CARTHAGE, Mo., Feb. 7, 2022 /PRNewswire/ --
- 4Q sales were a quarterly record1 $1.333 billion, a 13% increase vs 4Q20
- 4Q EPS was $.77, a decrease of
$.02 vs 4Q20
- 2021 sales were a record1 $5.073 billion, a 19% increase vs 2020
- 2021 EPS was a record $2.94 and
2021 adjusted2 EPS was a record $2.78; both increases vs 2020
- 2021 cash flow from operations was $271
million
- 2022 guidance: sales of $5.3–$5.6
billion and EPS of $2.70–$3.00
President and CEO Mitch Dolloff
commented, "We are pleased to have delivered record1
full year results in 2021 despite a myriad of macro market
challenges, including supply chain issues related to semiconductor
shortages, foam chemical shortages, labor availability, and
transportation challenges, as well as higher costs associated with
each of these issues. We also delivered record1
quarterly sales and solid operating results in the fourth quarter.
Despite these ongoing challenges, including inflation and a likely
shift to tighter monetary policy, we expect continued improvement
in 2022 as conditions gradually stabilize and growth continues in
our businesses most negatively impacted by the pandemic.
"In addition to record results, Leggett achieved several
milestones in 2021. We increased our dividend for the
50th consecutive year, honoring our commitment to return
value to our shareholders. We strengthened our balance sheet by
extending our debt maturity profile with the issuance of 30-year
notes. We completed three small acquisitions that expanded our
capabilities in International Bedding, Aerospace, and Work
Furniture. Leggett remains well-positioned, both competitively and
financially, to capitalize on long-term opportunities in our
various end markets. Our enduring fundamentals give us confidence
in our ability to continue creating long-term value for our
shareholders.
"Finally, I would like to thank our employees for their
tremendous contributions in another challenging year. Your
collaboration, agility, dedication, and commitment to our values
drive our success."
FOURTH QUARTER RESULTS
Fourth quarter 2021 sales a record1 $1.333 billion; increased 13% versus fourth
quarter 2020.
- Organic sales3 were up 11%
-
- Volume was down 5% largely due to supply chain constraints
impacting the Automotive and Bedding markets, and demand softness
in U.S. and European bedding markets later in the quarter
- Raw material-related selling price increases added 16% to sales
growth
- Acquisitions added 2% to sales
Fourth quarter EBIT was $152
million, down $4 million or 2%
from fourth quarter 2020.
- EBIT declined primarily from lower volume, partially offset by
metal margin expansion in our Steel Rod business and pricing
discipline
- EBIT margin was 11.4%, down from 13.2% in the fourth quarter of
2020
Fourth quarter EPS was $.77, a $.02
decrease versus fourth quarter 2020 due to lower EBIT.
FULL YEAR RESULTS
2021 sales a record1 $5.073
billion; increased 19% versus 2020.
- Organic sales increased 18%
-
- Volume up 4% largely due to recovery from COVID-19 impacts
experienced in the first half of 2020
- Raw material-related selling price increases added 13% to sales
growth
- Currency benefit added 1%
- Acquisitions, net of small divestitures, added 1% to sales
2021 EBIT was $596
million, up $188 million or
46% from 2020, and adjusted2 EBIT was
$568 million, a $115 million or 25% increase versus 2020.
- EBIT and adjusted2 EBIT increased primarily as a
result of increased volume, higher metal margins, and pricing
discipline
-
- 2021 adjustment was a $28 million
gain on the sale of real estate associated with our exited Fashion
Bed business
- 2020 adjustments were: $25
million goodwill impairment charge related to our Hydraulic
Cylinders business; an $8 million
impairment charge related to a note receivable; $8 million of restructuring-related charges; and
a $4 million charge to write off
stock associated with a prior year divestiture
- Maintained approximately $80
million of the approximate $90
million fixed cost savings taken in 2020
- EBIT margin was 11.7%, up from 9.5% in 2020, and
adjusted2 EBIT margin was 11.2%, an increase from 10.6%
in 2020
2021 EPS was a record $2.94, an increase of $1.08 versus 2020. Full year
adjusted2 EPS was a record $2.78, an increase of $.62, reflecting higher adjusted2
EBIT.
