Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Robert F. Abbott has been investing his family's accounts since 1995, and in 2010 added options, main ...

Core Insights - Qualcomm's CEO Cristiano Amon emphasizes that artificial intelligence (AI) represents a significant generational change in technology, fundamentally altering human interaction with devices [1][2] - Amon predicts that AI will enable seamless task execution across multiple applications, moving away from the current model of navigating between different apps [2][3] - The integration of AI will extend beyond smartphones to various devices, including automobiles and augmented reality (AR) glasses, creating new computing spaces [4][5][6] AI Interaction and User Experience - Amon highlights that AI's ability to understand human language will transform user interactions, allowing for more intuitive and context-aware assistance [2][3] - The concept of an AI agent will serve as a constant assistant, capable of organizing tasks and providing recommendations without requiring users to switch between apps [3][4] Emerging Technologies - AR glasses are described as "wearable AI," with the potential to provide real-time assistance based on the user's environment [5] - Amon identifies cars as a new computing space where AI can facilitate natural interactions through voice and visual cues [6] On-Device AI Processing - Amon discusses the advantages of "AI at the edge," which includes faster processing, enhanced privacy, and reduced costs compared to cloud-based solutions [7][8] - Qualcomm aims to enable on-device AI experiences through its chips, continuing its legacy of technological innovation [8][9]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _______________ Form 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 29, 2024 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No.: 001-33994 INTERFACE INC (Exact name of registrant as specified in its charter) | Georgia | | 58-1451243 | | | --- | --- | --- | --- | | (State of incorporation) | | (I.R.S ...

Financial Data and Key Metrics Changes - In 2024, the company achieved a 4% increase in currency-neutral net sales and nearly doubled GAAP earnings per diluted share [7][17] - Fourth quarter net sales totaled $335 million, an increase of 3% compared to the same quarter in 2023 [31] - Full year 2024 net sales reached $1.32 billion, a 4.3% increase from 2023 [36] - Adjusted gross profit margin for 2024 was 37.1%, an increase of 173 basis points from the prior year [37] - Fourth quarter adjusted EPS was $0.34, down from $0.41 in the fourth quarter of 2023 [35] Business Line Data and Key Metrics Changes - Global billings in the Americas increased by 9% year-over-year, while EAAA saw a 2% decline [18] - Global Education billings were up 10% for the year, driven by strength in the Americas [19] - Health care segment saw a 2% decline in global billings for 2024, but a 12% increase in the fourth quarter [23] - Corporate office segment experienced a 1% decline in global billings for the year, which was favorable compared to the overall industry [24] - Retail billings were up in 2024 compared to a weak 2023, benefiting from previously deferred projects [25] Market Data and Key Metrics Changes - Currency-neutral orders in the Americas increased by 9% year-over-year in the fourth quarter [26] - EAAA's fourth quarter currency-neutral orders were down 1% year-over-year [27] - The backlog at the end of 2024 was up 15% year-over-year, indicating strong positioning for 2025 [27] Company Strategy and Development Direction - The company is focused on its One Interface strategy, which aims to enhance global functions, improve productivity, and expand margins [8][28] - Investments in automation and robotics at manufacturing plants are expected to drive operational efficiencies and improve margins [11][12] - The company aims to be carbon negative by 2040 without relying on carbon offsets, enhancing its sustainability strategy [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategy and its ability to outperform the industry in 2025 [28][29] - The company is closely monitoring global geopolitical and macroeconomic environments, particularly in Europe and Australia, which are currently softer [29] - Management anticipates a lighter Q1 in 2025, followed by stronger Q2 and Q3, with a focus on maintaining a disciplined capital allocation strategy [41] Other Important Information - The company generated $148.4 million in cash from operating activities in 2024, with strong liquidity of $398.5 million at year-end [39] - Capital expenditures for 2024 were $33.8 million, with a projection of $45 million for 2025 [40][62] Q&A Session Summary Question: Impact of One Interface selling strategy on 2025 - Management is optimistic about the continued benefits of the One Interface strategy, expecting it to contribute positively to 2025 results [48][51] Question: Outlook for the office segment in 2025 - Management noted a rise in return-to-office mandates and demand for premium Class A spaces, indicating a positive outlook for the office segment in 2025 [54][56] Question: Capital allocation priorities with reduced debt - The company plans to continue investing in manufacturing efficiency and growth, leveraging its strong balance sheet [57][58] Question: CapEx breakdown for 2025 - Of the projected $45 million in CapEx for 2025, approximately $10 million is for investment CapEx and $35 million for maintenance CapEx [93] Question: Exposure to government business - The company's government business is a small portion of total revenue, around 4%, and includes various government buildings [95] Question: Retail performance in 2024 - Retail was up in the second half of 2024, primarily due to previously deferred projects from 2023 [98] Question: Tariff exposure and sourcing of raw materials - The company has limited exposure to tariffs, sourcing carpet locally in the US and Europe, LVT from South Korea, and rubber products from Germany [100][108]

