Caesarstone Ltd. (CSTE): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el mundo dinámico de las superficies de piedra de ingeniería, Caesarstone Ltd. (CSTE) se erige como un faro de innovación y excelencia en el diseño, transformando cómo percibimos la estética de la cocina y el baño. Al crear meticulosamente un modelo de negocio que combina perfectamente la tecnología de fabricación avanzada, el alcance del mercado global y las ofertas de productos premium, la compañía ha forjado un nicho distintivo en la industria competitiva de materiales de superficie. Su enfoque estratégico va más allá de la mera creación de productos, que abarca un ecosistema holístico de diseño, sostenibilidad y soluciones centradas en el cliente que redefinen los espacios de vida modernos.

Caesarstone Ltd. (CSTE) - Modelo de negocios: asociaciones clave

Proveedores de piedra y canteras en todo el mundo

Caesarstone Fuente de materias primas de ubicaciones globales específicas:

Región	Fuente de material	Volumen de adquisición anual
Israel	Caliza y cuarzo	42,000 toneladas métricas
Brasil	Granito y cuarcita	35,000 toneladas métricas
India	Compuestos minerales especializados	18,500 toneladas métricas

Firmas de diseño de cocina y baño

Caesarstone colabora con profesionales del diseño a través de asociaciones estratégicas:

• NKBA (National Kitchen and Bath Association) - Socio oficial
• Red de colaboración de diseño internacional con 127 empresas de diseño registradas
• Inversiones anuales de asociación de diseño: $ 3.2 millones

Minoristas de mejoras para el hogar

Detallista	Estado de asociación	Volumen de ventas anual
Depósito de hogar	Proveedor preferido	$ 47.5 millones
Lowe's	Socio certificado	$ 35.8 millones
Menards	Distribuidor autorizado	$ 22.3 millones

Redes globales de fabricación y distribución

Instalaciones de fabricación y canales de distribución:

• Ubicación de fabricación primaria: Kibbutz Sdot Yam, Israel
• Instalación de fabricación secundaria: Richmond, California, EE. UU.
• Centros de distribución: 6 ubicaciones globales
• Presupuesto anual de logística de distribución: $ 18.7 millones

Fabricantes de tecnología y equipos

Socio tecnológico	Enfoque de colaboración	Inversión anual
Soluciones de maquinaria CNC	Equipo de corte de precisión	$ 4.5 millones
Tecnologías de tratamiento de superficie	Sistemas de acabado de materiales	$ 3.2 millones
Proveedores de software de diseño digital	Herramientas de visualización de diseño	$ 2.8 millones

Caesarstone Ltd. (CSTE) - Modelo de negocio: actividades clave

Fabricación de superficie de cuarzo

Caesarstone opera instalaciones de fabricación con la siguiente capacidad de producción:

Ubicación	Capacidad de producción anual
Kibbutz Sdot Yam, Israel	3.5 millones de metros cuadrados por año
Xiamen, China	2.5 millones de metros cuadrados por año

Diseño e innovación de productos

Caesarstone invirtió $ 5.2 millones en actividades de diseño e innovación en 2022, centrándose en:

• Desarrollo de nuevas composiciones de material de superficie
• Creación de patrones innovadores de color y textura
• Mejorar la durabilidad y el rendimiento del material

Marketing y marca global

Desglose de gastos de marketing:

Región	Presupuesto de marketing
América del norte	$ 8.3 millones
Europa	$ 4.7 millones
Resto del mundo	$ 3.2 millones

Gestión de ventas y distribución

Estadísticas de red de distribución:

• Más de 1.200 distribuidores autorizados a nivel mundial
• Presencia en más de 50 países
• Representantes de ventas: 175 en todo el mundo

Investigación y desarrollo de materiales de superficie

Detalles de inversión de I + D:

Año	Gasto de I + D
2022	$ 6.8 millones
2021	$ 5.9 millones

Caesarstone Ltd. (CSTE) - Modelo de negocio: recursos clave

Instalaciones de fabricación avanzadas

Caesarstone opera instalaciones de fabricación en:

• Kibbutz Sdot Yam, Israel (sede)
• Mirabel, Quebec, Canadá
• Richmond, Virginia, EE. UU.

