Legal and Regulatory Risks - The company faces significant risks related to bodily injury claims, with ongoing lawsuits involving 296 injured persons globally, including 52 in Israel, 122 in Australia, and 122 in the United States[41]. - An adverse verdict in Los Angeles County resulted in a jury awarding $52.4 million in damages, with the company liable for $13.0 million[42]. - The company estimates potential losses for 120 claims in the U.S. ranging from $0.5 to $13 million per claim, with 102 claims at an early stage where the loss amount cannot be reasonably estimated[42]. - The company may need to make substantial liability accruals for U.S. silicosis claims, which could adversely impact its balance sheet equity and financial obligations[43]. - Compliance with evolving privacy laws and regulations may result in significant liability and negative publicity, impacting revenues and financial condition[36]. - The company faces potential fines and lawsuits due to non-compliance with privacy laws such as the California Consumer Privacy Act (CCPA) and the General Data Protection Regulation (GDPR) in the U.S. and Europe, respectively[127]. - The company anticipates increased regulatory scrutiny and costs due to amendments to the Privacy Protection Law (PPL) in Israel, effective in 2025[128]. - Regulatory changes regarding the use of silica-containing products may lead to increased operational costs and potential litigation risks, adversely affecting financial performance[55]. - The company may incur significant costs and liabilities due to compliance with environmental, health, and safety regulations, which could adversely affect financial results[144]. - The company has faced compliance issues related to environmental and health regulations, which could lead to additional unforeseen expenditures[148]. Economic and Market Conditions - The company is subject to significant risks from macroeconomic downturns, geopolitical instability, and intense competitive pressures that could adversely affect its financial results[33][34]. - Economic downturns and high inflation have led to reduced consumer demand for new homes and renovations, negatively impacting the company's sales[57]. - In 2024, the company's revenues in Australia declined by 28.8%, attributed to new laws banning engineered stone slabs containing crystalline silica, which may adversely impact financial results[52]. - Approximately 60%-70% of the company's revenue in principal markets (U.S., Australia, Canada) is related to residential renovations and remodeling activities, while 30%-40% is from new construction[56]. - The company faces intense competitive pressures, with competitors potentially producing similar products at lower costs, impacting market share and pricing power[61]. - The imposition of antidumping and countervailing duties has increased competitive pressures in markets like Australia, where the company holds a higher market share[66]. Supply Chain and Production Challenges - Supply chain disruptions have been experienced globally, affecting the availability of essential raw materials, particularly minerals and porcelain[85]. - The company actively manages its global supply chain and production facilities in Israel and India, but faces risks related to supplier insolvency and delays[82]. - The company relies on a limited number of suppliers for raw materials, with 84.4% of revenues concentrated in four key markets: the United States (49.5%), Australia (17.0%), Canada (13.9%), and Israel (3.9%)[106]. - The company is facing potential disruptions in supply chains due to geopolitical tensions, particularly between Turkey and Israel, which may require finding alternative suppliers[103]. - The company relies on a limited number of large retailers for sales, and any deterioration in relationships with these retailers could significantly impact revenue[92]. Financial Performance and Impairments - The company recognized an impairment charge of $3.2 million in 2024 due to a slowdown in demand and integration challenges from acquired businesses[100]. - The company recorded a non-cash goodwill impairment charge of $44.8 million in fiscal year 2022, fully impairing the goodwill balance[172]. - In 2023, the company recognized an impairment of $28.5 million related to the Richmond Hill facility and $16.6 million related to the right of use asset at the Sdot Yam facility[173]. - For 2024, the company recorded an impairment of $3.8 million related to the Richmond Hill facility and $3.2 million related to intangible assets associated with Omicron and Magrab[174]. - The company may experience additional impairments in the future if adverse changes occur in key assumptions or market conditions[176]. Corporate Governance and Shareholder Issues - As of February 28, 2025, the Kibbutz and Tene owned 14,029,494 ordinary shares, constituting 40.6% of the company's outstanding shares, which may limit other shareholders' influence on corporate matters[181]. - The company had 34,555,827 shares outstanding as of February 28, 2025, with 5,775,000 shares reserved for issuance under its option plans[184][186]. - The