FGI Industries Ltd. (FGI) Q2 Earnings and Revenues Lag Estimates

Company Performance - FGI Industries Ltd. reported quarterly earnings of $0.01 per share, missing the Zacks Consensus Estimate of $0.03 per share, and down from $0.02 per share a year ago, representing an earnings surprise of -66.67% [1] - The company posted revenues of $29.37 million for the quarter ended June 2024, missing the Zacks Consensus Estimate by 6.16%, and slightly up from year-ago revenues of $29.19 million [2] - Over the last four quarters, FGI Industries has surpassed consensus EPS estimates two times and topped consensus revenue estimates just once [2] Stock Performance - FGI Industries shares have lost approximately 39.4% since the beginning of the year, contrasting with the S&P 500's gain of 9.9% [3] - The current Zacks Rank for FGI Industries is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $0.01 on revenues of $30.5 million, and for the current fiscal year, it is $0.04 on revenues of $123.6 million [7] - The estimate revisions trend for FGI Industries is mixed, and changes in earnings expectations may occur following the recent earnings report [6] Industry Context - The Retail - Home Furnishings industry, to which FGI Industries belongs, is currently in the bottom 15% of the Zacks industry rankings, which may negatively impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry outlook can significantly affect stock performance [5][8]