Superior Group of Companies (SGC) Small-Cap Growth Virtual Investor Conference summary

Healthcare apparel segment

• Offers both institutional and consumer healthcare apparel, with strong brands like Wink and Fashion Seal Healthcare.

• Expanded to direct-to-consumer digital sales in Q2 2023, enhancing omnichannel strategy.

• Market is valued at $4 billion, with significant share still available for capture.

• New products for Summer 2024 have been launched, with ongoing product development based on market research.

• Guidance for 2024 is mid-single-digit revenue growth, supported by improved inventory management and digital expansion.

Branded products segment

• Provides branded merchandise and uniforms for major global brands, focusing on solving business problems and building loyalty.

• Industry is highly fragmented, valued at $26 billion, with over 25,000 competitors; company is now the 8th largest provider.

• Five-year revenue CAGR is strong, with improving EBITDA margins targeting double digits.

• Sales team expansion is challenging due to macro environment, but successful hires see significant business growth.

• 2024 guidance is for low single-digit growth, driven by new programs and business wins.

Contact centers segment

• Operates as The Office Gurus, providing nearshore contact center services in five countries, mainly for small to medium-sized businesses.

• Growth driven by onboarding new customers and seat expansion, with a five-year sales CAGR of 26% and 13.6% EBITDA margin in 2023.

• High customer retention rate, nearly 100%, with a strong pipeline for new business.

• AI is used to improve operational efficiency and analytics, reducing non-billable headcount and enhancing customer loyalty.

• 2024 sales expected to grow in the high single-digit to low-teen range.