Flooring maker Interface beats Q3 profit estimates on margin expansion, raises guidance

Interface

31/10/2025 09:38

Overview

Interface Q3 net sales rose 5.9% yr/yr, beating analyst expectations

Adjusted EPS for Q3 beats estimates, reflecting One Interface strategy effectiveness

Company raises full-year guidance, citing strong year-to-date results

Outlook

Interface raises full-year 2025 net sales guidance to $1.375 bln-$1.390 bln

Company expects full-year adjusted gross profit margin to be 38.5%

Adjusted SG&A expenses for 2025 expected to remain at $362 mln

Result Drivers

ONE INTERFACE STRATEGY - Strategy drove growth by enhancing global functions, empowering local teams, and streamlining operations

REGIONAL SALES GAINS - Increased sales in Americas and EAAA regions contributed to growth

MARGIN EXPANSION - Gross profit margin improved due to favorable pricing, product mix, and manufacturing efficiencies

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$364.50 mln
$358.18 mln (3 Analysts)
Q3 Adjusted EPS
Beat
$0.61
$0.48 (3 Analysts)
Q3 EPS
$0.78
Q3 Net Income
$46.10 mln
Q3 Operating Income
$53,400,000


Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the construction supplies & fixtures peer group is "buy."

Wall Street's median 12-month price target for Interface Inc is $32.00, about 16.7% above its October 30 closing price of $26.67

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release: ID:nBw7Rr2PQa

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(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.)