2021 DEBT, CASH FLOW, AND LIQUIDITY
- Issued $500 million 30-year,
3.5% notes
- Net debt2 was 2.29x trailing 12-month
adjusted EBITDA2 at year-end
- Operating cash flow was $271
million, down from $603
million in 2020
-
- Decrease driven by inflationary impact and planned investments
in inventory
- Capital expenditures were $107
million
- Total liquidity was $1.6
billion at year-end
DIVIDEND
- Dividends were $1.66 per share in
2021, up $.06 from $1.60 per share in 2020
- In November, Leggett & Platt's Board of Directors declared
a $.42 fourth quarter dividend,
$.02 higher than last year's fourth
quarter dividend
- At an annual indicated dividend of $1.68 per share, the yield is 4.4% based upon
Friday's closing stock price of $37.88 per share
2022 GUIDANCE
- Sales are expected to be $5.3–$5.6 billion, +4% to +10% versus 2021
-
- Volume expected to be flat to up mid-single digits
- Raw material-related price increases expected to add sales
growth
- Small acquisitions completed in 2021 expected to add 1%
- EPS is expected to be $2.70–$3.00
- Based on this framework, EBIT margin should be 10.5% to
11.0%
- Additional expectations:
-
- Depreciation and amortization $200
million
- Net interest expense $80
million
- Effective tax rate 23%
- Fully diluted shares 137 million
- Operating cash flow approximately $600
million
- Capital expenditures $150
million
- Dividends $230 million
SEGMENT RESULTS – Fourth Quarter 2021 (versus 4Q
2020)
Bedding Products –
- Trade sales grew 18%; Organic sales were up 15%
-
- Volume decreased 10% primarily from challenges with chemical
and labor availability in the U.S. market early in the quarter, and
softness in U.S. and European market demand which developed later
in the quarter
- Raw material-related selling price increases added 25%
- Kayfoam acquisition, net of small divestitures, added 3%
- EBIT increased $7 million,
primarily from higher metal margin and pricing discipline;
increases partially offset by lower volume, investments to maintain
labor, and higher transportation costs
Specialized Products –
- Trade sales decreased 3%; Organic sales were down 4%
-
- Volume decreased 5% from lower sales in Automotive due to
semiconductor shortages impacting global automotive production,
partially offset by sales growth in Hydraulic Cylinders and
Aerospace
- Raw material-related selling price increases and currency
benefit added 1%
- Small Aerospace acquisition added 1%
- EBIT decreased $21 million,
primarily from lower volume and higher raw material and
transportation costs in Automotive
Furniture, Flooring & Textile Products –
- Trade sales increased 17%
-
- Volume increased 1%, with growth in Work Furniture partially
offset by declines in Flooring and Textiles
- Raw material-related selling price increases added 16%
- EBIT increased $10 million,
primarily from pricing discipline
SEGMENT RESULTS – Full Year 2021 (versus
2020)
Bedding Products –
- Trade sales increased 20%, entirely from raw material-related
price increases
-
- Volume was flat; growth in Adjustable Bed, Rod and Wire trade
sales, and International Bedding was offset by declines in
Specialty Foam and U.S. Spring that resulted primarily from supply
chain constraints in the overall U.S. bedding market
- Kayfoam acquisition added 2% but was offset by small
divestitures
- EBIT increased $129 million,
primarily from higher metal margin, pricing discipline, gain from
sale of real estate associated with exited Fashion Bed business
($28 million), and non-recurrence of
prior year note impairment ($8
million) and restructuring-related charges ($3 million); increases partially offset by
production inefficiencies driven by supply chain constraints, and
higher transportation costs
Specialized Products –
- Trade sales increased 12%; organic sales increased 11%
-
- Volume increased 7%; growth in Automotive (in the first half of
2021) and Hydraulic Cylinders was partially offset by decline in
Aerospace
- Currency benefit increased sales 4%
- Small Aerospace acquisition added 1%
- EBIT increased $24 million,
primarily from higher volume and the non-recurrence of prior year
goodwill impairment charge ($25
million) in Hydraulic Cylinders and restructuring-related
charges ($4 million); increases
partially offset by higher raw material and transportation
costs
Furniture, Flooring & Textile Products –
- Trade sales increased 20%
-
- Volume increased 9%; growth was led by Home Furniture, Work
Furniture, and Geo Components
- Raw material-related selling price increases and currency
benefit added 11%
- EBIT increased $33 million,
primarily from higher volume, pricing discipline, and
non-recurrence of prior year restructuring-related charges
($1 million)
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, February 8. The webcast can be accessed
from Leggett's website. The dial-in number is (201) 689-8341; there
is no passcode.
