School furniture maker Virco's FY revenue falls 25% on end of COVID-era subsidies

Virco Mfg

08/04/2026 13:41

Overview

U.S. school furniture maker's fiscal yr revenue fell 25%

Net income for fiscal yr dropped sharply compared to prior yr

Company distributed $5.6 mln to shareholders via dividends and share repurchases

Outlook

Company says incoming order rates are running ahead of prior year by low double digits

Virco says shipments plus backlog metric is about 3% lower than last year

Company expects market normalization and recovery in school furniture demand to continue

Result Drivers

MARKET DOWNTURN - Co said revenue decline was driven by end of COVID-era subsidies and completion of pandemic-related backlogs, which had previously boosted results

ORDER NORMALIZATION - Co said incoming order rates are running ahead of prior year by low double digits, indicating a potential market recovery

COST CONTROLS - Management cited tight operating and financial controls as supporting performance during market headwinds

Company press release: ID:nGNX7jlbsx

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
FY Sales
$199.65 mln
$258.22 mln (1 Analyst)
FY Net Income
$2.57 mln
FY Operating Income
$3.66 mln


Analyst Coverage

The one available analyst rating on the shares is "hold"

Wall Street's median 12-month price target for Virco Mfg Corp is $7.30, about 21.7% above its April 7 closing price of $6.00

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 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.)