FGI Industries Ltd (FGI) 2025 Q4 法說會逐字稿

Good day, and welcome to the FGI Industries, Inc. fourth-quarter 2025 results conference call. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Jae Chung, CFO. Please go ahead.

各位好，歡迎參加 FGI Industries, Inc. 2025 年第四季財報電話會議。(接線員指示) 請注意，本活動將被錄音。現在我想把會議交給財務長 Jae Chung。請開始。

Thank you. Welcome to FGI Industries 2025 fourth quarter results conference call. Leading the call today are Chief Executive Officer, David Bruce; and Chief Financial Officer, Jae Chung. We issued a press release after the market closed yesterday detailing our recent operational and financial results.

謝謝。歡迎參加 FGI Industries 2025 年第四季財報電話會議。今天由執行長 David Bruce 與財務長 Jae Chung 主持。我們已於昨日收盤後發布新聞稿，說明近期營運與財務成果。

I would like to remind you that management's commentary and responses to questions on today's conference call may include forward-looking statements, which, by their nature, are uncertain and outside of the company's control.

我想提醒各位，管理層在今天電話會議中的評論與對提問的回覆，可能包含前瞻性陳述；其本質具有不確定性，且不在公司控制範圍內。

Although these forward-looking statements are based on management's current expectations and beliefs, actual results may differ materially. For a discussion of some of the factors that could cause actual results to differ, please refer to the Risk Factors section of our latest filings with the SEC.

儘管這些前瞻性陳述係基於管理層目前的預期與信念，實際結果仍可能出現重大差異。關於可能導致實際結果不同的部分因素，請參閱我們最近向美國證券交易委員會（SEC）提交文件中的「風險因素」章節。

Additionally, please note that you can find reconciliations of historical non-GAAP financial measures in the press release issued yesterday and in the appendix of this presentation, which is available on the company's website. Today's call will begin with a performance review and strategic update from Dave Bruce, followed by a financial review from Jae Chung. At the conclusion of these prepared remarks, we will open the line for questions.

此外，請注意，您可在昨日發布的新聞稿以及本簡報附錄中找到歷史非 GAAP 財務衡量指標的調節表；本簡報可於公司網站取得。今天的電話會議將先由 Dave Bruce 進行績效回顧與策略更新，接著由 Jae Chung 進行財務回顧。在上述預備發言結束後，我們將開放提問。

With that, I'll turn the call over to Dave.

接下來，我把電話交給 Dave。

Thank you, Jae. Good morning, everyone, and thank you for joining our call today. I am pleased to share that our fourth quarter results reflect the strategic investments we've made in our organic growth initiatives across our brands, products and channels or BPC strategy. While the broader industry navigated a fluid environment following the Supreme Court decision in February and subsequent tariff actions, FGI's strategic focus has allowed us to maintain a solid foundation. When evaluating our fourth quarter revenue of $30.5 million, it is important to consider two primary factors: prior year comparatives.

謝謝你，Jae。各位早安，感謝今天加入我們的電話會議。我很高興分享，我們第四季的結果反映了我們在各品牌、產品與通路（BPC）策略下，對有機成長計畫所做的策略性投資。在更廣泛的產業於二月最高法院裁決及後續關稅措施後面對多變環境之際，FGI 的策略聚焦使我們得以維持穩固的基礎。在評估我們第四季 3,050 萬美元的營收時，重要的是要考量兩個主要因素：前一年同期比較。

We were up against a significant order pull forward in the fourth quarter of 2024 as customers accelerated purchases ahead of anticipated trade policy shifts. Tariff headwinds. The industry outlook remains uncertain due to the current tariff environment, which impacted volumes in our sanitaryware and shower systems businesses despite positive underlying demand trends.

我們在 2024 年第四季面臨顯著的訂單提前拉貨，因客戶在預期貿易政策變動前加速採購。關稅逆風。由於目前的關稅環境，產業前景仍不明朗；儘管基礎需求趨勢為正，該環境仍影響了我們衛浴陶瓷與淋浴系統業務的出貨量。

However, despite these quarterly timing shifts and macro volatility, FGI's full year performance remained remarkably stable. On a full year basis, revenue and gross profit were each down less than 1% compared to prior year. This stability, coupled with our ability to drive revenue growth well above the broader market, underscores the strength of our strategic initiatives. Furthermore, we continue to high-grade our portfolio. Our gross margin expanded by 210 basis points to 26.7% this quarter, driven by the better relative performance of our higher-margin businesses.