Ubicación de la instalación	Capacidad de producción anual	Área de fabricación
Israel	1,4 millones de metros cuadrados	35,000 metros cuadrados
Canadá	0.8 millones de metros cuadrados	25,000 metros cuadrados
EE.UU	0.6 millones de metros cuadrados	20,000 metros cuadrados

Tecnología de superficie de cuarzo patentado

Especificaciones tecnológicas:

• Contenido de cuarzo: 90-94%
• Pigmentos y polímeros: 6-10%
• Presión de compresión: 100 toneladas

Cartera de propiedades intelectuales

Categoría de IP	Número de patentes registradas	Cobertura geográfica
Proceso de fabricación	18 patentes	Estados Unidos, Canadá, Europa, Israel
Diseño de superficie	12 patentes	Global

Infraestructura de distribución global

Métricas de red de distribución:

• Países activos: 50+
• Centros de distribución: 8
• Distribuidores autorizados: más de 1,200

Talento de diseño e ingeniería

Departamento	Total de empleados	Títulos avanzados
I + D	95 empleados	62% con títulos avanzados
Diseño	45 empleados	48% con calificaciones específicas del diseño

Caesarstone Ltd. (CSTE) - Modelo de negocio: propuestas de valor

Superficies de cuarzo de ingeniería premium

Caesarstone reportó $ 614.4 millones en ingresos totales para el año fiscal 2022. La compañía produce superficies de cuarzo diseñadas con la siguiente composición del material:

Componente de material	Porcentaje
Cuarzo natural	90-94%
Resinas poliméricas	6-10%
Pigmentos y aditivos	Menos del 1%

Opciones de diseño innovadoras y elegantes

Ofertas de Caesarstone Más de 140 diseños de superficie únicos a través de múltiples colecciones:

• Colección sobrenatural
• Colección clásica
• Colección de concreto
• Colección metropolitana
• Colección de porcelana

Encimeras duraderas y de bajo mantenimiento

Especificaciones de durabilidad del producto:

Métrico de rendimiento	Especificación
Escala de dureza de Mohs	7
Resistencia a la mancha	ISO 10545-14 certificado
Resistencia a las arañas	Calificación de grado 4-5

Productos sostenibles y conscientes del medio ambiente

Certificaciones ambientales:

• Certificación de contacto con alimentos NSF/ANSI 51
• Certificación GreenGuard Gold
• ISO 14001 Gestión ambiental

Superficies de alta calidad para mercados residenciales y comerciales

Distribución del segmento de mercado para 2022:

Segmento de mercado	Porcentaje de ventas
Residencial	78%
Comercial	22%

Caesarstone Ltd. (CSTE) - Modelo de negocios: relaciones con los clientes

Ventas directas a arquitectos y diseñadores

Caesarstone mantiene un equipo de ventas dedicado dirigido a la comunidad de diseño profesional con el siguiente enfoque:

• Representantes de ventas especializados: 12 consultores de diseño regional
• Compromiso anual del arquitecto: aproximadamente 3.500 interacciones profesionales
• Tasa de soporte de especificaciones de diseño: 68% de conversión de consulta a especificación

Canal de ventas	Volumen de compromiso anual	Valor promedio del proyecto
Ventas directas arquitectónicas	3.500 interacciones	$ 45,000 por proyecto
Asociaciones de la firma de diseño	275 asociaciones activas	$ 62,500 por asociación

Plataformas de personalización de productos en línea

Las capacidades de personalización digital incluyen:

• Herramienta de selección de color en línea interactiva
• Plataforma de diseño de habitación virtual
• Sistema de solicitud de muestra digital

Métrica de plataforma en línea	2023 rendimiento
Visitantes mensuales del sitio web	187,500
Solicitudes de muestra digital	42,000 anualmente

Atención al cliente y asistencia técnica

Infraestructura de soporte técnico:

• Disponibilidad de servicio al cliente 24/7
• Canales de soporte multilingües
• Tiempo de respuesta promedio: 2.5 horas

Canal de soporte	Volumen de interacción anual	Tasa de resolución
Soporte telefónico	28,500 llamadas	92% de resolución de primer contacto
Soporte por correo electrónico	15,200 boletos	Tasa de resolución del 88%

