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DSG(DSGR) - 2024 Q4 - Annual Results
DSGRDSG(DSGR)2025-03-06 12:40

Revenue Performance - Full year revenue increased by 14.9% to 1.80billion,withorganicrevenuedecreasingby2.61.80 billion, with organic revenue decreasing by 2.6% compared to 2023[7] - Fourth quarter revenue was 480.5 million, an increase of 18.6% year-over-year, including 61.0millionfromacquisitions[7]−RevenueforQ42024reached61.0 million from acquisitions[7] - Revenue for Q4 2024 reached 480.5 million, a 18.6% increase from 405.2millioninQ42023[44]−Fortheyearended2024,totalrevenuewas405.2 million in Q4 2023[44] - For the year ended 2024, total revenue was 1.8 billion, a 14.8% increase from 1.57billionin2023[48]ProfitabilityMetrics−AdjustedEBITDAforthefullyeargrewto1.57 billion in 2023[48] Profitability Metrics - Adjusted EBITDA for the full year grew to 175.3 million, or 9.7% of revenue, compared to 157.0million,or10.0157.0 million, or 10.0% of revenue in the prior year[7] - Fourth quarter adjusted operating income was 37.3 million, compared to 28.0millionintheyear−agoquarter[7]−Non−GAAPadjustedEBITDAforQ42024was28.0 million in the year-ago quarter[7] - Non-GAAP adjusted EBITDA for Q4 2024 was 44.9 million, up from 33.9millioninQ42023,representinga32.533.9 million in Q4 2023, representing a 32.5% increase[44] - Adjusted EBITDA for the year 2024 was 175.3 million, up from 157.0millionin2023,reflectinganincreaseof11.6157.0 million in 2023, reflecting an increase of 11.6%[48] Operating Income - Operating income for the full year increased by 30.2% to 56.0 million, net of 47.5millioninacquiredintangibleamortization[7]−OperatingincomeforQ42024was47.5 million in acquired intangible amortization[7] - Operating income for Q4 2024 was 20,067 thousand, compared to a loss of 289thousandinQ42023[20]−Thecompanyreportedanoperatingincomeof289 thousand in Q4 2023[20] - The company reported an operating income of 56.0 million for the year 2024, compared to 43.0millionin2023[48]−Theoperatingincomeasapercentageofrevenuefor2024was3.143.0 million in 2023[48] - The operating income as a percentage of revenue for 2024 was 3.1%, compared to 2.7% in 2023[48] Net Income and Loss - Diluted loss per share for the year was 0.16, compared to 0.20inthepreviousyear,whilenon−GAAPadjusteddilutedearningspersharewas0.20 in the previous year, while non-GAAP adjusted diluted earnings per share was 1.44[7] - Net loss for the twelve months ended December 31, 2024, was 7,332thousand,animprovementfromalossof7,332 thousand, an improvement from a loss of 8,967 thousand in 2023[23] - The company reported a basic loss per share of 0.55forQ42024,comparedtoalossof0.55 for Q4 2024, compared to a loss of 0.35 in Q4 2023[20] - For the three months ended December 31, 2024, the net loss was 25,925,000comparedtoanetlossof25,925,000 compared to a net loss of 16,330,000 for the same period in 2023[31] Cash Flow and Liquidity - Cash generated from operations for the full year was 56.5million,with56.5 million, with 101.2 million excluding non-recurring acquisition-related costs[7] - The company expanded its credit facility by 255million,endingtheyearwithtotalliquidityof255 million, ending the year with total liquidity of 334.7 million[7] - Cash and cash equivalents decreased to 66,479thousandin2024from66,479 thousand in 2024 from 83,931 thousand in 2023, a decline of 20.9%[18] Acquisitions and Strategic Initiatives - The company completed five strategic acquisitions in 2024, deploying approximately 216.0millionincapital[4]−Businessacquisitionsin2024totaled216.0 million in capital[4] - Business acquisitions in 2024 totaled 199,423 thousand, compared to 259,835thousandin2023,indicatingadecreaseof23.2259,835 thousand in 2023, indicating a decrease of 23.2%[23] - The company remains focused on long-term value creation through organic growth and strategic M&A in the industrial distribution sector[5] - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[44] Balance Sheet Highlights - Total assets increased to 1,727,255 thousand in 2024 from 1,550,331thousandin2023,representinganincreaseof11.41,550,331 thousand in 2023, representing an increase of 11.4%[18] - Total liabilities rose to 1,086,712 thousand in 2024, up from 888,730thousandin2023,markinganincreaseof22.3888,730 thousand in 2023, marking an increase of 22.3%[18] Other Financial Metrics - Interest expense for the twelve months ended December 31, 2024, was 55,145,000, compared to 42,774,000in2023,reflectinganincreaseofapproximately28.842,774,000 in 2023, reflecting an increase of approximately 28.8%[31] - The company incurred 10,142,000 in acquisition-related costs for the twelve months ended December 31, 2024, down from 11,561,000in2023[37]−Thecompanyreportedatotalof11,561,000 in 2023[37] - The company reported a total of 93,397,000 in pretax adjustments for the twelve months ended December 31, 2024, compared to 89,962,000in2023[37]−Stock−basedcompensationexpensesfor2024totaled89,962,000 in 2023[37] - Stock-based compensation expenses for 2024 totaled 5.2 million, a decrease from $7.9 million in 2023[48]