Caesarstone Reports Fourth Quarter and Full Year 2021 Financial Results

Rhea-AI Summary

Caesarstone Ltd. (CSTE) announced fourth quarter 2021 revenue of $171.1 million, a 25.0% increase year-over-year, while full year revenue reached a record $643.9 million, up 32.4%. Despite the growth, the company reported a net loss of $2.9 million for the fourth quarter, resulting in a $0.11 loss per share. The full year net income was $19.0 million, with a diluted EPS of $0.51. For 2022, Caesarstone expects revenue between $710 million and $725 million, signaling approximately 11% growth.

Positive

• Fourth quarter revenue increased 25.0% to $171.1 million.
• Full year revenue reached a record $643.9 million, up 32.4%.
• Introduced 2022 revenue guidance of $710 million to $725 million, indicating ~11% growth.

Negative

• Fourth quarter net loss of $2.9 million, or $0.11 per share.
• Gross margin decreased in fourth quarter to 23.2%, down from 28.1% year-over-year.
• Operating income fell to $3.3 million in Q4 from $8.1 million in the previous year.

– Fourth Quarter Revenue up 25.0% to $171.1 Million; up 24.2% on a Constant Currency Basis –

– Fourth Quarter Net Loss attributable to controlling Interest of $2.9 Million, or $0.11 Loss Per Share; Adjusted EPS of $0.01 –

– Full Year Revenue up 32.4% to a Record $643.9 Million; up 28.1% on a Constant Currency Basis –

– Full Year Net Income Attributable to Controlling Interest of $19.0 Million, Diluted EPS of $0.51; Adjusted Diluted EPS of $0.83 –

– Full Year Adjusted EBITDA up 9.9% to $68.2 Million –

– Introduces 2022 Annual Outlook –

MP MENASHE, Israel--(BUSINESS WIRE)-- Caesarstone Ltd. (NASDAQ: CSTE), a leading developer and manufacturer of high-quality engineered surfaces, today reported financial results for its fourth quarter and full year ended December 31, 2021.

“2021 marked a year of meaningful progress as we strive to reach our long-term growth targets in the coming years,” commented Yuval Dagim, Caesarstone’s Chief Executive Officer. “Our record fourth quarter and full year revenue reflects effective execution of our multi-faceted growth strategy and the benefits from increasing demand for our premium countertops globally. We benefitted substantially from the successful integration of our acquired businesses, multi-material strategy and our CS Connect platform.”

Mr. Dagim continued, “We are proud of our milestone revenue growth in 2021 and believe that our cash position^(*), planned multi-material product innovations, recent pricing actions and demand tailwinds allow us to confidently grow our business while navigating through the current cost environment. Caesarstone’s three strategic pillars continue to lay the foundation for financial growth as we become a global countertop leader with a long term goal of over $1 billion in revenues.”

(*) Cash position is defined as cash and cash equivalents and short-term bank deposits and long and short-term investment in marketable securities less debt from financial institutions.

Fourth Quarter 2021 Results

Revenue in the fourth quarter of 2021 grew 25.0% to a fourth quarter record of $171.1 million compared to $136.9 million in the prior year quarter. On a constant currency basis, fourth quarter revenue was higher by 24.2% year-over-year. Sales growth was primarily driven by improved demand across the majority of our global footprint in addition to the contribution of the Omicron acquisition.

Gross margin in the fourth quarter was 23.2% compared to 28.1% in the prior year quarter. Adjusted gross margin in the fourth quarter was 23.3% compared to 28.6% in the prior year quarter. The year-over-year reduction in gross margin mainly reflects higher raw material prices, particularly polyester, and shipping price increases which were partially offset by favorable product mix and selling price increases.

Operating expenses in the fourth quarter were $36.3 million, or 21.2% of revenue, compared to $30.4 million, or 22.2% of revenue in the prior year quarter. Excluding legal settlements and loss contingencies, adjusted operating expenses were 21.9% of revenue, compared to 21.2% in the prior year quarter, mainly due to a return to normalized levels of marketing and selling expenses and investments related to initiatives under the Company’s Global Growth Acceleration Plan.

Operating income in the fourth quarter was $3.3 million compared to operating income of $8.1 million in the prior year quarter. The year-over-year difference mainly reflects higher operating expenses.