First quarter results will be released after the
market closes on Monday, May 2, 2022,
with a conference call the next morning.
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 139-year-old Company is comprised of 15
business units, approximately 20,000 employees, and over 130
manufacturing facilities located in 18 countries.
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 impact
on sales; the amount of sales, EPS, capital expenditures,
depreciation and amortization, net interest expense, fully diluted
shares, operating cash flow; EBIT margin, effective tax rate, and
amount of dividends. 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 had, and depending on the length and severity of
the pandemic and the percentage of the population vaccinated and
effectiveness of any vaccines against new variants, could, in
varying degrees, 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) our
ability to collect trade and other notes receivables in accordance
with their terms, (d) impairment of goodwill and long-lived
assets, (e) restructuring-related costs, and (f) 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) our ability to deleverage; (iii) our
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)
due to supply chain disruptions or otherwise, labor, and energy
costs; (viii) cash generation sufficient to pay the dividend; (ix)
cash repatriation from foreign accounts; (x) our ability to pass
along raw material cost increases through increased selling prices;
(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
____________________
1 Record is from continuing operations
2 Please refer to attached tables for Non-GAAP
Reconciliations
3 Trade sales excluding acquisitions/divestitures in the
last 12 months
LEGGETT &
PLATT
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Page 6 of 8
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February 7,
2022
|
RESULTS OF
OPERATIONS 1
|
|
FOURTH
QUARTER
|
|
YEAR TO
DATE
|
|
|
|
|
(In millions, except
per share data)
|
|
2021
|
|
2020
|
|
Change
|
|
2021
|
|
2020
|
|
Change
|
|
|
|
|
Trade
sales
|
|
$
1,332.9
|
|
$
1,182.0
|
|
13 %
|
|
$
5,072.6
|
|
$
4,280.2
|
|
19 %
|
|
|
|
|
Cost of goods
sold
|
|
1,067.5
|
|
914.9
|
|
|
|
4,034.3
|
|
3,376.1
|
|
|
|
|
|
|
Gross
profit
|
|
265.4
|
|
267.1
|
|
(1)%
|
|
1,038.3
|
|
904.1
|
|
15 %
|
|
|
|
|
Selling &
administrative expenses
|
|
99.6
|
|
103.8
|
|
(4)%
|
|
422.1
|
|
424.4
|
|
(1)%
|
|
|
|
|
Amortization
|
|
15.9
|
|
16.3
|
|
|
|
67.5
|
|
65.2
|
|
|
|
|
|
|
Other expense (income),
net
|
|
(2.3)
|
|
(9.0)
|
|
|
|
(47.3)
|
|
7.0
|
|
|
|
|
|
|
Earnings
before interest and taxes
|
|
152.2
|
|
156.0
|
|
(2)%
|
|
596.0
|
`
|
407.5
|
|
46 %
|
|
|
|
|
Net interest
expense
|
|
18.4
|
|
18.8
|
|
|
|
73.9
|
|
79.6
|
|
|
|
|
|
|
Earnings
before income taxes
|
|
133.8
|
|
137.2
|
|
|
|
522.1
|
|
327.9
|
|
|
|
|
|
|
Income
taxes
|
|
28.2
|
|
29.2
|
|
|
|
119.5
|
|
74.8
|
|
|
|
|
|
|
Net
earnings
|
|
105.6
|
|
108.0
|
|
|
|
402.6
|
|
253.1
|
|
|
|
|
|
|
Less net income from
noncontrolling interest
|
|
(0.1)
|
|
-
|
|
|
|
(0.2)
|
|
(0.1)
|
|
|
|
|
|
|
Net
Earnings Attributable to L&P
|
|
$
105.5
|
|
$
108.0
|
|
(2)%
