CARTHAGE, Mo., Aug. 2, 2021 /PRNewswire/ --
- 2Q sales were a quarterly record1 $1.27 billion, a 50% increase vs 2Q20
- 2Q EBIT was $172 million, an
increase of $149 million vs 2Q20
- 2Q record adjusted2 EBIT was $144 million, up $94
million vs 2Q20
- 2Q EPS was $.82, up $.87 vs 2Q20; 2Q adjusted2 EPS was
$.66, up $.51 vs 2Q20 adjusted2 EPS
- Acquired Kayfoam, an Ireland-based provider of specialty foam and
finished mattresses
- Increasing 2021 guidance: sales of $4.9–$5.1 billion; EPS of $2.86–$3.06; adjusted2 EPS of
$2.70–$2.90
Diversified manufacturer Leggett & Platt reported
record1 quarterly sales in second quarter of
$1.27 billion, a 50% increase versus
second quarter last year.
- Organic sales were up 50%
-
- Volume was up 31%, reflecting strong recovery in most of our
businesses and increased demand versus 2Q 2020, which was
significantly impacted by the COVID-19 pandemic
- Raw material-related selling price increases of 16% and
currency benefit of 3% added to sales growth
- Acquisitions and divestitures offset each other
Second quarter EBIT was $172
million, up $149 million from
second quarter 2020. Adjusted2 EBIT was $144 million, a second quarter record and an
increase of $94 million from second
quarter 2020 adjusted2 EBIT
- EBIT and adjusted2 EBIT benefited primarily from
volume growth and metal margin expansion
-
- Maintained $20 million of fixed
cost reductions implemented in 2020 (versus $36 million in 2Q20)
- 2Q 2021 adjustment for a $28
million gain on the sale of real estate associated with our
exited Fashion Bed business
- 2Q 2020 adjustments include a $25
million goodwill impairment charge related to our Hydraulic
Cylinders business and $2 million of
restructuring charges primarily from pandemic-related cost
reductions
- EBIT margin was 13.5% and adjusted2 EBIT margin was
11.3%, up from 6.0% in the second quarter of 2020
Second quarter EPS was $.82, an increase of $.87 versus second quarter 2020. Second quarter
adjusted2 EPS was $.66, up
$.51 versus
adjusted2 EPS in second quarter 2020.
CEO COMMENTS
Chairman and CEO Karl Glassman commented, "Our employees
continued to drive strong results in the second quarter despite a
challenging macroenvironment. Due to their tremendous efforts, we
are pleased to deliver all-time quarterly record1 sales
along with record second quarter adjusted2 EBIT and
EBITDA. While we continue to navigate inflationary pressures along
with supply chain disruptions, consumer demand remains strong and
we are increasing our full year guidance.
"We are also pleased to announce that on June 4, we acquired a leading provider of
specialty foam and finished mattresses primarily serving customers
in the UK and Ireland. The
company, Kayfoam, is located near Dublin and has two manufacturing facilities
with combined annual sales of approximately $80 million. Kayfoam expands the capabilities of
our European Bedding business and establishes a platform in foam
technology and finished mattress production. Similar to our U.S.
Bedding business, this acquisition allows us to support our
European bedding customers anywhere in the value chain from
innerspring and foam components to finished products including
private label mattresses, toppers, pillows, and other bedding
accessories.
"Finally, we remain focused on cash generation while reducing
debt and deploying capital in a balanced and disciplined manner
that positions us to capture near- and long-term growth
opportunities, both organically and through strategic
acquisitions."