exclusive forum provision in the company's articles of association may limit shareholders' ability to bring claims in a judicial forum of their choice, potentially discouraging lawsuits[211]. - The company may lose its foreign private issuer status if a majority of its voting securities are owned by U.S. residents or if a majority of its executive officers or directors are U.S. citizens or residents[191]. Operational and Management Challenges - The company is dependent on its senior management team, and recent changes in leadership may impact business operations[222]. - The company has experienced a trend of relatively high turnover in some sites and roles, which could affect operational stability[223]. - The company does not carry key man insurance for its executive officers, which poses a risk to operational continuity[223]. - The competitive market for qualified personnel may hinder the company's ability to attract and retain talent, affecting growth[224]. Strategic Initiatives and Future Outlook - The company is implementing a digital transformation to enhance supply chain management and production processes, which is critical for operational efficiency[118]. - The company is expanding its distribution network in the United States, particularly in the South, Southeast, and Ohio Valley markets through the Omicron Acquisition[107]. - The company estimates that engineered surfaces represented 24% of total countertops by volume installed in the United States in 2024, indicating growth potential in this market[108]. - Future product introductions may involve uncertainties and challenges that could adversely affect margins and operational results[87]. Risks from Geopolitical and Environmental Factors - The ongoing military conflicts in Israel, particularly with Hamas and Hezbollah, may adversely affect the company's operations and limit its ability to market products, potentially leading to decreased revenues[193]. - The Israeli government has downgraded Israel's credit rating due to the continuation of the war, which could impact the company's financial standing[197]. - The company’s commercial insurance does not cover losses from war and terrorism, which could lead to material adverse effects on its business if damages occur[198]. - The company has been affected by political tensions, such as disruptions in commercial arrangements with Turkish suppliers, which may require finding alternative solutions for its supply chain[199].

Financial Data and Key Metrics Changes - Fourth quarter revenue was $97.9 million, a decline of 23.8% year-over-year on a constant currency basis, reflecting lower sales volume across markets [15][16] - Gross margin improved to 19.4%, up 130 basis points year-over-year, driven by restructuring actions and optimized production [13][17] - Full year 2024 sales were $443.2 million, down from $565.2 million in 2023, with a constant currency decline of 21.5% [20] Business Line Data and Key Metrics Changes - In the US, sales decreased by 23.1% to $46.4 million, attributed to softer market conditions [16] - Canada sales fell by 18.5% on a constant currency basis, reflecting similar dynamics as the US [16] - Australia experienced a 37.5% decline in sales on a constant currency basis, mainly due to market transitions [16] - Israel saw a significant improvement with sales up 53.6% on a constant currency basis, benefiting from improved market conditions [16] Market Data and Key Metrics Changes - The EMEA region reported an 18.2% decline on a constant currency basis, impacted by slow market conditions in the UK [16] - Overall, the company faced persistent global market headwinds affecting revenue across all major markets [15][16] Company Strategy and Development Direction - The company is focused on strategic transformation initiatives, optimizing operational frameworks, and enhancing competitive positions through R&D and marketing investments [8][9] - Plans to acquire the remaining equity interest in Lioli Ceramica to increase ownership to 100% as part of growth strategy in the porcelain market [12] - The company expects to realize incremental cost savings of approximately $10 million in 2025 from restructuring initiatives [27] Management Comments on Operating Environment and Future Outlook - Management noted ongoing challenges in the global market but expressed confidence in the strategic initiatives leading to improved agility and efficiency [14][29] - Anticipated gradual improvement in revenues as the year progresses, with expectations for Q1 to reflect similar dynamics as Q4 [33][36] - The company remains focused on maintaining disciplined working capital management to maximize cash flow [28] Other Important Information - The company recorded a provision of $50 million for silicosis claims, with ongoing legal challenges in the US, Australia, and Israel [25][26] - Positive free cash flow of $31.9 million for the full year, maintaining a healthy financial position with a net cash position of $101.8 million [24] Q&A Session Summary Question: Update on end markets and revenue perspective for Q1 - Management sees Q1 reflecting the same market dynamics as Q4, with expectations for gradual improvement in Q2 and Q3 [33][34] Question: Clarification on revenue decline levels - Q1 is expected to show similar decline levels as Q4, with gradual improvement anticipated as the year progresses [36] Question: Insights on pricing pressures - Pricing pressure is evident, particularly in Australia, but is not the most significant factor affecting revenue declines [38] Question: Expected dollar amount of savings from initiatives - Total savings are expected to exceed $45 million compared to 2022, with incremental savings of around $10 million in 2025 [40]

