[X]
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended March 31, 2020
|
[ ]
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.For the transition period from to
|
Texas
|
|
76-0509661
|
(State or other jurisdiction of incorporation or organization)
|
|
(I.R.S. Employer Identification Number)
|
|
|
|
5301 Hollister, Houston, Texas 77040
|
||
(Address of principal executive offices, including zip code)
|
||
(713) 996-4700
|
||
(Registrant's telephone number, including area code)
|
Title of Each Class
|
Trading Symbol
|
Name of Exchange on which Registered
|
Common Stock par value $0.01
|
DXPE
|
NASDAQ Global Select Market
|
Item
|
|
Page
|
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
|
|
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
|
Three Months Ended March 31,
|
||||||
|
2020
|
|
2019
|
||||
Sales
|
$
|
300,983
|
|
|
$
|
311,225
|
|
Cost of sales
|
216,998
|
|
|
227,025
|
|
||
Gross profit
|
83,985
|
|
|
84,200
|
|
||
Selling, general and administrative expenses
|
73,070
|
|
|
69,384
|
|
||
Income from operations
|
10,915
|
|
|
14,816
|
|
||
Other income
|
(834
|
)
|
|
(33
|
)
|
||
Interest expense
|
4,377
|
|
|
5,040
|
|
||
Income before income taxes
|
7,372
|
|
|
9,809
|
|
||
Provision for income taxes
|
1,724
|
|
|
2,622
|
|
||
Net income
|
5,648
|
|
|
7,187
|
|
||
Net (loss) attributable to noncontrolling interest
|
(62
|
)
|
|
(104
|
)
|
||
Net income attributable to DXP Enterprises, Inc.
|
5,710
|
|
|
7,291
|
|
||
Preferred stock dividend
|
23
|
|
|
23
|
|
||
Net income attributable to common shareholders
|
$
|
5,687
|
|
|
$
|
7,268
|
|
|
|
|
|
||||
Net income
|
$
|
5,648
|
|
|
$
|
7,187
|
|
Currency translation adjustments
|
(1,163
|
)
|
|
702
|
|
||
Comprehensive income
|
$
|
4,485
|
|
|
$
|
7,889
|
|
|
|
|
|
||||
Earnings per share :
|
|
|
|
||||
Basic
|
$
|
0.32
|
|
|
$
|
0.41
|
|
Diluted
|
$
|
0.31
|
|
|
$
|
0.40
|
|
Weighted average common shares outstanding :
|
|
|
|
||||
Basic
|
17,713
|
|
|
17,566
|
|
||
Diluted
|
18,553
|
|
|
18,406
|
|
|
As of
|
||||||
|
March 31, 2020
|
|
December 31, 2019
|
||||
ASSETS
|
|
|
|
||||
Current assets:
|
|
|
|
||||
Cash
|
$
|
32,730
|
|
|
$
|
54,203
|
|
Restricted cash
|
124
|
|
|
124
|
|
||
Accounts Receivable, net of allowance for doubtful accounts of $8,908 and $8,929
|
194,061
|
|
|
187,116
|
|
||
Inventories
|
133,021
|
|
|
129,364
|
|
||
Costs and estimated profits in excess of billings
|
35,756
|
|
|
32,455
|
|
||
Prepaid expenses and other current assets
|
6,776
|
|
|
4,223
|
|
||
Federal income taxes receivable
|
840
|
|
|
996
|
|
||
Total current assets
|
403,308
|
|
|
408,481
|
|
||
Property and equipment, net
|
63,867
|
|
|
63,703
|
|
||
Goodwill
|
202,502
|
|
|
194,052
|
|
||
Other intangible assets, net
|
53,324
|
|
|
52,582
|
|
||
Operating lease ROU assets
|
65,268
|
|
|
66,191
|
|
||
Other long-term assets
|
3,422
|
|
|
3,211
|
|
||
Total assets
|
$
|
791,691
|
|
|
$
|
788,220
|
|
LIABILITIES AND EQUITY
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Current maturities of long-term debt
|
$
|
2,500
|
|
|
$
|
2,500
|
|