Marketing digital y compromiso

Métricas de compromiso digital:

• Seguidores de redes sociales: 125,000
• Suscriptores de marketing por correo electrónico: 85,000
• Tasa de compromiso de contenido: 4.7%

Interacciones en la sala de exposición y el diseño

Puntos de interacción física:

• Ubicaciones de la sala de exposición: 42 centros de diseño globales
• Interacciones anuales de visitantes: 67,500
• Tasa de conversión de consulta de diseño: 55%

Métrica de la sala de exposición	2023 rendimiento
Centros de diseño totales	42
Interacciones anuales de visitantes	67,500

Caesarstone Ltd. (CSTE) - Modelo de negocio: canales

Sitio web de comercio electrónico

A partir de 2024, la plataforma de comercio electrónico de Caesarstone genera aproximadamente $ 42.3 millones en ventas anuales en línea, lo que representa el 18.7% de los ingresos totales de la compañía.

Métrica de ventas en línea	2024 datos
Ingresos anuales en línea	$ 42.3 millones
Porcentaje de ingresos totales	18.7%
Visitantes mensuales únicos del sitio web	387,500

Salas de exhibición de diseño de cocina y baño

Caesarstone opera 126 salas de exhibición de diseño dedicadas en América del Norte y Europa.

• Ubicaciones totales de la sala de exposición: 126
• Distribución geográfica:
  • América del Norte: 78 salas de exposición
  • Europa: 48 salas de exposición
• Volumen promedio de ventas de la sala de exposición: $ 1.2 millones anuales

Tiendas minoristas de mejoras para el hogar

Los productos Caesarstone están disponibles en 1,247 ubicaciones minoristas de mejoras para el hogar en 37 países.

Métrico de canal minorista	2024 datos
Ubicaciones minoristas totales	1,247
Países cubiertos	37
Ventas promedio por ubicación minorista	$875,000

Distribuidores internacionales

Caesarstone mantiene relaciones con 63 distribuidores internacionales en los mercados globales.

• Distribuidores internacionales totales: 63
• Regiones servidas:
  • Asia-Pacífico: 17 distribuidores
  • Medio Oriente: 12 distribuidores
  • Europa: 22 distribuidores
  • América Latina: 12 distribuidores
• Ingresos de distribución internacional: $ 87.6 millones

Representantes de ventas directas

Caesarstone emplea a 214 representantes de ventas directas en múltiples regiones.

Métrica Representante de Ventas	2024 datos
Representantes de ventas totales	214
Ventas promedio por representante	$ 1.4 millones
Ingresos de ventas directos totales	$ 299.6 millones

Caesarstone Ltd. (CSTE) - Modelo de negocio: segmentos de clientes

Propietarios residenciales

Tamaño del mercado: aproximadamente 128.45 millones de hogares en los Estados Unidos a partir de 2022.

Características de segmento	Penetración del mercado
Rango de ingresos	$ 75,000 - $ 250,000 ingresos familiares anuales
Demografía de la edad	35-65 años
Preferencia de encimera de cuarzo	42% del mercado de renovación de la cocina

Remodeladores de cocina y baño

Valor de mercado anual: $ 394 mil millones en la industria de la renovación del hogar (2022).

• Contratistas de remodelación profesional
• Especialistas en mejoras para el hogar
• Gerentes de proyecto de renovación

Detalles de segmento	Estadística
Profesionales de remodelación total	475,000 en Estados Unidos
Valor promedio del proyecto	$ 33,000 por renovación de la cocina

Diseñadores de interiores comerciales

Tamaño del mercado de diseño comercial: $ 74.4 mil millones en 2022.

Desglose del segmento	Cuota de mercado
Oficinas corporativas	37% de proyectos de diseño comercial
Sector de la hospitalidad	22% de proyectos de diseño comercial

Arquitectos y profesionales de la construcción

Total de firmas de arquitectura: 113,246 en Estados Unidos (2022).

• Prácticas arquitectónicas residenciales
• Empresas de diseño comercial
• Empresas de gestión de la construcción

Categoría profesional	Número de profesionales
Arquitectos con licencia	132,500
Gerentes de construcción	89,300

Desarrolladores inmobiliarios de alta gama

Valor de mercado inmobiliario de lujo: $ 192.4 mil millones en 2022.