Adjusted EBITDA, which excludes expenses for non-cash share-based compensation, legal settlements and loss contingencies and for non-recurring items, was $11.5 million in the fourth quarter, representing a margin of 6.7%. This compares to adjusted EBITDA of $18.8 million, representing a margin of 13.7%, in the prior year quarter. The year-over-year decrease primarily reflects the lower operating income.

Finance expense in the fourth quarter was $7.4 million compared to finance expense of $8.6 million in the prior year quarter. The difference was primarily a result of more favorable foreign currency exchange rates.

Net loss attributable to controlling interest for the fourth quarter was $2.9 million compared to net loss of $2.4 million in the prior year quarter. Net loss per share for the fourth quarter was $0.11 compared to net loss per share of $0.07 in the prior year quarter. Adjusted diluted net income per share for the fourth quarter was $0.01 on 34.6 million shares, compared to adjusted diluted net income per share of $0.05 in the prior year quarter on 34.5 million shares.

Full Year 2021 Results

Revenue in the full year 2021 grew 32.4% year over year and reached a company record of $643.9 million compared to $486.4 million in the prior year. On a constant currency basis, 2021 revenue was higher by 28.1% year-over-year, primarily due to improved demand across the majority of our global footprint in addition to the contribution of acquisitions.

Gross margin in 2021 was 26.6% compared to 27.5% in the prior year. Adjusted gross margin in 2021 was 26.8%, compared to 27.7% in the prior year. The difference in adjusted gross margin mainly reflects higher raw material prices, particularly polyester, and shipping price increases which were partially offset by favorable product mix, selling price increases and more favorable exchange rates.

Operating expenses in 2021 were $144.1 million, or 22.4% of revenue compared to $111.4 million, or 22.9% of revenue in the prior year. Excluding legal settlements and loss contingencies, adjusted operating expenses were 21.9% of revenue, compared to 21.6% of revenue in the prior year mainly due to cost cutting efforts in the prior year to mitigate pandemic related impacts.

Operating income in 2021 improved to $27.4 million compared to $22.5 million in the prior year.

Adjusted EBITDA, which excludes expenses for share-based compensation, legal settlements and loss contingencies and for non-recurring items, was $68.2 million in 2021, representing a margin of 10.6%. This compares to adjusted EBITDA of $62.1 million, representing a margin of 12.8% in the prior year. This year-over-year margin decrease primarily reflects lower gross margin and higher operating expenses to support revenue growth.

Finance expenses in 2021 were $7.6 million compared to $10.2 million in the prior year. The difference was primarily a result of higher income from the Company’s derivatives instruments.

Net income attributable to controlling interest for the full year 2021 was $19.0 million compared to net income of $7.2 million in the prior year. Diluted net income per share for 2021 was $0.51 compared to $0.21 in the prior year. Adjusted diluted net income per share for 2021 was $0.83 compared to $0.48 in the prior year.

Balance Sheet & Liquidity

As of December 31, 2021, the Company’s balance sheet remained strong, including cash, cash equivalents and short-term bank deposits and short and long-term marketable securities of $94.2 million and total debt to financial institutions of $12.5 million.

Dividend

The Company’s dividend policy provides for a quarterly cash dividend of up to 50% of reported net income on a year-to-date basis, less any amount already paid as dividend for the respective period (the “calculated dividend”), subject in each case to approval by the Company’s board of directors. No dividend is paid if it would be less than $0.10 per share. Pursuant to the Company’s dividend policy, the Company does not intend to pay a dividend for the fourth quarter of 2021, based on its reported net loss attributable to controlling interest for the period.

Outlook

The Company is introducing guidance for 2022 revenue to be in the range of $710 million to $725 million, implying approximately 11% growth over 2021 at the midpoint of the range, driven by volume and price improvements in our markets. Adjusted EBITDA as a percentage of sales is expected to be similar compared to 2021, primarily attributable to higher costs in connection with raw material prices, particularly polyester, and shipping costs that are anticipated to offset higher sales and selling prices.

Webcast and Conference Call Details

The Company will host a live webcast and conference call today at 8:30 a.m. ET to discuss the results, followed by a question and answer session for the investment community. The live webcast of the call can be accessed at ir.caesarstone.com. For those unable to access the webcast, the conference call will be accessible by dialing 1-877-407-4018 (domestic) or +1-201-689-8471 (international). The toll-free Israeli number is 1 80 940 6247. Upon dialing in, please request to join the Caesarstone Fourth Quarter Earnings Call.

