLY MOMENTUM IN GROWTH INITIATIVES RESULTING IN IMPROVING KPI’S SELLER WEB AND SOLUTIONS EFFECTIVENES MARKETING Vending Customer Touches Web Installed vending machine count up Customer location touches logged by ADS up LSD YoY 10% YoY and LSD QoQ field sales up double digits YoY and QoQ In-Plant S
Slide 11: Strengthening Sales Excellence and Customer Experience
STRENGTHENING SALES EXCELLENCE AND CUSTOMER EXPERIENCE TO FURTHER DIFFERENTIATE IN THE MARKETPLACE Jahida Nadi Kim Shacklett SVP of Sales SVP Customer Experience • Dynamic global executive with a 20 • Industry leader with over 30 years of plus year track record of delivering metalworking and custome
Slide 12: First Quarter Expectations Reflect Continued Growth and Beginning Stages of Margin Expansion
FIRST QUARTER EXPECTATIONS REFLECT CONTINUED GROWTH AND THE BEGINNING STAGES OF MARGIN EXPANSION Up 3.5% to 4.5% YoY 8.0% to 8.6% 1Q’26 OUTLOOK AVERAGE DAILY SALES (ADS) ADJUSTED OPERATING MARGIN* ADS YoY TRENDS ASSUMPTIONS 1Q’25 2Q’25 3Q’25 4Q’25 1Q’26 • ADS improvement reflects building momentum i
Slide 13: FY'26 Guided Metrics and Historical Average Daily Sales Sequential Performance
FY’26 GUIDED METRICS AND HISTORICAL AVERAGE DAILY SALES SEQUENTIAL PERFORMANCE WITH CONSIDERATIONS FY’26 MODELING $95-$100M ~$35M $100-$110M*** ~90% 24.5%-25.5% Depreciation and Interest and Other Capital Free Cash Flow Tax ASSUMPTIONS Amortization Expense Expenditures Conversion* Rate AVERAGE DAILY
Slide 14: Summary
SUMMARY 1 Average daily sales returned to growth in 4Q’25 with improvement of 2.7% YoY driven by benefits from growth initiatives and price but down 1.3% in FY’25, primarily due to softness in the first half of the fiscal year 2 Return to growth in Core and Other Customers with average daily sales u
Slide 15: Appendix
APPENDIX MSC
Slide 16: Reconciliations: Non-GAAP Financial Measures
RECONCILIATIONS Non-GAAP Financial Measures To supplement MSC’s unaudited selected financial data presented consistent with accounting principles generally accepted in the United States (“GAAP”), the Company discloses certain non-GAAP financial measures, including return on invested capital (as defi
Slide 17: Reconciliations: Non-GAAP Financial Measures
RECONCILIATIONS Non-GAAP Financial Measures Results Excluding Restructuring and Other Costs, Loss on Sale of Property, Share Reclassification Litigation Costs, Share Reclassification Costs (prior year) and Acquisition-Related Costs (prior year) In calculating certain non-GAAP financial measures, we
Slide 18: Reconciliations
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Slide 19: Reconciliations
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Slide 20: Reconciliations
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Slide 21: Reconciliations
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Slide 22: Reconciliations
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Slide 23: Reconciliations
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Slide 24: Reconciliations
RECONCILIATIONS investor.mscdirect.com 24
Slide 25: Thank You
THANK YOU
MSC Industrial Direct Company — Q4 2025 Earnings Presentation on 6ix