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Caesarstone (CSTE) investor relations material
Caesarstone Q3 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 revenue was $96.3m, down 7.2% YoY on a constant-currency basis; adjusted EBITDA loss narrowed to $0.1m from $7.9m.
GAAP gross margin rose to 25.4% from 17.3%; adjusted gross margin was 26.9%.
GAAP net loss was $56.1m, including $46.8m related to the California jury verdict.
Financial highlights
Revenue was $96.3m vs. $102.1m in Q3 2025; decline reflected soft demand and competitive pressure, particularly in the U.S.
GAAP gross margin was 25.4%, up 810 bps YoY and 140 bps QoQ; adjusted gross margin was 26.9% vs. 17.3%.
Operating expenses were $81.4m, or 84.6% of revenue, including higher legal settlements and loss contingencies.
GAAP net loss attributable to controlling interest was $56.1m, or $1.62/share, vs. $18.1m, or $0.52/share; adjusted net loss was $1.6m, or $0.05 per diluted share, vs. $13.8m and $0.40/share.
Operating loss was $56.9m vs. $16.0m; finance income was $1.2m vs. $1.8m of finance expense, primarily due to currency fluctuations.
Outlook and guidance
Target remains sustained positive adjusted EBITDA, supported by cost actions and operational discipline.
Annualized savings are expected to exceed $100m by 2027 vs. FY 2023; Bar-Lev closure savings are projected at ~$22m annually once fully implemented.
U.S. price increases began in September 2026; additional sourcing and supply-chain measures are under review to mitigate tariff costs.
U.S. demand remains soft; Canada stabilized and Australia continued to grow, while the California verdict’s effects on operations, liquidity and financial condition remain under review.
The vast majority of remaining Bar-Lev inventory held by subsidiaries is expected to be sold by year-end.
- Restructuring targets a return to positive adjusted EBITDA and operating cash flow in 2024.CSTE
Q4 2023 - Operational restructuring and innovation in sustainable surfaces drive margin gains and future growth.CSTE
Investor presentation - Gross margin and EBITDA loss improved despite revenue decline; new U.S. tariffs add uncertainty.CSTE
Q2 2026 - Restructuring and innovation drive a global shift to premium, sustainable surfaces.CSTE
Investor presentation - Gross margin rose to 22.3% despite revenue decline, with positive EBITDA targeted for Q3 2026.CSTE
Q1 2026 - Restructuring and innovation position the company for profitable growth in global surfaces markets.CSTE
Investor presentation - Revenue and margins fell sharply, with cost savings and restructuring underway amid legal risks.CSTE
Q2 2025 - Gross margin surged to 22.9% despite a 16.9% revenue drop, with net loss significantly reduced.CSTE
Q2 2024 - Revenue fell 15.8% and net loss widened as macro headwinds and tariffs pressured results.CSTE
Q1 2025
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