Financial Data and Key Metrics Changes - Global revenue for Q3 2024 was $107.6 million, down 24.8% on a constant currency basis, primarily due to lower volumes impacted by global economic headwinds [12] - Gross margin improved to 19.9% compared to 19.1% in the prior year quarter, with adjusted gross margin stable at 19.8% [15] - Operating expenses were $25.4 million or 23.6% of revenue, compared to $29.2 million or 20.5% in the prior year quarter [16] - Adjusted EBITDA for Q3 was a loss of $4.1 million compared to a gain of $1.9 million in the prior year quarter [17] - Cash and short-term deposits at quarter end were $114.1 million, with total debt of $5.2 million, improving net cash position to $108.9 million from $83.5 million at the end of 2023 [18] Business Line Data and Key Metrics Changes - U.S. sales decreased by 20.5% to $52.4 million, primarily due to softer residential end markets [13] - Canada sales were down 23.8% on a constant currency basis, reflecting similar market dynamics as the U.S. [14] - Australia sales declined approximately 37.7% on a constant currency basis, impacted by slower market conditions and regulatory transitions [14] - EMEA region saw a decline of 26% on a constant currency basis due to slow market conditions in the U.K. and Sweden [14] - Israel sales were off by 24.5% on a constant currency basis, mainly due to the war on terror affecting regional activity [14] Market Data and Key Metrics Changes - The renovation and remodeling market remains pressured by high interest rates and economic uncertainty, particularly affecting residential activity [9] - Commercial and big box business showed relative stability compared to residential activity [9][32] - The transition to zero crystalline silica products in Australia is taking longer than expected, with full market availability anticipated by the end of Q1 2025 [10][28] Company Strategy and Development Direction - The company is focusing on operational efficiency and strategic investments to strengthen its competitive position [10] - Ongoing transformation efforts and manufacturing optimization initiatives have helped sustain gross margin improvement despite lower revenues [7] - The company is pursuing opportunities to maximize value from remaining undeveloped land at the Richmond Hill facility [8][33] Management Comments on Operating Environment and Future Outlook - Management expects market headwinds to persist in the near term but is confident in structural improvements made to the business [11] - The company anticipates lower sequential revenues in Q4 compared to Q3, consistent with typical seasonal trends [25] - Adjusted EBITDA outlook is revised to an expected loss in the range of $10 million to $11 million due to macroeconomic pressures and elevated shipping costs [26] Other Important Information - The company recorded a provision related to bodily damages claims made by fabricators in the U.S., with ongoing litigation that may impact financial position [21][23] - The company expects to realize approximately $35 million in restructuring-related cost savings compared to 2023 levels [24] Q&A Session Summary Question: Macro outlook by region and recovery trends - Management noted a negative trend in almost all markets due to economic downturns and competition, but expressed confidence in the company's agility and restructuring efforts [27] Question: Impact of shipping rates on pricing - Management stated that pricing changes are infrequent and that they have suffered from shipping rate increases, but expect to benefit from recent downturns in shipping costs starting in Q1 [30] Question: Trends in U.S. big box retailers - Management observed more resilience in big box retailers compared to the residential renovation market [31] Question: Updates on Richmond Hill land and Sdot-Yam subletting timeline - Management confirmed the completion of the undeveloped land sale and ongoing search for buyers for developed land, with Sdot-Yam subletting on track [33]

Exhibit 99.1 Caesarstone Reports Third Quarter 2024 Financial Results - Maintaining Operational Discipline and Strategic Focus Amid Significant Market Headwinds - - Revenue of $107.6 Million - - Net Cash Position Improves to $108.9 Million, Reinforcing Strong Balance Sheet - - Reaffirms Full Year Outlook to Deliver Positive Operating Cash Flow and Moderates Adjusted EBITDA Expectations - MP MENASHE, Israel – November 13, 2024 - Caesarstone Ltd. (NASDAQ: CSTE), a leading developer and manufacturer of high- q ...

