HomesToLife (HTLM) investor relations material

Executive summary

• Net profit increased 36% year-over-year to $3.2 million in Q1 2026, driven by export growth and improved margins.

• Net revenue rose 16% to $92.5 million, with strong contributions from Europe and North America.

• Gross profit climbed 34% to $26.9 million, with gross margin expanding by 3.8 percentage points to 29.0%.

• Operating income surged 129% to $4.9 million, despite higher operating expenses and a $1.0 million foreign exchange loss.

• Cash flow from operations improved to a $2.0 million inflow, supporting a strong liquidity position.

Financial highlights

• Export sales increased by $12.6 million, retail sales grew by $1.0 million, and leather trading rose 72% year-over-year.

• Europe and North America revenues grew 26% and 14% respectively, while Asia Pacific declined 2%.

• Earnings per share rose 36% to $0.036.

• Cash and cash equivalents stood at $26.6 million as of March 31, 2026.

Outlook and guidance

• FY2026 revenue projected between $400 million and $420 million, supported by export market strength.

• Plans to maintain disciplined capital allocation and monitor geopolitical risks, especially in the Middle East.

• Guidance reflects current market conditions, with updates to be provided as needed.