HNI Corp. (HNI) Tops Q3 EPS by 6c

HNI Corp. (NYSE: HNI) reported Q3 EPS of $0.71, $0.06 better than the analyst estimate of $0.65. Revenue for the quarter came in at $598.8 million versus the consensus estimate of $642.29 million.

Fourth Quarter 2022 Outlook:

• Broader macroeconomic and recession concerns continue to negatively impact demand in most markets. As a result, the Corporation is lowering its outlook for fiscal year 2022.
• Fourth quarter non-GAAP earnings are expected to decrease sequentially from third quarter 2022 levels but modestly exceed year-ago results primarily due to favorable price-cost.
• Workplace Furnishings fourth quarter revenue: the Corporation now expects revenue to decline at a low-teens year-over-year rate in the fourth quarter. This outlook is lower than previous expectations due to reduced demand and also includes:
• – The result of divesting Lamex in the third quarter, which is expected to decrease fourth quarter revenue approximately eight percent versus the prior year.
• – The impact of the previously announced restructuring of an eCommerce business, which is expected to lower fourth quarter revenue approximately seven percent compared to the prior year.
• Residential Building Products fourth quarter revenue: pricing benefits and inorganic revenue from acquisitions are expected to drive growth rates in the low-to-mid single-digits in the fourth quarter. This outlook is lower than previous expectations with slower demand driving the reduction.
• Balance Sheet: the Corporation expects to maintain a strong balance sheet through the remainder of 2022, and throughout 2023. Low leverage and continued free cash flow generation are expected to provide ample capacity for investment, dividend payments, M&A, and share buyback.

For earnings history and earnings-related data on HNI Corp. (HNI) click here.

You May Also Be Interested In

• Micron surges 5.5% on blockbuster Anthropic AI deal ahead of earnings
• Sun Communities names Ileana McAlary as general counsel and EVP
• Worried the AI trade has gone too far? Evercore likes these 4 stocks