DXP Enterprises Inc (DXPE) 2025 Q2 法說會逐字稿

Thank you for standing by. My name is Kate, and I will be your conference operator today. At this time, I would like to welcome everyone to DXP Enterprises, Inc. second-quarter 2025 earnings release. (Operator Instructions) I would now like to turn the call over to Kent Yee, CFO. Please go ahead.

感謝您的收聽。我叫凱特，今天將擔任您的會議主持人。現在，我歡迎大家參加 DXP Enterprises, Inc. 2025 年第二季財報發表會。 （接線員指示）現在，我想將電話轉給財務長 Kent Yee。請開始。

Thank you, Kate, and thank you, everyone, for joining us today. This is Kent Yee, and welcome to DXP's Q2 2025 conference call to discuss our results for the second quarter ending June 30, 2025. Joining me today is our Chairman and CEO, David Little.

謝謝凱特，也謝謝大家今天的到來。我是 Kent Yee，歡迎參加 DXP 2025 年第二季電話會議，討論截至 2025 年 6 月 30 日的第二季業績。今天和我一起參加會議的還有我們的董事長兼執行長 David Little。

Before we get started, I want to remind you that today's call is being webcast and recorded and includes forward-looking statements. Actual results may differ materially from those contemplated by these forward-looking statements. A detailed discussion of the many factors that we believe may have a material effect on our business on an ongoing basis are contained in our SEC filings. However, DXP assumes no obligation to update that information as a result of new information or future events.

在開始之前，我想提醒大家，今天的電話會議將進行網路直播和錄音，並包含前瞻性陳述。實際結果可能與這些前瞻性陳述所預期的結果有重大差異。我們認為可能持續對我們的業務產生重大影響的諸多因素的詳細討論已包含在我們提交給美國證券交易委員會 (SEC) 的文件中。然而，DXP 不承擔因新資訊或未來事件而更新該資訊的義務。

During this call, we may present both GAAP and non-GAAP financial measures. A reconciliation of GAAP to non-GAAP measures is included in our earnings press release. The press release and an accompanying investor presentation are now available on our website at ir.dxpe.com.

在本次電話會議中，我們可能會同時提供 GAAP 和非 GAAP 財務指標。 GAAP 與非 GAAP 指標的對帳表已包含在我們的獲利新聞稿中。新聞稿及隨附的投資者簡報現已在我們的網站 ir.dxpe.com 上發布。

I will now turn the call over to David Little, our Chairman and CEO, to provide his thoughts and a summary of our second quarter performance and financial results. David?

現在，我將把電話轉給我們的董事長兼執行長戴維·利特爾 (David Little)，請他分享他的想法以及對我們第二季業績和財務結果的總結。戴維？

Good morning, and thank you, Ken. Thanks to everyone for joining us today on our fiscal 20,252nd quarter conference call. DXP delivered another quarter of strong results with sequential growth 4.7% year-over-year growth of 11.9%.

早上好，謝謝你，Ken。感謝大家今天參加我們2025財年第二季的電話會議。 DXP本季業績再創佳績，季增4.7%，較去年同期成長11.9%。

I want to thank our DX people for their passion and dedication to support our customers in delivering these impressive results. We are pleased to see DXP's performance continue throughout Q2 and remain at record levels throughout the first half of 2025. This allows us to achieve customers and remain customer-driven experts while creating a win-win for all stakeholders.

我要感謝DX團隊的熱情和奉獻，他們支持客戶取得了這些令人矚目的成績。我們很高興看到DXP的業績在第二季持續成長，並在2025年上半年維持創紀錄的水準。這使我們能夠服務客戶，並始終以客戶為導向，同時為所有利害關係人創造雙贏。

Thanks to our growth strategies and operational improvements, we continue to build on positive financial results in the second quarter. While performing for our customers, we remain highly focused on providing the expertise and service our customers have come to expect from DXP. DXPeople you can trust. We strive to be credible, reliable and customer-driven every day.

由於我們的成長策略和營運改進，我們在第二季度繼續保持積極的財務表現。在為客戶提供優質服務的同時，我們始終高度專注於提供客戶對DXP所期望的專業知識和服務。 DX人值得信賴。我們始終致力於成為值得信賴、值得信賴、以客戶為導向的合作夥伴。

I personally want to thank all our DXP stakeholders, in particular, all our DXPeople for their determination and hard work as we continue to grow and improve the business and achieve new sales highs and profits for the business. We are building the next chapter to DXP, which will define us as the best-in-class industrial business. by being technical experts, providing customer-driven solutions and being fast and convenient.

