The Dixie Group, Inc. manufactures and markets carpet and rugs for residential and commercial customers. The company reported its fourth-quarter and full-year 2025 financial results on March 26, 2026, showing modest sales declines but a meaningful improvement in profitability versus the prior year.
For the fourth quarter of 2025, net sales were $63.48 million, down 1.4% from $64.33 million in the fourth quarter of 2024. The company reported a net loss of $3 million, compared with a net loss of $7.19 million in the prior-year quarter. Diluted net loss per share was $0.21.
For full-year 2025, net sales were $257.42 million, down 2.9% from $265.02 million in 2024. Net loss from continuing operations improved to $7.27 million, or $0.50 per diluted share, versus $12.21 million, or $0.83 per diluted share, in 2024. Overall net loss for the year was $7.61 million, compared with $13 million in the prior year.
Profitability improved despite weaker sales. Gross margin for full-year 2025 increased to 27.0% from 24.7% in 2024, while fourth-quarter gross margin rose to 27.0% from 21.7% a year earlier. The company said the improvement was driven by lower raw-material and manufacturing costs.