|
|
$
402.4
|
|
$
253.0
|
|
59 %
|
|
|
|
|
Earnings per diluted
share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings per
diluted share
|
|
$
0.77
|
|
$
0.79
|
|
(3)%
|
|
$
2.94
|
|
$
1.86
|
|
58 %
|
|
|
|
|
Shares
outstanding
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock (at end of period)
|
|
133.4
|
|
132.6
|
|
0.6 %
|
|
133.4
|
|
132.6
|
|
0.6 %
|
|
|
|
|
Basic
(average for period)
|
|
136.5
|
|
135.9
|
|
|
|
136.3
|
|
135.7
|
|
|
|
|
|
|
Diluted
(average for period)
|
|
137.0
|
|
136.2
|
|
0.6 %
|
|
136.7
|
|
135.9
|
|
0.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CASH FLOW
1
|
|
FOURTH
QUARTER
|
|
YEAR TO
DATE
|
|
|
|
|
(In
millions)
|
|
2021
|
|
2020
|
|
Change
|
|
2021
|
|
2020
|
|
Change
|
|
|
|
|
Net earnings
|
|
$
105.6
|
|
$
108.0
|
|
|
|
$
402.6
|
|
$
253.1
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
46.5
|
|
48.4
|
|
|
|
187.3
|
|
189.4
|
|
|
|
|
|
|
Working capital
decrease (increase)
|
|
30.3
|
|
59.9
|
|
|
|
(337.6)
|
|
80.3
|
|
|
|
|
|
|
Impairments
|
|
-
|
|
-
|
|
|
|
-
|
|
29.4
|
|
|
|
|
|
|
Other operating
activities
|
|
8.5
|
|
2.5
|
|
|
|
19.0
|
|
50.4
|
|
|
|
|
|
|
Net
Cash from Operating Activities
|
|
$
190.9
|
|
$
218.8
|
|
(13)%
|
|
$
271.3
|
|
$
602.6
|
|
(55)%
|
|
|
|
|
Additions to
PP&E
|
|
(30.8)
|
|
(13.9)
|
|
|
|
(106.6)
|
|
(66.2)
|
|
|
|
|
|
|
Purchase of companies,
net of cash
|
|
(0.3)
|
|
-
|
|
|
|
(152.6)
|
|
-
|
|
|
|
|
|
|
Proceeds from business
and asset sales
|
|
-
|
|
8.8
|
|
|
|
38.5
|
|
14.8
|
|
|
|
|
|
|
Dividends
paid
|
|
(56.0)
|
|
(53.0)
|
|
|
|
(218.3)
|
|
(211.5)
|
|
|
|
|
|
|
Repurchase of common
stock, net
|
|
0.3
|
|
(0.1)
|
|
|
|
(6.3)
|
|
(9.1)
|
|
|
|
|
|
|
Additions (payments) to
debt, net
|
|
20.0
|
|
(63.1)
|
|
|
|
184.9
|
|
(227.8)
|
|
|
|
|
|
|
Other
|
|
2.9
|
|
6.4
|
|
|
|
1.9
|
|
(1.5)
|
|
|
|
|
|
|
Increase (Decrease) in Cash & Equivalents
|
|
$
127.0
|
|
$
103.9
|
|
|
|
$
12.8
|
|
$
101.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FINANCIAL POSITION
1
|
|
Dec
31,
|
|
Dec
31,
|
|
|
|
|
|
|
|
|
|
|
|
|
(In
millions)
|
|
2021
|
|
2020
|
|
Change
|
|
|
|
|
|
|
|
|
|
|
Cash and
equivalents
|
|
$
361.7
|
|
$
348.9
|
|
|
|
|
|
|
|
|
|
|
|
|
Receivables
|
|
651.5
|
|
563.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Inventories
|
|
993.2
|
|
691.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Other current
assets
|
|
58.9
|
|
54.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
current assets
|
|
2,065.3
|
|
1,658.1
|
|
25 %
|
|
|
|
|
|
|
|
|
|
|
Net fixed
assets
|
|
781.5
|
|
784.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating lease
right-of-use assets
|
|
192.6
|
|
161.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill
|
|
1,449.6
|
|
1,388.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Intangible assets and
deferred costs, both at net
|
|
818.3
|
|
806.7
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
ASSETS
|
|
$
5,307.3
|
|
$
4,800.0
|
|
11 %
|
|
|
|
|
|
|
|
|
|
|
Trade accounts
payable
|
|
$
613.8
|
|
$
552.2
|
|
|
|
|
|
|
|
|
|
|
|
|
Current debt
maturities
|
|
300.6
|
|
50.9
|
|
|
|
|
|
|
|
|
|
|
|
|
Current operating lease
liabilities
|
|
44.5
|