我個人要感謝所有DXP的利益相關者，尤其是所有DX員工，感謝他們的決心和辛勤工作，讓我們能夠持續發展和改進業務，並創造新的銷售和利潤紀錄。我們正在為DXP開啟新的篇章，透過成為技術專家、提供以客戶為導向的解決方案以及提供快速且方便的服務，我們將成為一流的工業企業。

As to our financial results, I will begin today with some perspective on our second quarter and thoughts on the remainder of 2025. Kent will then take you through the key financial details after my remarks. And after his prepared comments, we will open for Q&A.

關於我們的財務業績，今天我將首先介紹我們第二季度的一些展望以及對2025年剩餘時間的展望。在我結束演講後，Kent 將向大家介紹關鍵的財務細節。在他準備好的發言之後，我們將進入問答環節。

In terms of our financial results, the second quarter results resulted in an adjusted EBITDA of $57.3 million or 11.5% of sales and diluted earnings per share of $1.43, a strong quarter that we will look to build from and continue to increase sales, profitability and cash flow. As we move into the second half of the year, we remain confident that our well-balanced business, strong balance sheet, exceptional teams, improved capabilities and robust acquisition pipeline position us well to navigate the current environment and achieve continued success.

就我們的財務表現而言，第二季調整後息稅折舊攤提前利潤 (EBITDA) 為 5,730 萬美元，佔銷售額的 11.5%，攤薄後每股收益為 1.43 美元。這是一個強勁的季度，我們將在此基礎上繼續提升銷售額、獲利能力和現金流。邁入下半年，我們依然充滿信心，憑藉均衡的業務、強勁的資產負債表、卓越的團隊、不斷提升的能力以及穩健的收購計劃，我們能夠更好地應對當前環境，並取得持續的成功。

Total DXP sales for Q2 increased 11.9% year-over-year and 4.7% sequentially or were $498.7 million or an average of $7.9 million per business day for the second quarter. On a year-over-year basis, gross profit margins increased 72 basis points and selling, general and administrative expenses decreased 11 basis points as a percent of sales. helping us increase profit margins and our EBITDA margins.

DXP 第二季總銷售額年增 11.9%，季增 4.7%，達到 4.987 億美元，平均每個工作日 790 萬美元。與去年同期相比，毛利率成長了 72 個基點，銷售、一般及管理費用佔銷售額的百分比下降了 11 個基點。這有助於我們提高利潤率和 EBITDA 利潤率。

Thank you to the 3,193 DXPeople for your hard work and dedication. We welcome our new acquisitions of Oreo Process Equipment, McBride and Moores Pump, and DXP continues to hire additional DXPeople for growth. In terms of Q2 segment financial results, Innovative Pumping Solutions led the way, growing sales 27.5% year-over-year followed by service centers growing 10.8% year-over-year and Supply Chain Services essentially flat year-over-year.

感謝 3,193 名 DX 員工的辛勤工作和奉獻。我們熱烈歡迎新收購的奧利奧工藝設備公司 (Oreo Process Equipment)、麥克布萊德 (McBride) 和摩爾斯泵 (Moores Pump)，DXP 也將繼續招募更多 DX 員工以促進業務成長。就第二季各部門的財務表現而言，創新泵送解決方案部門 (Innovative Pumping Solutions) 表現領先，銷售額同比增長 27.5%，其次是服務中心部門 (Service Centers)，銷售額同比增長 10.8%，供應鏈服務部門 (Supply Chain Services) 銷售額同比基本持平。

In terms of IPS, our Innovative Pumping Solutions both our energy and our DXP Water continued to perform. During Q2, our energy business is up 37.3% year-over-year and anticipated to ramp as we approach Q3 driven by some selected projects.

在IPS方面，我們的創新泵送解決方案（包括能源和DXP水務）持續表現良好。第二季度，我們的能源業務年增37.3%，預計在部分特定項目的推動下，隨著第三季度的臨近，這項業務將進一步成長。

Our DXP water platform continues to grow sequentially and with Q2 2025 coming in as the 11th consecutive quarter of sequential sales growth. Our Q2 average IPS Energy backlog continues to stay ahead of all averages going back to 2015 and is at an all-time high.

我們的 DXP 水務平台持續較上季成長，2025 年第二季已是連續第 11 季實現銷售額季增。我們第二季 IPS 能源業務的平均訂單量繼續領先 2015 年以來的所有平均值，並創下歷史新高。

In Q2, we have meaningful bookings in the month of April and May, similar to January and March during the first quarter. This continues to signal that we should have strong energy project revenues over the next 9 to 12 months. We are continuing to get bookings for both our energy and water project work, and we feel comfortable on delivering strong sales performance in 2025.

