LEG
Leggett & Platt, Incorporated11.44
-0.21-1.8%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q4 '25
Granular guides, disruptions resolved
Q&A delivered granular 2026 segment guides—Bedding sales/volume down low single digits with +150bps margins, Specialized ex-Aerospace down low single digits/-150bps margins, FF&T flat—while confirming lapping of Q4 Bedding customer consolidations and resolved Automotive supply chain snags from semiconductors, fires, and cyberattacks. Restructuring hit $70M EBIT run-rate sooner than expected, with no business unit divestitures planned but ongoing tweaks like Flooring facility consolidation. FF&T Q4 margin drop stemmed from pricing pressures, soft demand, currency drag, and Vietnam greenfield ramp-up costs, yet productivity gains loom. Disruptions lapped early. Management stayed cautious on residential demand sans housing rebound, prioritizing deleveraging to 2x net debt/EBITDA; investors eye efficiency execution.
Key Stats
Market Cap
1.55BP/E (TTM)
7.11Basic EPS (TTM)
1.61Dividend Yield
0.02%Recent Filings
10-K
FY2025 results
Leggett & Platt's FY2025 trade sales fell 7% to $4.1B, with divestitures trimming 2% and organic volumes down 6%, yet Q4 momentum steadied via metal margin gains in Bedding Products. EBIT swung to $356M from a $430M loss, fueled by a $91M Aerospace sale gain, $35M insurance recovery, and $63M annualized restructuring benefits, while Q4 margins held firm amid softer demand. Cash from operations hit $338M, up from $306M, driving debt to $1.5B with $709M revolver capacity; capex dropped to $57M. Q4 accelerated restructuring efficiencies. Supply chain disruptions threaten quarterly output.
8-K
Exec pay hikes approved
Leggett & Platt's board approved 2026 base salary hikes for named executives, led by CEO Glassman's jump from $1.275M to $1.315M, while holding KOIP targets steady—135% for CEO, 80% for most others. New formulas tie cash incentives to EBITDA (65% weight) and cash flow/FCF (35%), with corporate EBITDA minimum at $300M. Retention bonuses for four execs equal ~103% of 2025 pay, clawback-protected through late 2026. PSUs and RSUs approved, vesting on performance.
8-K
Q4 results, 2026 guidance
Leggett & Platt reported 2025 sales of $4.05B, down 7%, with adjusted EPS flat at $1.05 but operating cash flow up 11% to $338M. Restructuring nears completion, slashing net debt leverage to 2.4x from 3.76x while delivering $41M incremental EBIT benefit. Debt plunged $376M. 2026 guides sales $3.8–$4.0B, adjusted EPS $1.00–$1.20.
8-K
Retention bonuses for executives
Leggett & Platt approved retention bonuses totaling over $2.4M for four key executives—EVP & CFO Benjamin M. Burns ($618K, 103% of base), EVP J. Tyson Hagale ($618K, 103%), EVP R. Samuel Smith Jr. ($540.75K, 103%), and EVP & General Counsel Jennifer J. Davis ($630.875K, 128.8%)—on December 27, 2025, to secure leadership continuity through December 23, 2026. Payments vest December 29, 2025, with 100% clawback if terminated for cause or voluntary quit by May 29, 2026, dropping to 50% thereafter; clawbacks end on change in control. Bonuses tie to non-compete covenants.
10-Q
Q3 FY2025 results
Leggett & Platt posted Q3 trade sales of $1,036.4M, down 6% y/y from $1,101.7M, yet swung to $171.1M EBIT from $77.7M—up 120% y/y (derived)—fueled by an $86.8M gain on the August Aerospace divestiture for $276.1M net proceeds, $13.1M insurance gain in Bedding, and restructuring benefits, despite soft residential demand. Diluted EPS hit $.91 (140.2M shares), up from $.33, reconciling cleanly. Cash climbed to $460.7M with $216.7M operating cash flow (9M YTD); debt fell to $1,495.8M after using proceeds to repay commercial paper, leaving $1B revolver available to July 2030. Balance sheet strengthened. Aerospace exit sharpens focus.
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