To listen to a telephonic replay of the conference call, dial toll-free 1-844-512-2921 (domestic) or +1-412-317-6671 (international) and enter pass code 13726580. The replay will be available beginning at 11:30 a.m. ET on Wednesday, February 9, 2022 and will last through 11:59 p.m. ET on Wednesday, February 16, 2022.

About Caesarstone

Caesarstone is a concept and lifestyle-driven company with a customer-centered approach to designing, developing, and producing high-end engineered stone countertops, used in residential and commercial buildings. Our products offer superior aesthetic appeal and perfected functionality through a distinct variety of colors, styles, textures, and finishes used in diverse countertop applications, marked by inherent longevity. Strong commitment to service has fostered growing customer loyalty in over 50 countries where the Caesarstone product collections are available: Classico, Supernatural, Metropolitan and Outdoor. For more information please visit our website: www.caesarstone.com.

Non-GAAP Financial Measures

The non-GAAP measures presented by the Company should be considered in addition to, and not as a substitute for, comparable GAAP measures. Reconciliations of GAAP gross profit to adjusted gross profit, GAAP net income (loss) to adjusted net income (loss) and net income (loss) to Adjusted EBITDA are provided in the schedules to this release. To calculate revenues growth rates that exclude the impact of changes in foreign currency exchange rates, the Company converts actual reported results from local currency to U.S. dollars using constant foreign currency exchange rates in the current and comparable period. The Company provides these non-GAAP financial measures because it believes that they present a better measure of the Company's core business and management uses the non-GAAP measures internally to evaluate the Company's ongoing performance. Accordingly, the Company believes that they are useful to investors in enhancing an understanding of the Company's operating performance.