第二季度，我們4月和5月的訂單量相當可觀，與第一季1月和3月的訂單量相當。這繼續預示著我們在未來9到12個月內能源項目的收入將強勁增長。我們的能源和水務項目訂單量持續成長，我們對2025年實現強勁的銷售業績充滿信心。

Our highly engineered innovative pumping solutions modular fabricated systems and manufacturing new pumps for our PumpWorks brand are forging a path forward with sales growth and elevated brand recognition, albeit without a few bumps as DXP wrote off $2 million and two unsuccessful new product developments in Q2. In terms of service centers, our performance reflects multiple product category approach and our ongoing investment and progress on internal growth initiatives against the mix and evolving end market dynamics.

我們精心設計的創新泵送解決方案、模組化組裝系統以及為 PumpWorks 品牌製造新型泵，正在穩步推進，銷售額增長，品牌知名度提升，儘管 DXP 在第二季度註銷了 200 萬美元，且兩項新產品開發失敗，但我們的業務發展並未遇到太大障礙。在服務中心方面，我們的業績體現了我們採取的多產品類別策略，以及我們持續投入並推進內部成長計劃，以應對市場結構和不斷變化的終端市場動態。

A few growth initiatives that are helping DXP grow percentage over the last several years are technical products like automation, new pump brands for water and industrial markets process equipment and filtration, new markets like water, air compressors, data centers, data centers need pumps, water power, cooling, filtration products we handle.

在過去幾年中，一些幫助 DXP 實現百分比成長的成長舉措包括技術產品，如自動化、水和工業市場製程設備和過濾的新泵浦品牌，以及新市場，如水、空氣壓縮機、資料中心，資料中心需要我們處理的泵浦、水力、冷卻、過濾產品。

We have added an e-commerce channel for the generation that wants to buy pumps and parts electronically, national accounts and preferred pricing agreements increased reoccurring revenues with service and parts agreement. Service nature within service centers allows us to continue to remain resilient and continue to experience consistent sales performance, Adding geography like Florida and training and adding sales professionals has helped grow sales.

我們新增了電商管道，以滿足希望透過電子管道購買泵浦和零件的一代人的需求。全國帳戶和優惠價格協議透過服務和零件協議增加了經常性收入。服務中心的服務性質使我們能夠繼續保持韌性，並持續保持穩定的銷售表現。在佛羅裡達州等地開設新辦事處、開展培訓並增加銷售專業人員也有助於提高銷售。

From a regional perspective, regions that continue to experience year-over-year growth, including the North and South Rockies, Ohio River Valley, South Atlantic. We've also seen strength in our air compressors and our US Safety Services division is always great to see.

從區域來看，包括北落基山脈和南落基山脈、俄亥俄河流域和南大西洋在內的地區持續實現同比增長。我們的空氣壓縮機業務也表現出色，美國安全服務部門也一直表現優異。

Supply Chain Services sales increased 3.3% sequentially and year-over-year remained flat at $6.4 million. In the Supply Chain business, all pricing is electronic with slow approval processes causes price adjustments for inflation or tariffs to take longer to get implemented. That said, SCS added a large contract that lost money as sales ramped up in Q2 and is now above breakeven in July.

供應鏈服務銷售額較上季成長3.3%，較去年同期持平，為640萬美元。供應鏈業務的所有定價均採用電子化，審批流程緩慢，導致通貨膨脹或關稅導致的價格調整需要更長時間才能實施。儘管如此，SCS還是獲得了一份大額合同，該合約在第二季度銷售額增長期間出現虧損，目前已在7月份實現盈虧平衡。

The contract will be $20-plus million as sales ramp up over the next 12 months. Several other small wins are being implemented. So we look forward to SCS having a much better second half of 2025.

隨著未來12個月銷售額的成長，這份合約的價值將超過2,000萬美元。其他一些小規模的訂單也正在落實。因此，我們期待SCS在2025年下半年能有更好的表現。

A special thanks to our DXPeople who have stayed on top of supplier product increases labor costs and overall efficiencies. Overall, DXP produced adjusted EBITDA of $57.3 million. Adjusted EBITDA margin of 11.5%, which reflects the operating leverage we expect to get with sales growth.

特別感謝我們的DX員工，他們始終致力於降低供應商產品、勞動成本和整體效率。整體而言，DXP的調整後息稅折舊攤提前利潤（EBITDA）為5,730萬美元。調整後息稅折舊攤銷前利潤率為11.5%，反映了我們預期銷售成長帶來的營運槓桿。

Regarding capital allocation, we continue to make strategic investments to fuel and diversify DXP through acquisitions. During the quarter, we completed one acquisition, Laverie machinery, and completed another acquisition after the quarter Moore's pump and service. Again, let me thank all our DXP stakeholders, particularly all our DXPeople for their continued efforts and adaptability as we grow and involve DXP into a more diversified and less cyclical business.