DEBT, CASH FLOW, AND LIQUIDITY
- Net Debt was 2.32x trailing 12-month
adjusted2 EBITDA
- Operating cash flow was $41
million in the second quarter, a decrease of $71 million versus second quarter 2020, primarily
from working capital investments to support growth and inflationary
impact, which more than offset higher earnings
- Capital expenditures were $25
million
- Total liquidity was $1.3
billion
DIVIDEND
- In May, Leggett & Platt's Board of Directors declared a
$.42 second quarter dividend,
two cents higher than last year's
second quarter dividend
- At an annual indicated dividend of $1.68 per share, the yield is 3.5% based upon
Friday's closing stock price of $48.03 per share, one of the higher yields among
the S&P 500 Dividend Aristocrats
2021 GUIDANCE
- Increasing full year 2021 guidance
- Sales are expected to be $4.9–$5.1 billion, +14% to 19% versus 2020
-
- Volume expected to grow mid-to-high-single digits
- Raw material-related price increases expected to add
significant sales growth
- Acquisitions, net of divestitures, expected to add 1%
- EPS is expected to be $2.86–$3.06
-
- Reflects higher volume and higher metal margin
- Includes 2Q gain from real estate sale of $0.16 per share
- Adjusted EPS is expected to be $2.70–$2.90
- Based on this guidance framework, EBIT margin should be
11.9%–12.2%; adjusted EBIT margin should be 11.4%–11.6%
- Operating cash flow of approximately $450 million
-
- Reflects inflationary impact and planned working capital
investments to build and maintain higher inventory levels in our
Rod, Wire, and U.S. Spring businesses
- Additional guidance expectations:
-
- Depreciation and amortization $195
million
- Net interest expense $75
million
- Effective tax rate 23%
- Fully diluted shares 137 million
- Capital expenditures $140
million
- Dividends approximately $215
million
- Prior Guidance:
-
- Sales: $4.8–$5.0 billion
- EPS: $2.55–$2.75
- Operating cash flow: approximately $500
million
SEGMENT RESULTS – Second Quarter 2021 (versus 2Q
2020)
Bedding Products –
- Trade sales increased 48%
-
- Volume increased 22%, driven by strong demand for home-related
products
- Raw material-related selling price increases added 26%
- Currency benefit increased sales 2%
- Divestitures (small operations in Drawn Wire and former Fashion
Bed business), net of the Kayfoam acquisition, reduced sales by
approximately 2%
- EBIT increased $82 million,
primarily from volume growth, pricing discipline, higher metal
margin, and a $28 million gain on the
sale of real estate associated with our exited Fashion Bed
business
Specialized Products –
- Trade sales increased 72%
-
- Volume increased 58% from strong recovery in Automotive and
Hydraulic Cylinders and modest recovery in Aerospace
- Raw material-related selling price increases added 1%
- Currency benefit increased sales 10%
- An Aerospace acquisition completed in January 2021 added 3% to sales
- EBIT increased $47 million,
primarily from volume growth and the non-recurrence of a
$25 million goodwill impairment
charge related to our Hydraulic Cylinders business
Furniture, Flooring & Textile Products –
- Trade sales increased 43%
-
- Volume increased 30%, primarily from strong demand in Home
Furniture, Geo Components, and the residential components of our
Flooring Products and Work Furniture businesses
- Raw material-related selling price increases added 10%
- Currency benefit increased sales 3%
- EBIT increased $22 million,
primarily from volume growth
SLIDES AND CONFERENCE CALL
A set of slides containing
summary financial information is available from the Investor
Relations section of Leggett's website at www.leggett.com.
Management will host a conference call at 7:30 a.m. Central (8:30 a.m. Eastern) on Tuesday, August 3. The webcast can be accessed
from Leggett's website. The dial-in number is (201) 689-8341; there
is no passcode.
Third quarter results will be released after the
market closes on Monday, November 1,
2021, with a conference call the next morning.
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
- - - -
FOR MORE INFORMATION: Visit Leggett's website at
www.leggett.com.
COMPANY DESCRIPTION: Leggett & Platt (NYSE: LEG) is a
diversified manufacturer that designs and produces a broad variety
of engineered components and products that can be found in most
homes and automobiles. The 138-year-old Company is comprised of 15
business units, 21,000 employee-partners, and 135 manufacturing
facilities located in 18 countries. Leggett & Platt is a
member of the S&P 500 and the S&P 500 Dividend
Aristocrats, and is one of Fortune's World's Most
Admired Companies.
Leggett & Platt is the leading U.S.-based manufacturer of:
a) bedding components; b) automotive seat support and lumbar
systems; c) specialty bedding foams and private label finished
mattresses; d) components for home furniture and work furniture; e)
flooring underlayment; f) adjustable beds; and g) bedding industry
machinery.
