Is the business good?
How good a business is DSGR?
Distribution Solutions Group, Inc. earns 4.3% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
4.3%
Return on invested capital · cost of capital 9.0% · 4.7 points below what the capital costs: growth destroys value
- Operating margin
- 3.6%
Operating margin · Industrial Distribution median 8.5% · 12 months to Q1 2026
- Share count, year on year
- −0.78%
Share count, year on year · flat: no meaningful dilution
- Gross margin
- 33%
Gross margin
| Year | Operating margin |
|---|---|
| FY2020 | 5.8% |
| FY2021 | 2.2% |
| FY2022 | 3.6% |
| FY2023 | 2.7% |
| FY2024 | 3.1% |
| FY2025 | 4.0% |
Details›
- Gross margin12 months to Q1 2026
- 33%
- Operating margin12 months to Q1 2026
- 3.6%
- Net margin12 months to Q1 2026
- 0.27%
- Free cash flow margin
- 2.5%
- Revenue, trailing twelve months
- $2.00B
- Free cash flow, trailing twelve months
- $50M
- Net income, trailing twelve months
- $5.5M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 4.3%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Industrial Distribution
Ranks #17 of 17 by Smart Score