FST Corp. (NASDAQ: KBSX), a golf shaft manufacturer, reported a 27% revenue growth to $36.5M in FY2024, up from $28.7M in 2023. Golf shaft sales increased 27% to $35.3M, driven by the new KBS Taipei Flagship Store and expansion into high-end product lines. However, net loss widened by 49% to $3.2M ($0.09 per share) from $2.2M ($0.05 per share) in 2023. The increased losses were attributed to higher costs, including a 36% rise in cost of revenue, 29% increase in G&A expenses, and 15% growth in selling expenses. Cash position decreased to $5.1M in 2024 from $8.9M in 2023. Management expects improved cost control in 2025 and continued sales momentum from their new KBS PGW graphite shaft, with plans for expansion in Japan, Korea, and Europe.
FST Corp. (NASDAQ: KBSX), produttore di shaft per golf, ha registrato una crescita del fatturato del 27%, raggiungendo 36,5 milioni di dollari nell'anno fiscale 2024, rispetto ai 28,7 milioni del 2023. Le vendite di shaft per golf sono aumentate del 27%, arrivando a 35,3 milioni di dollari, grazie al nuovo negozio di punta KBS Taipei e all'espansione nelle linee di prodotti di fascia alta. Tuttavia, la perdita netta si è ampliata del 49%, attestandosi a 3,2 milioni di dollari (0,09 dollari per azione) rispetto ai 2,2 milioni (0,05 dollari per azione) del 2023. L'aumento delle perdite è stato attribuito a costi più elevati, inclusa una crescita del 36% del costo del fatturato, un incremento del 29% delle spese generali e amministrative e un aumento del 15% delle spese di vendita. La liquidità è scesa a 5,1 milioni di dollari nel 2024 dai 8,9 milioni del 2023. La direzione prevede un miglior controllo dei costi nel 2025 e un continuo slancio nelle vendite grazie al nuovo shaft in grafite KBS PGW, con piani di espansione in Giappone, Corea ed Europa.
FST Corp. (NASDAQ: KBSX), fabricante de ejes de golf, reportó un crecimiento de ingresos del 27% alcanzando 36.5 millones de dólares en el año fiscal 2024, frente a 28.7 millones en 2023. Las ventas de ejes de golf aumentaron un 27% hasta 35.3 millones, impulsadas por la nueva tienda insignia KBS Taipei y la expansión en líneas de productos de alta gama. Sin embargo, la pérdida neta se amplió un 49%, llegando a 3.2 millones de dólares (0.09 por acción) desde 2.2 millones (0.05 por acción) en 2023. El incremento en pérdidas se atribuyó a mayores costos, incluyendo un aumento del 36% en el costo de ingresos, un 29% en gastos generales y administrativos, y un 15% en gastos de venta. La posición de efectivo disminuyó a 5.1 millones en 2024 desde 8.9 millones en 2023. La gerencia espera un mejor control de costos en 2025 y un impulso continuo en ventas gracias al nuevo eje de grafito KBS PGW, con planes de expansión en Japón, Corea y Europa.
FST Corp. (NASDAQ: KBSX), 골프 샤프트 제조업체는 2024 회계연도에 매출이 27% 증가하여 3,650만 달러를 기록했으며, 2023년의 2,870만 달러에서 상승했습니다. 골프 샤프트 매출은 27% 증가한 3,530만 달러로, 새로운 KBS 타이베이 플래그십 스토어와 고급 제품 라인 확장에 힘입었습니다. 그러나 순손실은 49% 확대되어 320만 달러(주당 0.09달러)로, 2023년의 220만 달러(주당 0.05달러)에서 증가했습니다. 손실 증가 원인은 매출원가 36% 상승, 일반관리비 29% 증가, 판매비 15% 증가 등 비용 상승 때문입니다. 현금 보유액은 2024년에 510만 달러로, 2023년의 890만 달러에서 감소했습니다. 경영진은 2025년 비용 통제 개선과 새로운 KBS PGW 그래파이트 샤프트의 판매 모멘텀 지속을 기대하며, 일본, 한국, 유럽으로의 확장 계획을 가지고 있습니다.
FST Corp. (NASDAQ : KBSX), fabricant de shafts de golf, a annoncé une croissance du chiffre d'affaires de 27% à 36,5 millions de dollars pour l'exercice 2024, contre 28,7 millions en 2023. Les ventes de shafts de golf ont augmenté de 27% pour atteindre 35,3 millions, soutenues par la nouvelle boutique phare KBS Taipei et l'expansion dans les gammes de produits haut de gamme. Cependant, la perte nette s'est creusée de 49%, s'établissant à 3,2 millions de dollars (0,09 $ par action) contre 2,2 millions (0,05 $ par action) en 2023. Cette augmentation des pertes est due à des coûts plus élevés, incluant une hausse de 36% du coût des revenus, une augmentation de 29% des frais généraux et administratifs, et une croissance de 15% des frais de vente. La trésorerie a diminué, passant de 8,9 millions en 2023 à 5,1 millions en 2024. La direction prévoit une meilleure maîtrise des coûts en 2025 et un maintien de la dynamique des ventes grâce au nouveau shaft en graphite KBS PGW, avec des projets d'expansion au Japon, en Corée et en Europe.