FORWARD-LOOKING STATEMENTS: This press release contains
"forward-looking statements," including, but not limited to, raw
material-related price increases; volume growth; acquisition and
divestiture activity; the amount of sales, EPS, capital
expenditures, depreciation and amortization, net interest expense,
fully diluted shares, operating cash flow; our EBIT margin,
adjusted EBIT margin, and effective tax rate, amount of dividends,
higher metal margins, and currency benefit. Such forward-looking
statements are expressly qualified by the cautionary statements
described in this provision and reflect only the beliefs of Leggett
or its management at the time the statement is made. Because all
forward-looking statements deal with the future, they are subject
to risks, uncertainties and developments which might cause actual
events or results to differ materially from those envisioned or
reflected in any forward-looking statement. Moreover, we do not
have, and do not undertake, any duty to update or revise any
forward-looking statement to reflect events or circumstances after
the date on which the statement was made. Some of these risks and
uncertainties include: (i) the adverse impact on our sales,
earnings, liquidity, cash flow, costs, and financial condition
caused by the COVID-19 pandemic which has, in varying degrees, and
could continue to materially negatively impact (a) the demand for
our products and our customers' products, growth rates in the
industries in which we participate, and opportunities in those
industries, (b) our manufacturing facilities' ability to remain
fully operational, obtain necessary raw materials and parts,
maintain appropriate labor levels and ship finished products to
customers, (c) operating costs related to pay and benefits for our
terminated employees, (d) our ability to collect trade and other
notes receivables in accordance with their terms, (e)
impairment of goodwill and long-lived assets, (f)
restructuring-related costs, and (g) our ability to access the
commercial paper market or borrow under our revolving credit
facility, including compliance with restrictive covenants that may
limit our operational flexibility and our ability to timely pay our
debt; (ii) the speed at which vaccines for the COVID-19 virus are
administered, the percentage of the population vaccinated, and the
effectiveness of those vaccines against new variants; (iii) the
Company's ability to manage working capital; (iv) increases or
decreases in our capital needs, which may vary depending on
acquisition or divestiture activity, our working capital needs and
capital expenditures; (v) market conditions; (vi) price and product
competition from foreign and domestic competitors; (vii) cost and
availability of raw materials (including microchips and chemicals),
labor, and energy costs; (viii) cash generation sufficient to pay
the dividend; (ix) cash repatriation from foreign accounts; (x) our
ability to integrate acquired companies; (xi) changing tax rates,
increased trade costs, cybersecurity breaches, customer losses and
insolvencies, disruption to our steel rod mill, foreign currency
fluctuation, the imposition or continuation of anti-dumping duties
on innersprings, steel wire rod and mattresses; data privacy,
