Distribution Solutions’s (NASDAQ:DSGR) Q3 Sales Top Estimates

Distribution Solutions, a key industrial and safety products distributor, reported a 10.7% sales increase to $518 million in Q3 FY2025, surpassing Wall Street's estimates. Earnings per share matched expectations at $0.40, while free cash flow improved significantly to $40 million. Organic growth drove sales, with Gexpro Services and Canada Branch performing strongly. Despite challenges like inflation and tariffs, the company maintained four consecutive quarters of revenue growth. However, EBITDA missed expectations, and operating margins remained steady at 4.6%. Analysts predict a 2.8% sales growth in the next year, potentially slowing down demand for some products. The stock price remained unchanged post-earnings, indicating a mixed reaction from investors.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.