Dixie | 10-Q: FY2025 Q3 Revenue: USD 62.38 M

Revenue: As of FY2025 Q3, the actual value is USD 62.38 M.

EPS: As of FY2025 Q3, the actual value is USD -0.29.

EBIT: As of FY2025 Q3, the actual value is USD -13 K.

Segment Revenue

• Net Sales: For the three months ended September 27, 2025, net sales were $62.4 million, a decrease of 3.9% compared to $64.9 million for the same period in 2024. For the nine months ended September 27, 2025, net sales were $193.9 million, a decrease of 3.3% compared to $200.6 million for the same period in 2024.

Operational Metrics

• Gross Profit: Gross profit as a percentage of net sales was 24.8% for the three months ended September 27, 2025, compared to 24.6% for the same period in 2024. For the nine months ended September 27, 2025, gross profit was 27.0% compared to 25.7% for the same period in 2024.
• Operating Income (Loss): The operating loss for the three months ended September 27, 2025, was $2.0 million, compared to a loss of $2.1 million for the same period in 2024. For the nine months ended September 27, 2025, operating income was $1.2 million, compared to an operating loss of $669 thousand for the same period in 2024.
• Net Loss: The net loss from continuing operations for the three months ended September 27, 2025, was $4.0 million, compared to a loss of $3.7 million for the same period in 2024. For the nine months ended September 27, 2025, the net loss was $4.3 million, compared to a loss of $5.5 million for the same period in 2024.

Cash Flow

• Operating Cash Flow: Net cash provided by operating activities was $9.7 million for the nine months ended September 27, 2025.
• Investing Cash Flow: Net cash used in investing activities was $336 thousand for the nine months ended September 27, 2025.
• Financing Cash Flow: Net cash used in financing activities was $1.8 million for the nine months ended September 27, 2025.

Unique Metrics

• Interest Expense: Interest expense increased by $384 thousand for the three months ended September 27, 2025, compared to the same period in 2024, primarily due to higher interest rates on variable rate debt.

Future Outlook and Strategy

• Core Business Focus: The company plans to focus on cost containment, improved productivity, and lower input costs to offset the impact of a soft housing market and decreased renovation activity. The company anticipates that demand in its markets will accelerate when interest rates decline.
• Non-Core Business: The company is monitoring trade policy and tariff announcements, which could impact input costs, supply chain disruptions, and consumer demand. The company is evaluating strategies to mitigate these impacts, including sourcing adjustments and price negotiations.