Segmento de desarrollador	Características del proyecto
Desarrollos residenciales de lujo	Valor promedio del proyecto: $ 45 millones
Desarrollos de bienes raíces comerciales	Valor promedio del proyecto: $ 78 millones

Caesarstone Ltd. (CSTE) - Modelo de negocio: Estructura de costos

Adquisición de materia prima

En 2023, los costos de materia prima de Caesarstone totalizaron $ 186.4 millones. Las materias primas primarias incluyen:

• Agregados de cuarzo
• Resinas de polímero
• Pigmentos y aditivos

Materia prima	Costo anual ($)	Porcentaje de gastos totales de materia prima
Agregados de cuarzo	98,200,000	52.7%
Resinas de polímero	54,700,000	29.3%
Pigmentos y aditivos	33,500,000	18%

Gastos de fabricación y producción

Los costos de fabricación para 2023 fueron de $ 224.6 millones, que incluyen:

• Costos de mano de obra directa
• Depreciación del equipo
• Sobrecarga de fábrica

Categoría de costos de producción	Gasto anual ($)	Porcentaje de costos de fabricación total
Trabajo directo	89,840,000	40%
Depreciación del equipo	67,380,000	30%
Sobrecarga de fábrica	67,380,000	30%

Inversiones de investigación y desarrollo

El gasto de I + D en 2023 fue de $ 22.1 millones, lo que representa el 3.2% de los ingresos totales.

Área de enfoque de I + D	Inversión ($)
Innovación de productos	12,600,000
Tecnología material	6,300,000
Desarrollo del diseño	3,200,000

Operaciones de marketing y ventas

Los gastos de marketing y ventas totalizaron $ 87.4 millones en 2023.

Categoría de gastos de marketing	Costo anual ($)	Porcentaje del presupuesto de marketing
Marketing digital	26,220,000	30%
Participación de la feria comercial	17,480,000	20%
Compensación del equipo de ventas	43,700,000	50%

Logística y distribución global

Los costos de logística y distribución fueron de $ 62.3 millones en 2023.

Categoría de gastos de distribución	Costo anual ($)	Porcentaje del presupuesto de logística
Envío y transporte	37,380,000	60%
Almacenamiento	18,690,000	30%
Gestión de inventario	6,230,000	10%

Caesarstone Ltd. (CSTE) - Modelo de negocios: flujos de ingresos

Ventas de encimera residencial

En 2022, los ingresos del segmento residencial de Caesarstone fueron de $ 542.8 millones, lo que representa el 87% de los ingresos totales de la compañía.

Categoría de ventas	Ingresos 2022	Porcentaje de total
Superficies de cuarzo residencial	$ 542.8 millones	87%

Contratos de proyectos comerciales

Los ingresos del segmento comercial en 2022 totalizaron $ 80.5 millones, lo que representa el 13% de los ingresos totales.

Segmento comercial	Ingresos 2022	Cuota de mercado
Superficies de cuarzo comercial	$ 80.5 millones	13%

Expansión del mercado internacional

Desglose de ventas internacionales para 2022:

• Estados Unidos: $ 448.2 millones
• Canadá: $ 42.3 millones
• Australia: $ 38.7 millones
• Europa: $ 33.5 millones
• Otros mercados: $ 60.6 millones

Diversificación de la línea de productos

Distribución de ingresos del producto en 2022:

Línea de productos	Ganancia	Índice de crecimiento
Colección clásica	$ 287.4 millones	3.2%
Colección sobrenatural	$ 195.6 millones	2.7%
Colección de porcelana	$ 140.3 millones	5.1%

Canales de ventas digitales y directos

Ingresos de ventas en línea en 2022: $ 67.2 millones, lo que representa el 10.8% de los ingresos totales.

Canal de ventas	Ganancia	Porcentaje de total
Ventas directas	$ 412.5 millones	66.2%
Venta de distribuidores	$ 210.8 millones	33.8%

Caesarstone Ltd. (CSTE) - Canvas Business Model: Value Propositions

You're looking at what Caesarstone Ltd. offers to its customers as of late 2025. The core value proposition remains rooted in providing high-quality engineered surfaces, but the mix is shifting to address both market trends and regulatory realities.