關於資本配置，我們持續透過收購進行策略性投資，以增強DXP的活力並實現業務多元化。本季度，我們完成了一項收購，即Laverie機械公司；本季度結束後，我們又完成了一項收購，即Moore's泵及服務公司。再次感謝DXP的所有利害關係人，特別是所有DX員工，感謝他們在我們發展壯大DXP、使其業務更加多元化、週期性更低的過程中所付出的持續努力和適應能力。

Let me conclude my remarks by saying that I am encouraged with our continued sequential improvement in sales and profitability. We are driving growth and improvements at DXP. We look forward to navigating and working through the remainder of fiscal 2025. We continue to build our capabilities to provide technical set of products and services in all our markets, which makes DXP unique in our industry and gives us ways to help our customers win.

最後，我想說，我對我們銷售額和獲利能力的持續成長感到鼓舞。我們正在推動DXP的成長和改進。我們期待在2025財年剩餘時間繼續努力。我們將繼續提升能力，在所有市場提供全套技術產品和服務，這使得DXP在業界獨樹一幟，並讓我們能夠幫助客戶取得成功。

Finally, I'd like to thank our DXPeople for continuing to maintain 11% plus adjusted EBITDA margin and move towards a goal of 12% plus while hitting a new quarter sales high in Q2. Q2 was another great quarter as we continue to have success in 2025.

最後，我要感謝我們的DX員工，他們持續保持了11%以上的調整後EBITDA利潤率，並朝著12%以上的目標邁進，同時在第二季度創下了季度銷售額新高。第二季度又是一個輝煌的季度，我們期待在2025年繼續取得成功。

With that, I will now turn to Ken to review our financials in more detail. Ken?

說完這些，我現在將請肯更詳細地審查我們的財務狀況。肯？

Thank you, David, and thank you to everyone for joining us for our review of our second-quarter 2025 financial results. Q2 financial performance reflects DXP's ability to continue to successfully navigate through the market and execute and create value for all our stakeholders.

謝謝David，也謝謝大家與我們一起回顧2025年第二季的財務表現。第二季的財務表現反映了DXP繼續成功駕馭市場、執行並為所有利害關係人創造價值的能力。

Our second quarter results also reflect a new record high sales watermark, along with a new all-time high in adjusted EBITDA margins. As it pertains specifically to our second quarter, DXP's second quarter financial results reflect another record service center sales performance at $339.7 million continued strength in year-over-year sales growth within IPS growing 27.5%, continued gross margin strength with margins improving to 31.65% and consistent operating leverage leading to a record adjusted EBITDA margins at 11.5%.

我們第二季的業績也反映了銷售額創歷史新高，調整後EBITDA利潤率也創下歷史新高。就我們第二季而言，DXP第二季財務表現反映了服務中心銷售額再創紀錄，達到3.397億美元；IPS內部銷售額年增27.5%，毛利率持續強勁，利潤率提升至31.65%，營運槓桿持續穩定，調整後EBITDA利潤率達到創紀錄的11.5%。

Total sales for the second quarter increased 4.6% sequentially to $498.7 million. Acquisitions that have been with DXP for less than a year contributed $24.6 million in sales during the quarter. Average daily sales for the second quarter were $7.92 million per day versus $7.57 million per day in Q1 and $6.96 million per day in 2024.

第二季總銷售額較上季成長4.6%，達到4.987億美元。與DXP合作不到一年的收購項目在本季度貢獻了2,460萬美元的銷售額。第二季日均銷售額為792萬美元，而第一季為757萬美元，2024年為696萬美元。

Adjusting for acquisitions, average daily sales were $7.53 million per day for the second quarter of 2025 versus $6.6 million per day during the second quarter of 2024. That said, the average daily sales trends during the quarter went from $7.82 million per day in April to $8.4 million per day in June, reflecting the typical quarter end push as we closed out the second quarter.

經收購調整後，2025 年第二季的平均日銷售額為 753 萬美元，而 2024 年第二季的平均日銷售額為 660 萬美元。也就是說，本季的平均每日銷售額趨勢從 4 月的每天 782 萬美元增長到 6 月的每天 840 萬美元，反映了我們在第二季末典型的季末推動力。

In terms of our business segments, Innovative Pumping Solutions grew 8.5% sequentially and 27.5% year-over-year. This was followed by service centers growing 3.9% sequentially and year-over-year. Supply Chain Services grew 3.3% sequentially and declined 0.4% year-over-year or essentially flat.

