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Caesarstone(CSTE) - 2024 Q2 - Quarterly Report
CSTECaesarstone(CSTE)2024-08-07 11:53
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Revenue Performance - Revenue for Q1 2024 was 118.3million,down21.0118.3 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,adecreaseof21.5118,292, 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,downfrom60,999, 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,downfrom28,987, down from 29,602, reflecting a slight decline in profitability[26]. - Adjusted EBITDA for the three months ended March 31, 2024, was 635,downfrom635, down from 717 in 2023, indicating a decrease of 11.4%[28]. Expenses and Losses - Operating expenses were 34.6million,or29.234.6 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 5.9millionintheprioryearquarter,mainlyduetohighergrossmargin[7].−Thenetlossattributabletocontrollinginterestincreasedto5.9 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 3,778intheprioryear,representinga34.63,778 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 0.11inQ12023[30].CashFlowandFinancialPosition−Thecompanygeneratedpositivecashflowfromoperationsof0.11 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 7.9millioninQ12023[10].−Cashflowsfromoperatingactivitiesprovided7.9 million in Q1 2023[10]. - Cash flows from operating activities provided 8,743, an increase from 7,937inthesameperiodlastyear[25].−AsofMarch31,2024,thecompany′snetcashpositionwas7,937 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 83.5millionasofDecember31,2023[10].−Cashandcashequivalentsattheendoftheperiodincreasedto83.5 million as of December 31, 2023[10]. - Cash and cash equivalents at the end of the period increased to 96,152, compared to 45,987attheendofQ12023[25].FutureOutlook−ThecompanyreaffirmsitsexpectationtodeliverpositiveadjustedEBITDAforthefullyear2024andpositiveoperatingcashflow[11].−Thecompanyanticipatesrestructuring−relatedcostsavingsofapproximately45,987 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 30.0millionthereaftercomparedto2023[11].ResearchandDevelopment−Researchanddevelopmentexpensesincreasedto30.0 million thereafter compared to 2023[11]. Research and Development - Research and development expenses increased to 1,212, up from 1,046,reflectinga15.91,046, 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].