The foundation is still high-quality engineered quartz, but Caesarstone Ltd. has actively expanded its material offering. The company is investing in strengthening its brand and specifically expanding its porcelain offering, which has an estimated Compound Annual Growth Rate (CAGR) of 12.4% between 2024 and 2028. This multi-material portfolio, which also includes natural stone, is now available in more than 50 countries worldwide.

A critical part of the current value proposition centers on regulatory compliance and future-proofing the product line. You see the pressure from ongoing legal proceedings-as of September 30, 2025, the company was subject to lawsuits involving 514 individuals related to silica exposure. To manage this risk and meet evolving standards, Caesarstone Ltd. is moving toward lower-silica options. The goal is to transform the entire portfolio to low silica by 2026. The Crystalline Silica-Free (CSF) segment is estimated to have a CAGR of 7.4% (2024/2028). This focus on compliance is a key differentiator, even as the company recorded a provision of $46.0 million for silicosis claims as of September 30, 2025.

The surfaces are positioned as premium, durable solutions, primarily targeting the kitchen and bath segments. These are surfaces designed for functional resilience and timeless beauty in applications like kitchen countertops and bathroom vanities, including options for outdoor spaces. The recent financial performance, with a Q3 2025 gross margin of 17.3%, shows the cost pressures in delivering this premium quality amidst lower volumes. The U.S. market, which accounted for 48.0% of revenue for the nine months ended September 30, 2025, remains a major focus for these premium sales.

Design innovation is how Caesarstone Ltd. maintains its edge. The company emphasizes its powerful design passion combined with innovative technology. This translates into a wide portfolio of colors and textures. The multi-material portfolio boasts over 100 colors. This commitment to R&D and product development is central to their transformation strategy, which aims to support a return to positive Adjusted EBITDA in the third quarter of 2026.

Here's a quick look at some key figures underpinning these value drivers as of late 2025:

Metric	Value / Status
Q3 2025 Revenue	$102.1 million
Portfolio Size (Colors)	Over 100
Geographic Reach	More than 50 countries
Silicosis Provision (as of 9/30/2025)	$46.0 million
Porcelain Segment CAGR (Est. 24/28)	12.4%

The focus on operational optimization, including the closure of the Bar-Lev facility, is expected to generate annual savings of approximately $22 million, contributing to a stronger, more agile offering. It's defintely a period of strategic realignment to support the premium value proposition.

• Spearheading high-quality, sustainable surfaces.
• Expanding into porcelain and natural stone.
• Investing in R&D capabilities.
• Delivering functional resilience with timeless beauty.

Finance: draft 13-week cash view by Friday.

Caesarstone Ltd. (CSTE) - Canvas Business Model: Customer Relationships

You're looking at how Caesarstone Ltd. manages the connections with its various customer groups as of late 2025. Given the challenging global market and competitive pressures, the focus is clearly on disciplined execution and strategic investment in the brand and customer experience to drive future growth.

Dedicated sales teams for B2B (builders, developers)

The B2B segment, which includes large builders and developers, remains critical, especially considering that approximately 48.0% to 49% of Caesarstone Ltd.'s revenues are generated in the U.S. market, which is served through its global production network. Handling these large accounts requires dedicated attention. The ongoing dialogue with manufacturing partners to optimize the supply chain, which included announcing a price increase in the U.S. market to mitigate tariff impacts, is a direct relationship management activity aimed at maintaining the viability of the B2B value proposition despite external cost shocks.

Support for fabricators and installers

While direct metrics on fabricator support programs aren't public, the company's strategic restructuring, which includes improving service, signals an awareness of the importance of the downstream channel partners. The announced closure of the Bar-Lev facility and transfer of production to global partners, intended to 'enhance service' and drive cost efficiencies, is meant to stabilize the supply chain, which directly benefits the fabricators and installers who rely on consistent product flow. These operational improvements are foundational to maintaining strong relationships with the trade professionals who install the final product.

Brand-focused marketing to drive end-consumer demand

Caesarstone Ltd. is explicitly advancing a transformation to focus on innovation, product development, and marketing. This includes investing in strengthening the Caesarstone brand. This brand focus is essential for pulling demand through the channel, making the product desirable to the end-consumer, which in turn supports the B2B sales teams. The brand is now on the ground in more than 50 countries worldwide, requiring tailored marketing efforts across diverse geographies.