INVESTOR PRESENTATION August 2024 DISCLAIMER Information provided in this presentation may contain statements relating to current expectations, estimates, forecasts and projections about future events that are "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as "goals," "intend," "seek," "anticipate," "believe," "could," "continue," "expe ...

Financial Data and Key Metrics - Global revenue for Q2 2024 was $119.4 million, down 16.9% YoY (16.3% on a constant currency basis) [9] - Gross margin improved significantly to 22.9% in Q2 2024, compared to 8.3% in the prior year quarter [11] - Adjusted gross margin was 23.8% in Q2 2024, compared to 9.6% in the prior year quarter [11] - Operating expenses were $36.6 million (30.6% of revenue) in Q2 2024, down from $58.8 million (40.9% of revenue) in the prior year quarter [12] - Operating loss in Q2 2024 was $9.3 million, compared to $46.9 million in the prior year quarter [13] - Adjusted EBITDA in Q2 2024 was a loss of $0.1 million, compared to a loss of $13.4 million in the prior year quarter [13] - Cash, cash equivalents, and short-term bank deposits totaled $103.6 million as of June 30, 2024, with a net cash position of $97.7 million [14] Business Line Performance - US sales declined by 13.8% to $59.8 million, driven by softer residential end markets and less favorable product mix [9] - Canada sales were down 15.9% on a constant currency basis, experiencing similar market dynamics as the US [10] - Australia sales declined by 20.8% on a constant currency basis, reflecting slower market conditions and regulatory changes [10] - EMEA region saw a decline of 14.9% on a constant currency basis, due to slow market conditions in the UK, Sweden, and indirect EMEA business [10] - Israel sales were down 38.9% on a constant currency basis, mainly due to reduced regional activity caused by geopolitical tensions [10] Market Performance - The company faced global economic headwinds, particularly in residential renovation and remodeling channels, leading to lower demand and competitive pressures [9] - The transition to alternative materials in Australia, due to new regulations banning quartz products, impacted sales [10] - Geopolitical developments, such as trade restrictions from Turkey, increased production costs in Israel [16] Strategic Direction and Industry Competition - The company is driving cost efficiencies, with the closure of Sdot-Yam and Richmond-Hill facilities expected to deliver annual cost savings of $20 million in 2024 and $30 million annually thereafter [5] - Over 60% of production is now sourced from global manufacturing partners, improving margins and aligning production to demand [5] - The company is focusing on differentiated products to improve sales mix and mitigate pricing pressures [6] - Investments in the porcelain business, including increasing the stake in Lioli Ceramica from 60% to 81%, are seen as key growth drivers [6] - The company is developing zero crystalline silica product lines to adapt to regulatory changes in Australia [6] - Efforts to monetize non-operational assets, such as selling undeveloped land at Richmond Hill, are ongoing [7] Management Commentary on Operating Environment and Future Outlook - The company is navigating persistent macroeconomic challenges and specific hurdles in the residential remodeling and renovation sectors [8] - Management expects to deliver positive operating cash flow for the full year of 2024, with the majority weighted towards the first half [18] - Full-year 2024 adjusted EBITDA is expected to be a loss in the mid-single-digit million-dollar range, due to increased shipping and material costs [18] - The company is focusing on cost efficiencies, optimizing production footprint, and strategic investments in sales, marketing, and R&D to drive profitability as market conditions stabilize [19] Other Important Information - The company is facing 43 silicosis-related lawsuits in the US, with the first case currently in trial [17] - Increased sea freight fees are expected to add $3 million to $4 million per quarter to costs, impacting Q4 2024 more significantly [15] - The company is finalizing the subletting of available areas within the Sdot Yam manufacturing facility, expected to generate additional cash flows in 2025 [7] Q&A Session Summary Question: Impact of shipping costs and potential pricing actions - Shipping costs are expected to increase by $3 million to $4 million per quarter in H2 2024, with additional negative impacts from raw material sourcing [20] - The company expects shipping costs to decrease in the future but cannot predict the exact timing or extent [21] Question: Revenue assumptions for H2 2024 - The company assumes similar market dynamics in H2 2024 as seen in H1 2024 [22] Question: Potential for further cost reductions - The company has become more