然而，儘管存在這些季度時點的移轉與總體波動，FGI 全年表現仍相當穩定。以全年來看，營收與毛利相較前一年各自下滑不到 1%。這種穩定性，加上我們推動營收成長顯著高於整體市場的能力，凸顯了我們策略計畫的強勁。此外，我們持續提升投資組合品質。本季毛利率擴張 210 個基點至 26.7%，主要受惠於高毛利業務相對表現較佳。

While we saw temporary revenue pressure in the U.S., Canada and Europe, our geographic expansion into India and our continued growth in Covered Bridge Kitchen Cabinetry hold significant promise for driving growth in the coming quarters. I want to commend the FGI team for their dedication to our long-term objectives. By navigating the volatility of 2025 with agility, we have protected our margins and positioned the company for future success.

雖然我們在美國、加拿大與歐洲看到短期營收壓力，但我們在印度的地理擴張，以及 Covered Bridge Kitchen Cabinetry 的持續成長，對於推動未來幾季的成長具有相當大的潛力。我要肯定 FGI 團隊對我們長期目標的投入。透過以敏捷方式因應 2025 年的波動，我們保護了毛利率，並讓公司為未來成功做好定位。

With that, I'll hand it over to Jae for a more detailed financial review.

接下來，我把時間交給 Jae，進行更詳細的財務回顧。

Thank you, Dave, and good morning, everyone. I will begin by providing additional details on the quarter, followed by an update on our current liquidity and balance sheet. Finally, I will conclude with our guidance for the full year 2026. For the fourth quarter of 2025, revenue totaled $30.5 million, a decrease of 14.4% compared to the fourth quarter of 2024. Gross profit was $8.1 million in the quarter, a decrease of 6.8% year-over-year.

謝謝你，Dave，各位早安。我將先補充本季的更多細節，接著更新我們目前的流動性與資產負債表狀況。最後，我將以 2026 全年財測作結。2025 年第四季營收合計 3,050 萬美元，較 2024 年第四季下降 14.4%。本季毛利為 810 萬美元，年減 6.8%。

Our gross margin increased to 26.7% in the quarter compared to 24.6% in the prior year, driven by better relative performance of some of our higher-margin businesses. Our operating expenses decreased to $8.8 million compared to $10 million in the prior year period due primarily to optimizing our warehouse operations.

本季毛利率提升至 26.7%，高於前一年同期的 24.6%，主要由於部分高毛利業務的相對表現較佳。營業費用降至 880 萬美元，較前一年同期的 1,000 萬美元下降，主要因我們優化倉儲營運。

GAAP operating loss was $0.7 million, improving from an operating loss of $1.3 million in the prior year period. The improvement in the operating loss was a result of a decrease in selling and distribution costs as well as lower R&D costs. GAAP net loss attributable to shareholders was $2.6 million compared to a net loss of $0.4 million in the same period last year.

依 GAAP 計算的營業損失為 70 萬美元，較前一年同期 130 萬美元的營業損失改善。營業損失改善主要來自銷售與配送成本下降，以及研發成本降低。歸屬於股東的 GAAP 淨損為 260 萬美元，去年同期淨損為 40 萬美元。

Net loss for the fourth quarters of 2025 and 2024 included a valuation allowance on deferred tax assets, business expansion expense and nonrecurring IPO-related compensation. Excluding these items, adjusted net loss for the fourth quarter of 2025 was $0.6 million versus an adjusted net loss of $0.7 million in the same prior year period.

2025 年與 2024 年第四季的淨損均包含遞延所得稅資產的估值備抵、業務擴張費用，以及一次性的 IPO 相關薪酬。排除上述項目後，2025 年第四季調整後淨損為 60 萬美元，而前一年同期調整後淨損為 70 萬美元。

Moving to our balance sheet. At the end of the fourth quarter, FGI had $8.5 million in total liquidity. We are providing our 2026 guidance as follows: our revenue guidance is $134 million to $141 million. The adjusted operating income guidance is $0.7 million to $2.5 million. The adjusted net income guidance is a loss of $0.3 million to a positive $1.1 million.

