Financial Data and Key Metrics Changes - The gross profit margin for Q2 2025 was 29.2% of sales, an increase from 28.1% in Q2 2024 [2][3] - Operating income in Q2 2025 was $3.2 million, compared to $2.3 million in the same period of the prior year [2] - Net income for Q2 2025 was $1.2 million, up from $600,000 in Q2 2024 [3] - Selling and administrative expenses decreased by $600,000 or 3.4% year over year [5] Business Line Data and Key Metrics Changes - Soft surface sales remained relatively flat year over year, while the industry experienced a decline of approximately 7% [4] - The DuraSilk collection in soft surface products continued to gain market share, contributing to strong sales in decorative products [4][12] - The hard surface business, particularly the high-end Fabrica wood program, saw growth of nearly 10% in Q2 [11] Market Data and Key Metrics Changes - The flooring industry faced weak market conditions due to high interest rates and low consumer confidence, impacting sales negatively [4][10] - Existing home sales declined to approximately 4 million units, contributing to the challenging environment [10] Company Strategy and Development Direction - The company has implemented a cost reduction plan aimed at saving $12.6 million for the year, with approximately half achieved in the first six months [3][28] - Investments have been made in growth initiatives, particularly in hard surfaces and decorative offerings, to enhance market share [11][12] - The company is focused on maintaining selling and marketing expenses to support new product introductions [5] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the ongoing challenges in the flooring business but expressed optimism about future market improvements as consumer confidence and mortgage rates are expected to eventually rise [15] - The company believes it is well-positioned to take advantage of market dynamics when conditions improve, citing historical trends following economic downturns [15][16] Other Important Information - The net inventory balance at the end of Q2 2025 was $67.4 million, down from $76.1 million in the same period of the previous year [7] - The company plans to maintain capital expenditures at approximately $800,000 for 2025 [9] Q&A Session Summary Question: Impact of interest rate drops on sales - Management indicated that while a reduction in mortgage interest rates would positively impact sales, a definitive percentage increase could not be provided [18] Question: Lag time for sales increase after interest rate drops - Management acknowledged a lag time, noting that consumer confidence would also play a significant role in the speed of recovery [19] Question: Impact of tariffs on gross margin - Management confirmed that approximately 85% of sales are not impacted by tariffs, and price increases implemented have covered the costs associated with tariffs [22][23] Question: Cost of goods sold and raw material inputs - Management reported no inflation in raw materials yet, with some reductions helping to improve gross margins [25] Question: Incremental savings from cost savings program - Management anticipates achieving the planned $12.6 million in savings, with approximately half already realized [28][29] Question: Performance of hard flooring business - Management noted that the high-end wood segment performed well, while the luxury vinyl tile products faced more challenges due to competition [30][31]

Commenting on the results, Daniel K. Frierson, Chairman and Chief Executive Officer, said, "The Company had a net income of $1.2 million in the second quarter. Despite lower year over year sales volume, we were able to produce stronger operating margins at 29.2% of net sales compared to 28.1% in the same quarter of the prior year. We also reduced our year over year selling and administrative expenses. These favorable results in 2025 are primarily the result of our cost reduction plan which is currently esti ...

Core Viewpoint - Dixie Gold Inc. has commenced a summer 2025 drill program at the Preston Uranium Project JV, with a budget of approximately C$3,500,000, targeting multiple high-priority uranium sites [1][5][3] Group 1: Project Update - The drill program at the Preston Uranium Project JV is being managed by Orano Canada Inc. and is expected to cover 6,000m to 7,000m [1] - Dixie Gold holds a 21% interest in the Preston Uranium Project JV, which is anticipated to decline after the drill program [3] - The project area spans approximately 49,635 hectares, adjacent to NexGen Energy Ltd.'s Rook-1 project [1] Group 2: Financial Considerations - The planned all-in budget for the drill program is approximately C$3,500,000 [1] - The company aims to manage project-level dilution rather than company-level equity dilution to maintain shareholder value [3][9] - Future funding requirements are expected to exceed the company's current working capital, necessitating a reassessment of its interests in the Preston Uranium Project JV [5][9] Group 3: Exploration Strategy - Dixie Gold is focused on maintaining a portfolio of exploration interests that provide opportunities for shareholders [7] - The company is monitoring other regional activities, including results from Ramp Metals Inc. and Kinross Gold Corporation, which may influence future project decisions [10][14] - The management emphasizes a balanced approach to exploration and equity dilution, considering the high-risk nature of early-stage mineral exploration [20]

