Financial Data and Key Metrics Changes - For Q4 2025, the company reported consolidated revenue of $147 million, a 1% increase year-over-year and a 6% sequential increase from Q3 2025 [10] - EBITDA for the quarter was $8.6 million, up from $7.3 million in the prior year, with an EBITDA margin improvement of 90 basis points to 5.9% [15] - Net income increased to $3.5 million, up from $2.1 million in the prior year, resulting in diluted EPS of $0.23, nearly doubling from $0.13 [15] Business Segment Data and Key Metrics Changes - The Branded Products segment, the largest, achieved revenue of $97 million, a 5% year-over-year increase, driven by the 3Point acquisition and modest organic growth [10][11] - Healthcare Apparel revenue was $29 million, down 5% year-over-year, reflecting macroeconomic uncertainties [11] - The Contact Centers segment generated $22 million in revenue, an 8% decline from the previous year due to customer losses [11] Market Data and Key Metrics Changes - The overall market conditions remain uncertain, impacting customer decision-making across all business lines [4] - Despite economic challenges, the company maintained solid pipelines across all segments, with expectations for growth in 2026 [12] Company Strategy and Development Direction - The overarching strategy is to emerge stronger from economic uncertainties by investing in growth while driving efficiencies [5] - The company plans to expand its sales force and leverage technology to enhance efficiency in the Branded Products segment [6] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding future growth, particularly in the Contact Centers segment, anticipating improvements in the latter half of 2026 [27] - The company expects full-year revenue for 2026 to be in the range of $572 million to $585 million, implying a growth of approximately 3% at the high end [17] Other Important Information - The company reduced SG&A expenses by about $1.4 million year-over-year, improving SG&A as a percentage of sales to 33.2% [14] - The company has a solid balance sheet with $24 million in cash and cash equivalents, and over $100 million in total liquidity [16] Q&A Session Summary Question: Update on Wink and Carhartt brands - Management noted positive growth in the Wink brand and the Carhartt license, particularly in the direct-to-consumer channel [21] Question: Contact Centers revenue stabilization and pipeline improvement - Management acknowledged ongoing macro-driven hesitancy but expressed cautious optimism about new customer growth and pipeline improvements [26] Question: Margin expansion expectations - Management expects margin improvements from gross margin expansion, lower interest expenses, and controlled SG&A costs [33] Question: Acquisition environment - Management indicated a robust acquisition environment but noted that many targets are either too small or not valuable [36] Question: CapEx expectations for 2026 - Management does not anticipate significant changes in CapEx, expecting to maintain current spending levels [39]

Financial Data and Key Metrics Changes - The company reported consolidated revenue of $147 million for Q4 2025, reflecting a 1% year-over-year increase and a 6% sequential increase from Q3 2025 [10] - EBITDA for Q4 2025 was $8.6 million, up from $7.3 million in the prior year, with an EBITDA margin improvement of 90 basis points to 5.9% [15] - Diluted EPS nearly doubled to $0.23 from $0.13 in the prior year period [15] Business Segment Data and Key Metrics Changes - The Branded Products segment, the largest, achieved a revenue growth of 5% year-over-year to $97 million, with a sequential increase of over $10 million [10][11] - Healthcare Apparel revenue decreased by 5% year-over-year to $29 million, impacted by macroeconomic uncertainties [11] - The Contact Centers segment saw an 8% decline in revenue to $22 million, primarily due to customer downsizing and losses [11] Market Data and Key Metrics Changes - Economic uncertainty continues to affect customer decision-making across all business lines, but the company managed to grow consolidated revenues [4] - The company anticipates growth in all three segments for 2026, assuming macro conditions normalize [12] Company Strategy and Development Direction - The overarching strategy is to emerge stronger from current economic uncertainties by investing in growth while driving efficiencies [5] - The company plans to expand its sales force and leverage technology to enhance efficiency in the Branded Products segment [6] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the Contact Centers segment, noting improvements in the customer pipeline and a stable existing customer base [27][72] - The company expects full-year revenue for 2026 to be in the range of $572 million to $585 million, implying a growth of approximately 3% at the high end [17] Other Important Information - The company reduced SG&A expenses by about $1.4 million year-over-year, resulting in SG&A as a percentage of sales improving to 33.2% [14] - The company ended the year with $24 million in cash and cash equivalents, up $5 million from the start of the year, and has over $100 million in total liquidity [16] Q&A Session Summary Question: Update on Wink and Carhartt brands - Management noted positive growth in the Wink and Carhartt brands, particularly in the direct-to-consumer channel, despite some softness in Q4 [21][23] Question: Contact Centers revenue stabilization and macro-driven hesitancy - Management acknowledged ongoing macro-driven hesitancy but expressed cautious optimism about new customer growth and pipeline improvements [25][27] Question: Revenue growth drivers in Branded Products - Revenue growth was attributed to a combination of expanded sales force efforts and strong underlying fundamentals, including holiday-related sales [29] Question: Margin expansion expectations - Management expects margin expansion from gross margin improvements, SG&A reductions, and lower interest expenses [33] Question: Acquisition environment - The acquisition environment remains robust, with ongoing interest in potential targets, although many are not deemed valuable [36][37] Question: CapEx expectations for 2026 - Management does not anticipate significant changes in CapEx, expecting to maintain a similar run rate as in previous years [40]