climate change and ESG obligations, and litigation risks; and (xii)
risk factors in the "Forward-Looking Statements" and "Risk Factors"
sections in Leggett's most recent Form 10-K and Form 10-Q reports
filed with the SEC.
CONTACT: Investor Relations,
(417) 358-8131 or invest@leggett.com
Susan R. McCoy, Senior Vice
President, Investor Relations
Cassie J. Branscum, Senior Director,
Investor Relations
Tarah L. Sherwood, Director,
Investor Relations
1 Record is from continuing operations
2 Please refer to attached tables for Non-GAAP
Reconciliations
LEGGETT &
PLATT
|
|
|
|
|
|
|
|
August 2,
2021
|
RESULTS OF
OPERATIONS 1
|
|
SECOND
QUARTER
|
|
YEAR TO
DATE
|
(In millions, except
per share data)
|
|
2021
|
|
2020
|
|
Change
|
|
2021
|
|
2020
|
|
Change
|
Trade
sales
|
|
$
1,269.6
|
|
$
845.1
|
|
50 %
|
|
$
2,420.5
|
|
$
1,890.6
|
|
28 %
|
Cost of goods
sold
|
|
1,000.3
|
|
698.5
|
|
|
|
1,903.7
|
|
1,523.3
|
|
|
Gross
profit
|
|
269.3
|
|
146.6
|
|
84 %
|
|
516.8
|
|
367.3
|
|
41 %
|
Selling &
administrative expenses
|
|
112.6
|
|
97.2
|
|
16 %
|
|
218.9
|
|
215.0
|
|
2 %
|
Amortization
|
|
18.0
|
|
16.3
|
|
|
|
33.8
|
|
32.7
|
|
|
Other expense
(income), net
|
|
(33.2)
|
|
10.4
|
|
|
|
(35.5)
|
|
18.3
|
|
|
Earnings
before interest and taxes
|
|
171.9
|
|
22.7
|
|
657 %
|
|
299.6
|
`
|
101.3
|
|
196 %
|
Net interest
expense
|
|
18.7
|
|
20.4
|
|
|
|
37.1
|
|
40.4
|
|
|
Earnings
before income taxes
|
|
153.2
|
|
2.3
|
|
|
|
262.5
|
|
60.9
|
|
|
Income
taxes
|
|
40.9
|
|
8.4
|
|
|
|
62.7
|
|
22.9
|
|
|
Net
earnings (loss)
|
|
112.3
|
|
(6.1)
|
|
|
|
199.8
|
|
38.0
|
|
|
Less net income from
non-controlling interest
|
|
(0.1)
|
|
-
|
|
|
|
(0.1)
|
|
-
|
|
|
Net
Earnings (Loss) Attributable to L&P
|
|
$
112.2
|
|
$
(6.1)
|
|
1,939 %
|
|
$
199.7
|
|
$
38.0
|
|
426 %
|
Earnings (loss) per
diluted share
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings (loss)
per diluted share
|
|
$
0.82
|
|
$
(0.05)
|
|
1,740 %
|
|
$
1.46
|
|
$
0.28
|
|
421 %
|
Shares
outstanding
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock (at end of period)
|
|
133.3
|
|
132.3
|
|
0.8 %
|
|
133.3
|
|
132.3
|
|
0.8 %
|
Basic
(average for period)
|
|
136.3
|
|
135.7
|
|
|
|
136.1
|
|
135.5
|
|
|
Diluted
(average for period)
|
|
136.8
|
|
135.7
|
|
0.8 %
|
|
136.6
|
|
135.7
|
|
0.7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CASH FLOW
1
|
|
SECOND
QUARTER
|
|
YEAR TO
DATE
|
(In
millions)
|
|
2021
|
|
2020
|
|
Change
|
|
2021
|
|
2020
|
|
Change
|
Net earnings
(loss)
|
|
$
112.3
|
|
$
(6.1)
|
|
|
|
$
199.8
|
|
$
38.0
|
|
|
Depreciation and
amortization
|
|
48.1
|
|
46.5
|
|
|
|
94.2
|
|
94.0
|
|
|
Working capital
decrease (increase)
|
|
(111.0)
|
|
20.7
|
|
|
|
(263.5)
|
|
(87.4)
|
|
|
Impairments
|
|
-
|
|
25.9
|
|
|
|
-
|
|
29.4
|
|
|
Other operating
activities
|
|
(8.5)
|
|
25.1
|
|
|
|
(0.2)
|
|
48.5
|
|
|
Net
Cash from Operating Activities
|
|
$
40.9
|
|
$
112.1
|
|
(64)%
|
|
$
30.3
|
|
$
122.5
|
|
(75)%
|
Additions to
PP&E
|
|
(25.0)
|
|
(18.8)
|
|
|
|
(49.0)
|
|
(43.0)
|
|
|
Purchase of
companies, net of cash
|
|
(124.6)
|
|
-
|
|
|
|
(151.9)
|
|
-
|
|
|
Proceeds from
business and asset sales
|
|
30.9
|
|
3.6
|
|
|
|
30.9
|
|
3.6
|
|
|
Dividends
paid
|
|
(53.3)
|