Summary of Key Points Core Viewpoint - Ryan Kalt has increased his stake in Dixie Gold Inc. by acquiring an additional 806,000 common shares, representing 2.54% of the company's total shares, through open market transactions [2][3]. Company Ownership - Following the recent acquisition, Ryan Kalt now owns a total of 12,489,875 common shares of Dixie Gold, which constitutes approximately 39.35% of the company's currently issued and outstanding common shares [3]. Future Intentions - Mr. Kalt and/or his corporate entities may consider acquiring more securities of Dixie Gold or selling existing securities based on market conditions and other relevant factors, although no specific plans have been disclosed [5].

Exhibit 99.1 May 2025 Investor Presentation Contact: Allen Danzey CFO The Dixie Group Phone: 706-876-5865 allen.danzey@dixiegroup.com Forward Looking Statements The Dixie Group, Inc. 2 • Statements in this presentation which relate to the future, are subject to risk factors and uncertainties that could cause actual results to differ materially from those indicated in such forward-looking statements. Such factors include the levels of demand for the products produced by the Company. Other factors that could ...

Financial Data and Key Metrics Changes - For Q1 2025, the company reported net sales of $62.99 million, a decrease of 3.5% from $65.25 million in Q1 2024 [2][3] - The operating income for Q1 2025 was $11,000, a significant improvement from an operating loss of $857,000 in Q1 2024 [2][5] - The net loss from continuing operations was $1.58 million or $0.11 per diluted share, compared to a net loss of $2.41 million or $0.16 per diluted share in the same quarter of 2024 [3] Business Line Data and Key Metrics Changes - Sales of soft floor covering products outperformed hard surface products, with continued market share gains in the soft surface category [3] - Premium products consistently performed better than the market across all categories, contributing to improved gross margins [4][11] Market Data and Key Metrics Changes - The industry is facing weak market conditions due to low existing home sales and lower consumer confidence [3][10] - The residential remodeling market continues to experience a multiyear slump, with uncertainty regarding when market dynamics will change [12] Company Strategy and Development Direction - The company is focused on creating differentiated styles for the residential market, emphasizing color, pattern, and texture [11] - Efforts are being made to simplify product lines and enhance consumer-friendly messaging, particularly in the TrueCore brand [12] - The company aims to manage expenses and capital expenditures while improving gross margins in anticipation of a future market upturn [13][14] Management's Comments on Operating Environment and Future Outlook - Management noted that low consumer confidence was exacerbated by uncertainty around tariff increases, impacting product costs [10] - The company is optimistic about its position for future growth when interest rates decline and the housing market rebounds [14] Other Important Information - The company closed a new $75 million senior credit facility, which will support operations and improve financial flexibility [8][9] - Inventory management has been a focus, with a planned reduction leading to a decrease in net inventory from $75 million in Q1 2024 to $66.7 million in Q1 2025 [6] Q&A Session Summary Question: Is the stock buyback program still in effect? - The stock buyback program is no longer in effect, having ceased during the latter part of the previous year [16] Question: Are there signs of consolidation in the industry? - There has not been much consolidation among manufacturers, although some smaller retailers have gone out of business [17] Question: Have buying habits changed between big box stores and boutique retailers? - Premium products are performing better overall, with the Fabrica brand seeing exceptional success in the soft covering market [18]

