DXP Enterprises increased its asset-based revolving credit facility by $40 million, lifting total commitments from $185 million to $225 million under a new amended agreement signed July 2.
The company said the facility now includes up to $210 million available to U.S. borrowers and up to $15 million for Canadian borrowers. The revolver matures July 2, 2031.
DXP said the larger facility is intended to support growth and maintain liquidity. The company also said the agreement allows for future increases of up to another $50 million, in minimum increments of $10 million, subject to conditions.
Chief Executive David Little said the company intends to use the added flexibility to fund growth, reinvest in facilities, equipment and software, and manage debt as appropriate.
Chief Financial Officer Kent Yee said the $40 million increase “accomplished several objectives,” including maintaining liquidity and supporting both organic growth and acquisitions.
Yee also pointed to a sharp rise in operating scale over the past several years. He said sales increased from $1.1 billion in 2021 to $2.1 billion for the last 12 months ended March 31, 2026. Net income rose from $16.4 million to $88.1 million over the same span. Covenant compliance adjusted EBITDA climbed from $74.9 million to more than $243.9 million.
The company said the new facility also positions it to lower its cost of capital over time. Today the company's shares have moved -0.58% to a price of $164.02. For more information, read the company's full 8-K submission here.