|
42.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Other current
liabilities
|
|
376.8
|
|
360.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
current liabilities
|
|
1,335.7
|
|
1,006.0
|
|
33 %
|
|
|
|
|
|
|
|
|
|
|
Long-term
debt
|
|
1,789.7
|
|
1,849.3
|
|
(3)%
|
|
|
|
|
|
|
|
|
|
|
Operating lease
liabilities
|
|
153.0
|
|
122.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred taxes and
other liabilities
|
|
380.3
|
|
397.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
1,648.6
|
|
1,425.1
|
|
16 %
|
|
|
|
|
|
|
|
|
|
|
Total
Capitalization
|
|
3,971.6
|
|
3,794.0
|
|
5 %
|
|
|
|
|
|
|
|
|
|
|
TOTAL
LIABILITIES & EQUITY
|
|
$
5,307.3
|
|
$
4,800.0
|
|
11 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Effective
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
|
|
Page 7 of 8
|
|
|
|
|
|
|
|
|
|
February 7,
2022
|
SEGMENT RESULTS
1, 2
|
|
FOURTH
QUARTER
|
|
YEAR TO
DATE
|
|
|
|
|
(In
millions)
|
|
2021
|
|
2020
|
|
Change
|
|
2021
|
|
2020
|
|
Change
|
|
|
|
|
Bedding
Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade sales
|
|
$
647.3
|
|
$
548.3
|
|
18 %
|
|
$
2,455.9
|
|
$
2,039.3
|
|
20 %
|
|
|
|
|
EBIT
|
|
76.0
|
|
69.4
|
|
10 %
|
|
321.3
|
|
192.4
|
|
67 %
|
|
|
|
|
EBIT
margin
|
|
11.7%
|
|
12.7%
|
|
-100
bps
|
3
|
13.1%
|
|
9.4%
|
|
370
bps
|
3
|
|
|
|
Note
impairment
|
|
-
|
|
-
|
|
|
|
-
|
|
8.4
|
|
|
|
|
|
|
Restructuring-related
charges
|
|
-
|
|
-
|
|
|
|
-
|
|
2.6
|
|
|
|
|
|
|
Gain on sale of real
estate
|
|
-
|
|
-
|
|
|
|
(28.2)
|
|
-
|
|
|
|
|
|
|
Adjusted
EBIT
|
|
76.0
|
|
69.4
|
|
10 %
|
|
293.1
|
|
203.4
|
|
44 %
|
|
|
|
|
Adjusted EBIT
margin
|
|
11.7%
|
|
12.7%
|
|
-100
bps
|
|
11.9%
|
|
10.0%
|
|
190
bps
|
|
|
|
|
Depreciation and
amortization
|
|
27.0
|
|
27.0
|
|
|
|
106.8
|
|
106.7
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
103.0
|
|
96.4
|
|
7 %
|
|
399.9
|
|
310.1
|
|
29 %
|
|
|
|
|
Adjusted EBITDA
margin
|
|
15.9%
|
|
17.6%
|
|
-170
bps
|
|
16.3%
|
|
15.2%
|
|
110
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Specialized
Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade sales
|
|
$
264.0
|
|
$
273.0
|
|
(3)%
|
|
$
998.9
|
|
$
891.2
|
|
12 %
|
|
|
|
|
EBIT
|
|
30.9
|
|
51.4
|
|
(40)%
|
|
115.9
|
|
92.0
|
|
26 %
|
|
|
|
|
EBIT
margin
|
|
11.7%
|
|
18.8%
|
|
-710
bps
|
|
11.6%
|
|
10.3%
|
|
130
bps
|
|
|
|
|
Restructuring-related
charges
|
|
-
|
|
-
|
|
|
|
-
|
|
3.8
|
|
|
|
|
|
|
Goodwill
impairment
|
|
-
|
|
-
|
|
|
|
-
|
|
25.4
|
|
|
|
|
|
|
Adjusted
EBIT
|
|
30.9
|
|
51.4
|
|
(40)%
|
|
115.9
|
|
121.2
|
|
(4)%
|
|
|
|
|
Adjusted EBIT
Margin
|
|
11.7%
|
|
18.8%
|
|
-710
bps
|
|
11.6%
|
|
13.6%
|
|
-200
bps
|
|
|
|
|
Depreciation and
amortization
|
|
9.8
|
|
11.8
|
|
|
|
44.8
|
|
44.3
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
40.7
|
|
63.2
|
|
(36)%
|
|
160.7
|
|
165.5
|
|
(3)%
|
|
|
|
|
Adjusted EBITDA
margin
|
|
15.4%
|
|
23.2%
|
|
-780
bps
|
|
16.1%
|
|
18.6%
|
|
-250
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Furniture, Flooring
& Textile Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade sales
|
|
$
421.6
|
|
$
360.7
|
|
17 %
|
|
$
1,617.8
|
|
$
1,349.7
|
|
20 %
|
|
|
|
|
EBIT
|
