FGI INDUSTRIES ANNOUNCES POSTPONEMENT OF Q4 AND 2025 RESULTS CONFERENCE CALL Accessibility StatementSkip NavigationEAST HANOVER, N.J., March 24, 2026 /PRNewswire/ -- FGI Industries Ltd. (Nasdaq: FGI) ("FGI" or the "Company"), a leading global supplier of kitchen and bath products, today announced that it has postponed the release of its financial results for the fourth quarter and year ended December 31, 2025, which was previously scheduled for Tuesday March 24, 2026. The Company is also postponing the earn ...

Group 1 - FGI Industries Ltd. will release its financial results for Q4 and full-year 2025 on March 24, 2026, after market close [1] - A conference call to discuss these results is scheduled for March 25, 2026, at 9:00 am Eastern Time [1] - The company has a strong reputation in the kitchen and bath products industry, focusing on product innovation, quality, and customer service for over 30 years [1] Group 2 - FGI's product categories include sanitaryware, bath furniture, shower systems, kitchen cabinetry, and accessories, primarily sold for repair and remodel activities [1] - The company distributes its products through various channels, including mass retail centers, wholesale distributors, online retailers, and specialty stores [1] - FGI Industries is publicly traded on Nasdaq under the ticker symbol FGI [1]

Core Viewpoint - The Zacks Retail-Home Furnishings industry is currently facing significant macroeconomic challenges, including high mortgage rates and subdued housing turnover, which are limiting demand for big-ticket home-related purchases [1][4]. Industry Overview - The Zacks Retail-Home Furnishings industry includes retailers that offer a variety of home furnishing products, such as furniture, garden accessories, and bedding products [3]. - Companies in this sector are involved in manufacturing, marketing, and distributing home and security products for residential applications [3]. Current Trends - **Macroeconomic Challenges**: The industry is grappling with a weak housing market and high interest rates, which are suppressing consumer spending on large home furnishings [4]. - **Inflation and Tariffs**: Tariff volatility and inflationary pressures are complicating the landscape, with incremental tariff rates doubling since Q1 2025, creating cost headwinds [5]. - **Intense Competition**: The industry faces fierce competition from online giants and specialty retailers, leading to increased reliance on discounting and promotional campaigns [6]. Digital Transformation - The industry is showing signs of stabilization through digital transformation, with companies investing in technology-driven initiatives like augmented reality shopping tools and AI-powered personalization [2][7]. - Online furniture shopping is accelerating, with major platforms enhancing customer experiences through innovative solutions [7]. Product Innovation and Marketing - Product innovation is crucial for market share gain, with companies focusing on exclusive collaborations and enhanced customer experiences through digital marketing and store remodeling [10]. - Companies are also exploring omnichannel strategies, blending online and physical retail formats to improve brand visibility [10]. Industry Performance - The Zacks Retail-Home Furnishings industry currently ranks 150, placing it in the bottom 38% of over 250 Zacks industries, indicating dull near-term prospects [11][12]. - Over the past year, the industry has underperformed, losing 7.3% compared to the broader sector's growth of 3.1% and the S&P 500's gain of 20.4% [15]. Valuation Metrics - The industry is trading at a forward 12-month price-to-earnings ratio of 23.05, compared to the S&P 500's 22.58 and the sector's 24.49 [18]. - Historical trading ranges for the industry have been between 14.19X and 25.1X over the past five years, with a median of 20.17X [18]. Notable Companies - **Williams-Sonoma**: This company is benefiting from strong multi-brand momentum and strategic initiatives, with an upward earnings estimate revision for fiscal 2026 to $9.10 per share [22][23]. - **FGI Industries**: The company is focusing on brand strengthening and product innovation, with a 41.2% stock gain over the past year and a projected 56% improvement in earnings for 2026 [26][27].

Core Viewpoint - FGI Industries Ltd. has significantly outperformed its peers in the Retail-Wholesale sector, with a year-to-date return of approximately 80.4%, compared to the sector average of 7.2% [4]. Company Performance - FGI Industries Ltd. is currently ranked 1 (Strong Buy) in the Zacks Rank system, indicating a strong potential for outperformance in the market [3]. - Over the past three months, the Zacks Consensus Estimate for FGI's full-year earnings has increased by 37.5%, reflecting improved analyst sentiment and earnings outlook [4]. Industry Context - FGI Industries Ltd. is part of the Retail - Home Furnishings industry, which consists of 10 individual stocks and currently holds a Zacks Industry Rank of 168. This industry has experienced an average loss of 16.2% year-to-date, highlighting FGI's superior performance [6]. - In contrast, the Internet - Commerce industry, which includes another outperforming stock, Expedia, has seen a year-to-date increase of 9.7% and ranks 81 in the Zacks Industry Rank [7].