agile with lower fixed costs, allowing for better cost control and capacity adjustments as needed [23] Question: Decremental margins and sensitivity analysis - The company does not provide specific sensitivity analysis but highlights the significant gross margin improvement from 15% in Q2 2023 to 23% in Q2 2024, driven by restructuring efforts [25] Question: Monetization of Richmond Hill and Israel facilities - The company expects to receive several tens of millions of dollars for the developed portion of the Richmond Hill property [27] - Subletting of the Sdot Yam facility is expected to generate several million dollars in cash flow starting in 2025 [28] Question: Increased stake in Lioli Ceramica - The company views porcelain as a key growth driver and increased its stake in Lioli Ceramica to 81% to strengthen its position in the market [30] - The impact on margins is not expected to be material in the short term [32]

Company Performance - CaesarStone reported a quarterly loss of $0.14 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.12, and an improvement from a loss of $0.69 per share a year ago, indicating a significant year-over-year recovery [1] - The company posted revenues of $119.43 million for the quarter ended June 2024, missing the Zacks Consensus Estimate by 3.57% and down from $143.68 million year-over-year, showing a decline in revenue performance [2] - Over the last four quarters, CaesarStone has surpassed consensus EPS estimates only once, indicating inconsistent earnings performance [2] Stock Performance - CaesarStone shares have increased approximately 40.4% since the beginning of the year, significantly outperforming the S&P 500's gain of 9.9%, suggesting strong market interest [3] - The current consensus EPS estimate for the upcoming quarter is -$0.08 on revenues of $127.62 million, and for the current fiscal year, it is -$0.43 on revenues of $493.84 million, indicating expectations of continued losses [7] Industry Outlook - The Zacks Industry Rank for Building Products - Miscellaneous, to which CaesarStone belongs, is currently in the bottom 41% of over 250 Zacks industries, suggesting a challenging environment for the sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact CaesarStone's stock performance [5]

Revenue Performance - Revenue for Q1 2024 was $118.3 million, down 21.0% year-over-year from $150.6 million due to lower volumes and price pressures[4]. - Total revenues for the three months ended March 31, 2024, were $118,292, a decrease of 21.5% compared to $150,633 in the same period of 2023[34]. - Revenues from the USA decreased by 19.8% to $60,999, down from $76,070 in 2023[34]. Profitability and Margins - Gross margin improved to 24.5% in Q1 2024, compared to 19.7% in the prior year quarter, driven by an improved production footprint and lower raw material costs[5]. - Gross profit for the same period was $28,987, down from $29,602, reflecting a slight decline in profitability[26]. - Adjusted EBITDA for the three months ended March 31, 2024, was $635, down from $717 in 2023, indicating a decrease of 11.4%[28]. Expenses and Losses - Operating expenses were $34.6 million, or 29.2% of revenue, up from 23.6% in the prior year quarter, primarily due to lower revenues[6]. - Operating loss for Q1 2024 was $5.6 million, an improvement from $5.9 million in the prior year quarter, mainly due to higher gross margin[7]. - The net loss attributable to controlling interest increased to $5,087, compared to a loss of $3,778 in the prior year, representing a 34.6% increase in losses[30]. - The company reported a basic net loss per ordinary share of $0.15 for Q1 2024, compared to $0.11 in Q1 2023[30]. Cash Flow and Financial Position - The company generated positive cash flow from operations of $8.7 million in Q1 2024, compared to $7.9 million in Q1 2023[10]. - Cash flows from operating activities provided $8,743, an increase from $7,937 in the same period last year[25]. - As of March 31, 2024, the company's net cash position was $89.4 million, an increase from $83.5 million as of December 31, 2023[10]. - Cash and cash equivalents at the end of the period increased to $96,152, compared to $45,987 at the end of Q1 2023[25]. Future Outlook - The company reaffirms its expectation to deliver positive adjusted EBITDA for the full year 2024 and positive operating cash flow[11]. - The company anticipates restructuring-related cost savings of approximately $20.0 million in 2024 and $30.0 million thereafter compared to 2023[11]. Research and Development - Research and development expenses increased to $1,212, up from $1,046, reflecting a 15.9% rise in investment in innovation[25]. Finance Income - Finance income decreased to $0.7 million in Q1 2024 from $2.3 million in the prior year quarter, primarily due to foreign currency exchange rate fluctuations[8].

