The Burson Group Ltd (ASX: BAP) share price has surged 60% higher over the past year – quite an accomplishment when you consider the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is down 18% over the same period.

And the share price could be headed well above the $5.00 mark, thanks to two more judicious acquisitions.

Burson is a wholesaler, distributor and retailer of motor vehicle parts and equipment and accessories, and distributes more than 500,000 vehicle parts to around 30,000 workshops and other customers across Australia.

In June last year, Burson agreed to purchase the Automotive division from Metcash Limited (ASX: MTS) for $275 million. That gave Burson an additional wholesale and distribution capability, with 10 distribution centres distributing 130,000 items to stores and workshops, as well as a network of 276 retail-focused stores (Autobarn, Autopro, Carparts) and 140 service workshops (Midas, ABS). It added $261 million of revenues and $33 million of earnings before interest, tax, depreciation and amortisation (EBITDA) to Burson’s core business.

Today the company announced the acquisition of two businesses – Bearing Wholesalers and Precision Automotive Equipment for $32 million. That should add an additional $40 million in annual sales and $6 million in EBITDA.

In the 2015 financial year (FY15), Burson saw revenues of $375 million and $41.5 million of EBITDA. The acquisitions mentioned above should add $301 million in annual sales and $39 million in EBITDA, which should mean the new expanded Burson Group will generate $676 million in revenues and $80 million in EBITDA on an annualised basis.

Foolish takeaway

If you consider that the company may also realise some efficiencies of scale and synergies, Burson is likely to blow its earnings of 14.1 cents per share in FY15 out of the water in 2016 and 2017.

Disregard the company’s current P/E ratio of more than 28x, this is a company that has virtually doubled revenues and earnings in the past six months.

While new shares issued for the acquisitions above will dilute earnings somewhat, Burson’s share price today may be a bargain.

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Motley Fool contributor Mike King owns shares of Burson. You can follow Mike on Twitter @TMFKinga

Unless otherwise noted, the author does not have a position in any stocks mentioned by the author in the comments below. The Motley Fool Australia owns shares of Burson. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.