|
45.4
|
|
34.9
|
|
30 %
|
|
159.5
|
|
126.5
|
|
26 %
|
|
|
|
|
EBIT
margin
|
|
10.8%
|
|
9.7%
|
|
110
bps
|
|
9.9%
|
|
9.4%
|
|
50
bps
|
|
|
|
|
Restructuring-related
charges
|
|
-
|
|
-
|
|
|
|
-
|
|
1.5
|
|
|
|
|
|
|
Adjusted
EBIT
|
|
45.4
|
|
34.9
|
|
30 %
|
|
159.5
|
|
128.0
|
|
25 %
|
|
|
|
|
Adjusted EBIT
Margin
|
|
10.8%
|
|
9.7%
|
|
110
bps
|
|
9.9%
|
|
9.5%
|
|
40
bps
|
|
|
|
|
Depreciation and
amortization
|
|
5.9
|
|
6.4
|
|
|
|
24.0
|
|
25.5
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
51.3
|
|
41.3
|
|
24 %
|
|
183.5
|
|
153.5
|
|
20 %
|
|
|
|
|
Adjusted EBITDA
margin
|
|
12.2%
|
|
11.4%
|
|
80
bps
|
|
11.3%
|
|
11.4%
|
|
-10
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Company
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade sales
|
|
$
1,332.9
|
|
$
1,182.0
|
|
13 %
|
|
$
5,072.6
|
|
$
4,280.2
|
|
19 %
|
|
|
|
|
EBIT -
segments
|
|
152.3
|
|
155.7
|
|
(2)%
|
|
596.7
|
|
410.9
|
|
45 %
|
|
|
|
|
Intersegment
eliminations and other
|
|
(0.1)
|
|
0.3
|
|
|
|
(0.7)
|
|
(3.4)
|
|
|
|
|
|
|
EBIT
|
|
152.2
|
|
156.0
|
|
(2)%
|
|
596.0
|
|
407.5
|
|
46 %
|
|
|
|
|
EBIT
margin
|
|
11.4%
|
|
13.2%
|
|
-180
bps
|
|
11.7%
|
|
9.5%
|
|
220
bps
|
|
|
|
|
Goodwill impairment
4
|
|
-
|
|
-
|
|
|
|
-
|
|
25.4
|
|
|
|
|
|
|
Note impairment
4
|
|
-
|
|
-
|
|
|
|
-
|
|
8.4
|
|
|
|
|
|
|
Stock write-off from
prior year divestiture 4
|
|
-
|
|
-
|
|
|
|
-
|
|
3.5
|
|
|
|
|
|
|
Restructuring-related charges4
|
|
-
|
|
-
|
|
|
|
-
|
|
7.9
|
|
|
|
|
|
|
Gain on
sale of real estate 4
|
|
-
|
|
-
|
|
|
|
(28.2)
|
|
-
|
|
|
|
|
|
|
Adjusted EBIT
4
|
|
152.2
|
|
156.0
|
|
(2)%
|
|
567.8
|
|
452.7
|
|
25 %
|
|
|
|
|
Adjusted EBIT margin
4
|
|
11.4%
|
|
13.2%
|
|
-180
bps
|
|
11.2%
|
|
10.6%
|
|
60
bps
|
|
|
|
|
Depreciation and
amortization - segments
|
|
42.7
|
|
45.2
|
|
|
|
175.6
|
|
176.5
|
|
|
|
|
|
|
Depreciation and
amortization - unallocated 5
|
|
3.8
|
|
3.2
|
|
|
|
11.7
|
|
12.9
|
|
|
|
|
|
|
Adjusted EBITDA
4
|
|
$
198.7
|
|
$
204.4
|
|
(3)%
|
|
$
755.1
|
|
$
642.1
|
|
18 %
|
|
|
|
|
Adjusted EBITDA
margin
|
|
14.9%
|
|
17.3%
|
|
-240
bps
|
|
14.9%
|
|
15.0%
|
|
-10
bps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LAST SIX QUARTERS
1
|
|
2020
|
|
2021
|
|
|
|
|
Selected Figures (In
Millions)
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
|
|
|
Trade sales
|
|
1,207.6
|
|
1,182.0
|
|
1,150.9
|
|
1,269.6
|
|
1,319.2
|
|
1,332.9
|
|
|
|
|
Sales growth (vs. prior
year)
|
|
(3)%
|
|
3 %
|
|
10 %
|
|
50 %
|
|
9 %
|
|
13 %
|
|
|
|
|
Volume growth (same
locations vs. prior year)
|
|
(3)%
|
|
3 %
|
|
4 %
|
|
31 %
|
|
(6)%
|
|
(5)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBIT
4
|
|
155.9
|
|
156.0
|
|
127.7
|
|
143.7
|
|
144.2
|
|
152.2
|
|
|
|
|
Cash from
operations
|
|
261.3
|
|
218.8
|
|
(10.6)
|
|
40.9
|
|
50.1
|
|
190.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
(trailing twelve months) 4
|
|
610.6
|
|
642.1
|
|
677.9
|
|
772.9
|
|
760.8
|
|
755.1
|
|
|
|
|
(Long-term debt +
current maturities - cash and equivalents) / adj. EBITDA
4,6
|
|
2.81
|
|
2.42
|
|
2.46
|
|
2.32
|
|
2.41
|
|
2.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Organic Sales (Vs.