Forward-Looking Statements

Information provided in this press release may contain statements relating to current expectations, estimates, forecasts and projections about future events that are "forward-looking statements" within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as ”goals," “intend,” “seek,” “anticipate,” “believe,” “could,” “continue,” “expect,” “estimate,” “may,” “plan,” “outlook,” “future” and “project” and other similar expressions that predict, project or indicate future events or trends or that are not statements of historical matters. Such forward looking statements include statements regarding the Company’s sustainability goals and plans, intentions, expectations, assumptions, goals and beliefs regarding the Company’s business and sustainability vision. These forward-looking statements also may relate to the Company's plans, objectives and expectations for future operations, including estimations relating to the impact of the COVID-19 pandemic and mitigation measures in connection thereto, and expectations of the results of the Company’s business optimization initiatives. These forward-looking statements are based upon management's current estimates and projections of future results or trends. Actual results may differ materially from those projected as a result of certain risks and uncertainties, both known or unknown. These factors include, but are not limited to: the impact of the COVID-19 pandemic on end-consumers, the global economy and the Company’s business and results of operations; raw material shortages and prices and effects of challenges in global shipping; the ability of the company to realign aspects of its business based on the business optimization initiatives, the strength of the home renovation and construction sectors; intense competitive pressures; the extent of the Company’s ability to meet its ESG goals and targets, including the extent of the Company’s ability to maintain a healthy and safe environment for the Company’s employees; management of GHG and silica emissions; the degree of the Company’s ability to develop, produce and deliver high quality and safe products; the Company’s ability to effectively manage changes in its production and supply chain; the extent of the Company’s ability to build-out and expand into certain markets; the Company’s ability to effective manage its relationship with suppliers; the outcome of silicosis and other bodily injury claims; regulatory requirements relating to hazards associated with exposure to silica dust; efficiently manufacturing our products and managing changes in production and supply chain; economic conditions within any of our key existing markets; changes in raw material prices; fluctuations in currency exchange rates; the success of our expansion efforts in the United States; the unpredictability of seasonal fluctuations in revenues; disturbances to the Company’s operations or the operations of its suppliers, distributors, customers or other third parties and other factors, risks and uncertainties discussed under the sections "Risk Factors" and “Special Note Regarding Forward-Looking Statements and Risk Factor Summary” in our most recent annual report on Form 20-F filed with the Securities and Exchange Commission (the “SEC”) on March 22, 2021, and in other documents filed by Caesarstone with the SEC, which are available free of charge at www.sec.gov. These forward-looking statements are made only as of the date hereof, and the Company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Caesarstone Ltd. and its subsidiaries Condensed consolidated balance sheets
		As of
U.S. dollars in thousands		December 31, 2021				December 31, 2020
		(Unaudited)				(Audited)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents and short-term bank deposits		$	74,315			$	114,248
Short-term available for sale marketable securities			11,228				8,112
Trade receivables, net			82,815				84,822
Other accounts receivable and prepaid expenses			35,443				26,481
Inventories			204,725				152,073
Total current assets			408,526				385,736
LONG-TERM ASSETS:
Severance pay fund			4,090				4,007
Long-term deposits			3,832				3,837
Deferred tax assets, net			10,880				8,359
Other long-term receivables			449				1,675
Operating lease right-of-use assets			154,652				123,928
Long-term available for sale marketable securities			8,647				10,926
Property, plant and equipment, net			221,150				222,883
Goodwill and intangible assets, net			55,427				59,570
Total long-term assets			459,127				435,185
Total assets		$	867,653			$	820,921
LIABILITIES AND EQUITY
CURRENT LIABILITIES:
Short-term bank credit		$	12,523			$	13,122
Trade payables			81,369				55,063
Related parties and other loans			2,276				2,221
Short term legal settlements and loss contingencies			22,592				31,039
Accrued expenses and other liabilities			64,534				55,570
Total current liabilities			183,294				157,015
LONG-TERM LIABILITIES:
Long-term bank and other loans and financing liability of land from a related party			6,240				20,706
Legal settlements and loss contingencies long-term			20,859				21,910
Deferred tax liabilities, net			4,992				6,943
Long-term lease liabilities			143,324				112,719
Accrued severance pay			5,500				5,303
Long-term warranty provision			1,280				1,274
Total long-term liabilities			182,195				168,855
REDEEMABLE NON-CONTROLLING INTEREST			7,869				7,701
EQUITY:
Ordinary shares			371				371
Treasury shares - at cost			(39,430	)			(39,430	)
Additional paid-in capital			161,929				160,083
Capital fund related to non-controlling interest			(5,587	)			(5,587	)
Accumulated other comprehensive loss			(704	)			1,083
Retained earnings			377,716				370,830
Total equity			494,295				487,350
Total liabilities and equity		$	867,653			$	820,921

Caesarstone Ltd. and its subsidiaries
Condensed consolidated statements of income
		Three months ended December 31,								Twelve months ended December 31,
U.S. dollars in thousands (except per share data)		2021				2020				2021			2020
		(Unaudited)				(Unaudited)				(Unaudited)			(Audited)
Revenues		$	171,057			$	136,896			$	643,892		$	486,412
Cost of revenues			131,379				98,381				472,394			352,470
Gross profit			39,678				38,515				171,498			133,942
Operating expenses:
Research and development			1,177				1,501				4,216			3,974
Marketing and selling			22,594				17,752				85,725			62,047
General and administrative			13,746				9,779				50,845			39,081
Legal settlements and loss contingencies, net			(1,181	)			1,392				3,283			6,319
Total operating expenses			36,336				30,424				144,069			111,421
Operating income			3,342				8,091				27,429			22,521
Finance expenses, net			7,425				8,613				7,590			10,199
Income (loss) before taxes			(4,083	)			(522	)			19,839			12,322
Taxes on income			(780	)			1,459				1,950			4,700
Net income		$	(3,303	)		$	(1,981	)		$	17,889		$	7,622
Net loss (income) attributable to non-controlling interest			426				(404	)			1,077			(404	)
Net income (loss) attributable to controlling interest		$	(2,877	)		$	(2,385	)		$	18,966		$	7,218
Basic net income (loss) per ordinary share (*)		$	(0.11	)		$	(0.07	)		$	0.51		$	0.21
Diluted net income (loss) per ordinary share (*)		$	(0.11	)		$	(0.07	)		$	0.51		$	0.21
Weighted average number of ordinary shares used in computing basic income (loss) per ordinary share			34,471,363				34,436,345				34,462,328			34,419,129
Weighted average number of ordinary shares used in computing diluted income (loss) per ordinary share			34,471,363				34,436,345				34,570,111			34,473,911

(*) The numerator for the calculation of net income per share for the three and twelve months ended December 31, 2021 has been decreased by approximately $1.1 and $1.4 million, respectively, to reflect the adjustment to redemption value associated with the redeemable non-controlling interest.

