Business
FGI INDUSTRIES ANNOUNCES SECOND QUARTER 2024 RESULTS
EAST HANOVER, N.J., Aug. 7, 2024 /PRNewswire/ -- FGI Industries Ltd. (Nasdaq: FGI) ("FGI" or the "Company"), a leading global supplier of kitchen and bath
About this update from Fgi Industries Ltd.
[{"type":"text","content":"EAST HANOVER, N.J., Aug. 7, 2024 /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 2024.\n\n \n \n \n \n \n \n\n \nSECOND QUARTER 2024 HIGHLIGHTS(As compared to the second quarter of 2023)\nTotal revenue of $29.4 million, +0.6% y/yGross profit of $9.0 million, +11.9% y/yGross margin of 30.5%, +310 bps y/yOperating loss of ($0.5) million and net loss of ($0.0) millionAdjusted operating loss of ($0.3) millionAdjusted net income of $0.1 millionMANAGEMENT COMMENTARY\nDave Bruce, President and CEO of FGI, stated, \"FGI reported total revenue of $29.4 million in the quarter, representing a year-over-year increase of 0.6%. Gross profit was $9.0 million, reflecting growth of 11.9% compared to the prior year. The gross margin improved to 30.5%, an increase of 310 basis points compared to the second quarter of 2023. The industry outlook remains relatively flat overall with our customers forecasting minimal growth in 2024. FGI's second quarter revenue was largely unchanged compared to second quarter 2023 results due, in part, to our transition to SAP enterprise software and overseas logistics challenges. Our Sanitaryware and Bath Furniture revenue declined 8% and 16% year-over-year, respectively. We expect the delayed shipments to be completed in the second half of the year. Shower Systems revenue increased by 37% year-over-year as demand trends remain steady and sales of both existing and new products continue to drive organic growth. Our Covered Bridge custom cabinet segment showed strong growth, increasing 66% year over year.\" Bruce continued, \"Geographically, we remain optimistic about India and opened an office in India during the quarter. We are excited about our new product introductions and continue to invest in our brands and our future growth initiatives.\"\nPerry Lin, Chief Financial Officer of FGI, commented, \"FGI ended the second quarter with total available liquidity of $17.4 million. Our operating expenses increased due to investing in future growth combined with the effects of inflation and an increase in freight rates. We expect operating expenses to decline sequentially in the second half of the year as certain expenses incurred in the first half will not recur in the second half of the y...