•
Dec 31, 2019

DSG Q4 2019 Earnings Report

Delivered improved financial results with sales growth and increased adjusted operating income.

Key Takeaways

Lawson Products reported a 2.7% increase in net sales for Q4 2019, reaching $88.6 million, and a 75.8% increase in adjusted operating income. The company's financial results were negatively impacted by $10.2 million of stock-based compensation expense. For the full year, sales increased 6.0% and adjusted EBITDA finished at $34.5 million representing an increase of 37%.

Ended the year with over 1,000 Lawson segment sales reps and realized continued sales rep productivity.

Non-GAAP adjusted operating income increased 75.8% to $5.8 million.

Adjusted EBITDA improved to 8.3% for the fourth quarter 2019 from 5.9% in the year ago quarter.

Adjusted diluted earnings per share improved 118% to $0.48.

Total Revenue
$88.6M
Previous year: $86.3M
+2.7%
EPS
$0.48
Previous year: $0.22
+118.2%
Adjusted EBITDA Margin
8.3%
Previous year: 5.9%
+40.7%
Gross Profit
$46.8M
Previous year: $46.1M
+1.6%
Cash and Equivalents
$5.5M
Previous year: $11.9M
-53.8%
Free Cash Flow
$519K
Total Assets
$204M
Previous year: $197M
+3.7%

DSG

DSG

Forward Guidance

Lawson Products enters fiscal 2020 well-positioned to take advantage of opportunities built through initiatives focused on sales rep productivity, adding to the sales team, and making compatible, accretive acquisitions.