Core Insights - Momentum investors focus on "buying high and selling higher" rather than traditional strategies of buying low and waiting for recovery [1] - Investing in fast-moving stocks can be risky if valuations exceed future growth potential, leading to potential losses [2] Group 1: Momentum Investing Strategy - The Zacks Momentum Style Score is effective in identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced stocks [3] - FGI Industries Ltd. (FGI) has shown a significant price increase of 61.8% over the past four weeks, indicating strong investor interest [4] Group 2: FGI Industries Performance - FGI has gained 1.5% over the past 12 weeks, with a beta of 1.41, suggesting it moves 41% more than the market [5] - FGI's Momentum Score of B indicates a favorable entry point for investors looking to capitalize on its momentum [6] Group 3: Earnings Estimates and Valuation - FGI has a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which attract more investors [7] - The stock is trading at a low Price-to-Sales ratio of 0.12, meaning investors pay only 12 cents for each dollar of sales, indicating a reasonable valuation [7] Group 4: Additional Opportunities - Besides FGI, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - Zacks offers over 45 Premium Screens tailored to different investing styles, aiding in stock selection [9]

Core Insights - Expedia (EXPE) has significantly outperformed its Retail-Wholesale peers in year-to-date performance, gaining approximately 40.2% compared to the sector average of 6.7% [4] - The Zacks Rank system indicates a strong buy for Expedia, with a current rank of 1, reflecting positive analyst sentiment and a 9.3% increase in the consensus earnings estimate for the full year [3] Company Performance - Expedia is one of 197 stocks in the Retail-Wholesale sector, which is currently ranked 8 in the Zacks Sector Rank [2] - The stock belongs to the Internet - Commerce industry, which includes 34 stocks and is ranked 96 in the Zacks Industry Rank, with an average gain of 9% this year [5] Comparative Analysis - Another outperforming stock in the Retail-Wholesale sector is FGI Industries Ltd. (FGI), which has returned 94.8% year-to-date, with a consensus EPS estimate increase of 37.5% over the past three months [4][5] - In contrast, the Retail - Home Furnishings industry, where FGI operates, has seen a decline of 16.8% since the beginning of the year, indicating a stark difference in performance compared to Expedia [6]

Core Insights - The Zacks Retail-Home Furnishings industry is showing cautious improvement despite ongoing macroeconomic pressures, including high mortgage rates and weak housing turnover, which are suppressing big-ticket spending [1][7] - The industry's tech-driven evolution indicates a favorable long-term outlook, with companies leveraging digital innovation and strong branding to outperform in the retail landscape [2][4] Industry Overview - The Zacks Retail-Home Furnishings industry includes retailers offering a variety of home furnishing products, such as furniture, garden accessories, and bedding products [3] - Companies in this sector are involved in manufacturing and distributing home and security products for residential applications [3] Trends Influencing the Industry - Online growth and digital services are reshaping the consumer journey, with major platforms investing in AI-driven personalization and immersive user experiences [4] - Customization is increasingly valued by Gen Z and millennials, leading to services like AI-driven design apps and virtual interior consulting [5] - Product innovation and strategic marketing are crucial for market share gains, with companies focusing on exclusive collaborations and enhanced customer experiences [6] Macroeconomic Challenges - The industry faces significant challenges from a weak housing market and high interest rates, which negatively impact consumer spending on big-ticket items [7] - Inflationary pressures and tariff volatility are complicating the landscape, with incremental tariff rates doubling since Q1 2025, creating cost headwinds [7][8] Industry Performance - The Zacks Retail-Home Furnishings industry has underperformed compared to the broader Zacks Retail-Wholesale sector and the S&P 500 over the past year, with a loss of 21.3% compared to the sector's growth of 27.2% [11] - The industry's current forward P/E ratio is 21.23, lower than the S&P 500's 23.59 and the sector's 24.94, indicating potential valuation opportunities [14] Notable Companies - **FGI Industries**: Focuses on bath and kitchen products, benefiting from a resilient repair-and-remodel market, with a 7% rise in sanitaryware demand despite tariff pressures [18] - **Somnigroup**: Gaining market share through strong execution and product innovation, with double-digit sales growth in international operations [22][24] - **Haverty Furniture**: Growth driven by improved marketing and supply chain execution, with strategic price adjustments helping maintain margins [26][27] - **Williams-Sonoma**: Benefiting from strong multi-brand momentum and improved inventory availability, with strategic initiatives expanding its addressable market [30][31] - **Floor & Decor**: Focused on steady store expansion and strengthening its supply chain, with growth initiatives boosting customer engagement [32][35]

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point for fast-moving stocks, which can lead to limited upside or potential losses [2] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify such opportunities [3] Group 2: FGI Industries Ltd. (FGI) Analysis - FGI Industries Ltd. has shown a price increase of 8.4% over the past four weeks, indicating growing investor interest [4] - The stock has gained 28.7% over the past 12 weeks, with a beta of 1.44, suggesting it moves 44% more than the market [5] - FGI has a Momentum Score of B, indicating a favorable time to invest based on momentum [6] - The stock has a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which attract more investors [7] - FGI is trading at a low Price-to-Sales ratio of 0.08, meaning investors pay only 8 cents for each dollar of sales, indicating a reasonable valuation [7] Group 3: Additional Investment Opportunities - Besides FGI, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies tailored to help investors find winning stock picks [9]