March 3, 2026 BRANDED PRODUCTS | HEALTHCARE APPAREL | CONTACT CENTERS | Safe Harbor Statement This presentation may contain forward-looking statements about Superior Group of Companies within the meaning of the Securities Act of 1933, the Securities Exchange Act of 1934, the Private Securities Litigation Reform Act of 1995 and all rules and regulations issued there under. Such statements are based upon management's current expectations, projections, estimates and assumptions. Words such as "may," "will," "s ...

Core Viewpoint - Superior Group of Companies, Inc. will announce its fourth quarter and full year 2025 operational results on March 3, 2026, after market close [1] Group 1: Upcoming Financial Results - The results will be discussed in a teleconference hosted by the CEO and CFO at 5:00 pm Eastern Time on the same day [1] - The teleconference can be accessed via a live webcast and archived replay on the company's investor relations website [2] Group 2: Teleconference Access - Interested participants can join the teleconference by dialing specific numbers for U.S. and international callers [2] - A telephone replay of the teleconference will be available until March 17, 2026, with specific access numbers provided [3] Group 3: Company Overview - Superior Group of Companies was established in 1920 and operates in three business segments: Healthcare Apparel, Branded Products, and Contact Centers [4] - The company focuses on creating brand engagement experiences and emphasizes service, quality, technology, and omnichannel commerce as competitive advantages [4] - The company aims to enhance shareholder value through organic growth and strategic acquisitions [4]

Financial Data and Key Metrics Changes - The company's consolidated revenue for Q3 2025 was $138 million, a decline of 7% compared to the same period last year [9][12] - Net income for the quarter was $2.7 million, up sequentially from $1.6 million in Q2 but down from $5.4 million in Q3 2024, resulting in earnings per diluted share of $0.18 [13] - SG&A expenses were reduced by 7%, amounting to $48 million, which is flat as a percentage of sales at 35% despite the sales decline [12][14] Business Segment Data and Key Metrics Changes - Branded products segment revenue was $85 million, down from $93 million year-over-year, impacted by order timing and lower sales volume [10][11] - Healthcare apparel revenue declined by 5% to $32 million due to lower volume with certain customers [10][11] - Contact center revenue decreased by 9% to $23 million, driven by customer downsizing and loss [10][11] Market Data and Key Metrics Changes - The overall market remains uncertain, affecting customer behavior and leading to a cautious approach in purchasing decisions [4][17] - The company noted a significant uptick in promising near-term opportunities as customers gain clarity on trade policies and economic conditions [4] Company Strategy and Development Direction - The company is focused on expanding market share in a fragmented market by recruiting more sales representatives and leveraging software automation [6] - Investments are being made in demand-driven activities while maintaining expense discipline to navigate the current economic uncertainty [8][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in capitalizing on growth opportunities once market conditions normalize, supported by a strong pipeline of new business [12][14] - The company adjusted its full-year revenue outlook to a range of $560 million to $570 million, indicating slight growth year-over-year at the high end [14] Other Important Information - The gross margin for Q3 was 38.3%, down from 40.4% in the prior year, with specific segments experiencing varying impacts on margins due to cost structures [11] - The company maintains a strong balance sheet with $17 million in cash and equivalents, providing over $100 million in liquidity for growth plans [13][14] Q&A Session Summary Question: Can you describe the environment in branded products? - Management indicated that the market has been challenged due to tariffs and macroeconomic uncertainty, influencing customer behavior [17] Question: What is the impact of lost clients in the contact center? - The impact from a lost client is estimated at a couple of million dollars annually, but there are opportunities for growth in the pipeline [22][23] Question: How is pricing power being managed? - The company has been able to pass through cost increases to customers, particularly in the branded products and healthcare segments [24][25] Question: What are the sales trends expected for Q4? - Sales are expected to build month to month, with December anticipated to be the largest month [29] Question: What is the outlook for acquisition opportunities? - The company sees a rich environment for acquisitions, with many opportunities available due to current market conditions [30][31]