Trade accounts payable
|
82,647
|
|
|
76,438
|
|
||
Accrued wages and benefits
|
18,387
|
|
|
23,412
|
|
||
Customer advances
|
5,830
|
|
|
3,408
|
|
||
Billings in excess of costs and estimated profits
|
4,535
|
|
|
11,871
|
|
||
Short-term operating lease liabilities
|
15,926
|
|
|
17,603
|
|
||
Other current liabilities
|
14,727
|
|
|
12,939
|
|
||
Total current liabilities
|
144,552
|
|
|
148,171
|
|
||
Long-term debt, net of current maturities and unamortized debt issuance costs
|
235,263
|
|
|
235,419
|
|
||
Long-term operating lease liabilities
|
47,480
|
|
|
48,605
|
|
||
Other long-term liabilities
|
708
|
|
|
1,205
|
|
||
Deferred income taxes
|
11,468
|
|
|
9,872
|
|
||
Total long-term liabilities
|
294,919
|
|
|
295,101
|
|
||
Total liabilities
|
439,471
|
|
|
443,272
|
|
||
Commitments and contingencies (Note 11)
|
|
|
|
|
|
||
Shareholders' Equity:
|
|
|
|
||||
Series A and B preferred stock, $1.00 par value each; 1,000,000 shares authorized each
|
16
|
|
|
16
|
|
||
Common stock, $0.01 par value, 100,000,000 shares authorized; 17,721,269 and 17,604,092 outstanding
|
175
|
|
|
174
|
|
||
Additional paid-in capital
|
160,695
|
|
|
157,886
|
|
||
Retained earnings
|
211,367
|
|
|
205,680
|
|
||
Accumulated other comprehensive loss
|
(21,117
|
)
|
|
(19,954
|
)
|
||
Total DXP Enterprises, Inc. Equity
|
351,136
|
|
|
343,802
|
|
||
Noncontrolling interest
|
1,084
|
|
|
1,146
|
|
||
Total Equity
|
352,220
|
|
|
344,948
|
|
||
Total liabilities and Equity
|
$
|
791,691
|
|
|
$
|
788,220
|
|
|
Three Months Ended March 31,
|
||||||
|
2020
|
|
2019
|
||||
CASH FLOWS FROM OPERATING ACTIVITIES:
|
|
|
|
||||
Net income attributable to DXP Enterprises, Inc.
|
$
|
5,710
|
|
|
$
|
7,291
|
|
Less: net loss attributable to non-controlling interest
|
(62
|
)
|
|
(104
|
)
|
||
Net income
|
5,648
|
|
|
7,187
|
|
||
Reconciliation of net income to net cash used in operating activities:
|
|
|
|
||||
Depreciation
|
2,828
|
|
|
2,392
|
|
||
Amortization of intangible assets
|
3,197
|
|
|
3,814
|
|
||
Gain on sale of property and equipment
|
—
|
|
|
(8
|
)
|
||
Bad debt expense
|
28
|
|
|
58
|
|
||
Payment of contingent consideration liability in excess of acquisition-date fair value
|
—
|
|
|
(106
|
)
|
||
Fair value adjustment on contingent consideration
|
13
|
|
|
33
|
|
||
Amortization of debt issuance costs
|
468
|
|
|
468
|
|
||
Stock compensation expense
|
904
|
|
|
505
|
|
||
Deferred income taxes
|
928
|
|
|
722
|
|
||
Changes in operating assets and liabilities
|
|
|
|
||||
Trade accounts receivable
|
(5,183
|
)
|
|
(5,035
|
)
|
||
Costs and estimated profits in excess of billings
|
(3,381
|
)
|
|
(5,628
|
)
|
||
Inventories
|
(2,215
|
)
|
|
(6,891
|
)
|
||
Prepaid expenses and other assets
|
(1,933
|
)
|
|
3,389
|
|
||
Trade accounts payable and accrued expenses
|
6,048
|
|
|
1,085
|
|
||
Billings in excess of costs and estimated profits
|
(7,327
|
)
|
|
(2,514
|
)
|
||
Other long-term liabilities
|
(1,635
|
)
|
|
(4,781
|
)
|
||
Net cash used in operating activities
|
$
|
(1,612
|
)
|
|
$
|
(5,310
|
)
|
|
|
|
|
||||
