Replay available

Distribution Solutions Group, Inc. (DSGR) Q3 2025 Earnings Call

Distribution Solutions Group, Inc. (NASDAQ: DSGR) Q3 2025 earnings conference call, held 2025-10-30. Replay captured from the company's public earnings webcast.

Thu, October 30, 2025 at 9:00 AMendedReplay
Distribution Solutions Group, Inc. (DSGR) Q3 2025 Earnings Call

Hosted by

Featured presenters

Brian King

President & CEO

Ron Waddell

Executive Vice President & Chief Financial Officer

Tommy Mull

Analyst, Stevens

Ken Newman

Analyst, KeyBank

Kevin Stanky

Analyst, Barrington Research

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Replay transcript excerpt

WEBVTT 00:00:00.031 -- 00:00:04.456 remain particularly healthy across aerospace and defense, renewable, semiconductor-related 00:00:04.456 -- 00:00:10.082 technology, and industrial power, where production demand continues to accelerate. 00:00:10.082 -- 00:00:14.047 With solid top-line performance, inclusive of the significant investments we continue 00:00:14.047 -- 00:00:18.332 to make on the income statement, we're pleased to report an increase in our shareholder 00:00:18.332 -- 00:00:23.438 returns measured through adjusted earnings per share of 40 cents for the third quarter, 00:00:23.438 -- 00:00:27.942 an increase of 8.1% compared to the same period last year. 00:00:27.942 -- 00:00:32.349 We enhanced shareholder returns with more than $20 million of share buybacks in the first 00:00:32.349 -- 00:00:37.477 nine months of 2025, reflecting our confidence in the company's trajectory despite 00:00:37.477 -- 00:00:40.321 a challenging macro environment. 00:00:40.321 -- 00:00:45.549 We also enjoyed generating strong quarterly operating cash flow of more than $38 million, 00:00:45.549 -- 00:00:50.817 with adjusted EBITDA of $48.5 million. This is on top of strong 00:00:50.817 -- 00:00:53.942 cash flow generated in the second quarter as well. 00:00:53.942 -- 00:00:57.364 EBITDA margins for the quarter were 9.4%. 00:00:57.406 -- 00:01:02.773 primarily impacted by a combination of product and customer mix shifts, as well as strategic 00:01:02.773 -- 00:01:07.919 investments across the verticals. We expect these ongoing initiatives to start realizing 00:01:07.919 -- 00:01:12.205 returns and improved EBITDA margins in the coming quarters. 00:01:12.205 -- 00:01:16.310 Importantly, Barry Litwin and the investment we have made in the test equity team are 00:01:16.310 -- 00:01...