就我們的業務部門而言，創新泵送解決方案部門較上季成長8.5%，年增27.5%。其次是服務中心部門，季增3.9%。供應鏈服務部門季增3.3%，年減0.4%，基本持平。

Innovative Pumping Solutions continue to experience increases in the energy-related bookings and backlog as well as the water and wastewater bookings and backlog. Our Q2 energy-related average backlog grew 4.9% over our Q1 average backlog and continues to be ahead of all our averages. That said, as we mentioned in Q1, we do have a large project in our backlog. Excluding this project, our backlog is up 6.6% from Q1. The conclusion continues to remain that we are trending meaningfully above all notable sales levels, and our backlog continues to grow, even excluding the impacts of unique or large projects.

創新泵送解決方案的能源相關訂單量和積壓訂單量以及水和廢水處理訂單量和積壓訂單量持續增長。我們第二季能源相關業務的平均積壓訂單量較第一季平均積壓訂單量增加了4.9%，並且持續高於所有業務的平均值。不過，正如我們在第一季提到的，我們的積壓訂單量中確實有一個大型項目。不計入該項目，我們的積壓訂單量較第一季成長了6.6%。結論依然是，我們的銷售成長趨勢顯著高於所有顯著的銷售水平，即使排除特殊項目或大型項目的影響，我們的積壓訂單量仍在持續成長。

Our DXP Water platform experienced our 11th consecutive quarter of sequential sales growth growing to $48.7 million, and we look for this to continue as we move through 2025. We also see strength in our IPS Water backlog as it continues to grow due to a combination of organic and acquisition additions.

我們的 DXP 水務平台連續第 11 個季度實現銷售額成長，增至 4,870 萬美元，我們預計這一勢頭將在 2025 年繼續保持。我們的 IPS 水務積壓訂單也表現強勁，由於有機成長和收購的結合，積壓訂單將繼續成長。

In terms of our Service Centers, sales grew 3.9% sequentially and 10.8% year-over-year. DXP regions that experienced sequential as well as year-over-year sales growth, including the North and South Rockies, South Central, South Atlantic and Ohio River Valley.

就我們的服務中心而言，銷售額環比成長3.9%，年增10.8%。 DXP地區的銷售額環比和年比成長均有所成長，包括北落基山脈和南落基山脈、中南部地區、南大西洋地區和俄亥俄河流域。

From a product and geographic perspective, our air compressor and US Safety Services also experienced sequential and year-over-year sales growth. From a segment operating income perspective, we have had five consecutive quarters of 14% or greater in segment operating income margins. And we will look for this to continue as we still believe there are regions that can enhance or become more consistent in their operating income margins.

從產品和地理角度來看，我們的空氣壓縮機和美國安全服務業務的銷售額也實現了環比和同比增長。從分部營業利益率來看，我們已連續五個季度實現分部營業利益率14%或以上的成長。我們期待這種勢頭能夠持續下去，因為我們仍然相信，有些地區的營業利潤率可以提升或更穩定。

Supply Chain Services performance primarily reflects a 3.3% increase sequentially and slight decline year-over-year, essentially flat. As David mentioned in Q1 and his comments, is in the process of ramping a new customer, and we look for other customer additions as we move through 2025. Demand for SCS services is increasing as customers look for efficiency, and we anticipate current and future wins to start showing in the second half of 2025.

供應鏈服務業績主要體現在環比成長3.3%，較去年同期略有下降，基本持平。正如David在第一季及其評論中所提到的，我們正在拓展一位新客戶，並期待在2025年迎來更多客戶。隨著客戶對效率的追求，對供應鏈服務的需求也不斷增長，我們預計當前和未來的效益將在2025年下半年開始顯現。

Our SG&A for the quarter increased $11.4 million from Q2 2020 and $2.1 million from Q1 of this year to $111.8 million. The increase reflects the growth in the business and associated incentive compensation and DXP investing in its people through merit and pay raises. However, SG&A as a percentage of sales decreased 12 basis points year-over-year to 22.42% of sales and decreased sequentially 60 basis points from Q1 of this year.

本季度，我們的銷售、行政及一般費用 (SG&A) 較 2020 年第二季增加 1,140 萬美元，較今年第一季增加 210 萬美元，達到 1.118 億美元。這一成長反映了業務成長、相關激勵薪酬的成長，以及 DXP 透過績效和加薪對員工的投資。然而，銷售、行政及一般費用佔銷售額的百分比年減 12 個基點，至 22.42%，較今年第一季環比下降 60 個基點。

Turning to EBITDA. Q2 2025 adjusted EBITDA was $57.3 million. Adjusted EBITDA margins were 11.5%. As discussed in Q1, we expect this to pick up and margins have improved as we moved through the first half of 2025. We continue to benefit from fixed cost SG&A leverage we experienced as we grow sales. This translated into 1.6x operating leverage.