Prior Year) 7
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
|
|
|
|
Bedding
Products
|
|
(1)%
|
|
5 %
|
|
12 %
|
|
50 %
|
|
12 %
|
|
15 %
|
|
|
|
|
Specialized
Products
|
|
(9)%
|
|
1 %
|
|
9 %
|
|
69 %
|
|
(4)%
|
|
(4)%
|
|
|
|
|
Furniture, Flooring
& Textile Products
|
|
(2)%
|
|
3 %
|
|
12 %
|
|
43 %
|
|
12 %
|
|
17 %
|
|
|
|
|
Overall
|
|
(3)%
|
|
3 %
|
|
11 %
|
|
50 %
|
|
8 %
|
|
11 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2Segment and
overall company margins calculated on net trade sales.
|
|
|
|
|
3bps = basis
points; a unit of measure equal to 1/100th of 1%.
|
|
|
|
|
4Refer to
next page for non-GAAP reconciliations.
|
|
|
|
|
5Consists
primarily of depreciation of non-operating assets.
|
|
|
|
|
6EBITDA
based on trailing twelve months.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
7Trade sales
excluding sales attributable to acquisitions and divestitures
consummated in the last 12 months.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LEGGETT &
PLATT
|
|
Page 8 of 8
|
|
|
|
|
|
|
|
|
|
February 7,
2022
|
RECONCILIATION OF
REPORTED (GAAP) TO ADJUSTED (Non-GAAP) FINANCIAL MEASURES 1,
11
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Adjustments
8
|
|
Full
Year
|
|
2020
|
|
2021
|
(In millions, except
per share data)
|
|
2020
|
|
2021
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
Goodwill
impairment
|
|
25.4
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Note
impairment
|
|
8.4
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Stock write-off from
prior year divestiture
|
|
3.5
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Restructuring-related
charges
|
|
7.9
|
|
-
|
|
5.7
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Gain on sale of real
estate
|
|
-
|
|
(28.2)
|
|
-
|
|
-
|
|
-
|
|
(28.2)
|
|
|
|
-
|
Non-GAAP Adjustments
(Pretax) 9
|
|
45.2
|
|
(28.2)
|
|
5.7
|
|
-
|
|
-
|
|
(28.2)
|
|
-
|
|
-
|
Income tax
impact
|
|
(4.4)
|
|
6.9
|
|
(1.3)
|
|
|
|
-
|
|
6.9
|
|
|
|
-
|
Non-GAAP Adjustments
(After Tax)
|
|
40.8
|
|
(21.3)
|
|
4.4
|
|
-
|
|
-
|
|
(21.3)
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted shares
outstanding
|
|
135.9
|
|
136.7
|
|
136.1
|
|
136.2
|
|
136.3
|
|
136.8
|
|
136.9
|
|
137.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EPS Impact of
Non-GAAP Adjustments
|
|
0.30
|
|
(0.16)
|
|
0.03
|
|
-
|
|
-
|
|
(0.16)
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBIT,
EBITDA, Margin, and EPS 8
|
|
Full
Year
|
|
2020
|
|
2021
|
(In millions, except
per share data)
|
|
2020
|
|
2021
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
Trade sales
|
|
4,280.2
|
|
5,072.6
|
|
1,207.6
|
|
1,182.0
|
|
1,150.9
|
|
1,269.6
|
|
1,319.2
|
|
1,332.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT (earnings before
interest and taxes)
|
|
407.5
|
|
596.0
|
