EAST HANOVER, New Jersey, August 13, 2026, 12:07 EDT — US stocks traded during market hours.
- FGI stock climbed 185.6% to $13.51, with volume exceeding 70 million shares.
- Gross margin increased by 5.3 points in the second quarter, reaching 33.4%.
- The share price is currently significantly higher than both public analyst targets.
Shares of FGI Industries Ltd. NASDAQ:FGI surged almost threefold on Thursday, as the kitchen-and-bath company posted a strong recovery in profit. At 12:07 EDT, Nasdaq listed the stock at $13.51, a rise of 185.6%. Trading volume exceeded 70.3 million shares.
FGI ranked among the market’s most-active stocks following the move, with shares surpassing their previous 52-week high of $12.62. The stock hit an intraday peak of $14.55.
| Market measure | Value at 12:07 EDT |
|---|---|
| FGI stock price | $13.51 |
| Change during session | +185.6% |
| Volume traded | 70.38 million shares |
| Day range | $7.07-$14.55 |
| 52-week previous range | $3.14-$12.62 |
The rise in earnings was confirmed. Revenue increased by 2.9% to $31.9 million. Gross profit surged 22.5% and gross margin widened by 530 basis points. A basis point is equivalent to one-hundredth of a percentage point.
| Second-quarter measure | 2026 | 2025 | Change |
|---|---|---|---|
| Revenue | $31.9 million | $31.0 million | Up 2.9% |
| Gross profit | $10.7 million | $8.7 million | Increase of 22.5% |
| Gross margin | 33.4% | 28.1% | Rise of 5.3 points |
| Operating income | $1.4 million | -$0.8 million | Improved by $2.2 million |
| Adjusted net income | $1.2 million | -$1.2 million | Improvement of $2.4 million |
Showers and sanitaryware recorded the highest growth, while bath furniture and other items saw a decline. This product mix boosted margins as overall sales remained nearly flat.
| Product category | Q2 2026 revenue | Q2 2025 revenue | Year-on-year |
|---|---|---|---|
| Sanitaryware | $19.1 million | $18.1 million | +5.9% |
| Bath furniture | $3.5 million | $4.1 million | -15.5% |
| Shower systems | $6.0 million | $5.2 million | +15.2% |
| Other | $3.2 million | $3.5 million | -9.2% |
CEO Dave Bruce stated, “The industry outlook remains uncertain due to tariffs and economic uncertainty.” Revenue in the US increased by 20.3%. In Canada, revenue declined 24.5%, and in Europe, it decreased 21.0%. SEC-filed executive commentary
Scale is the key measure for investors. FGI reported quarterly net income of approximately $1.3 million, or $0.65 per diluted share. These numbers suggest a diluted share count of nearly 2.0 million.
Nasdaq’s share price rise of $8.78 boosted equity value by about $17.6 million. This amount is 16 times FGI’s upper guidance for full-year adjusted net income of $1.1 million. The calculation remains preliminary as it is based on the diluted share count implied for the quarter.
The company maintained its 2026 outlook. Revenue guidance is steady at $134 million to $141 million. Adjusted operating income continues to be projected between $0.7 million and $2.5 million, and adjusted net income is forecast in a range from a $0.3 million loss up to a $1.1 million gain.
FGI reported that its cost of goods sold for the second quarter reflected trade-related recoveries under the International Emergency Economic Powers Act. The company’s adjusted full-year guidance does not factor in these trade recoveries, restricting any direct extrapolation from the quarterly results.
As of May 21, two analysts maintained Strong Buy ratings, but their published average target of $7.50 lagged behind Thursday’s intraday price of $13.51 by 44.5%. Analyst targets have yet to reflect the recent jump.
| Analyst recommendation measure | Latest published reading | Versus $13.51 |
|---|---|---|
| Strong Buy calls | 2 | Coverage limited |
| Hold calls | 0 | — |
| Sell calls | 0 | — |
| Lowest target | $7.00 | -48.2% |
| Mean target | $7.50 | -44.5% |
| Top target | $8.00 | -40.8% |
Risks continue to be elevated. Tariffs, sluggish demand in Canada and Europe, and the possibility that the one-quarter trade rebound may not persist could threaten the margin improvement. As of June 30, FGI reported $13.0 million in debt, offset by $4.4 million in cash.
The upcoming check is full-year guidance. Investors are looking for recurring operating profit to near the upper end of the range. Failing that, Thursday’s valuation shift relies primarily on one robust quarter.
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