Investor Presentation | February 2025 Forward Looking Statements and Non-GAAP Measures This presentation contains forward-looking statements, including, in particular, statements about Interface's plans, strategies and prospects. These are based on the Company's current assumptions, expectations and projections about future events. Although Interface believes that the expectations reflected in these forward-looking statements are reasonable, the Company can give no assurance that these expectations will pro ...

Financial Performance - Net sales for Q4 2024 totaled $335 million, representing a 3.0% year-over-year increase, while full year net sales reached $1,316 million, up 4.3% year-over-year[6]. - GAAP earnings per diluted share for Q4 2024 were $0.37, a 12.1% increase from $0.33 in Q4 2023, and for the full year, it was $1.48, up 94.7% from $0.76[6]. - Net income for the twelve months ended December 29, 2024, was $86,946,000, a significant increase of 95% from $44,517,000 in the prior year[30]. - Earnings per share (EPS) for the twelve months ended December 29, 2024, were $1.49 (basic) and $1.48 (diluted), compared to $0.77 (basic) and $0.76 (diluted) in 2023[26]. - In Q4 2024, the company reported a GAAP net income of $21.8 million, or $0.37 per diluted share, compared to $19.6 million, or $0.33 per diluted share in Q4 2023, representing a 11.2% increase in EPS[35]. - For the fiscal year 2024, the company achieved a GAAP net income of $86.9 million, or $1.48 per diluted share, up from $44.5 million, or $0.76 per diluted share in fiscal year 2023, indicating a 94.7% increase in EPS[37]. Cash Flow and Debt Management - The company generated $38 million in cash from operations in Q4 2024 and $148 million for the full year, while repaying $115 million of debt, reducing net leverage to 1.1 times fiscal year 2024 Adjusted EBITDA[5][8]. - Cash on hand decreased by 10.2% year-over-year to $99.2 million, while total debt was reduced by 27.4% to $302.8 million[8]. - Long-term debt decreased significantly to $302,275,000 from $408,641,000 year-over-year[28]. - Interest Expense for Q4 2024 was $4.9 million, a decrease from $6.8 million in Q4 2023, indicating a reduction of 28.0%[45]. Sales and Market Segments - The Americas segment saw net sales increase by 9.3% in Q4 2024 and 8.7% for the full year, indicating strong performance in this region[9]. - The Americas region accounted for 61% of total net sales for the twelve months ended December 29, 2024[32]. - The corporate/office vertical represented 47% of gross billings for the twelve months ended December 29, 2024[33]. - The company expects Q1 2025 net sales to be between $290 million and $300 million, with an anticipated adjusted gross profit margin of 37.5%[11][12]. - For the full fiscal year 2025, net sales are projected to be between $1.315 billion and $1.365 billion, with adjusted gross profit margin expected to be between 37.2% and 37.4%[13]. Profitability and Margins - Adjusted gross profit margin for the full year 2024 improved by 174 basis points year-over-year to 36.7%, driven by higher volumes and favorable mix[5][6]. - Gross profit for the twelve months ended December 29, 2024, was $482,948,000, representing a 9.5% increase compared to $441,069,000 for the previous year[26]. - The company's gross profit for fiscal year 2024 was $482.9 million, up from $441.0 million in fiscal year 2023, indicating a growth of 9.5%[41]. - Adjusted operating income for fiscal year 2024 was $141.4 million, compared to $116.4 million in fiscal year 2023, representing a 21.5% increase[37]. - Adjusted Earnings before Interest, Taxes, Depreciation, and Amortization (AEBITDA) for fiscal year 2024 was $189.0 million, compared to $162.0 million in fiscal year 2023, indicating a growth of 16.7%[45]. Operational Costs and Expenses - Adjusted SG&A expenses for Q4 2024 increased by 8.8% year-over-year, attributed to higher sales commissions and incentive compensation[7]. - The company incurred $5.2 million in purchase accounting amortization for fiscal year 2024, consistent with the previous year[37]. - Restructuring and asset impairment costs for fiscal year 2024 were $2.5 million, down from $5.6 million in fiscal year 2023, reflecting a reduction of 55.4%[45]. - The company reported a tax expense of $5.6 million for Q4 2024, down from $7.4 million in Q4 2023, representing a decrease of 24.3%[45]. Foreign Exchange and Cyber Events - The company anticipates a negative impact of approximately 2% on year-over-year net sales growth in Q1 2025 due to foreign exchange translation effects[11]. - The impact of the cyber event in fiscal year 2024 resulted in a net loss effect of $4.2 million, compared to a net gain of $0.8 million in fiscal year 2023[37]. - The impact of cyber events resulted in a loss of $0.3 million for Q4 2024, contrasting with a gain of $0.1 million in Q4 2023[43]. - The company’s foreign subsidiary in Thailand was substantially liquidated in 2024, following similar actions in Russia and Brazil in 2023[38].

