Company: FGI
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001628280-25-052375
Chunk: 33

Company: FGI Industries Ltd.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 1A
Chunk 33
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Item 1A.     Risk Factors.

Our Annual Report on Form 10-K for the year ended December 31, 2024, includes a detailed discussion of our risk factors. At the time of this filing, except as provided below, there have been no material changes to the risk factors that were included in the Form 10-K.

There can be no assurance that our common stock will maintain compliance with the minimum bid price requirement or other applicable listing standards of The Nasdaq Stock Market LLC or another national securities exchange.

There can be no assurance that we will be able to continue to meet The Nasdaq Capital Market listing standards. We have in the past, and may in the future, be unable to comply with certain of the listing standards that we are required to 

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meet to maintain the listing of our common shares on The Nasdaq Capital Market. If we are unable to maintain compliance with all applicable listing standards, our common stock may no longer be listed on The Nasdaq Capital Market or another national securities exchange and the liquidity and market price of our common stock may be adversely affected.

On September 6, 2024, we received written notice from Nasdaq notifying us that we no longer complied with the minimum bid price requirement for continued listing on the Nasdaq Capital Market. On March 6, 2025, we received written notice from Nasdaq that it had granted the Company a 180-day extension to regain compliance with the minimum bid price requirement for continued listing on the Nasdaq Capital Market. On July 31, 2025, we effected a 1-for-5 reverse stock split and on August 14, 2025, we received written confirmation from Nasdaq notifying us that we had regained compliance with the minimum bid price requirement for continued listing on The Nasdaq Capital Market, and the matter is now closed.

If in the future we fail to meet Nasdaq’s continued listing requirements and Nasdaq delists our common stock from trading on its exchange and we are not able to list our securities on another national securities exchange, we could face significant material adverse consequences, including, without limitation, a substantial reduction in the liquidity of our common stock, which could limit our access to capital markets for any potential future fundraising.

Increases in tariffs, trade restrictions or taxes on our products could have an adverse impact on our operations.

The commerce we conduct in the international marketplace and our reliance on overseas manufacturing makes us subject to tariffs, trade restrictions and other taxes when the raw materials or components we purchase,