Financial Data and Key Metrics Changes - Global revenue in Q1 2024 was $118.3 million, down from $150.6 million in Q1 2023, representing a decrease of approximately 21% on a constant currency basis [17][21] - Adjusted EBITDA for Q1 2024 was $0.6 million, relatively stable compared to $0.7 million in the prior-year quarter [7] - Gross margin improved to 24.5% in Q1 2024 from 19.7% in the prior-year quarter, driven by enhanced production efficiency and restructuring efforts [19][21] Business Line Data and Key Metrics Changes - U.S. sales decreased by 19.8%, primarily due to soft residential end markets and a less favorable product mix [2] - Sales in Australia were down approximately 17.5% on a constant currency basis, reflecting slower market conditions [18] - Canada sales decreased by 9.9% on a constant currency basis, experiencing similar market dynamics as the U.S. [36] Market Data and Key Metrics Changes - Sales in Israel fell by 39.3% on a constant currency basis, mainly due to the war on terror, although sequentially, sales improved by 68.9% [37] - The company noted that competitive pressures impacted sales across various markets [17] Company Strategy and Development Direction - The company is focused on enhancing innovation and brand development while refining its production footprint [6] - A strategic shift from a manufacturing-centric approach to prioritizing R&D, marketing, and branding is underway [31] - The closure of the Sdot Yam and Richmond Hill plants is expected to save approximately $30 million annually, with some savings reinvested into innovation and marketing [32][58] Management's Comments on Operating Environment and Future Outlook - Management acknowledged persistent global economic headwinds and regulatory changes in Australia as challenges but expressed confidence in the company's strategic transformation [31] - The company reiterated its outlook for positive adjusted EBITDA and cash flow from operations for the full year of 2024 [21][63] Other Important Information - The company has a strong balance sheet with cash and equivalents totaling $96.2 million and a net cash position of $89.4 million as of March 31, 2024 [39] - The company is actively seeking alternative sources for raw materials due to recent trade restrictions imposed by Turkey [38] Q&A Session Summary Question: How much did revenue benefit from the accelerated sale of inventory? - Management indicated that the accelerated sales contributed approximately 260 basis points to gross margin but did not significantly impact revenue [61] Question: What revenue number is needed to achieve breakeven on EBITDA for the full year? - Management did not provide specific revenue guidance but expects seasonal trends to continue, with Q1 typically being the lowest quarter [44] Question: Can you expand on the performance in U.S. big box stores? - Management noted that big box stores performed better than the residential segment, attributing this to high interest rates affecting residential activity [50] Question: How is the rollout of porcelain products progressing? - The company has started offering porcelain in the U.S., which is still small in volume but shows promising potential for future growth [53] Question: How much inventory is left at the Richmond Hill plant? - Most of the inventory was sold in Q1, with minimal remaining inventory expected to impact cash flows or earnings after Q2 [54]

CaesarStone (CSTE) came out with a quarterly loss of $0.13 per share versus the Zacks Consensus Estimate of a loss of $0.16. This compares to loss of $0.17 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 18.75%. A quarter ago, it was expected that this maker of quartz surface slabs would post a loss of $0.14 per share when it actually produced a loss of $0.28, delivering a surprise of -100%.Over the last four quarters, the com ...