談到息稅折舊攤提前利潤 (EBITDA)。 2025 年第二季調整後息稅折舊攤提前利潤 (EBITDA) 為 5,730 萬美元。調整後息稅折舊攤提前利潤率為 11.5%。正如第一季所述，我們預計這一數字將會回升，隨著 2025 年上半年的推進，利潤率已經有所提高。隨著銷售額的成長，我們持續受惠於固定成本銷售、一般及行政費用 (SG&A) 的槓桿作用。這轉化為 1.6 倍的營運槓桿。

In terms of EPS, our net income for Q2 was $23.6 million. Our earnings per diluted share for Q2 was $1.43 per share versus $1 per share last year. This primarily reflects the growth in sales as well as an improvement in gross margins from Q2 2024 to Q2 2025.

就每股收益而言，我們第二季的淨利潤為2360萬美元。第二季的稀釋每股收益為1.43美元，去年同期為1美元。這主要反映了銷售額的成長以及2024年第二季至2025年第二季毛利率的提高。

Turning to the balance sheet and cash flow. In terms of working capital, our working capital increased $23.8 million from March and $58 million from December to $349 million. As a percentage of the last 12-month sales, this amounted to 18.2%. This is an uptick from where we have been and $6 million of the increase since March is associated with our recent acquisitions. We will continue to grow into the working capital as a percentage of sales as we move into the second half of 2025 with slight offsets as we remain acquisitive and add the associated balance sheets, but not a full year of sales and earnings.

談資產負債表和現金流。就營運資本而言，我們的營運資本較3月份增加了2,380萬美元，較12月份增加了5,800萬美元，達到3.49億美元。佔過去12個月銷售額的18.2%。這比以往有所上升，其中自3月以來的600萬美元成長與我們最近的收購有關。隨著我們進入2025年下半年，我們的營運資本佔銷售額的百分比將繼續增長，但由於我們仍保持收購勢頭並增加相關的資產負債表，因此略有抵消，但全年銷售額和收益仍未達到。

In terms of cash, we had $11.9 million in cash on the balance sheet as of June 30. This is a decrease of $1.4 million compared to the end of Q1 and does not reflect the acquisition of Moores Pump & Services which we closed after the quarter, and we look forward to them reporting with us starting in Q3. CapEx in the second quarter was $10.3 million or a decrease of $9.6 million compared to Q1 and a $1.5 million increase versus quarter of 2024.

現金方面，截至6月30日，我們的資產負債表上有1,190萬美元現金。與第一季末相比，這減少了140萬美元，且未反映我們在本季度後完成的對Moores Pump & Services的收購，我們期待他們從第三季度開始與我們一起提交報告。第二季的資本支出為1,030萬美元，與第一季相比減少960萬美元，與2024年同期相比增加150萬美元。

We are continuing to make investments in our business, software, our facilities and operations for our employees. As we move forward, we will continue to invest in the business as we focus on growth. That said, over the short to medium term over the next one to two quarters, we should see CapEx lessen as we finish out of 2025.

我們將繼續投資我們的業務、軟體、設施以及員工營運。未來，我們將繼續投資於業務，專注於成長。即便如此，在短期至中期內，在未來一到兩個季度，隨著2025年接近尾聲，我們的資本支出應該會減少。

Turning to free cash flow. Free cash flow for the second quarter was $8.3 million versus $5.9 million in the second quarter of 2024. This does reflect improvements in profitability along with elevated CapEx, which is primarily growth-oriented and highly controllable.

談到自由現金流。第二季的自由現金流為 830 萬美元，而 2024 年第二季為 590 萬美元。這確實反映了獲利能力的提高以及資本支出的增加，而資本支出主要以成長為導向，且高度可控。

Additionally, we continue to focus on tightly managing our capital projects, which we see as an to further generate and optimize cash flow. Return on invested capital, or ROIC, at the end of the second quarter was 34.6% and continues to be measurably above our cost of capital and reflects the improvements EBITDA and operating leverage inherent within the business.