FST Corp. (NASDAQ: KBSX), ein Hersteller von Golfschäften, meldete für das Geschäftsjahr 2024 ein Umsatzwachstum von 27% auf 36,5 Mio. USD, gegenüber 28,7 Mio. USD im Jahr 2023. Der Verkauf von Golfschäften stieg um 27% auf 35,3 Mio. USD, getrieben durch den neuen KBS Taipei Flagship Store und die Erweiterung in hochwertige Produktlinien. Der Nettoverlust vergrößerte sich jedoch um 49% auf 3,2 Mio. USD (0,09 USD je Aktie) gegenüber 2,2 Mio. USD (0,05 USD je Aktie) im Jahr 2023. Die höheren Verluste wurden auf gestiegene Kosten zurückgeführt, darunter ein 36%iger Anstieg der Umsatzkosten, eine 29%ige Zunahme der Verwaltungs- und Gemeinkosten sowie ein 15%iges Wachstum der Vertriebskosten. Die Liquiditätsposition sank von 8,9 Mio. USD im Jahr 2023 auf 5,1 Mio. USD im Jahr 2024. Das Management erwartet für 2025 eine verbesserte Kostenkontrolle und eine anhaltende Verkaufsmomentum durch den neuen KBS PGW Graphitschacht, mit Expansionsplänen in Japan, Korea und Europa.
Positive
27% revenue growth to $36.5M in 2024
Golf shaft sales increased 27% to $35.3M
New revenue stream from software distributor service ($248,688)
17% increase in gross profit
Multiple wins on PGA and LIV tours enhancing brand visibility
Strategic expansion plans for Japan, Korea, and Europe markets
Negative
Net loss increased 49% to $3.2M
36% increase in cost of revenue
29% increase in G&A expenses
15% increase in selling expenses
Cash position declined from $8.9M to $5.1M
Significant increase in income tax expense
Insights
FST Corp reported 27% revenue growth but widened losses by 49%, with cash declining 43% amid rising operational costs.
FST Corp's 27% revenue growth to $36.5 million masks concerning underlying financials. While the company successfully expanded its golf shaft sales through new high-end product lines and international expansion via the KBS Taipei store, the 49% increase in net losses to $3.2 million raises significant red flags.
The deteriorating profit margins result from multiple cost increases outpacing revenue growth: cost of revenue jumped 36%, general administrative expenses rose 29%, and selling expenses increased 15%. Most concerning is the $3.8 million cash burn, with cash reserves declining from $8.9 million to $5.1 million – a 43% reduction year-over-year.
The widening loss per share from $0.05 to $0.09 occurred despite a 18% reduction in outstanding shares (from 46.2 million to 37.7 million), indicating the per-share performance is even worse than headline numbers suggest. Additionally, while the company mentioned revenue growth from a new software distributor service ($248,688), this represents less than 1% of total revenue.
Management's forward-looking statements focus on new product introductions and international expansion but lack concrete plans for addressing the core profitability issues. Their acknowledgment of cost control problems with a vague promise of "significant improvement" in 2025 provides little substantive reassurance given the accelerating cash burn rate. The $13.5 million in non-current liabilities also presents potential future challenges if profitability doesn't materialize.
BOULDER, CO, May 16, 2025 (GLOBE NEWSWIRE) -- FST Corp. (Nasdaq: KBSX), a leading manufacturer and marketer of steel and graphite golf shafts and a provider of other golf-related services, today announced that, for the fiscal year ended December 31, 2024, the Company had revenue of $36,499,644, a 27 percent increase compared with revenue of $28,730,549 for the fiscal year ended December 31, 2023.
The Company had a net loss of $3,235,175, or $(.09) per share, for fiscal 2024, a 49 percent increase compared with a net loss of $2,167,611, or $(.05) per share, for fiscal 2023.
FST’s increase in revenue was primarily due to increased sales of golf shafts, which grew to $35,315,363 in fiscal 2024, from $27,825,905 in fiscal 2023, an improvement of 27 percent. The increase in golf shaft sales was mainly attributable to the enhanced brand awareness generated by the opening of the KBS Taipei Flagship Store during fiscal 2024 and the expansion during that year of the Company’s brand portfolio to include more high-end product lines. FST’s 2024 revenue was also boosted by revenue generated from a new software distributor service, totaling $248,688, compared with no such revenue in 2023. Revenue from sales of sports accessories, food and beverage increased by 3 percent to $935,593 in 2024, compared with $904,644 in 2023.
The Company’s increased net loss was mainly the result of increases of $5,498,723, or 36 percent, in cost of revenue, $1,688,983, or 29 percent, in general and administrative expenses, $1,338,772, or 15 percent, in selling expenses, as well as increases of $1,207,317 in income tax expense and $528,625 in interest expense, compared to 2023. These increases were offset in part by increases of $2,270,372, or 17 percent, in gross profit, and $664,415, or 341 percent, in other income, compared with 2023.