接著看資產負債表。截至第四季末，FGI 的總流動性為 850 萬美元。我們提供 2026 年財測如下：營收指引為 1.34 億至 1.41 億美元。調整後營業利益指引為 70 萬至 250 萬美元。調整後淨利指引為虧損 30 萬美元至獲利 110 萬美元。

Please note that the guidance for adjusted operating income excludes certain nonrecurring items. Adjusted net income excludes certain nonrecurring items and includes an adjustment for minority interest. That concludes our prepared remarks. Operator, we are now ready for the question-and-answer portion of our call.

請注意，調整後營業利益的指引排除了某些一次性項目。調整後淨利排除了某些一次性項目，並包含對少數股權的調整。以上為我們的預備發言。接線員，我們現在準備進入問答環節。

(Operator Instructions)

(接線員指示)

Reuben Garner, Benchmark Co.

Reuben Garner，Benchmark Co.

Hi, everyone. This is John McGlade on for Reuben. First, congratulations on the quarter. Just a few questions. If maybe you could go into a little bit more detail on what assumptions in the end markets you're assuming relative to the full year guide?

各位好。我是代替 Reuben 的 John McGlade。首先，恭喜本季表現。我有幾個問題。想請教你們能否更詳細說明一下，在全年財測指引中，對終端市場所採用的假設是什麼？

Hey, John, this is Dave Bruce. Yes, it's a great question. We had a lot of momentum going into 2025. And then, of course, the global trade issues hit and disrupted some of that. And we were -- we feel really comfortable in all of our broader category momentum that we have right now.

嗨，John，我是 Dave Bruce。是的，這是個很好的問題。我們在進入 2025 年時動能很強。當然，全球貿易問題衝擊並打亂了其中一部分。而我們——我們對目前在各大品類所累積的整體動能感到非常有信心。

I think you're going to see, for sure, a bit of uncertainty until the trade and tariff situation sort of equalized to some degree. There's still a lot of uncertainty out there. And of course, not to mention what's happening now with the war in the Middle East. But for our own particular position, we're pretty comfortable with where we're going with some of our key customers. We have a lot of new programs that are being implemented.

我認為你會看到，在貿易與關稅情勢某種程度上趨於均衡之前，確實會有一些不確定性。外部仍存在很多不確定因素。當然，更不用說目前中東戰爭的情勢。但就我們自身的特定定位而言，對於與一些主要客戶的合作走向，我們相當有把握。我們有許多新專案正在導入。

Some were delayed. I think I mentioned last quarterly due to some of the tariff uncertainty. But for the most part, we feel pretty good about the foundational part of our business in each of our -- the broader categories.

有些被延後了。我想我在上一季的電話會議中提到過，主要是因為關稅不確定性。但就大多數情況而言，我們對於我們在各個——更廣泛品類中——業務的基礎面感到相當有信心。

Okay. And then I guess along with that, obviously, you've mentioned that the recent tariff decisions are kind of impacting demand to a sense so far this quarter. Could you talk about really what demand has looked like year-to-date versus how it closed through the fourth quarter, where it appears like it was somewhat weak.

好的。然後我想，另外，顯然你也提到近期的關稅決策在本季迄今某種程度上正在影響需求。你能談談今年迄今的需求表現，相較於第四季收尾時的情況嗎？看起來第四季似乎有些疲弱。

And then also, too, with that tariff decision, do you anticipate that you or your customers would be the ones to benefit from any refunds if they were to come?

另外，關於那項關稅決策，如果之後真的有退稅，你預期會是你們或你們的客戶哪一方受益？

Yes. So to answer your first part of your question, we like what we're seeing so far in Q1 based on our expectations and based on what we've built into our guide. We -- as you can imagine, there's still a lot of uncertainty. But because we have some good momentum in some of our key categories, like I mentioned, the expectation is through Q1, we've been pretty happy with what we've been seeing for the most part.