CASH FLOWS FROM INVESTING ACTIVITIES:
|
|
|
|
||||
Purchase of property and equipment
|
(3,235
|
)
|
|
(2,312
|
)
|
||
Proceeds from the sale of property and equipment
|
—
|
|
|
29
|
|
||
Acquisition of business, net of cash acquired
|
(14,153
|
)
|
|
—
|
|
||
Net cash used in investing activities
|
$
|
(17,388
|
)
|
|
$
|
(2,283
|
)
|
|
|
|
|
||||
CASH FLOWS FROM FINANCING ACTIVITIES:
|
|
|
|
||||
Principal debt payments
|
(625
|
)
|
|
(849
|
)
|
||
Payment for contingent consideration liability
|
—
|
|
|
(1,394
|
)
|
||
Dividends paid
|
(23
|
)
|
|
(23
|
)
|
||
Payment for employee taxes withheld from stock awards
|
(94
|
)
|
|
(44
|
)
|
||
Net cash used in financing activities
|
$
|
(742
|
)
|
|
$
|
(2,310
|
)
|
Effect of foreign currency on cash
|
(1,730
|
)
|
|
112
|
|
||
Net change in cash and restricted cash
|
(21,472
|
)
|
|
(9,791
|
)
|
||
Cash and restricted cash at beginning of period
|
54,326
|
|
|
40,519
|
|
||
Cash and restricted cash at end of period
|
$
|
32,854
|
|
|
$
|
30,728
|
|
|
Series A preferred stock
|
|
Series B preferred stock
|
|
Common stock
|
|
Paid-in capital
|
|
Retained earnings
|
|
Non controlling interest
|
|
Accum other comp loss
|
|
Total equity
|
||||||||||||||||
Balance at December 31, 2018
|
$
|
1
|
|
|
$
|
15
|
|
|
$
|
174
|
|
|
$
|
156,190
|
|
|
$
|
169,735
|
|
|
$
|
1,406
|
|
|
$
|
(19,267
|
)
|
|
$
|
308,254
|
|
Preferred dividends paid
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(23
|
)
|
|
—
|
|
|
—
|
|
|
$
|
(23
|
)
|
|||||||
Compensation expense for restricted stock
|
—
|
|
|
—
|
|
|
—
|
|
|
505
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
505
|
|
|||||||
Tax related items for share based awards
|
—
|
|
|
—
|
|
|
—
|
|
|
(44
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
(44
|
)
|
|||||||
Currency translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
702
|
|
|
$
|
702
|
|
|||||||
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7,291
|
|
|
(104
|
)
|
|
—
|
|
|
$
|
7,187
|
|
|||||||
Balance at March 31, 2019
|
$
|
1
|
|
|
$
|
15
|
|
|
$
|
174
|
|
|
$
|
156,651
|
|
|
$
|
177,003
|
|
|
$
|
1,302
|
|
|
$
|
(18,565
|
)
|
|
$
|
316,581
|
|
|
Series A preferred stock
|
|
Series B preferred stock
|
|
Common stock
|
|
Paid-in capital
|
|
Retained earnings
|
|
Non controlling interest
|
|
Accum other comp loss
|
|
Total equity
|
||||||||||||||||
Balance at December 31, 2019
|
$
|
1
|
|
|
$
|
15
|
|
|
$
|
174
|
|
|
$
|
157,886
|
|
|
$
|
205,680
|
|
|
$
|
1,146
|
|
|
$
|
(19,954
|
)
|
|
$
|
344,948
|
|
Preferred dividends paid
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(23
|
)
|
|
—
|
|
|
—
|
|
|
$
|
(23
|
)
|
|||||||
Compensation expense for restricted stock
|
—
|
|
|
—
|
|
|
—
|
|
|
904
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
904
|
|
|||||||
Tax related items for share based awards
|
—
|
|
|
—
|
|
|
—
|
|
|
(94
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
(94
|
)
|
|||||||
Issuance of shares of common stock
|
—
|
|
|
—
|
|
|
1
|
|
|
1,999
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
2,000
|
|
|||||||
