Flexsteel Industries Q4 sales edge up on soft seating demand

Flexsteel Industries

17/08/2026 21:27

Overview
US residential furniture maker's Q4 sales rose 0.7% year-over-year
Adjusted EPS for Q4 was $1.33, compared with $1.40 a year ago
Company completed $62.6 mln in share repurchases during Q4

Outlook
Flexsteel expects Q1 FY27 sales of $111 mln to $115 mln, up 1% to 4% vs year ago
Company sees Q1 FY27 GAAP operating margin of 6.5% to 7%
Flexsteel says macro uncertainty, inflation, energy costs and trade policy to pressure demand and profitability

Result Drivers
SOFT SEATING VOLUME - Sales growth in Q4 was driven by higher unit volume from soft seating products, partially offset by declines in ready-to-assemble products
TARIFF REFUNDS - Gross margin benefited primarily from IEEPA tariff refunds received during the quarter
GROWTH INITIATIVES - Health and wellness category, strategic account relationships, and recent product introductions contributed positively despite softer industry demand

Company press release: ID:nBwc27bdva

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
 
$115.37 mln
$109.66 mln (2 Analysts)
Q4 Adjusted EPS
 
$1.33
$1.09 (2 Analysts)
Q4 EPS
 
$2.58
 
Q4 Net Income
 
$12.71 mln
 
Q4 Gross Margin
 
30.0%
 

Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the home furnishings peer group is "hold."
Wall Street's median 12-month price target for Flexsteel Industries Inc is $73.50, about 0.4% below its August 14 closing price of $73.79
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads
Aug 17 - US home builder sentiment ticks up in August but remains weak overall
Aug 17 - US FTC blocks Loctite maker from acquiring Liquid Nails 
Aug 17 - Canada braces for 50% US tariffs, with negotiators still far apart

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)