Financial Data and Key Metrics Changes - For Q1 2025, the company reported net sales of $62.99 million, a decrease of 3.5% from $65.25 million in Q1 2024 [2][3] - The operating income improved to $11,000 in Q1 2025 from an operating loss of $857,000 in Q1 2024 [2][5] - The net loss from continuing operations was $1.58 million or $0.11 per diluted share, compared to a net loss of $2.41 million or $0.16 per diluted share in the same quarter of 2024 [3] Business Line Data and Key Metrics Changes - Sales of soft floor covering products outperformed hard surface products, with continued market share gains in the soft surface category [3] - Gross margins improved to $16.90 million or 26.8% of net sales, compared to $15.80 million or 24.2% of net sales in the prior year [4] Market Data and Key Metrics Changes - The industry is experiencing weak market conditions due to low existing home sales and lower consumer confidence [3] - The residential remodeling market continues to face a multiyear slump, with uncertainty regarding when market dynamics will change [11] Company Strategy and Development Direction - The company is focused on creating differentiated styles for the residential market, emphasizing color, pattern, and texture [10] - Efforts are being made to minimize expenses, reduce overhead costs, and improve gross margins [12] - The company has closed on a new $75 million senior credit facility to support operations and manage costs effectively [7][12] Management's Comments on Operating Environment and Future Outlook - Management noted that low consumer confidence was impacted by uncertainty around tariff increases, with some industry players announcing price increases to mitigate these impacts [9] - The company believes that actions taken during the current difficult environment will position it well for an eventual market upturn [13] Other Important Information - The company has seen improvements in operations, including productivity, quality, and raw material utilization [11] - The first quarter trade show showcased 25 new styles of carpet and eight hard surface collections, which were well received [10] Q&A Session Summary Question: Is the stock buyback program still in effect? - The stock buyback program is no longer in effect as it was ceased during the latter part of the previous year [16] Question: Are there signs of consolidation in the industry? - There has not been much consolidation at the manufacturing level, although some smaller retailers have gone out of business [17] Question: Have buying habits changed between big box stores and boutique retailers? - Premium products are performing better than the market overall, with the Fabrica brand doing exceptionally well [18]

Financial Data and Key Metrics Changes - In Q4 2024, net sales were approximately $64.4 million, down from $66.7 million in Q4 2023 [2] - The net loss for Q4 2024 was $7.2 million compared to a net loss of $3.2 million in Q4 2023, which included an $8.2 million gain on the sale of assets [3] - For the fiscal year 2024, net sales were $265 million, down 4.1% from $276 million in 2023 [4] - The net loss from continuing operations for 2024 was $12.2 million or $0.83 per diluted share, compared to a net loss of $1.95 million or $0.13 per diluted share in 2023 [3] - Gross profit margin in 2024 was 24.7% of net sales, down from 26.7% in the prior year [5] Business Line Data and Key Metrics Changes - Selling and administrative expenses in 2024 were reduced by $4.3 million or 5.8% of net sales due to planned cost-cutting initiatives [5] - Facility consolidation expenses were $2.5 million lower than the prior year, including additional write-downs of idled assets [6] - The company reduced costs by over $35 million in 2023 and further reduced costs by over $10 million in 2024 [11] Market Data and Key Metrics Changes - Existing home sales have declined dramatically from over 6 million homes per year to under 4 million, impacting the industry significantly [9] - The actual square yards of carpet chips have decreased by 25% over the last three years [10] Company Strategy and Development Direction - The company has focused on cost reduction and restructuring to align capacity with current volume, reducing the number of associates by approximately 28% over the last three years [11] - Investment in extrusion equipment aims to provide lower-cost raw materials and ensure a consistent supply [12] - The company is expanding its product offerings, including hard surface products under the TrueCore brand and enhancing its high-end wood program [13][14] Management Comments on Operating Environment and Future Outlook - The management noted that the industry has been in a recession for several years, with existing home sales at the lowest point since 1995 [9] - The company anticipates further cost reductions exceeding $10 million in 2025 and continues to manage working capital effectively [11][17] - The impact of tariffs on imported products is uncertain, but the company is prepared to take appropriate actions as needed [16] Other Important Information - The company closed a new $75 million senior credit facility, enhancing its financial position [8] - The company has maintained low capital expenditures except for investments in extrusion equipment [11] Q&A Session Summary Question: What percent of hard surfaces is imported from China? - Very little is imported from China, with imports coming from Thailand, Cambodia, Vietnam, and some from Europe [19] Question: How quickly can the company pass along price increases due to tariffs? - It is unclear, but it is likely that price increases will be passed on quickly as tariffs become impactful [22] Question: What was the amount of the Q4 inventory write-down? - The overall reduction in inventory was $9.8 million, with additional reserves made for excess inventory [25][26] Question: How soon will the company achieve the $10 million cost reduction? - The company is very close to that level today, with most of the reductions planned months ago [27] Question: Is there potential benefit from tariffs for the soft side of the business? - It depends on where the tariffs end up, but imports are not a major factor for the domestic tufted carpet business [34] Question: Is the full amount of $12.2 million available to borrow under the new credit facility? - Yes, the $12.2 million includes the $6 million excess availability [35]