是的。先回答你問題的第一部分，依照我們的預期以及我們納入指引的假設，我們喜歡目前在2026年第一季看到的情況。我們——如你所想，仍然有很多不確定性。但因為我們在一些關鍵品類上有不錯的動能，如我所提到的，我們的預期是，在第一季的進展中，就大多數情況而言，我們對目前看到的表現相當滿意。

As far as any tariff adjustments, I think that's way too early to tell. We're going to evaluate everything as we move along. We fully expect, at least from a perspective of planning that a lot of the tariffs, particularly the IEEPA tariffs that were negated by the Supreme Court, most likely will come back in other forms and sectorial tariffs as the year goes on. So we're not anticipating that things are going to remain static as they are today. So that's something that we'll evaluate as we continue to move forward through this uncertain period, probably for the balance of the year.

至於任何關稅調整，我認為現在判斷還太早。我們會在推進過程中評估所有事項。至少從規劃角度來看，我們完全預期許多關稅——特別是被最高法院否決的IEEPA關稅——很可能會在今年進行期間以其他形式與產業別關稅回歸。因此，我們不預期情況會維持在今天這樣一成不變。所以，這會是我們在這段不確定期間持續往前推進時要評估的事情，可能會貫穿今年剩餘時間。

All right. Thank you. I will pass it on and good luck with the next quarter.

好。謝謝。我把問題交給下一位，祝你們下個季度順利。

Great. Thanks.

很好。謝謝。

Greg Gibas, Northland Securities.

Greg Gibas，Northland Securities。

Hey, good morning, guys. Thanks for taking the questions. I was wondering if you could maybe elaborate or speak to the pickup inactivity that you were seeing in Q1 of 2026 versus maybe the order activity that you saw in Q4.

各位早安。謝謝讓我提問。我想請你們再多談談：你們在2026年第一季看到的提貨活動回升，相較於第四季看到的下單活動，具體是什麼情況？

Yes. I think I mentioned on the opening -- if we think back to Q4 of 2024, there was a lot of order pull forward happening then with a lot of anticipation for tariffs to come, which was the correct anticipation, obviously, in early 2025. So we faced -- that was part of our comp problem or issue or challenge for comparing to year-over-year.

是的。我想我在開場時提到過——如果回想2024年第四季，當時因為預期關稅即將到來（而且顯然在2025年初這個預期是正確的），出現了大量提前拉貨下單的情況。所以我們面臨——那也是我們在做年對年比較時的比較基期問題／議題／挑戰的一部分。

Secondly, because of the major tariff impact in Q2 in 2025, it was a real whipsaw effect. We had a lot of customers pause orders as we did with some of our inventory at the time until we can fully understand the tariff situation.

第二，因為2025年第二季關稅衝擊很大，造成了明顯的來回震盪效應。我們有很多客戶暫停下單，我們當時也對部分庫存採取同樣做法，直到我們能完全了解關稅情勢。

And some of those situations obviously have whipsawed inventory momentum and ordering patterns that interrupted those ordering patterns for the year. So that also contributed to a timing effect for the quarter's business as well.

而其中一些情況顯然讓庫存動能與下單模式來回震盪，打斷了全年原本的下單節奏。因此，這也對該季度的業務造成了時間點上的影響。

Okay. Fair enough. And I guess I wanted to follow up too on any progress as you evaluate that China Plus One strategy in terms of diversifying geographic sourcing? Maybe what's come of your evaluation, like where you stand today in terms of continuing to move forward in diversification there?

好的。了解。我也想追問一下：你們在評估「中國加一」策略、也就是分散地理採購來源方面，有哪些進展？能否談談評估結果，例如你們目前的進度，以及接下來在多元化方面如何持續推進？

Yes, yes. No, we've made some really good progress there. We are -- have secured some additional partnerships outside of China. And not a lot of detail to give you today, but we will have impact to our business from diversification and sources such as Thailand and others that will have migrated business outside of China, which will help lessen the impact of the uncertainties that occur over there.

是的，是的。我們在這方面確實取得了很好的進展。我們——已在中國以外確保了一些額外的合作夥伴關係。今天不便提供太多細節，但我們的多元化將對業務帶來影響；例如泰國等來源，會把部分業務移出中國，這將有助於降低那邊出現不確定性時的影響。

And we're looking at other areas of the world as well outside of Southeast Asia. We're working diligently with some new partners as well. So we've been pretty thrilled with some of the activity that we've seen, and we're pretty confident we're going to be able to execute on several of those in the short term.