Financial Data and Key Metrics Changes - Consolidated revenue for Q3 2025 was $138 million, a decline of 7% compared to the same period last year [10] - SG&A expenses were reduced by 7%, amounting to $48 million, maintaining SG&A as a percentage of sales at 35% [11][12] - EBITDA for the quarter was $7.5 million, up sequentially from $6.1 million but down from $11.7 million year-over-year [13] - Net income was $2.7 million, an increase from $1.6 million in the previous quarter but down from $5.4 million in the same quarter last year, resulting in earnings per diluted share of $0.18 [13][14] Business Segment Data and Key Metrics Changes - Branded products segment revenue was $85 million, down from $93 million year-over-year, impacted by order timing and lower sales volume [10][11] - Healthcare apparel revenue declined by 5% to $32 million due to lower volume amid customer uncertainty [10][11] - Contact center revenue decreased by 9% to $23 million, driven by lower volume and customer downsizing [10][11] Market Data and Key Metrics Changes - The overall market remains uncertain, affecting customer behavior and order placements across all segments [4][18] - There is a significant level of caution among customers, leading to promising near-term opportunities in the pipeline as trade policies and economic conditions stabilize [4][18] Company Strategy and Development Direction - The company is focused on expanding market share in a fragmented market by recruiting more sales representatives and leveraging software automation [6] - Investments are being made in demand-driven activities while maintaining expense discipline to navigate economic uncertainties [8][15] - The company is actively exploring acquisition opportunities, particularly in the branded products segment, to enhance growth [42][44] Management's Comments on Operating Environment and Future Outlook - Management noted that while the growth environment is subdued, the pipeline remains strong, and they are focused on converting these opportunities [15] - The company is optimistic about future growth as economic uncertainty dissipates, allowing for the capture of additional market share [15] - Management expressed confidence in the ability to pass through cost increases to customers, maintaining pricing power despite economic challenges [30][32] Other Important Information - The company tightened its full-year revenue outlook to a range of $560 million to $570 million, indicating slight growth year-over-year at the high end of the range [14] - The balance sheet remains strong with $17 million in cash and cash equivalents, providing over $100 million in liquidity for growth plans [14] Q&A Session Summary Question: Can you describe the environment for branded products? - Management indicated that the market has been challenged due to tariffs and macroeconomic uncertainty, but recent tariff announcements are seen as positive [18][19] Question: Where are you in working off the inventory purchased in advance? - The company has been opportunistic in sourcing inventory from lower tariff jurisdictions and has communicated with clients about inventory management [22][23] Question: What is the impact of losing a client in the contact center? - The annualized impact from the lost client is about a couple of million dollars, but there are opportunities for growth in the pipeline [26] Question: Can you talk about your pricing power? - The company has been able to pass through cost increases to customers, maintaining pricing power despite economic pressures [30][32] Question: What are your expectations for revenue growth in Q4? - Revenue growth is expected to be primarily driven by the branded products segment, with strong bookings and a robust pipeline [34][40] Question: What are the acquisition opportunities currently? - The company sees a rich field for acquisitions, particularly in the branded products segment, and is actively evaluating potential deals [42][44]

Group 1 - Superior Group of Companies, Inc. will participate in a fireside chat at the Sidoti Virtual Investor Conference on September 18, 2025, at 10:45 AM Eastern Time [1] - The live webcast and replay of the conference will be available on the company's Investor Relations website [1] - Management will also host virtual meetings throughout the day of the conference [1] Group 2 - Superior Group of Companies was established in 1920 and consists of three business segments: Healthcare Apparel, Branded Products, and Contact Centers [2] - Each segment serves large, fragmented, and growing addressable markets, enabling businesses to create extraordinary brand engagement experiences [2] - The company emphasizes service, quality, advanced technology, and omnichannel commerce as competitive advantages [2] - Superior Group of Companies is committed to enhancing shareholder value through organic growth and strategic acquisitions [2]

