Enhancing long-term shareholder value.
CSW Industrials seeks sustainable growth in shareholder value by generating strong free cash flow through appreciable organic and accretive inorganic growth, and we have a demonstrated track record of success.
Here are the pillars of our approach:
Maintain a strong balance sheet
We’re committed to maintaining amply liquidity through cash and available credit to maximize growth opportunities, both organically and inorganically.
Allocate capital efficiently
Capital allocation decisions are prioritized on a risk-adjusted returns basis with the goal of driving long-term shareholder value. Our capital allocation priorities are as follows: organic initiatives, inorganic growth within existing end markets served today, and the return of cash through our quarterly dividends and opportunistic share repurchases.
Maximize channels to market and increase market share
We focus on growing our robust distribution network that includes buying groups and national account relationships, and enhancing revenue growth from new product introductions across our various end markets served. We can acquire or master distribute products, resulting in sales at a faster and more cost-effective rate due to leverage in logistics, supply agreements, sales staff, credit, and back-office support.
Invest in innovative products
We focus on commercially attractive products and solutions in the end markets we serve, while maintaining a flexible manufacturing strategy. For example, by consolidating two products into a single, more innovative product, our end-use customers save time and accomplish more.
Take a strategic, disciplined acquisition approach
Our acquisitions are focused on the end markets we serve today, products that complement or enhance the existing offerings, and offer potential market share gains. This brings rigor and discipline to our process and commands a selective approach. We seek to integrate acquisitions by applying industry best practices for strategy development, people management and retention, operating performance and measurement, and other business fundamentals.