Currency translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,163
|
)
|
|
$
|
(1,163
|
)
|
|||||||
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,710
|
|
|
(62
|
)
|
|
—
|
|
|
$
|
5,648
|
|
|||||||
Balance at March 31, 2020
|
$
|
1
|
|
|
$
|
15
|
|
|
$
|
175
|
|
|
$
|
160,695
|
|
|
$
|
211,367
|
|
|
$
|
1,084
|
|
|
$
|
(21,117
|
)
|
|
$
|
352,220
|
|
|
|
Three Months Ended March 31,
|
|
Three Months Ended March 31,
|
||
Lease
|
|
2020
|
|
2019
|
||
Cash paid for amounts included in the measurement of lease liabilities:
|
|
|
|
|
||
Operating cash flows from operating leases
|
|
4,672
|
|
|
4,513
|
|
Right-of-use assets obtained in exchange for lease liabilities
|
|
|
|
|
||
Operating leases
|
|
4,326
|
|
|
2,935
|
|
Lease
|
|
Classification
|
|
March 31, 2020
|
|
March 31, 2019
|
||||
Assets
|
|
|
|
|
|
|
||||
Operating
|
|
Operating lease right-of-use assets
|
|
65,268
|
|
|
70,851
|
|
||
|
|
|
|
|
|
|
||||
Liabilities
|
|
|
|
|
|
|
||||
Current operating
|
|
Short-term operating lease liabilities
|
|
15,926
|
|
|
17,660
|
|
||
Non-current operating
|
|
Long-term operating lease liabilities
|
|
47,480
|
|
|
52,993
|
|
||
Total operating lease liabilities
|
|
|
|
$
|
63,406
|
|
|
$
|
70,653
|
|
(in thousands, unaudited)
|
Fair value at March 31, 2020
|
Valuation Technique
|
Significant Unobservable
Inputs
|
||
Contingent consideration:
(ASI acquisition)
|
$
|
2,208
|
|
Discounted cash flow
|
Annualized EBITDA and probability of achievement
|
|
March 31, 2020
|
|
December 31, 2019
|
||||
Finished goods
|
$
|
127,219
|
|
|
$
|
122,510
|
|
Work in process
|
18,703
|
|
|
19,721
|
|
||
Obsolescence reserve
|
(12,901
|
)
|
|
(12,867
|
)
|
||
Inventories
|
$
|
133,021
|
|
|
$
|
129,364
|
|
|
March 31, 2020
|
|
December 31, 2019
|
||||
Costs incurred on uncompleted contracts
|
$
|
58,607
|
|
|
$
|
51,017
|
|
Estimated profits, thereon
|
11,409
|
|
|
10,771
|
|
||
Total
|
70,016
|
|
|
61,788
|
|
||
Less: billings to date
|
38,753
|
|
|
41,223
|
|
||
Net
|
$
|
31,263
|
|
|
$
|
20,565
|
|
|
March 31, 2020
|
|
December 31, 2019
|
||||
Costs and estimated profits in excess of billings
|
$
|
35,756
|
|
|
$
|
32,455
|
|
Billings in excess of costs and estimated profits
|
(4,535
|
)
|
|
(11,871
|
)
|
||
Translation adjustment
|
42
|
|
|
(19
|
)
|
||
Net
|
$
|
31,263
|
|
|
$
|
20,565
|
|
|
March 31, 2020
|
|
December 31, 2019
|
||||||||||||
|
Carrying Value (1)
|
|
Fair Value
|
|
Carrying Value (1)
|
|
Fair Value
|
||||||||
ABL Revolver
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Term Loan B
|
243,750
|
|
|
209,625
|
|
|
244,375
|
|
|
244,375
|
|
||||
Total long-term debt
|
243,750
|
|
|
209,625
|
|
|
244,375
|
|
|
244,375
|
|
||||
Less: current portion
|
(2,500
|
)
|
|
(2,150
|
)
|
|
(2,500
|
)
|
|
(2,500
|
)
|
||||
Long-term debt less current maturities
|
$
|
241,250
|
|
|
$
|
207,475
|
|
|
$
|
241,875
|
|
|
$
|
241,875
|
|
|
Three Months Ended March 31,
|
||||||
|
2020
|
|
2019
|
||||
Basic:
|
|
|
|
||||
Weighted average shares outstanding
|
17,713
|
|
|
17,566
|
|
||
Net income attributable to DXP Enterprises, Inc.
