FGI Industries .(FGI)2025-05-13 20:24Revenue Performance - Total revenue for Q1 2025 was $33.2 million, an increase of 8.0% year-over-year[3]. - Revenue for Q1 2025 was $33,212,548, an increase of 8.5% compared to $30,753,519 in Q1 2024[24]. - Bath Furniture revenue increased by 32.7% to $4.1 million, while Covered Bridge cabinetry revenue surged by 135.7% to $3.3 million[3][8]. - Sanitaryware revenue decreased to $20.2 million, down from $20.5 million in the prior year[7]. - The company provided fiscal 2025 guidance with total net revenue expected to be between $135 million and $145 million[16]. Profitability and Loss - Gross profit reached $8.9 million, up 5.8% compared to the prior year, with a gross margin of 26.8%, down 60 basis points[3][6]. - Gross profit for Q1 2025 was $8,900,258, up from $8,413,483 in Q1 2024, reflecting a gross margin improvement[24]. - The company reported an operating loss of $1.3 million and a net loss attributable to shareholders of $0.6 million for Q1 2025[6][10]. - Net loss attributable to FGI Industries Ltd. shareholders was $629,092 in Q1 2025, compared to $412,189 in Q1 2024, indicating a worsening loss situation[24]. - Adjusted Operating Loss for Q1 2025 was $1,260,953, compared to a loss of $199,445 in Q1 2024, highlighting increased operational challenges[27]. - The company reported a comprehensive loss of $729,125 in Q1 2025, compared to $560,437 in Q1 2024, indicating increased overall financial strain[24]. - Adjusted Net Loss for Q1 2025 was $1,072,383, compared to $197,476 in Q1 2024, showing a significant deterioration in profitability[27]. Operating Expenses - Operating expenses increased by 16.6% year-over-year to $10.2 million, driven by investments in growth initiatives[4]. - Operating expenses increased to $10,181,117 in Q1 2025 from $8,734,417 in Q1 2024, primarily due to higher selling and distribution costs[24]. Cash Flow and Liquidity - Total liquidity as of March 31, 2025, was $14.3 million, consisting of $1.2 million in cash and cash equivalents and $13.0 million available under credit facilities[12]. - Cash used in operating activities was $1,651,686 in Q1 2025, a significant decrease from $7,989,899 in Q1 2024, indicating improved cash flow management[25]. - Total cash at the end of Q1 2025 was $1,226,365, down from $3,319,066 at the end of Q1 2024, reflecting ongoing liquidity pressures[25]. Strategic Initiatives - FGI continues to invest in new product introductions and growth initiatives, particularly in its digital custom kitchen joint venture, Isla Porter[3][4]. - The company is navigating a challenging tariff environment while maintaining strong relationships with suppliers and customers[4]. Foreign Currency Impact - The company experienced a foreign currency translation adjustment gain of $86,432 in Q1 2025, contrasting with a loss of $22,578 in Q1 2024, reflecting currency fluctuations[24].