Herman Miller Inc. (NASDAQ:MLHR) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
Herman Miller Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 23.08% to $0.32 in the quarter versus EPS of $0.26 in the year-earlier quarter.
Revenue: Rose 5.93% to $423.5 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Herman Miller Inc. reported adjusted EPS income of $0.32 per share. By that measure, the company beat the mean analyst estimate of $0.28. It missed the average revenue estimate of $436.3 million.
Quoting Management: Brian Walker, Chief Executive Officer, stated, “Our sales growth this quarter, combined with strong gross margins, helped drive a solid improvement in adjusted earnings from a year ago. While we are pleased with the overall results, net sales and orders fell short of our expectations. The shortfall was primarily driven by the difficult environment in key economies outside the U.S. and declines in business with the U.S. federal government, including within the healthcare sector. We did, however, offset these negative factors with year-over-year growth in the balance of our North American business. This improvement was complemented by double-digit sales growth within our Specialty and Consumer segment and growth in emerging markets driven by the acquisition of POSH. We are encouraged by the relative strength in the commercial sector of our North American business and in the overall progress we’re making in emerging markets and our Specialty and Consumer segment.”
Key Stats (on next page)…