此外，我們繼續專注於嚴格管理資本項目，我們認為這是進一步創造和優化現金流的關鍵。第二季末的投資資本報酬率（ROIC）為34.6%，持續顯著高於我們的資本成本，並反映了公司固有的EBITDA和營運槓桿的改善。

As of June 30, our fixed charge coverage ratio was 2.0:1, and our secured leverage ratio was 2.4:1 with a covenant EBITDA for the last 12 months of $221. Total debt outstanding as of June 30 was $645.6 million. In terms of liquidity, as of the second quarter, we were undrawn on our ABL with $28.7 million in letters of credit with $106 million of availability and liquidity of $219 million, including $112.9 million in cash. Subsequent to the quarter end, we successfully increased our ABL by $50 million. DXP is poised to execute on our acquisition strategy and would anticipate at minimum closing another three to four acquisitions during the second half of the year.

截至6月30日，我們的固定費用覆蓋率為2.0:1，擔保槓桿率為2.4:1，過去12個月的契約息稅折舊攤銷前利潤（EBITDA）為2.21億美元。截至6月30日，未償還債務總額為6.456億美元。流動性方面，截至第二季度，我們的資產負債表（ABL）尚未提取，信用證餘額為2,870萬美元，可用餘額為1.06億美元，流動性餘額為2.19億美元，其中包括1.129億美元的現金。季度結束後，我們成功將資產負債表（ABL）增加了5,000萬美元。 DXP已準備好執行我們的收購策略，預計下半年將至少完成三到四項收購。

In terms of acquisitions, we have closed two acquisitions during the first half of and one on July 1. DXP's acquisition pipeline continues to remain active and robust, and the market continues to present compelling opportunities. That said, we remain comfortable with our ability to execute on our pipeline and valuations continue to remain reasonable.

在收購方面，我們在上半年完成了兩筆收購，並在7月1日完成了一筆收購。 DXP的收購計畫持續活躍且強勁，市場也持續呈現誘人的機會。即便如此，我們仍對收購計畫的執行能力充滿信心，估值仍保持合理。

In summary, we continue to remain excited about the future. We will continue to keep our eyes focused on those things we can control and what is ahead of us. We are excited because there are still substantial value embedded in DXP. We look forward with great confidence to a feature of sustained growth and market outperformance.

總而言之，我們對未來充滿期待。我們將繼續關注那些我們能夠掌控的事情以及未來發展方向。我們感到興奮，因為DXP仍然蘊藏著巨大的價值。我們滿懷信心地期待DXP的持續成長和超越市場的表現。

I will now turn the call over for questions.

我現在將電話轉交給提問者。

(Operator Instructions) Zach Marriott, Stephens Inc.

（操作員指示） Zach Marriott，Stephens Inc.

Is there any color you can share on daily sales trends by month for both Q2 and Q3 thus far?

您能否分享一下迄今為止第二季和第三季按月劃分的每日銷售趨勢？

Sure, Zack. And I'll back up and once again, just walk through Q2 and then we have essentially a sales flash for July, so an estimate for July. But April, as I mentioned in my comments, were $7.81 million. May was $7.5 million June was $8.37 million. And in July, we had at $7.25 million per day.

當然，扎克。我先回顧一下第二季的情況，然後我們基本上會先回顧一下7月的銷售情況，也就是7月的預估。正如我在評論中提到的，4月份的銷售額為781萬美元。 5月為750萬美元，6月為837萬美元。 7月份，我們的日銷售額為725萬美元。

Much appreciated. And then is there anything that should drive a meaningful margin difference whether up or down when comparing 2Q and 3Q?

非常感謝。那麼，在比較第二季和第三季時，有什麼因素會導致利潤率出現顯著的差異，無論是上升還是下降？

I mean we still -- we continue to benefit from our acquisitions and then being accretive from a margin perspective, meaning obviously, the profitability, specifically within water, wastewater and some of our industrial rotating equipment acquisitions is at a higher gross and thus EBITDA margin. So to the degree and extent we're rolling those ones in as well as rolling new ones in, we've benefited from a margin perspective.

我的意思是，我們仍然——我們繼續從收購中受益，並從利潤率的角度實現增值，這顯然意味著盈利能力，特別是在水、廢水處理和一些工業旋轉設備收購方面，毛利率更高，因此EBITDA利潤率也更高。因此，就我們收購這些業務以及新增業務的程度和範圍而言，我們從利潤率的角度受益。

Great. And then I know you touched on the M&A pipeline. So my last one is going to be, are you seeing much hesitation to spend from customers due to macro uncertainty or still tariff uncertainty or anything?

太好了。我知道您剛才提到了併購管道。所以我的最後一個問題是，您是否發現客戶因為宏觀不確定性、關稅不確定性或其他因素而猶豫不決？

I'm not necessarily sure how that's tied to acquisitions. But I'll let David address kind of the macro environment. I think you probably still have some thoughts as he did in Q1, surrounding tariffs and the impact to our environment and our customers and suppliers. David?