FST’s increase in selling expenses in 2024 was primarily due to the opening of its KBS Taipei Flagship Store and the establishment of a machining tool department. The Company’s rise in general and administrative expenses in that year was primarily due to increased transaction and professional fees incurred in connection with the Business Combination and SPAC merger for the year ended December 31, 2024. The increase in income tax expense in 2024 was due to a change in deferred tax asset valuation allowance for that year.
As of December 31, 2024, and December 31, 2023, FST had cash and cash equivalents of $5,098,420 and $8,904,618, respectively, which consisted of cash, bank deposits, and short-term, highly liquid investments readily convertible to cash.
For 2024 and 2023, respectively, net cash used in operating activities was $1,576,129 and $11,205,424, net cash used in investing activities was $4,453,899 and $11,592,307, and net cash generated from financing activities was $3,711,358 and $11,302,462.
Total non-current liabilities were $13,469,262 and $14,521,362 at December 31, 2024, and December 31, 2023, respectively.
The weighted average number of ordinary shares was 37,749,381 for 2024 and 46,207,400 for 2023.
“Our increase in revenue over 2023 was a result of our successful introduction of several high-end product lines, many of which were showcased at our newest KBS Flagship Store in Taipei in 2024,” said FST’s chief executive, David Chuang. “In addition, our multiple wins on the PGA and LIV tours during 2024 had a positive effect on stimulating sales and permitted us to not only maintain visibility amongst our retail customers, but also amongst major golf club manufacturers such as TaylorMade, Callaway, PXG, and others.”
“Regarding cost control, although our selling and G&A expenses did impact our bottom line in 2024, we expect both to show significant improvement in 2025.”
“Looking forward, we expect our sales momentum to continue, boosted by a revenue contribution from our recently introduced graphite shaft, KBS PGW. We also expect in 2025 to strategically position the company in Japan, Korea, and Europe for continued growth by capitalizing on these markets.”
“As always, we remain committed to sustaining our reputation as a provider of the finest golf shafts available anywhere in the world.”
About FST Corp.
Founded in 1992, FST Corp. manufactures and sells golf club shafts, along with other golf-related items, to golf equipment brands, OEMs, distributors, and consumers via the company’s KBS Golf Experience retail outlets. FST’s equipment, marketed under the KBS brand, is utilized by golfers at all levels, including many professional players participating in the PGA and other major golf associations. The company’s product portfolio, retail presence, and golf-related services are part of a vertically integrated business model that has established the KBS brand on a global scale and created significant competitive advantages over peer brands. The company’s growth strategies currently position it for expansion into the PRC and other under-tapped golf shaft markets.
Forward-Looking Statements
This press release contains forward-looking statements regarding future expectations, plans, and prospects, as well as statements that are not historical facts. These statements involve known and unknown risks, uncertainties, and assumptions based on the Company’s current expectations about events that may impact its financial condition, results, strategy, and needs. Forward-looking statements can often be identified by terms such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “likely,” and similar expressions.
The Company assumes no obligation to update or revise these statements to reflect new events or changes in expectations, except as required by law. While these statements reflect reasonable expectations, actual results may differ materially. Investors are encouraged to review the Company’s registration statement and SEC filings for additional information on factors that may impact future results.
Company Contact: FST Corp. 1801 13th Street, Suite 306, Boulder, CO 80302 Office: 303-444-2226 Email: investorrelations@fstshafts.com
Investor Relations Inquiries: Skyline Corporate Communications Group, LLC Scott Powell, President 1177 Avenue of the Americas, 5th Floor New York, New York 10036 Office: (646) 893-5835 Email: info@skylineccg.com
FAQ
What was KBSX's revenue growth in fiscal year 2024?
FST Corp. (KBSX) reported a 27% revenue growth, reaching $36.5 million in fiscal year 2024, compared to $28.7 million in 2023.
Why did FST Corp's net loss increase in 2024?
FST Corp's net loss increased 49% due to higher costs, including 36% increase in cost of revenue, 29% rise in G&A expenses, 15% growth in selling expenses, and increases in income tax and interest expenses.
What drove KBSX's revenue growth in 2024?
The revenue growth was primarily driven by increased golf shaft sales, the opening of the KBS Taipei Flagship Store, expansion into high-end product lines, and a new software distributor service.
What are FST Corp's expansion plans for 2025?
FST Corp plans to strategically position the company in Japan, Korea, and Europe markets for continued growth, while expecting sales momentum from their new KBS PGW graphite shaft.
How much cash does KBSX have as of December 31, 2024?
FST Corp had $5.1 million in cash and cash equivalents as of December 31, 2024, down from $8.9 million in 2023.
An email has been sent to your address with instructions for changing your password.
There is no user registered with this email.
Sign Up
To create a free account, please fill out the form below.
Thank you for signing up!
A confirmation email has been sent to your email address. Please check your email and follow the instructions in the message to complete the registration process. If you do not receive the email, please check your spam folder or contact us for assistance.
Welcome to our platform!
Oops!
Something went wrong while trying to create your new account. Please try again and if the problem persist, Email Us to receive support.
