Somnigroup Q4 revenue rises, helped by acquisition of Mattress Firm, dividend up 13%

Somnigroup International

17/02/2026 11:46

Overview

Bedding company Q4 revenue rose 55% but missed analyst expectations

Adjusted EPS for Q4 met analyst expectations

Company increased quarterly cash dividend by 13% to $0.17 per share

Outlook

Somnigroup expects 2026 adjusted EPS between $3.00 and $3.40

Somnigroup targeting sales to grow at a compound annual rate of mid single digits in long-term

Result Drivers

MATTRESS FIRM ACQUISITION - The acquisition of Mattress Firm significantly contributed to sales and operating income growth

GROSS MARGIN IMPROVEMENT - Gross margin improved due to operational efficiencies and favorable sales mix

SALES IMPACT - Tempur Sealy North America sales were negatively impacted by the accounting elimination of sales to Mattress Firm and the divestiture of Sleep Outfitters

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Miss
$1.87 bln
$1.93 bln (10 Analysts)
Q4 Adjusted EPS
Meet
$0.72
$0.72 (10 Analysts)
Q4 EPS
$0.66
Q4 Adjusted Net Income
Slight Beat*
$153.70 mln
$152.88 mln (9 Analysts)
Q4 Net Income
$140.80 mln
Q4 Adjusted Operating Income
Slight Miss*
$267.80 mln
$269.48 mln (9 Analysts)
Q4 Adjusted Gross Margin
44.90%


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the home furnishings peer group is "buy"

Wall Street's median 12-month price target for Somnigroup International Inc is $105.00, about 9.3% above its February 13 closing price of $96.04

The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 26 three months ago

Press Release: ID:nPn7bCKlHa

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.)