|
(52.9)
|
|
|
|
(106.3)
|
|
(105.6)
|
|
|
Repurchase of common
stock, net
|
|
(0.3)
|
|
-
|
|
|
|
(7.0)
|
|
(7.6)
|
|
|
Additions (payments)
to debt, net
|
|
22.1
|
|
(332.1)
|
|
|
|
131.3
|
|
8.0
|
|
|
Other
|
|
7.1
|
|
(8.9)
|
|
|
|
4.4
|
|
(16.7)
|
|
|
Increase (Decrease) in Cash & Equivalents
|
|
$
(102.2)
|
|
$
(297.0)
|
|
|
|
$
(117.3)
|
|
$
(38.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FINANCIAL POSITION
1
|
|
Jun
30,
|
|
Dec
31,
|
|
|
|
|
|
|
|
|
(In
millions)
|
|
2021
|
|
2020
|
|
Change
|
|
|
|
|
|
|
Cash and
equivalents
|
|
$
231.6
|
|
$
348.9
|
|
|
|
|
|
|
|
|
Receivables
|
|
704.8
|
|
563.6
|
|
|
|
|
|
|
|
|
Inventories
|
|
893.0
|
|
691.5
|
|
|
|
|
|
|
|
|
Other current
assets
|
|
65.4
|
|
54.1
|
|
|
|
|
|
|
|
|
Total
current assets
|
|
1,894.8
|
|
1,658.1
|
|
14 %
|
|
|
|
|
|
|
Net fixed
assets
|
|
785.9
|
|
784.8
|
|
|
|
|
|
|
|
|
Operating lease
right-of-use assets
|
|
167.0
|
|
161.6
|
|
|
|
|
|
|
|
|
Goodwill
|
|
1,459.4
|
|
1,388.8
|
|
|
|
|
|
|
|
|
Intangible assets and
deferred costs, both at net
|
|
843.0
|
|
806.7
|
|
|
|
|
|
|
|
|
TOTAL
ASSETS
|
|
$
5,150.1
|
|
$
4,800.0
|
|
7 %
|
|
|
|
|
|
|
Trade accounts
payable
|
|
$
612.0
|
|
$
552.2
|
|
|
|
|
|
|
|
|
Current debt
maturities
|
|
50.8
|
|
50.9
|
|
|
|
|
|
|
|
|
Current operating
lease liabilities
|
|
44.2
|
|
42.4
|
|
|
|
|
|
|
|
|
Other current
liabilities
|
|
400.1
|
|
360.5
|
|
|
|
|
|
|
|
|
Total
current liabilities
|
|
1,107.1
|
|
1,006.0
|
|
10 %
|
|
|
|
|
|
|
Long-term
debt
|
|
1,974.9
|
|
1,849.3
|
|
7 %
|
|
|
|
|
|
|
Operating lease
liabilities
|
|
126.7
|
|
122.1
|
|
|
|
|
|
|
|
|
Deferred taxes and
other liabilities
|
|
405.4
|
|
397.5
|
|
|
|
|
|
|
|
|
Equity
|
|
1,536.0
|
|
1,425.1
|
|
8 %
|
|
|
|
|
|
|
Total
Capitalization
|
|
4,043.0
|
|
3,794.0
|
|
7 %
|
|
|
|
|
|
|
TOTAL
LIABILITIES & EQUITY
|
|
$
5,150.1
|
|
$
4,800.0
|
|
7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1
Effective 1/1/21: domestic steel-related inventory valuation
methodology changed from LIFO to FIFO; all prior periods presented
have been retrospectively adjusted to
apply the effects of the change.
|
LEGGETT &
PLATT
|
|
|
|
|
|
|
|
August 2,
2021
|
|
SEGMENT RESULTS
1, 2
|
|
SECOND
QUARTER
|
|
YEAR TO
DATE
|
|
(In
millions)
|
|
2021
|
|
2020
|
|
Change
|
|
2021
|
|
2020
|
|
Change
|
|
Bedding
Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade
sales
|
|
$
608.7
|
|
$
410.6
|
|
48 %
|
|
$
1,144.5
|
|
$
901.2
|
|
27 %
|
|
EBIT
|
|
100.4
|
|
18.9
|
|
431 %
|
|
164.2
|
|
47.2
|
|
248 %
|
|
EBIT
margin
|
|
16.5%
|
|
4.6%
|
|
1,190
bps
|
3
|
14.3%
|
|
5.2%
|
|
910
bps
|
3
|
Note
impairment
|
|
-
|
|
-
|
|
|
|
-
|
|
8.4
|
|
|
|
Restructuring-related
charges
|
|
-
|
|
1.9
|
|
|
|
-
|
|
1.9
|
|
|
|
Gain on sale of real
estate
|
|
(28.2)
|
|
-
|
|
|
|
(28.2)
|
|
-
|
|
|
|
Adjusted
EBIT
|
|
72.2
|
|
20.8
|
|
247 %
|
|
136.0
|
|
57.5
|
|
137 %
|
|
Adjusted EBIT
margin
|
|
11.9%
|
|
5.1%
|
|
680
bps
|
|
11.9%
|
|
6.4%
|
|
550
bps
|
|
Depreciation and
amortization
|
|
26.4
|
|
26.3
|
|
|
|
52.5
|
|
53.1
|
|
|
|
Adjusted
EBITDA
|
|
98.6
|
|
47.1
|
|
109 %
|
|
188.5
|
|
110.6
|
|
70 %
|
|
Adjusted EBITDA
margin
|
|
16.2%
|
|
11.5%
|
|
470
bps
|
|
16.5%
|
|
12.3%
|
|
420
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Specialized
Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade
sales
|
|
$
241.7
|
|
$
140.8
|
|
72 %
|
|
$
499.3
|
|
$
375.3
|
|
33 %
|
|
EBIT
|
|
27.4
|
|
(19.7)
|
|
239 %
|
|
62.6
|
|
8.0
|
|
683 %
|
|
EBIT
margin
|
|
11.3%
|
|
-14.0%
|
|
2,530
bps
|
|
12.5%
|
|
2.1%
|
|
1,040
bps
|
|
Goodwill
impairment
|
|
-
|
|
25.4
|
|
|
|
-
|
|
25.4
|
|
|
|
Adjusted
EBIT
|
|
27.4
|
|
5.7
|
|
381 %
|
|
62.6
|
|
33.4
|
|
87 %
|
|
Adjusted EBIT
Margin
|
|
11.3%
|
|
4.0%
|
|
730
bps
|
|
12.5%
|
|
8.9%
|
|
360
bps
|
|
Depreciation and
amortization
|
|
12.2
|
|
10.6
|
|
|
|
23.3
|
|
21.8
|
|
|
|
Adjusted
EBITDA
|
|
39.6
|
|
16.3
|
|
143 %
|
|
85.9
|
|
55.2
|
|
56 %
|
|
Adjusted EBITDA
margin
|
|
16.4%
|
|
11.6%
|
|
480
bps
|
|
17.2%
|
|
14.7%
|
|
250
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Furniture,
Flooring & Textile Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade
sales
|
|
$
419.2
|
|
$
293.7
|
|
43 %
|
|
$
776.7
|
|
$
614.1
|
|
26 %
|
|
EBIT
|
|
44.7
|
|
23.0
|
|
94 %
|
|
73.0
|
|
49.1
|
|
49 %
|
|
EBIT
margin
|
|
10.7%
|
|
7.8%
|
|
290
bps
|
|
9.4%
|
|
8.0%
|
|
140
bps
|
|
Restructuring-related
charges
|
|
-
|
|
0.3
|
|
|
|
-
|
|
0.3
|
|
|
|
Adjusted
EBIT
|
|
44.7
|
|
23.3
|
|
92 %
|
|
73.0
|
|
49.4
|
|
48 %
|
|
Adjusted EBIT
Margin
|
|
10.7%
|
|
7.9%
|
|
280
bps
|
|
9.4%
|
|
8.0%
|
|
140
bps
|
|
Depreciation and
amortization
|
|
6.0
|
|
6.3
|
|
|
|
12.1
|
|
12.8
|
|
|
|
Adjusted
EBITDA
|
|
50.7
|
|
29.6
|
|
71 %
|
|
85.1
|
|
62.2
|
|
37 %
|
|
Adjusted EBITDA
margin
|
|
12.1%
|
|
10.1%
|
|
200
bps
|
|
11.0%
|
|
10.1%
|
|
90
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Company
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade
sales
|
|
$
1,269.6
|
|
$
845.1
|
|
50 %
|
|
$
2,420.5
|
|
$
1,890.6
|
|
28 %
|
|
EBIT -
segments
|
|
172.5
|
|
22.2
|
|
677 %
|
|
299.8
|
|
104.3
|
|
187 %
|
|
Intersegment
eliminations and other
|
|
(0.6)
|
|
0.5
|
|
|
|
(0.2)
|
|
(3.0)
|
|
|
|
EBIT
|
|
171.9
|
|
22.7
|
|
657 %
|
|
299.6
|
|
101.3
|
|
196 %
|
|
EBIT
margin
|
|
13.5%
|
|
2.7%
|
|
1,080
bps
|
|
12.4%
|
|
5.4%
|
|
700
bps
|
|
Goodwill
impairment 4
|
|
-
|
|
25.4
|
|
|
|
-
|
|
25.4
|
|
|
|
Note impairment
4
|
|
-
|
|
-
|
|
|
|
-
|
|
8.4
|
|
|
|
Stock write-off
from prior year divestiture 4
|
|
-
|
|
-
|
|
|
|
-
|
|
3.5
|
|
|
|
Restructuring-related charges4
|
|
-
|
|
2.2
|
|
|
|
-
|
|
2.2
|
|
|
|
Gain
onsale of realestate4
|
|
(28.2)
|
|
-
|
|
|
|
(28.2)
|
|
-
|
|
|
|
Adjusted EBIT
4
|
|
143.7
|
|
50.3
|
|
186 %
|
|
271.4
|
|
140.8
|
|
93 %
|
|
Adjusted EBIT
margin 4
|
|
11.3%
|
|
6.0%
|
|
530
bps
|
|
11.2%
|
|
7.4%
|
|
380
bps
|
|
Depreciation and
amortization - segments
|
|
44.6
|
|
43.2
|
|
|
|
87.9
|
|
87.7
|
|
|
|
Depreciation and
amortization - unallocated 5
|
|
3.5
|
|
3.3
|
|
|
|
6.3
|
|
6.3
|
|
|
|
Adjusted EBITDA
4
|
|
$
191.8
|
|
$
96.8
|
|
98 %
|
|
$
365.6
|
|
$
234.8
|
|
56 %
|
|
Adjusted EBITDA
margin
|
|
15.1%
|
|
11.5%
|
|
360
bps
|
|
15.1%
|
|
12.4%
|
|
270
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LAST SIX QUARTERS
1
|
|
2020
|
|
2021
|
|
Selected Figures
(In Millions)
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
Trade
sales
|
|
1,045.5
|
|
845.1
|
|
1,207.6
|
|
1,182.0
|
|
1,150.9
|
|
1,269.6
|
|
Sales growth (vs.