我們也在東南亞以外的其他地區尋找機會。我們也正與一些新夥伴密切合作。因此，我們對目前看到的一些活動感到非常振奮，也相當有信心能在短期內落實其中幾項。

Got it. And I guess lastly, if you're able to -- I wanted to dive a little bit deeper on, I think, the last analyst questions as it related to, obviously, things being out of your control, geopolitical, certainly, the Middle East having an impact. But as we think about your BPC strategy and your ability to execute on that, I know you mentioned India again and adding more dealers there.

了解。最後，如果可以的話——我想就上一位分析師的問題再深入一點，因為顯然有些事情不在你們掌控之中，像是地緣政治，當然中東局勢也會造成影響。但從你們的BPC策略以及你們執行該策略的能力來看，我知道你們再次提到印度並在那裡增加更多經銷商。

But if you could maybe explain what you're kind of excited about in terms of those growth opportunities, right? I mean, obviously, there are these headwinds outside of your control, but India probably being one of them. But could you go through a few in terms of the new program launches that are perhaps exciting in '26?

但你能否說明一下，你們對哪些成長機會感到興奮？我的意思是，顯然有一些你們無法控制的逆風，而印度可能是其中之一。但你能否舉幾個例子，談談在2026年有哪些可能令人期待的新專案／新計畫推出？

Yes, absolutely. You bring up India, which is a great one. And we've been seeing it on a weekly and monthly basis with the addition of the dealers. They just continue to grow. We've also -- a large part of that growth in India has come from the Mumbai area, but we're now starting to penetrate Delhi slowly, but surely.

是的，當然可以。你提到印度，這是一個很好的例子。隨著經銷商的增加，我們每週、每月都能看到成長。他們就是持續成長。我們也——印度這波成長很大一部分來自孟買地區，但我們現在也開始逐步、但確實地滲透德里。

We've started to add distributors up there along with several new dealers. Outside of India, something that we haven't talked too much about is a new wholesale bath initiative in Germany. And we've been very successful. We opened up a small distribution center in Germany, and we've been -- we hired a gentleman who will be -- is concentrating solely on the wholesale bath business in Germany, and that's been going very, very well for the last 8 to 10 months. That's continuing to grow.

我們已開始在那裡增加經銷商（distributors），並新增了幾家新的經銷商（dealers）。除了印度之外，有一件我們較少談到的是：我們在德國推出了一項新的衛浴批發（wholesale bath）計畫。而且我們非常成功。我們在德國設立了一個小型配送中心，並且——我們聘請了一位先生，他將——目前專注於德國的衛浴批發業務，而在過去8到10個月進展非常、非常順利。這項業務也持續成長。

And then on the U.S. side as well, we have been -- I think I've mentioned on previous calls, really making headway in establishing proper representation and distribution throughout the country for the wholesale business in the United States. And we're -- at the same time, we're evaluating our logistics footprint and distribution center footprint in the U.S. that may be able to better serve some of those newer markets as we expand into some of those new customers and new territories as well.

另外在美國方面，我們也一直——我想我在之前的電話會議提過——在美國建立批發業務於全國範圍內的適當代理與通路布局方面，確實取得進展。同時，我們也在評估我們在美國的物流據點與配送中心布局，看看是否能在我們拓展到一些新客戶與新區域時，更好地服務那些較新的市場。

Got it. Very helpful. Thanks very much, guys.

了解。非常有幫助。非常感謝，各位。

(Operator Instructions)

（接線員指示）

This concludes our question-and-answer session. I would like to turn the conference back over to David Bruce for any closing remarks.

問答環節到此結束。我想把電話會議交回給David Bruce，請他做結語。

Thank you, everybody, for your time and today. We really do appreciate your continued support of FTI.

謝謝各位今天撥冗參與。我們非常感謝各位持續對FTI的支持。

Stay well, and if we don't connect during the quarter, we look forward to speaking with you on our next call.

祝各位安好；如果我們在本季度期間沒有聯繫上，我們期待在下一次電話會議與各位交流。

Thank you.

謝謝。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

本次電話會議到此結束。感謝各位參加今天的簡報。您現在可以中斷連線。