Investor Second Quarter 2025 Presentation Disclaimer Certain matters discussed in this presentation contain forward-looking statements concerning our business, operations and financial performance and conditions, as well as our plans, objectives and expectations for our business operations and financial performance and condition. These statements may be preceded by, followed by or include the words "may," "expect," "will," "will likely result," "should," "estimate," "plan" and other similar expressions that ...

EAST HANOVER, N.J., Aug. 11, 2025 /PRNewswire/ -- FGI Industries Ltd. (Nasdaq: FGI) ("FGI" or the "Company"), a leading global supplier of kitchen and bath products, today announced results for the second quarter 2025.SECOND QUARTER 2025 HIGHLIGHTS(As compared to the second quarter of 2024) Total revenue of $31.0 million, +5.5% y/y Gross profit of $8.7 million, -2.9% y/y Gross margin of 28.1%, -240 bps y/y Operating loss of $0.8 million and net loss attributable to shareholders of $1.2 million Adjusted oper ...

Financial Performance - First quarter revenue increased by 80% year-over-year, reaching $332 million, driven by growth in Bath Furniture and Covered Bridge[29, 37, 38] - Gross profit for the first quarter of 2025 was $89 million, a 58% increase compared to the previous year[40] - Adjusted Operating Income was $(13) million, as the company prioritized strategic initiatives[43] - Adjusted Net Income for the first quarter of 2025 was $(11) million, compared to $(02) million in the same period last year[46] - The company ended the quarter with $119 million of net debt and $143 million in total liquidity[30] Segment Performance - Sanitaryware revenue decreased by 17% year-over-year[47] - Bath Furniture revenue increased by 327% to $41 million[49] - Other revenue, primarily from custom kitchen cabinetry, increased by 1357% to $33 million[53] Guidance - The company projects net revenue between $135 million and $145 million, and adjusted net income between $(19) million and $10 million for 2025[58] Strategy and Outlook - The company is focused on its Brands, Products, Channels (BPC) growth strategy[7, 21, 61]

Core Insights - FGI Industries Ltd. reported total revenue of $33.2 million for Q1 2025, marking an 8.0% increase year-over-year, driven by growth in Bath Furniture and Covered Bridge cabinetry businesses [2][4] - Gross profit reached $8.9 million, a 5.8% increase from the previous year, although gross margin declined to 26.8% due to tariffs and higher freight costs [5][6] - The company experienced an operating loss of $1.3 million, compared to an operating income of $0.3 million in Q1 2024, attributed to increased operating expenses [8][9] Financial Performance - Revenue breakdown: Sanitaryware revenue decreased to $20.2 million, Bath Furniture revenue increased to $4.1 million, Shower Systems revenue decreased to $5.7 million, and other revenue from Kitchen Cabinets rose to $3.3 million [7] - Operating expenses increased by 16.6% year-over-year to $10.2 million, driven by investments in growth initiatives and one-time costs [3][8] - The net loss attributable to shareholders was $0.6 million, or $0.07 per diluted share, compared to a net income of $0.4 million, or $0.04 per diluted share, in the same period last year [9][21] Market Dynamics - The company noted an uncertain industry outlook due to the ongoing tariff environment, but emphasized that strategic investments are yielding revenue growth above the overall market [2][3] - Revenue growth was observed in the U.S. (8.0%) and Canada (3.8%), while Europe saw a decline of 2.8% [2] - The company is focused on expanding its digital custom kitchen joint venture, Isla Porter, to enhance relationships with the premium design community [2] Liquidity and Capital Management - As of March 31, 2025, FGI had total liquidity of $14.3 million, with $1.2 million in cash and cash equivalents and total debt of $13.2 million [11] - The company plans to prioritize internal investments for future growth initiatives [3]