Flexsteel Q3 sales edge up 1% as demand softens

Flexsteel Industries

20/04/2026 21:30

Overview

US residential furniture maker's fiscal Q3 sales rose 1% year-over-year

Adjusted EPS for fiscal Q3 increased slightly from prior year

Company cites softening demand, rising cost pressures from Middle East conflict

Outlook

Flexsteel expects Q4 sales to be flat versus prior year levels

Company sees Q4 operating margins similar to Q3 performance

Company says macroeconomic uncertainty and higher input costs are pressuring demand and profitability

Result Drivers

HIGHER PRICING OFFSET BY LOWER VOLUME - Modest sales growth was driven by higher pricing from tariff surcharges, offset by lower unit volume

FAVORABLE PRODUCT MIX - Gross margin improvement was attributed to a higher proportion of sales from higher-margin products

SOFTENING DEMAND AND COST PRESSURES - Demand weakened as the quarter progressed, with increased cost pressures from higher fuel and petrochemical input costs linked to Middle East conflict

Company press release: ID:nBw4GmBTXa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
$115.13 mln
$116.49 mln (2 Analysts)
Q3 Adjusted EPS
$1.14
$0.86 (2 Analysts)
Q3 EPS
$1.14
Q3 Net Income
$6.45 mln
Q3 Gross Margin
22.60%


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 $54.00, about 15.8% above its April 17 closing price of $46.64

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

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.)