Caesarstone Ltd. and its subsidiaries Selected Condensed consolidated statements of cash flows
		Twelve months ended December 31,
U.S. dollars in thousands			2021				2020
		(Unaudited)				(Audited)
Cash flows from operating activities:
Net income		$	17,889			$	7,622
Adjustments required to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			35,407				29,460
Share-based compensation expense			1,845				2,858
Accrued severance pay, net			121				(14	)
Changes in deferred tax, net			(4,473	)			(895	)
Capital (gain) loss			(3	)			340
Legal settlements and loss contingencies, net			3,283				6,319
Decrease in trade receivables			815				6,070
Decrease (increase) in other accounts receivable and prepaid expenses			(9,035	)			9,318
Decrease (increase) in inventories			(54,189	)			313
Increase (decrease) in trade payables			28,277				(17,938	)
Increase (decrease) in warranty provision			112				(371	)
Changes in right of use assets			(31,437	)			(26,738	)
Changes in lease liabilities			35,258				30,710
Amortization of premium and accretion of discount on marketable securities, net			412				161
Changes in Accrued interest related to Marketable Securities			42				(1	)
Increase (decrease) in accrued expenses and other liabilities including related parties			(3,352	)			404
Net cash provided by operating activities			20,972				47,618
Cash flows from investing activities:
Net cash paid for acquisitions			-				(28,962	)
Repayment of assumed shareholders loan related to acquisition			(1,966	)			-
Repayment of contingent consideration related to acquisition			(1,780	)			-
Purchase of property, plant and equipment			(31,477	)			(19,824	)
Proceeds from sale of property, plant and equipment			9				13
Investment in marketable securities, net			(1,343	)			(19,185	)
Increase in long term deposits			(108	)			(347	)
Net cash used in investing activities			(36,665	)			(68,305	)
Cash flows from financing activities:
Dividend paid			(10,681	)			(4,821	)
Changes in short-term bank credits and long-term loans			(11,761	)			(18	)
Repayment of a financing leaseback related to Bar-Lev transaction			(1,320	)			(1,245	)
Net cash used in financing activities			(23,762	)			(6,084	)
Effect of exchange rate differences on cash and cash equivalents			(478	)			1,647
							-
Decrease in cash and cash equivalents and short-term bank deposits			(39,933	)			(25,124	)
Cash and cash equivalents and short-term bank deposits at beginning of the period			114,248				139,372
Cash and cash equivalents and short-term bank deposits at end of the period		$	74,315			$	114,248
Non - cash investing:
Changes in trade payables balances related to purchase of fixed assets			(56	)			(356	)

	Caesarstone Ltd. and its subsidiaries
		Three months ended December 31,						Twelve months ended December 31,
	U.S. dollars in thousands	2021			2020			2021			2020
		(Unaudited)						(Unaudited)
	Reconciliation of Gross profit to Adjusted Gross profit:
	Gross profit	$	39,678		$	38,515		$	171,498		$	133,942
	Share-based compensation expense (a)		107			63			321			416
	Amortization of assets related to acquisitions		79			529			852			529
	Adjusted Gross profit (Non-GAAP)	$	39,864		$	39,107		$	172,671		$	134,887
(a)	Share-based compensation includes expenses related to stock options and restricted stock units granted to employees and directors of the Company.

	Caesarstone Ltd. and its subsidiaries
		Three months ended December 31,								Twelve months ended December 31,
	U.S. dollars in thousands		2021				2020				2021			2020
		(Unaudited)								(Unaudited)
	Reconciliation of Net Income (loss) to Adjusted EBITDA:
	Net income (loss)	$	(3,303	)		$	(1,981	)		$	17,889		$	7,622
	Finance expenses, net		7,425				8,613				7,590			10,199
	Taxes on income		(780	)			1,459				1,950			4,700
	Depreciation and amortization related to acquisitions		8,916				8,300				35,407			29,460
	Legal settlements and loss contingencies, net (a)		(1,181	)			1,392				3,283			6,319
	Contingent consideration adjustment related to acquisition		-				-				284			-
	Acquisition and integration related expenses		-				444				-			921
	Share-based compensation expense (b)		458				523				1,845			2,858
	Adjusted EBITDA (Non-GAAP)	$	11,535			$	18,750			$	68,248		$	62,079
(a)	Consists primarily of legal settlements expenses and loss contingencies, net, related to product liability claims.
(b)	Share-based compensation includes expenses related to stock options and restricted stock units granted to employees and directors of the Company.