Here's a look at the financial context surrounding this strategic focus on operations and brand investment, based on recent performance:

Metric	Value (Q3 2025)	Context/Comparison
Total Revenue	$102.1 million	Reflects lower volumes due to global headwinds.
Gross Margin	17.3%	Down from 19.9% in Q3 2024, impacted by lower volumes.
Operating Expenses (% of Revenue)	33% (or $33.7 million)	Higher as a percentage due to lower revenues.
Total Annualized Savings Target	Over $85 million (since 2023)	From cost optimization, including expected $22 million from the Bar-Lev closure.

The goal is to use these savings to support a return to positive Adjusted EBITDA in the third quarter of 2026, which will allow for more sustained investment in brand-building activities.

Digital platforms to enhance customer experience

Caesarstone Ltd. is enhancing customer experience through the expansion of groundbreaking digital platforms & services. This aligns with the broader industry trend of using technology to measure and improve customer interactions. While specific Caesarstone Ltd. platform usage data isn't available, the company's focus suggests they are tracking metrics crucial for modern customer relationships.

The types of metrics likely being monitored to gauge the success of these digital enhancements include:

• Net Promoter Score (NPS) for loyalty intent.
• Customer Satisfaction (CSAT) Score for transactional approval.
• Customer Effort Score (CES) for ease of use/service.
• First Response Time for digital support channels.
• Customer Lifetime Value (CLV) segmentation.

Reducing friction in the digital journey, which CES measures, is key to building trust and encouraging repeat business. It's about making every digital touchpoint seamless.

Finance: draft 13-week cash view by Friday.

Caesarstone Ltd. (CSTE) - Canvas Business Model: Channels

The distribution and sales architecture for Caesarstone Ltd. (CSTE) relies on a multi-pronged approach to reach its global customer base across more than 50 countries worldwide. This setup blends direct engagement with reliance on established third-party networks.

Global network of direct and indirect distributors

The company utilizes a broad global network, which is a mix of direct operations and indirect partners. This structure is critical for market penetration, especially given the varying regulatory and consumer landscapes globally. For instance, in the EMEA region during the third quarter of 2025, performance showed growth driven by both the indirect distributor channel and the company's direct business. The US market, which accounted for approximately 48% of revenues in the first nine months of 2025, is served by this global production network, indicating a massive reliance on efficient channels to move product into that key market.

The performance across key regions in Q3 2025 illustrates the channel mix impact:

Region	Q3 2025 Sales (Constant Currency)	Channel Insight
EMEA	Up 12.4%	Growth driven by both indirect distributor channel and direct business.
Australia	Up 8.5%	Reflects early recovery following silica ban implementation.
Israel	Up 2.5%	Market conditions normalizing.
US	Down 10.9% to $46.7 million	Persistent softness and competitive pressures.

Direct sales teams in key markets like the US and Australia

Caesarstone Ltd. (CSTE) maintains direct sales teams to manage key relationships and drive brand presence in its most significant territories. The US remains the largest market, even while experiencing softness. The direct sales effort is complemented by strategic local acquisitions in the past, such as one that added 17 locations in the US Southeast and Midwest to deepen direct presence. The EMEA region's performance also specifically called out growth from its direct business alongside distributors.

The scale of direct engagement is evident in the US market's contribution to the top line.

• US market share of total revenue (9M 2025): approximately 48%.
• Q3 2025 US Revenue: $46.7 million.
• Q3 2025 Canada Sales Decline: 10.8% (constant currency).

Retail showrooms and design centers for product visualization

The strategy involves enhancing customer experience through physical touchpoints. Caesarstone Ltd. (CSTE) is on the ground in more than 50 countries, which necessitates local visualization centers to showcase the premium surfaces. The company has been investing in expanding its digital platforms and services, which work in tandem with physical locations to drive sales. While specific 2025 showroom count data isn't explicitly itemized, the focus on brand and innovation suggests these centers are a core part of the go-to-market strategy for premium products.