我不太確定這與收購有何關聯。但我會讓大衛談談宏觀環境。我想你可能仍然像他在第一季一樣，圍繞關稅及其對我們的環境、客戶和供應商的影響有一些想法。大衛？

So maybe I'll tie acquisitions in there typically like to do acquisitions of companies that are well run and they're growing their business. So we're not seeing anything fall off a cliff or anything as far as acquisitions or we wouldn't do them. And then now I really don't think so.

所以，我可能會把收購也納入其中，我通常喜歡收購那些運作良好、業務不斷成長的公司。所以，就收購而言，我們並沒有看到任何公司斷崖式下跌，否則我們就不會做這些事了。但現在我真的不這麼認為了。

When we look at our billings, our backlogs as high as it's ever been, our bookings to billings is in excess of one, it's always billing -- bookings are greater. So we're not seeing anything. We read a little bit of about things continuing to grow but maybe at a slower pace, but we're really not seeing that.

當我們查看我們的帳單時，我們發現積壓訂單量達到了歷史最高水平，訂單與帳單之比超過了1，帳單——訂單量一直在增長。所以我們沒有看到任何變化。我們讀到一些關於業務持續成長但速度可能放緩的消息，但我們真的沒有看到這種情況。

I will turn the call back over to David Little, CEO, for closing remarks.

我將把電話轉回給執行長 David Little，請他作最後發言。

Sure. Well, thanks to all our shareholders and all our employees and all our stakeholders, including our suppliers, et cetera. We it's pretty neat to watch our suppliers can start coming to us and people wanting us to handle their products and et cetera, because we are a growth-oriented company, and they want to grow their business also.

當然。感謝我們所有的股東、員工和所有利害關係人，包括我們的供應商等等。我們很高興看到我們的供應商開始主動聯繫我們，希望我們經銷他們的產品等等，因為我們是一家以成長為導向的公司，他們也希望業務成長。

So I think that's pretty positive. I think as we look at acquisitions, we're -- we've targeted some acquisitions that do have a lot higher EBITDA margins, et cetera. So that's helping us along with our own internal push to increase our value to our customers, increase the amount we can make by increasing that value. So I'm very pleased with that. Expenses are pretty flat.

所以我認為這是非常積極的。我認為，就收購而言，我們瞄準了一些EBITDA利潤率確實高得多的公司，等等。這有助於我們內部推動，從而提升我們對客戶的價值，並透過提升價值來增加我們所能獲得的收益。我對此非常滿意。費用支出基本持平。

But really that's based on the fact that we continue to grow. And so as a percent of sales, we'd like to see that come down a bit. Everything we're doing is working. We're not almost kidding about how well that our new products through PumpWorks is working. And so to say that we had a couple of projects that didn't pan out and a couple of million dollar write-off is almost an inside joke because that's pretty minor in the scheme of things.

但實際上，這是基於我們持續成長的事實。因此，就銷售額佔比而言，我們希望這個數字能有所下降。我們所做的一切都在發揮作用。我們透過PumpWorks推出的新產品效果顯著，這可不是開玩笑。所以，說我們有幾個專案沒有成功，幾百萬美元的損失幾乎是開玩笑，因為在整個專案過程中，這算不了什麼。

We didn't include that in any kind of EBITDA adjustment. It was just normal, of course, of doing but nonetheless, I threw that out there. What -- we have -- a lot of our big project is international-oriented -- so we have a lot of activity international in the energy business. And so we're investing pretty heavy into that and look to continue to do so.

我們沒有將其納入任何EBITDA調整。當然，這很正常，但我還是把它拋在了一邊。我們的許多大型專案都是面向國際的，所以我們在能源業務方面有很多國際活動。因此，我們在這方面投入了相當大的資金，並希望繼續這樣做。

The other pieces of our business, whether municipalities or air compressors that's all been wildly successful. Our normal business is having organic growth, and so that's always really, really nice. In fact, DXP has 10% organic growth overall than we're basically going to kick ass. So with that, again,

我們其他業務，無論是市政業務還是空氣壓縮機，都取得了巨大的成功。我們的常規業務是有機成長，所以這總是非常非常令人欣喜的。事實上，DXP 的整體有機成長率達到了 10%，這基本上意味著我們將取得巨大的成功。所以，再次強調，

I'd like to thank all the stakeholders, and I'm pleased in the future looks bright. So here we go. Thanks.

我要感謝所有利益相關者，我很高興看到未來一片光明。好了，我們開始吧。謝謝。

Ladies and gentlemen, that concludes today's call. Thank you for joining. You may now disconnect.

女士們，先生們，今天的電話會議到此結束。感謝各位的參與。現在可以掛斷電話了。