Core Insights - Interface, Inc. (NASDAQ: TILE) has shown strong double-digit revenue growth in its Americas segment, which has positively impacted overall revenue despite facing weak volumes in Australia [1] Group 1: Company Performance - The Americas segment of Interface, Inc. is driving significant revenue growth, indicating a robust performance in this region [1] - The company is experiencing challenges in the Australian market, where volumes are weak, contrasting with the strong performance in the Americas [1]

Core Insights - Interface, Inc. (TILE) has reached a new 52-week high of $27.34, reflecting strong market performance and consumer demand trends [1][3]. Group 1: Growth Drivers - The company is experiencing strong consumer demand across education, retail, and residential living segments, contributing to a 4.7% year-over-year increase in net sales to $980.6 million in the first nine months of 2024 [2][7]. - Strategic initiatives include launching embodied carbon metrics to help customers assess the carbon footprint of flooring projects, enhancing sustainability efforts [5]. - Expansion of carpet recycling capabilities in the Netherlands allows the company to process used carpets into new products, further reducing its carbon footprint [6]. Group 2: Financial Performance - TILE stock has gained 110.3% year to date, outperforming the Zacks Textile - Home Furnishing industry and the S&P 500 [3]. - The company's balance sheet shows $415 million in liquidity, with cash and cash equivalents increasing to $115.6 million from $110.5 million at the end of 2023, while long-term debt has decreased to $329.3 million from $408.6 million [10]. - The trailing 12-month return on equity (ROE) stands at 19.9%, significantly higher than the industry average of 0.04%, indicating efficient use of shareholder funds [12]. Group 3: Market Position and Valuation - Interface is currently trading at a premium compared to industry peers on a forward 12-month price-to-earnings (P/E) ratio basis, reflecting strong market potential [21]. - The company has outperformed competitors such as MillerKnoll, Armstrong World Industries, and ACCO Brands in the year-to-date period, with notable gains compared to declines in other firms [24]. - The Zacks Consensus Estimate for Interface's earnings per share (EPS) indicates growth of 37% and 13.1% for 2024 and 2025, respectively, suggesting positive future performance [13].

Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, November 6th:Twilio Inc. (TWLO) : This customer engagement platform solutions company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 3.5% over the last 60 days.Twilio has a PEG ratio of 0.59 compared with 44.37 for the industry. The company possesses a Growth Score  of A.Interface, Inc. (TILE) : This modular carpet products company carries ...

Company Overview - Interface (NASDAQ: TILE) is a global flooring company specializing in carpet tile and resilient flooring [1] - The company employs over 3,600 individuals worldwide and operates 6 manufacturing locations across 4 continents [1] Financial Performance - As of FY2023, specific financial metrics were not provided in the document, indicating a need for further research to assess the company's performance [1] Investment Philosophy - The investment philosophy focuses on fundamental bottom-up analysis and quantitative modeling to identify trading opportunities influenced by macroeconomic factors [1] - The analysis aims to capitalize on perception gaps, particularly in situations of over-pessimism and excessive exuberance [1]