|
$
|
5,710
|
|
|
$
|
7,291
|
|
Convertible preferred stock dividend
|
23
|
|
|
23
|
|
||
Net income attributable to common shareholders
|
$
|
5,687
|
|
|
$
|
7,268
|
|
Per share amount
|
$
|
0.32
|
|
|
$
|
0.41
|
|
|
|
|
|
||||
Diluted:
|
|
|
|
||||
Weighted average shares outstanding
|
17,713
|
|
|
17,566
|
|
||
Assumed conversion of convertible preferred stock
|
840
|
|
|
840
|
|
||
Total dilutive shares
|
18,553
|
|
|
18,406
|
|
||
Net income attributable to common shareholders
|
$
|
5,687
|
|
|
$
|
7,268
|
|
Convertible preferred stock dividend
|
23
|
|
|
23
|
|
||
Net income attributable to DXP Enterprises, Inc.
|
$
|
5,710
|
|
|
$
|
7,291
|
|
Per share amount
|
$
|
0.31
|
|
|
$
|
0.40
|
|
|
|
|||||||||||||||
Three Months Ended March 31, 2020
|
|
|||||||||||||||
|
SC
|
|
IPS
|
|
SCS
|
|
Total
|
|
||||||||
Product sales (recognized at a point in time)
|
$
|
169,795
|
|
|
$
|
—
|
|
|
$
|
44,152
|
|
|
$
|
213,947
|
|
|
Inventory management services (recognized over contract life)
|
—
|
|
|
—
|
|
|
4,225
|
|
|
$
|
4,225
|
|
|
|||
Staffing services (day-rate basis)
|
12,790
|
|
|
—
|
|
|
—
|
|
|
$
|
12,790
|
|
|
|||
Customized pump production (recognized over time)
|
—
|
|
|
70,021
|
|
|
—
|
|
|
$
|
70,021
|
|
|
|||
Total Revenue
|
$
|
182,585
|
|
|
$
|
70,021
|
|
|
$
|
48,377
|
|
|
$
|
300,983
|
|
|
Income from operations
|
$
|
16,926
|
|
|
$
|
10,428
|
|
|
$
|
3,755
|
|
|
$
|
31,109
|
|
|
|
|
|||||||||||||||
Three Months Ended March 31, 2019
|
|
|||||||||||||||
|
SC
|
|
IPS
|
|
SCS
|
|
Total
|
|
||||||||
Product sales (recognized at a point in time)
|
$
|
171,668
|
|
|
$
|
—
|
|
|
$
|
46,385
|
|
|
$
|
218,053
|
|
|
Inventory management services (recognized over contract life)
|
—
|
|
|
—
|
|
|
3,938
|
|
|
$
|
3,938
|
|
|
|||
Staffing services (day-rate basis)
|
14,511
|
|
|
—
|
|
|
—
|
|
|
$
|
14,511
|
|
|
|||
Customized pump production (recognized over time)
|
—
|
|
|
74,723
|
|
|
—
|
|
|
$
|
74,723
|
|
|
|||
Total Revenue
|
$
|
186,179
|
|
|
$
|
74,723
|
|
|
$
|
50,323
|
|
|
$
|
311,225
|
|
|
Income from operations
|
$
|
18,980
|
|
|
$
|
6,799
|
|
|
$
|
4,086
|
|
|
$
|
29,865
|
|
|
|
Three Months Ended March 31,
|
||||||
|
2020
|
|
2019
|
||||
Operating income for reportable segments
|
$
|
31,109
|
|
|
$
|
29,865
|
|
Adjustment for:
|
|
|
|
||||
Amortization of intangible assets
|
3,197
|
|
|
3,814
|
|
||
Corporate expenses
|
16,997
|
|
|
11,235
|
|
||
Income from operations
|
$
|
10,915
|
|
|
$
|
14,816
|
|
Interest expense
|
4,377
|
|
|
5,040
|
|
||
Other income, net
|
(834
|
)
|
|
(33
|
)
|
||
Income before income taxes
|
$
|
7,372
|
|
|
$
|
9,809
|
|
Purchase Price Consideration
|
|
Total Consideration
|
|
||
|
|
(Dollars in millions)
|
|
||
Cash payments
|
|
$
|
14.2
|
|
|
Fair value of stock issued