prior year)
|
|
(9)%
|
|
(30)%
|
|
(3)%
|
|
3 %
|
|
10 %
|
|
50 %
|
|
Volume growth (same
locations vs. prior year)
|
|
(9)%
|
|
(29)%
|
|
(3)%
|
|
3 %
|
|
4 %
|
|
31 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBIT
4
|
|
90.5
|
|
50.3
|
|
155.9
|
|
156.0
|
|
127.7
|
|
143.7
|
|
Cash from
operations
|
|
10.4
|
|
112.1
|
|
261.3
|
|
218.8
|
|
(10.6)
|
|
40.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
(trailing twelve months) 4
|
|
675.7
|
|
596.3
|
|
610.6
|
|
642.1
|
|
677.9
|
|
772.9
|
|
(Long-term debt +
current maturities - cash and equivalents) / adj. EBITDA
4,6
|
|
2.90
|
|
3.23
|
|
2.81
|
|
2.42
|
|
2.46
|
|
2.32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Organic Sales (Vs.
Prior Year) 7
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
Bedding
Products
|
|
(15)%
|
|
(28)%
|
|
(1)%
|
|
5 %
|
|
12 %
|
|
50 %
|
|
Specialized
Products
|
|
(11)%
|
|
(47)%
|
|
(9)%
|
|
1 %
|
|
9 %
|
|
69 %
|
|
Furniture, Flooring
& Textile Products
|
|
(7)%
|
|
(25)%
|
|
(2)%
|
|
3 %
|
|
12 %
|
|
43 %
|
|
Overall
|
|
(12)%
|
|
(31)%
|
|
(3)%
|
|
3 %
|
|
11 %
|
|
50 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2 Segment
and overall company margins calculated on net trade
sales.
|
|
3 bps =
basis points; a unit of measure equal to 1/100th of 1%.
|
|
4 Refer to
next page for non-GAAP reconciliations.
|
|
5 Consists
primarily of depreciation of non-operating assets.
|
|
6 EBITDA
based on trailing twelve months.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
7 Trade
sales excluding sales attributable to acquisitions and divestitures
consummated in the last 12 months.
|
|
LEGGETT &
PLATT
|
|
|
|
|
|
|
|
August 2,
2021
|
RECONCILIATION OF
REPORTED (GAAP) TO ADJUSTED (Non-GAAP) FINANCIAL MEASURES 1,
11
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
Adjustments 8
|
|
2020
|
|
2021
|
(In millions, except
per share data)
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
Goodwill
impairment
|
|
-
|
|
25.4
|
|
-
|
|
-
|
|
-
|
|
-
|
Note
impairment
|
|
8.4
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Stock write-off from
prior year divestiture
|
|
3.5
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Restructuring-related
charges
|
|
-
|
|
2.2
|
|
5.7
|
|
-
|
|
-
|
|
-
|
Gain on sale of real
estate
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(28.2)
|
Non-GAAP
Adjustments (Pretax) 9
|
|
11.9
|
|
27.6
|
|
5.7
|
|
-
|
|
-
|
|
(28.2)
|
Income tax
impact
|
|
(2.9)
|
|
(0.2)
|
|
(1.3)
|
|
-
|
|
-
|
|
6.9
|
Non-GAAP
Adjustments (After Tax)
|
|
9.0
|
|
27.4
|
|
4.4
|
|
-
|
|
-
|
|
(21.3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted shares
outstanding
|
|
135.6
|
|
135.7
|
|
136.1
|
|
136.2
|
|
136.3
|
|
136.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EPS Impact of
Non-GAAP Adjustments
|
|
0.07
|
|
0.20
|
|
0.03
|
|
-
|
|
-
|
|
(0.16)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBIT,
EBITDA, Margin, and EPS 8
|
|
2020
|
|
2021
|
(In millions, except
per share data)
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
Trade
sales
|
|
1,045.5
|
|
845.1
|
|
1,207.6
|
|
1,182.0
|
|
1,150.9
|
|