Financial Performance - In Q4 2024, net sales were $64.39 million, a decrease of 3.8% from $66.67 million in Q4 2023[2] - The net loss for Q4 2024 was $7.20 million, compared to a net income of $3.16 million in Q4 2023, which included an $8.20 million gain on asset sale[2] - For the fiscal year 2024, net sales totaled $265.03 million, down 4.1% from $276.34 million in 2023[2] - The gross margin for fiscal year 2024 was 24.7%, down from 26.7% in 2023, primarily due to under absorbed fixed costs and higher utility and medical expenses[10] Cost Management - The company achieved a cost reduction plan exceeding $10 million in 2025, alongside a planned reduction in inventory[7] - Selling and administrative expenses decreased by $4.3 million or 5.8% in 2024 compared to 2023[10] Capital Expenditures and Financing - Capital expenditures in 2024 were $2.1 million, an increase from $1.0 million in 2023[11] - The company closed a new $75 million senior credit facility in February 2025, replacing the previous facility[9] Inventory Management - Net inventories decreased by $9.4 million or 12.3% from the fiscal year end 2023 due to planned reductions and write downs[11] Product Development - The company experienced growth in higher-end product offerings, particularly in decorative programs and nylon carpet[5]

Financial Performance - Net sales for the fiscal year ended December 28, 2024, were $265.0 million, a decrease of 4.1% compared to $276.3 million in 2023[106][108] - Gross profit decreased by 11.3% to $65.5 million, with gross profit as a percentage of net sales dropping from 26.7% in 2023 to 24.7% in 2024[106][109] - Operating loss for 2024 was $5.9 million, a significant decline from an operating income of $5.0 million in 2023, primarily due to increased costs and lower sales volume[106][113] - The net loss for 2024 was $13.0 million, or $0.88 per diluted share, compared to a net loss of $2.7 million, or $0.18 per diluted share, in 2023[106][118] Cash Flow and Debt - Cash provided by continuing operations was $3.6 million, with a reduction in inventories generating $9.4 million[120] - The company had $50.0 million of outstanding indebtedness under its senior credit facility as of December 28, 2024, maturing on October 30, 2025[123] - On February 25, 2025, the company entered into a new three-year $75.0 million senior secured credit facility with MidCap Financial IV Trust[123] - The unused borrowing availability under the revolving credit facility was $9.9 million as of December 28, 2024[129] - The company entered into a $10.0 million principal amount USDA Guaranteed term loan with a minimum interest rate of 5.00% and a term of 25 years[130] - The company also secured a $15.0 million principal amount USDA Guaranteed term loan with a minimum interest rate of 5.00% and a term of 10 years[131] Expenses and Income - Selling and administrative expenses decreased to $69.9 million in 2024 from $74.1 million in 2023, representing 26.4% of net sales[106][110] - Other operating income was a net expense of $200 thousand in 2024, compared to income of $9.2 million in 2023 due to the sale and leaseback of the Adairsville distribution center[106][111] Compliance and Valuation - The company received notice from Nasdaq regarding non-compliance with the minimum bid price requirement, leading to delisting from Nasdaq effective October 3, 2024[105][122] - Valuation allowances increased by $3.8 million related to net deferred tax assets and specific federal and state net operating losses for the year ended December 28, 2024[136] - At December 28, 2024, the company had valuation allowances of $24.7 million compared to $21.0 million at December 30, 2023[146] Interest Rates and Liabilities - As of December 28, 2024, the applicable margin on the revolving credit facility was 2.50% for SOFR and 1.50% for Prime due to the fixed charge coverage ratio being below 1.10 to 1.00[127] - The weighted-average interest rate on borrowings outstanding under the revolving credit facility was 7.18% at December 28, 2024, compared to 8.15% for December 30, 2023[128] - Approximately 86% of the company's total debt, amounting to $71,960, was subject to floating interest rates as of December 28, 2024[148] - A one-hundred basis point fluctuation in the variable interest rates applicable to floating rate debt would have an annual pre-tax impact of approximately $720[148] Environmental Liabilities - The company has a reserve of $2.2 million for environmental liabilities associated with discontinued operations as of December 28, 2024[138]