|
|
|
2.0
|
|
|
Total purchase price consideration
|
|
$
|
16.2
|
|
|
|
Three Months Ended March 31,
|
||||||||||||
|
2020
|
|
%
|
|
2019
|
|
%
|
||||||
Sales
|
$
|
300,983
|
|
|
100.0
|
%
|
|
$
|
311,225
|
|
|
100.0
|
%
|
Cost of sales
|
216,998
|
|
|
72.1
|
%
|
|
227,025
|
|
|
72.9
|
%
|
||
Gross profit
|
$
|
83,985
|
|
|
27.9
|
%
|
|
$
|
84,200
|
|
|
27.1
|
%
|
Selling, general and administrative expenses
|
73,070
|
|
|
24.3
|
%
|
|
69,384
|
|
|
22.3
|
%
|
||
Income from operations
|
$
|
10,915
|
|
|
3.6
|
%
|
|
$
|
14,816
|
|
|
4.8
|
%
|
Other (income) expense, net
|
(834
|
)
|
|
(0.3
|
)%
|
|
(33
|
)
|
|
—
|
%
|
||
Interest expense
|
4,377
|
|
|
1.5
|
%
|
|
5,040
|
|
|
1.6
|
%
|
||
Income before income taxes
|
$
|
7,372
|
|
|
2.4
|
%
|
|
$
|
9,809
|
|
|
3.2
|
%
|
Provision for income taxes (benefit)
|
1,724
|
|
|
0.6
|
%
|
|
2,622
|
|
|
0.8
|
%
|
||
Net income
|
$
|
5,648
|
|
|
1.9
|
%
|
|
$
|
7,187
|
|
|
2.4
|
%
|
Net (loss) income attributable to noncontrolling interest
|
(62
|
)
|
|
—
|
|
|
(104
|
)
|
|
—
|
|
||
Net income attributable to DXP Enterprises, Inc.
|
$
|
5,710
|
|
|
1.9
|
%
|
|
$
|
7,291
|
|
|
2.4
|
%
|
Per share amounts attributable to DXP Enterprises, Inc.
|
|
|
|
|
|
|
|
||||||
Basic earnings per share
|
0.32
|
|
|
|
|
$
|
0.41
|
|
|
|
|||
Diluted earnings per share
|
0.31
|
|
|
|
|
$
|
0.40
|
|
|
|
|
Three Months Ended March 31,
|
|||||||||||||
|
2020
|
|
2019
|
|
Change
|
|
Change%
|
|||||||
Sales by Business Segment
|
(in thousands, except change%)
|
|||||||||||||
Service Centers
|
$
|
182,585
|
|
|
$
|
186,179
|
|
|
$
|
(3,594
|
)
|
|
(1.9
|
)%
|
Innovative Pumping Solutions
|
70,021
|
|
|
74,723
|
|
|
(4,702
|
)
|
|
(6.3
|
)%
|
|||
Supply Chain Services
|
48,377
|
|
|
50,323
|
|
|
(1,946
|
)
|
|
(3.9
|
)%
|
|||
Total DXP Sales
|
$
|
300,983
|
|
|
$
|
311,225
|
|
|
$
|
(10,242
|
)
|
|
(3.3
|
)%
|
|
Three Months Ended March 31,
|
||||||
|
2020
|
|
2019
|
||||
Net Cash Provided by (Used in):
|
|
|
|
||||
Operating Activities
|
$
|
(1,612
|
)
|
|
$
|
(5,310
|
)
|
Investing Activities
|
(17,388
|
)
|
|
(2,283
|
)
|
||
Financing Activities
|
(742
|
)
|
|
(2,310
|
)
|
||
Effect of Foreign Currency
|
(1,730
|
)
|
|
112
|
|
||
Net Change in Cash
|
$
|
(21,472
|
)
|
|
$
|
(9,791
|
)
|
101
|
Interactive Data Files
|
1.
|
I have reviewed this report on Form 10-Q of DXP Enterprises, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b.
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c.
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
1.
|
I have reviewed this report on Form 10-Q of DXP Enterprises, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b.
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c.
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|