FGI Industries Ltd. (NASDAQ:FGI) Q1 2024 Earnings Conference Call May 9, 2024 9:00 AM ET

Company Participants

David Bruce – President and Chief Executive Officer
Jae Chung – Vice President
Perry Lin – Chief Financial Officer

Conference Call Participants

Greg Gibas – Northland Securities

Operator

Good day, and welcome to the FGI Industries, Inc. First Quarter 2024 Results Conference Call. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Jae Chung, Vice President of FGI Industries. Please go ahead.

Jae Chung

Thank you. Welcome to FGI Industries 2024 first quarter results conference call.

Leading the call today are President and CEO, David Bruce; and Chief Financial Officer, Perry Lin. We issued a press release after the market closed yesterday detailing our recent operational and financial results.

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. 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.

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 the performance review and strategic update from Dave Bruce, followed by a financial review from Perry Lin. At the conclusion of these prepared remarks, we will open the line for questions.

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

David Bruce

Thank you, Jae. Good morning, everyone, and thank you for joining our call today.

I am delighted to share our positive first quarter results, reflecting the strategic investments we've made in our organic growth initiatives across our brands, products and channels or BPC strategy. While the industry outlook anticipates modest declines in the R&R segment, we remain confident in our ability to outpace market trends through innovative products and programs.

During the first quarter, we witnessed growth across most of our businesses, primarily fueled by volume and sustained demand from end markets, alongside gradual normalization of inventory levels. Notably, our Sanitaryware and Shower businesses demonstrated year-over-year growth. While our Bath Furniture segment faced subdued demand due to a shift towards lower-priced offerings, we are excited about our upcoming Bath Furniture assortment that is more aligned to new market pricing and design trends.