Caesarstone Ltd. (NASDAQ:CSTE) reported mixed fourth-quarter results on Wednesday, with revenue topping expectations but earnings missing analyst forecasts as the engineered surfaces maker continues to implement its restructuring strategy.
Shares of the company gained 2.44% in after-hours trading following the announcement.
The company reported an adjusted loss of $0.48 per share for the quarter, wider than the analyst consensus estimate of a $0.28 loss.
Revenue reached $94.4 million, exceeding expectations of $92 million, although it declined 3.5% year over year from $97.9 million in the same quarter last year.
On a constant currency basis, revenue fell 5.0% compared with the prior year, reflecting continued weakness in global demand and ongoing competitive pressures, particularly in the North American market.
During the quarter, Caesarstone completed the closure of its Bar-Lev manufacturing facility in Israel, recording non-cash impairment charges of $45.7 million and restructuring costs of $3.1 million.
Once the restructuring program is fully implemented, the company expects to achieve annualized cash savings of between $20 million and $22 million.
Together with other cost-reduction measures introduced in recent years, total annualized savings are projected to reach roughly $100 million since 2023.
“With the Bar-Lev closure behind us and our transition to third party production partners progressing as planned, we enter 2026 with a significantly more flexible and efficient operating structure,” said Chief Financial Officer Nahum Trost.
Adjusted EBITDA for the quarter showed a loss of $11.1 million, compared with a loss of $8.0 million in the same period a year earlier. The company reaffirmed its expectation of achieving positive adjusted EBITDA by the third quarter of 2026.
For the full year 2025, Caesarstone reported revenue of $397.2 million, down 10.4% from $443.2 million in 2024.