Furniture maker Flexsteel Q4 sales rise

Flexsteel Industries

18/08/2025 21:21

Overview

Flexsteel Industries Q4 net sales rise 3.4%

Q4 adjusted EPS $1.4, compared with $0.75 year ago

Company ends Q4 with $40 mln cash, no line of credit borrowings

Outlook

Flexsteel expects Q1 fiscal 2026 sales growth of 1% to 6%

Company anticipates Q1 fiscal 2026 operating margin of 5.5% to 7%

Flexsteel cites tariffs as a major risk to demand and margins

Company plans supply chain adjustments to mitigate tariff impacts

Result Drivers

SOFT SEATING VOLUME - Higher unit volume from soft seating products drove sales growth, partially offset by declines in ready-to-assemble products

CURRENCY BENEFIT - 300-bps gross margin increase primarily due to foreign currency translation of peso-denominated assets

TARIFF IMPACT - Tariffs negatively impacted gross margin by 40-bps

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Beat
$114.61 mln
$111.80 mln (1 Analyst)
Q4 Adjusted EPS
Beat
$1.4
$0.84 (1 Analyst)
Q4 EPS
$1.89
Q4 Net Income
$10.70 mln
Q4 Gross Margin
23.9%


Analyst Coverage

Wall Street's median 12-month price target for Flexsteel Industries Inc is $54.00, about 34.8% above its August 15 closing price of $35.21

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nBw5yNHpGa

(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.)