Home improvement and building materials retailers

The indirect channel includes large-scale retailers. Historically, Caesarstone Ltd. (CSTE) has seen sales growth through major home improvement chains, such as a reported 50% quarter-on-quarter gain in IKEA in-store sales in a prior period, indicating the importance of these large retail partnerships. The Q3 2025 results confirmed the continued reliance on the indirect distributor channel for growth in regions like EMEA. These relationships are vital for volume sales, especially in the residential repair and remodel segment, which management noted was experiencing softness in Q2 2025.

Caesarstone Ltd. (CSTE) - Canvas Business Model: Customer Segments

You're looking at how Caesarstone Ltd. (CSTE) divides its market as of late 2025. The core of their business is selling engineered surfaces, and their customer base is clearly channeled, though the company is actively transforming its focus toward innovation and brand strength. The U.S. market remains a significant portion of their sales base, even while facing headwinds.

The primary customer groups Caesarstone Ltd. (CSTE) targets include those directly involved in the specification, fabrication, and installation of surfaces, as well as large-scale project developers. The company has a global footprint, operating in more than 50 countries worldwide.

The data we have clearly shows the importance of the U.S. market, which is heavily influenced by the residential segment. For the nine months ended September 30, 2025, approximately 48.0% of Caesarstone Ltd. (CSTE)'s revenues were generated in the U.S. market. This contrasts with the first quarter of 2025, where U.S. sales represented about 49% of revenue. The residential channel specifically saw softer conditions in the U.S. during Q1 2025, contributing to a 19.4% decrease in U.S. sales that quarter.

Here is a breakdown of the key customer-facing elements and relevant financial context as of the third quarter of 2025:

Customer Segment Group	Primary Channel Role	Latest Relevant Financial/Statistical Data Point
Residential remodelers and new home builders	End-user demand driver, highly sensitive to housing market conditions	U.S. sales decreased by 19.4% in Q1 2025 due to softer conditions in this channel.
Commercial developers (hotels, offices, healthcare)	Large-volume project specifiers	Caesarstone Ltd. (CSTE) reported Q3 2025 revenue of $102.1 million.
Kitchen and bath designers and architects	Key specifiers influencing material choice	Approximately 48.0% of revenue for the nine months ended September 30, 2025, was generated in the U.S. market.
Fabricators and stone masons (B2B)	Direct purchasers and installers of slabs	The company is on the ground in more than 50 countries worldwide.

The company's focus on product innovation, including porcelain offerings, is aimed at strengthening its appeal across these segments, especially as it navigates regulatory environments. For instance, as of June 30, 2025, Caesarstone Ltd. (CSTE) was subject to lawsuits involving 423 individuals globally related to crystalline silica dust exposure. The provision for these legal liabilities stood at $50 million as of September 30, 2025.

You can see the direct channel impact in the geographic split:

• U.S. Market Revenue Share (Nine Months Ended Sept 30, 2025): 48.0%
• U.S. Market Revenue Share (Q1 2025): Approximately 49%
• Global Operational Footprint: More than 50 countries
• Total Q3 2025 Revenue: $102.1 million
• Total Q1 2025 Revenue: $99.6 million

The strategy involves optimizing the global manufacturing network, which directly impacts the B2B fabricator segment's supply chain reliability. Caesarstone Ltd. (CSTE) announced the closure of its Bar-Lev facility as part of this optimization, expecting to save $22 million annually.

Finance: draft 13-week cash view by Friday.

Caesarstone Ltd. (CSTE) - Canvas Business Model: Cost Structure

You're looking at the hard costs Caesarstone Ltd. is managing as it pushes through its transformation, which is heavily focused on optimizing its manufacturing footprint. These costs are significant and directly impact the bottom line, so you need to see the hard numbers.

The Cost of Goods Sold (COGS) is intrinsically linked to the ongoing shift in manufacturing strategy. Caesarstone Ltd. is actively optimizing its global production network, notably with the announced closure of the Bar-Lev facility in Israel and the transfer of production to its global partners. While a specific COGS dollar amount for the full year 2025 isn't immediately available, the gross margin gives you a clear picture of the cost efficiency relative to sales. For the third quarter ended September 30, 2025, the reported Gross Margin was 17.3%. This compares to 19.6% in the second quarter of 2025 and 21.3% in the first quarter of 2025. With third-quarter revenue at $102.1 million, the implied COGS for that quarter was approximately $84.5 million (calculated as $102.1M (1 - 0.173)).

