**"Flexsteel Industries Reports Strong 6.49% Revenue Growth: Navigating Market Recovery and Competitive Edge

Performance Review

Flexsteel Industries (FLXS) reported a total operating revenue of RMB113,972,000 as of March 31, 2025, up 6.49% from RMB107,219,000 as of March 31, 2024. This growth reflects the company's positive performance in sales and market expansion.

Key Financial Data

1. The operating revenue in 2025 was RMB113,972,000, up RMB6.75 million from 2024, with a growth rate of 6.49%.

2. The growth in market demand may be related to the overall economic recovery and increased consumer spending.

3. The company may have launched new products or improved existing ones, attracting more customers.

4. The optimization of sales strategies, such as strengthening online sales channels, may have increased customer reach.

5. The company's competitive advantages in the industry may have been strengthened, such as by improving product quality or reducing costs to increase market share.

Peer Comparison

1. Industry-wide analysis: The overall furniture industry faced a recovery in 2025, with many companies' operating revenues generally increasing, reflecting the revival of consumer demand for home products. The overall market is expected to grow by about 5%-7% in 2025, and Flexsteel's 6.49% growth rate is good in the industry.

2. Peer evaluation analysis: Flexsteel's operating revenue growth rate is slightly higher than the industry average, indicating its relative competitiveness in the market. Although other large furniture manufacturers also experienced similar growth, Flexsteel's growth rate indicates its outstanding performance in specific markets or product lines.

Summary

Flexsteel demonstrated strong revenue growth in 2025, mainly due to the recovery of market demand, product innovation, and optimized sales strategies. Through comparison with peers in the industry, Flexsteel maintained a good performance in competition, showing its stable market position.

Opportunities

1. Continue to launch new products and expand product lines to meet diversified consumer demands.

2. Leverage the growth opportunity of e-commerce channels to enhance online sales performance.

3. Further optimize supply chain management to reduce costs and improve profit margins.

4. Strengthen brand image and market promotion to attract more consumers.

Risks

1. Price fluctuations in the industry may affect the gross margin of products, especially the rise in raw material costs.

2. Intensified competition may lead to a loss of market share, especially during economic recovery.

3. Policy changes may have a negative impact on market demand, especially those related to consumer subsidies.

4. Changes in consumer preferences may affect product sales, especially the demand for personalized and customized products.