Core Insights - FGI Industries Ltd. reported quarterly earnings of $0.13 per share, significantly beating the Zacks Consensus Estimate of a loss of $0.43 per share, representing an earnings surprise of +130.23% [1] - The company posted revenues of $35.85 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.42%, although this is a slight decline from year-ago revenues of $36.1 million [2] - FGI Industries shares have increased approximately 29.6% year-to-date, outperforming the S&P 500's gain of 14.6% [3] Earnings Outlook - The future performance of FGI Industries' stock will largely depend on management's commentary during the earnings call and the company's earnings outlook [4] - The current consensus EPS estimate for the upcoming quarter is -$0.74 on revenues of $35.2 million, and for the current fiscal year, it is -$2.14 on revenues of $135.1 million [7] Industry Context - The Retail - Home Furnishings industry, to which FGI Industries belongs, is currently ranked in the top 37% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Another company in the same industry, Lovesac, is expected to report a quarterly loss of $0.70 per share, reflecting a year-over-year change of -118.8%, with revenues projected at $153.81 million, up 2.6% from the previous year [9]

Revenue Performance - Revenue for the three months ended September 30, 2025, was $35.8 million, a decrease of 0.7% compared to $36.1 million in the same period of 2024[148]. - For the nine months ended September 30, 2025, revenue increased by $3.8 million, or 4.0%, to $100.1 million from $96.2 million for the same period last year[150]. - Sanitaryware sales accounted for 64.0% of total revenue for the three months ended September 30, 2025, with a 7.0% increase to $22.9 million compared to $21.5 million in 2024[151]. - Revenue from shower systems decreased by 17.8% to $5.9 million for the three months ended September 30, 2025, compared to $7.1 million for the same period in 2024[153]. - Other revenue increased by 48.1% to $10.1 million for the nine months ended September 30, 2025, from $6.8 million for the same period in 2024[154]. - Total revenue for the three months ended September 30, 2025, was $35.8 million, a decrease of 0.7% compared to $36.1 million for the same period in 2024[155]. - Revenue for the nine months ended September 30, 2025, was $100.1 million, compared to $96.2 million in the prior-year period, indicating a growth of approximately 4%[192]. Profitability and Loss - The company reported a net loss of $1.9 million for the three months ended September 30, 2025, compared to a net loss of $698,248 in the same period of 2024, representing a 179.0% increase in loss[148]. - Gross profit was $9.5 million for the three months ended September 30, 2025, a decrease of 2.0% compared to the same period in 2024[158]. - Net loss was $1.9 million for the three months ended September 30, 2025, compared to a net loss of $0.7 million for the same period in 2024[165]. - The company reported a net loss of $4.1 million for the nine months ended September 30, 2025, compared to a net loss of $1.3 million in the prior-year period[192]. - Adjusted Operating Margins for the nine months ended September 30, 2025, were -1.7%, an improvement from -0.5% in the prior-year period[192]. - Adjusted Net Income (Loss) for the nine months ended September 30, 2025, was $(1.99) million, compared to $(0.28) million in the prior-year period[192]. Expenses and Cost Management - Research and development expenses decreased by 37.2% to $283,867 for the three months ended September 30, 2025, compared to $451,975 in 2024[148]. - The Company implemented cost control initiatives targeting to lower recurring operating expenses[176]. - The company expects to improve its liquidity and reduce its cost structure through various actions taken[169]. - Net cash used in operating activities was $1.7 million for the nine months ended September 30, 2025, an improvement from $8.0 million in the prior-year period, primarily due to a $3.3 million increase in accounts payable[181]. - Net cash used in investing activities totaled $0.9 million for the nine months ended September 30, 2025, compared to $2.0 million in the prior-year period, reflecting reduced spending on property, equipment, and intangible assets[182]. - Capital expenditures amounted to $0.9 million for the nine months ended September 30, 2025, down from $2.0 million in the prior-year period, with no significant capital expenditures expected in the immediate future[184]. Liquidity and Financial Position - Total liquidity as of September 30, 2025, was $14.2 million, providing sufficient financial flexibility to support organic growth strategies[144]. - The Company had approximately $1.9 million in cash and cash equivalents as of September 30, 2025, with $14.1 million outstanding under its credit facilities[166]. - FGI Industries was not in compliance with certain financial covenants related to its debt coverage ratio as of September 30, 2025[167]. - Borrowings under the CTBC Credit Line amounted to $2.6 million as of September 30, 2025, up from $2.3 million as of December 31, 2024[178]. - The company had cash of $1.9 million at the end of the period, down from $3.0 million at the end of the prior-year period[180]. New Products and Innovations - The company entered into a 5-year licensing agreement for an industry-leading overflow toilet technology, marketed as FLUSH GUARD Overflow Technology[144]. - New product lines, including anti-overflow toilets and custom kitchen cabinetry, have begun generating increased revenue[176].