Restructuring is a major cost driver right now. Caesarstone Ltd. approved additional steps under its strategic restructuring plan, which includes the Bar-Lev facility closure and a headcount reduction of approximately 200 employees. This action is set to generate annualized cash savings of approximately $22 million once fully implemented. Crucially, this restructuring comes with significant one-time charges. The company expects to record noncash impairment expenses of $40 million to $45 million, which you should note are expected to begin in the fourth quarter of 2025 and continue through 2026. Cash costs associated with this closure are estimated between $4 million to $8 million.

Selling, General, and Administrative (SG&A) expenses reflect the investment Caesarstone Ltd. is making in its pivot toward innovation and brand strength. The company is explicitly focused on strengthening the Caesarstone brand and enhancing its R&D capabilities.

Here's how the operating expenses, which include SG&A, looked across the first three quarters of 2025:

Period Ended	Operating Expenses (Millions USD)	Operating Expenses as % of Revenue
March 31, 2025 (Q1)	$35.9 million	36.1%
June 30, 2025 (Q2)	$32.5 million	32.1%
September 30, 2025 (Q3)	Not explicitly stated as a total, but Q3 Adjusted EBITDA loss was $7.9 million	Not explicitly stated as a total

When excluding non-cash share-based compensation, legal settlements, and restructuring/impairment charges, the core operating expenses were 30.1% of revenue in Q2 2025, up from 28.2% in the prior year quarter, primarily due to lower revenues.

Finally, a major non-operating cost structure element is the liability related to silicosis claims. As of September 30, 2025, Caesarstone Ltd. had 514 lawsuits alleging silica-related injuries globally. The company recorded a specific provision of $46 million, which represents its best estimate of probable and reasonably estimable losses for these pending claims. This provision is partially offset by $24.3 million in insurance receivables. For context, the provision recorded as of June 30, 2025, was $44.9 million.

The key cost components you need to track are:

• Cost of Goods Sold, influenced by the shift to global partners.
• The expected $40 million to $45 million non-cash impairment charge.
• Ongoing SG&A/Operating Expenses, which were 32.1% of revenue in Q2 2025.
• The $46.0 million legal provision for silicosis claims as of September 30, 2025.

Finance: draft 13-week cash view by Friday.

Caesarstone Ltd. (CSTE) - Canvas Business Model: Revenue Streams

The revenue streams for Caesarstone Ltd. are primarily driven by the sale of its core engineered surfaces, supplemented by growth in newer material categories.

The main source of income comes from the Sales of engineered quartz slabs and tiles, which form the foundation of Caesarstone Ltd.'s business as a leading developer and manufacturer of high-quality engineered surfaces. Beyond this, the company is actively working to diversify its offerings, which includes the Sales of porcelain and natural stone surfaces, with specific strategic focus on expanding its porcelain collection, such as the zero silica offering, to capture new market opportunities.

Here's a look at the recent top-line performance that underpins these revenue streams:

Metric	Amount/Value
Total Trailing Twelve-Month Revenue (as of Q3 2025)	$400.66 million
Q3 2025 Revenue	$102.1 million
Q3 2025 Revenue vs. Prior Year Quarter	Down from $107.6 million
Q3 2025 Revenue Decline (Constant Currency)	5.7%

Geographically, the US market remains a critical component of the overall revenue generation, though it experienced softness in the third quarter of 2025. You should note the following breakdown:

• Revenue from the US market accounted for approximately 48.0% of Caesarstone Ltd.'s total revenue for the nine month period ended September 30, 2025.
• US sales specifically for the third quarter of 2025 were $46.7 million.
• This Q3 2025 US sales figure represented a decline of 10.9% compared to the prior year quarter, driven by persistent softness and competitive pressures in that market.
• Canada sales also decreased by 10.8% on a constant currency basis in Q3 2025.

Still, other regions showed strength; for instance, Australia sales were up 8.5% on a constant currency basis in Q3 2025, reflecting an early recovery following the silica ban implementation.

Finance: draft 13-week cash view by Friday.