	Caesarstone Ltd. and its subsidiaries
		Three months ended December 31,								Twelve months ended December 31,
	U.S. dollars in thousands (except per share data)		2021				2020				2021			2020
		(Unaudited)								(Unaudited)
	Reconciliation of net income (loss) attributable to controlling interest to adjusted net income attributable to controlling interest:
	Net income (loss) attributable to controlling interest	$	(2,877	)		$	(2,385	)		$	18,966		$	7,218
	Legal settlements and loss contingencies, net (a)		(1,181	)			1,392				3,283			6,319
	Contingent consideration adjustment related to acquisition		-				-				284			-
	Amortization of assets related to acquisitions, net of tax		502				446				2,391			446
	M&A related expenses		-				444				-			921
	Share-based compensation expense (b)		458				523				1,845			2,858
	Non cash revaluation of lease liabilities (c)		3,461				3,177				2,918			3,189
	Total adjustments		3,240				5,982				10,721			13,733
	Less tax on non-tax adjustments (d)		200				1,955				1,054			4,488
	Total adjustments after tax		3,040				4,027				9,667			9,245
	Adjusted net income attributable to controlling interest (Non-GAAP)	$	163			$	1,642			$	28,633		$	16,463
	Adjusted diluted EPS (e)	$	0.01			$	0.05			$	0.83		$	0.48
(a)	Consists primarily of legal settlements expenses and loss contingencies, net, related to product liability claims.
(b)	Share-based compensation includes expenses related to stock options and restricted stock units granted to employees and directors of the Company.
(c)	Exchange rate differences deriving from revaluation of lease contracts in accordance with FASB ASC 842.
(d)	Tax adjustments for the twelve months ended December 31, 2021 and 2020, based on the effective tax rates.
(e)	In calculating adjusted diluted (Non-GAAP) EPS for the three and twelve months ended December 31, 2021 and 2020, the diluted weighted average number of shares outstanding excludes the effects of share-based compensation expense in accordance with FASB ASC 718.

Caesarstone Ltd. and its subsidiaries
Geographic breakdown of revenues by region
		Three months ended December 31,						Twelve months ended December 31,
U.S. dollars in thousands		2021			2020			2021			2020
		(Unaudited)			(Unaudited)			(Unaudited)			(Audited)
USA		$	77,613		$	53,618		$	305,353		$	207,496
Canada			22,263			20,325			84,467			72,492
Latin America			1,618			1,387			4,702			2,149
America's			101,494			75,330			394,522			282,137
Australia			30,730			29,953			118,714			103,587
Asia			8,011			7,122			30,390			14,566
APAC			38,741			37,075			149,104			118,153
EMEA			18,160			14,408			60,836			45,201
Israel			12,662			10,083			39,430			40,921
Total Revenues		$	171,057		$	136,896		$	643,892		$	486,412

