FGI Industries (FGI) Q4 2025 earnings summary

Executive summary

• Fourth quarter 2025 revenue declined 14.4% year-over-year to $30.5 million, primarily due to decreases in Sanitaryware, Bath Furniture, and Shower Systems, with gross profit down 6.8% to $8.1 million and gross margin up 210 bps to 26.7%.

• Full-year 2025 revenue was $130.5 million, down 1.0% year-over-year, with gross profit of $35.3 million and gross margin of 27.0%.

• Adjusted operating loss for Q4 was $0.7 million, with adjusted net loss at $0.6 million, both improved from the prior year.

• Management highlighted ongoing tariff uncertainty, strategic investments in brands, products, and channels, and disciplined expense management.

• Geographic expansion into India and growth in Covered Bridge kitchen cabinetry are expected to drive future growth.

Financial highlights

• Q4 2025 revenue was $30.5 million, down 14.4% year-over-year, with gross profit of $8.1 million, a 6.8% decrease, and gross margin at 26.7%, up 210 basis points.

• Full-year 2025 revenue was $130.5 million, with gross profit of $35.3 million.

• Operating expenses decreased to $8.8 million from $10 million in the prior year, mainly due to warehouse optimization.

• GAAP net loss attributable to shareholders was $2.6 million for Q4, with adjusted net loss at $0.6 million.

• Net debt at quarter-end was $10.0 million; total liquidity stood at $8.5 million.

Outlook and guidance

• Fiscal 2026 guidance: total net revenue $134–141 million, adjusted operating income $0.7–2.5 million, adjusted net income $(0.3)–1.1 million, excluding non-recurring items.

• Management expects continued investment in internal growth initiatives and product development.