|
150.2
|
|
156.0
|
|
127.7
|
|
171.9
|
|
144.2
|
|
152.2
|
Non-GAAP adjustments
(pretax and excluding interest)
|
|
45.2
|
|
(28.2)
|
|
5.7
|
|
-
|
|
-
|
|
(28.2)
|
|
-
|
|
-
|
Adjusted
EBIT
|
|
452.7
|
|
567.8
|
|
155.9
|
|
156.0
|
|
127.7
|
|
143.7
|
|
144.2
|
|
152.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT margin
|
|
9.5%
|
|
11.7%
|
|
12.4%
|
|
13.2%
|
|
11.1%
|
|
13.5%
|
|
10.9%
|
|
11.4%
|
Adjusted EBIT
Margin
|
|
10.6%
|
|
11.2%
|
|
12.9%
|
|
13.2%
|
|
11.1%
|
|
11.3%
|
|
10.9%
|
|
11.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT
|
|
407.5
|
|
596.0
|
|
150.2
|
|
156.0
|
|
127.7
|
|
171.9
|
|
144.2
|
|
152.2
|
Depreciation and
amortization
|
|
189.4
|
|
187.3
|
|
47.0
|
|
48.4
|
|
46.1
|
|
48.1
|
|
46.6
|
|
46.5
|
EBITDA
|
|
596.9
|
|
783.3
|
|
197.2
|
|
204.4
|
|
173.8
|
|
220.0
|
|
190.8
|
|
198.7
|
Non-GAAP adjustments
(pretax and excluding interest)
|
|
45.2
|
|
(28.2)
|
|
5.7
|
|
-
|
|
-
|
|
(28.2)
|
|
-
|
|
-
|
Adjusted
EBITDA
|
|
642.1
|
|
755.1
|
|
202.9
|
|
204.4
|
|
173.8
|
|
191.8
|
|
190.8
|
|
198.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA
margin
|
|
13.9%
|
|
15.4%
|
|
16.3%
|
|
17.3%
|
|
15.1%
|
|
17.3%
|
|
14.5%
|
|
14.9%
|
Adjusted EBITDA
Margin
|
|
15.0%
|
|
14.9%
|
|
16.8%
|
|
17.3%
|
|
15.1%
|
|
15.1%
|
|
14.5%
|
|
14.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted EPS
|
|
1.86
|
|
2.94
|
|
0.79
|
|
0.79
|
|
0.64
|
|
0.82
|
|
0.71
|
|
0.77
|
EPS impact of non-GAAP
adjustments
|
|
0.30
|
|
(0.16)
|
|
0.03
|
|
-
|
|
-
|
|
(0.16)
|
|
-
|
|
-
|
Adjusted
EPS
|
|
2.16
|
|
2.78
|
|
0.82
|
|
0.79
|
|
0.64
|
|
0.66
|
|
0.71
|
|
0.77
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Debt to Adjusted
EBITDA 10
|
|
Full
Year
|
|
2020
|
|
2021
|
|
|
2020
|
|
2021
|
|
3Q
|
|
4Q
|
|
1Q
|
|
2Q
|
|
3Q
|
|
4Q
|
Total debt
|
|
1,900.2
|
|
2,090.3
|
|
1,960.2
|
|
1,900.2
|
|
2,003.7
|
|
2,025.7
|
|
2,066.0
|
|
2,090.3
|
Less: cash and
equivalents
|
|
(348.9)
|
|
(361.7)
|
|
(245.0)
|
|
(348.9)
|
|
(333.8)
|
|
(231.6)
|
|
(234.7)
|
|
(361.7)
|
Net debt
|
|
1,551.3
|
|
1,728.6
|
|
1,715.2
|
|
1,551.3
|
|
1,669.9
|
|
1,794.1
|
|
1,831.3
|
|
1,728.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA,
trailing 12 months
|
|
642.1
|
|
755.1
|
|
610.6
|
|
642.1
|
|
677.9
|
|
772.9
|
|
760.8
|
|
755.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Debt / Leggett
Reported 12-month Adjusted EBITDA
|
|
2.42
|
|
2.29
|
|
2.81
|
|
2.42
|
|
2.46
|
|
2.32
|
|
2.41
|
|
2.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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) million COGS, $27.8 million
other
expense. 3Q 2020: $5.1 million other expense,
$0.6 million COGS. 2Q 2021: ($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.
|
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SOURCE Leggett & Platt