1,269.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT (earnings before
interest and taxes)
|
|
78.6
|
|
22.7
|
|
150.2
|
|
156.0
|
|
127.7
|
|
171.9
|
Non-GAAP adjustments
(pretax and excluding interest)
|
|
11.9
|
|
27.6
|
|
5.7
|
|
-
|
|
-
|
|
(28.2)
|
Adjusted
EBIT
|
|
90.5
|
|
50.3
|
|
155.9
|
|
156.0
|
|
127.7
|
|
143.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT
margin
|
|
7.5%
|
|
2.7%
|
|
12.4%
|
|
13.2%
|
|
11.1%
|
|
13.5%
|
Adjusted EBIT
Margin
|
|
8.7%
|
|
6.0%
|
|
12.9%
|
|
13.2%
|
|
11.1%
|
|
11.3%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT
|
|
78.6
|
|
22.7
|
|
150.2
|
|
156.0
|
|
127.7
|
|
171.9
|
Depreciation and
amortization
|
|
47.5
|
|
46.5
|
|
47.0
|
|
48.4
|
|
46.1
|
|
48.1
|
EBITDA
|
|
126.1
|
|
69.2
|
|
197.2
|
|
204.4
|
|
173.8
|
|
220.0
|
Non-GAAP adjustments
(pretax and excluding interest)
|
|
11.9
|
|
27.6
|
|
5.7
|
|
-
|
|
-
|
|
(28.2)
|
Adjusted
EBITDA
|
|
138.0
|
|
96.8
|
|
202.9
|
|
204.4
|
|
173.8
|
|
191.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA
margin
|
|
12.1%
|
|
8.2%
|
|
16.3%
|
|
17.3%
|
|
15.1%
|
|
17.3%
|
Adjusted EBITDA
Margin
|
|
13.2%
|
|
11.5%
|
|
16.8%
|
|
17.3%
|
|
15.1%
|
|
15.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted
EPS
|
|
0.33
|
|
(0.05)
|
|
0.79
|
|
0.79
|
|
0.64
|
|
0.82
|
EPS impact of
non-GAAP adjustments
|
|
0.07
|
|
0.20
|
|
0.03
|
|
-
|
|
-
|
|
(0.16)
|
Adjusted
EPS
|
|
0.40
|
|
0.15
|
|
0.82
|
|
0.79
|
|
0.64
|
|
0.66
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Debt to
Adjusted EBITDA 10
|
|
2020
|
|
2021
|
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
Total debt
|
|
2,466.4
|
|
2,134.3
|
|
1,960.2
|
|
1,900.2
|
|
2,003.7
|
|
2,025.7
|
Less: cash and
equivalents
|
|
(505.8)
|
|
(208.8)
|
|
(245.0)
|
|
(348.9)
|
|
(333.8)
|
|
(231.6)
|
Net debt
|
|
1,960.6
|
|
1,925.5
|
|
1,715.2
|
|
1,551.3
|
|
1,669.9
|
|
1,794.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA,
trailing 12 months
|
|
675.7
|
|
596.3
|
|
610.6
|
|
642.1
|
|
677.9
|
|
772.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Debt / Leggett
Reported 12-month Adjusted EBITDA
|
|
2.90
|
|
3.23
|
|
2.81
|
|
2.42
|
|
2.46
|
|
2.32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8
Management and investors use these measures as supplemental
information to assess operational performance.
|
9
The non-GAAP adjustments affected various line items on the income
statement. Details by quarter: 1Q 2020: $8.4 million SG&A, $3.5
million other expense.
2Q 2020: ($0.2) COGS, $27.8 million other
expense. 3Q 2020: $5.1 million other expense, $0.6 million in
COGS. 2Q2021: ($28.2)million other income.
|
10
Management and investors use this ratio as supplemental information
to assess ability to pay off debt. These ratios are
calculated differently than the Company's credit
facility covenant ratio.
|
11 Calculations impacted by
rounding.
|
|
|
|
|
|
|
|
|
|
|
|
|
![Leggett & Platt logo Leggett & Platt logo](https://mma.prnewswire.com/media/361284/Leggett__Platt_Logo.jpg)
View original content to download
multimedia:https://www.prnewswire.com/news-releases/leggett--platt-reports-record-2q-results-301346380.html
SOURCE Leggett & Platt