Financial Data and Key Metrics Changes - Consolidated revenue grew more than 9% year over year, with net income per diluted share of $0.10, up from $0.04 in the same quarter last year [7][8][18] - Gross margin remained flat at 38.4% year over year but improved by 160 basis points sequentially [12] - SG&A as a percentage of sales improved to 36.3% from 36.9% in the prior year, despite recognizing $1.8 million in credit loss reserves [13][18] Business Segment Data and Key Metrics Changes - Branded Products segment grew by 14%, driven by order timing and organic expansion with existing accounts [7][12] - Healthcare Apparel segment grew by 6%, supported by volume increases in specific product lines [12][15] - Contact Center business saw a 3% decline in revenues due to macroeconomic headwinds and customer downsizing [12][17] Market Data and Key Metrics Changes - The company noted a full pipeline of contact center opportunities, indicating potential for future growth despite current challenges [5][11] - The Branded Products segment is positioned as one of the top 10 largest providers in a highly fragmented market, suggesting strong competitive positioning [9] Company Strategy and Development Direction - The company is focused on expense management and has launched initiatives to reduce budgeted expenses, which are expected to enhance profitability [6][7] - There is a strategic emphasis on leveraging diverse sourcing and vendor negotiations to mitigate tariff impacts and maintain competitive pricing [6][36] - The company remains open to acquisitions but will be selective, focusing on opportunities that are quickly accretive and do not distract from organic growth [71][72] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the second half of the year, citing mixed results across segments but a strong pipeline of opportunities [30][31] - The company anticipates continued growth in the Branded Products segment and expects the Healthcare Apparel segment to improve as institutional customers replenish inventory [56][60] - Management acknowledged ongoing uncertainties related to inflation, interest rates, and tariffs but emphasized the company's strong liquidity and cost management efforts [19][30] Other Important Information - The company actively repurchased approximately 390,000 shares for about $4 million during the quarter, indicating confidence in its stock value [18] - The company expects full-year revenues to be in the range of $550 million to $575 million, suggesting year-over-year growth at the high end of about 2% [19] Q&A Session Summary Question: Inquiry about SG&A costs - Management clarified that SG&A increased in dollar terms due to higher revenues but improved as a percentage of sales, with credit loss reserves impacting the overall rate [21][22] Question: Opportunities for AI in business - Management discussed the implementation of AI in contact centers for talent acquisition and customer interaction, enhancing efficiency and customer satisfaction [24][25] Question: Impact of tariffs on customer orders - Management noted some customers pulled orders forward due to tariff concerns, but the institutional side showed hesitance in spending [34][39] Question: Outlook for Healthcare Apparel - Management expects the institutional side to pick up as inventory needs arise, with the second half of the year generally being stronger due to seasonal factors [56][60] Question: Contact center pipeline and decision-making - Management indicated that while decision-making has been slow, there is a record pipeline of opportunities that could convert into revenue in the near future [61][64] Question: Mitigation efforts regarding tariffs - Management confirmed that price increases related to tariffs would mostly take effect in the third quarter, with proactive measures taken to protect margins [78][82]

Business Overview - Superior Group of Companies operates three diversified businesses: Branded Products, Healthcare Apparel, and Contact Centers[9] - The company has shown revenue growth across all business segments, with a consolidated Compound Annual Growth Rate (CAGR) of 8%[11] - The company has paid uninterrupted dividends since 1977[10] Financial Performance - In 2024, total revenue was $566 million, compared to $377 million in 2019[12] - Branded Products revenue was $354 million in 2024, up from $228 million in 2019[12] - Healthcare Apparel revenue was $118 million in 2024, slightly up from $119 million in 2019[12] - Contact Centers revenue significantly increased to $93 million in 2024 from $31 million in 2019[12] Segment EBITDA (2024) - Branded Products EBITDA was $36287 thousand[87] - Healthcare Apparel EBITDA was $8749 thousand[87] - Contact Centers EBITDA was $12176 thousand[87]

Company Overview - Superior Group of Companies, Inc. (SGC) was established in 1920 and operates in three business segments: Healthcare Apparel, Branded Products, and Contact Centers, which serve large, fragmented, and growing markets [2] - The company focuses on creating extraordinary brand engagement experiences for customers and employees through its commitment to service, quality, advanced technology, and omnichannel commerce, providing it with competitive advantages [2] - SGC aims to enhance shareholder value by pursuing a combination of organic growth and strategic acquisitions [2] Upcoming Events - The Chairman, President, and CEO, Michael Benstock, along with CFO Mike Koempel, will participate in a fireside chat at the Sidoti Virtual Investor Conference on June 12, 2025, at 9:15 AM Eastern Time [1] - A live webcast and replay of the event will be available on the company's Investor Relations website [1] - Management will also host virtual meetings throughout the day of the conference [1]