Caesarstone Ltd. and its subsidiaries
Geographic breakdown of revenues by region - Supplemental data
		Three months ended
U.S. dollars in thousands		12/31/2021			9/30/2021			6/30/2021			3/31/2021			12/31/2020			9/30/2020			6/30/2020		3/31/2020		12/31/2019		9/30/2019
		(Unaudited)
USA		$	77,613		$	79,065		$	77,844		$	70,831		$	53,618		$	52,097		$	41,726	$	60,055	$	64,659	$	64,805
Canada			22,263			22,479			21,946			17,779			20,325			19,174			14,435		18,558		20,575		21,881
Latin America			1,618			1,485			741			858			1,387			124			132		506		735		1,434
America's			101,494			103,029			100,531			89,468			75,330			71,395			56,293		79,119		85,969		88,120
Australia			30,730			29,215			31,597			27,172			29,953			27,746			23,534		22,354		26,000		28,642
Asia			8,011			7,232			7,370			7,777			7,122			2,881			1,732		2,831		3,932		3,675
APAC			38,741			36,447			38,967			34,949			37,075			30,627			25,266		25,185		29,932		32,317
EMEA			18,160			14,106			15,852			12,718			14,408			11,422			8,031		11,340		9,464		11,719
Israel			12,662			9,759			8,112			8,897			10,083			10,478			9,447		10,913		8,502		10,683
Total Revenues		$	171,057		$	163,341		$	163,462		$	146,032		$	136,896		$	123,922		$	99,037	$	126,557	$	133,867	$	142,839
		Year-over-year % change
		12/31/2021			9/30/2021			6/30/2021			3/31/2021			12/31/2020			9/30/2020
		(Unaudited)
USA			44.8	%		51.8	%		86.6	%		17.9	%		-17.1	%		-19.6	%
Canada			9.5	%		17.2	%		52.0	%		-4.2	%		-1.2	%		-12.4	%
Latin America			16.7	%		1097.6	%		461.4	%		69.6	%		88.8	%		-91.4	%
America's			34.7	%		44.3	%		78.6	%		13.1	%		-12.4	%		-19.0	%
Australia			2.6	%		5.3	%		34.3	%		21.6	%		15.2	%		-3.1	%
Asia			12.5	%		151.0	%		325.5	%		174.7	%		81.1	%		-21.6	%
APAC			4.5	%		19.0	%		54.2	%		38.8	%		23.9	%		-5.2	%
EMEA			26.0	%		23.5	%		97.4	%		12.2	%		52.2	%		-2.5	%
Israel			25.6	%		-6.9	%		-14.1	%		-18.5	%		18.6	%		-1.9	%
Total Revenues			25.0	%		31.8	%		65.1	%		15.4	%		2.3	%		-13.2	%
		Year-over-year % change in constant currency (*)
		12/31/2021			9/30/2021			6/30/2021			3/31/2021			12/31/2020			9/30/2020
		(Unaudited)
USA			44.8	%		51.8	%		86.6	%		17.9	%		-17.1	%		-19.6	%
Canada			5.8	%		11.0	%		35.1	%		-9.6	%		-2.4	%		-11.7	%
Latin America			16.7	%		1097.3	%		460.5	%		69.8	%		88.7	%		-91.3	%
America's			33.7	%		42.6	%		74.2	%		11.8	%		-12.7	%		-18.8	%
Australia			2.3	%		2.5	%		14.6	%		2.8	%		7.9	%		-7.1	%
Asia			13.0	%		148.9	%		312.8	%		169.5	%		80.7	%		-21.2	%
APAC			4.4	%		16.3	%		35.1	%		21.5	%		17.5	%		-8.7	%
EMEA			27.8	%		18.2	%		77.6	%		3.3	%		45.8	%		-5.9	%
Israel			20.1	%		-12.2	%		-20.5	%		-24.6	%		9.4	%		-4.5	%
Total Revenues			24.2	%		29.2	%		55.5	%		9.8	%		-0.4	%		-14.4	%

(*) Change in revenues at constant currency is calculated so that revenues can be viewed without the impact of fluctuations s in foreign currency exchange rates, thereby facilitating period-to-period comparisons of business performance. Change in revenues adjusted for currency are calculated by translating current period activity in local currency using the comparable prior-year period’s currency conversion rate. Exchange rates used, are the representative exchange rate published by the Bank of Israel for the relevant periods.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220209005193/en/

Investor Relations:

ICR, Inc. - Rodny Nacier

CSTE@icrinc.com

+1 (646) 200-8870

Source: Caesarstone Ltd.

FAQ

What were Caesarstone's fourth quarter 2021 earnings results?

Caesarstone reported fourth quarter 2021 revenue of $171.1 million, a 25.0% increase year-over-year, but a net loss of $2.9 million.

What is Caesarstone's 2022 revenue outlook?

Caesarstone expects 2022 revenue to range between $710 million and $725 million, indicating approximately 11% growth.

How did Caesarstone perform financially in 2021?

In 2021, Caesarstone achieved a record revenue of $643.9 million, with a net income of $19.0 million.

What was Caesarstone's adjusted EPS for Q4 2021?

Caesarstone's adjusted EPS for the fourth quarter 2021 was $0.01.