Leggett & Platt, Incorporated · NYSE:LEG
Leggett & Platt — Q2 2025 Earnings Presentation
31 slides from Leggett & Platt's earnings presentation, Aug 7, 2025
Slide 1: Second Quarter 2025 Summary Financial Information, Tariff Overview and Restructuring Update
Second Quarter 2025 Summary Financial Information, Tariff Overview and Restructuring Update July 31, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation that are not historical in nature are “forward-looking.” These statements are identified by their context or by use of words such as “anticipate,” “estimate,” “expect,” “guidance,” “may,” “plan,” or the like. These statements include, but ar
Slide 3: Financial Summary
Financial Summary
Slide 4: Overview
Overview o Q2 sales of $1.1 billion, a 6% decrease vs Q2-24 • Volume was down 7% • Raw material-related price increases and currency benefit increased sales 1% o Q2 adjusted1 EBIT of $76 million, up $4 million vs Q2-24 adjusted1 EBIT o Adjusted1 EBIT margin of 7.1%, up 80 bps vs Q2-24 adjusted1 EBIT
Slide 5: Q2 2025 Financial Highlights
Q2 2025 Financial Highlights $’s in millions Reported Adj.1 Adj.1 Reported Adj.1 Adj.1 Change (except EPS) Q2-25 Q2-25 Q2-24 Q2-24 Sales $1,058 $1,058 $1,129 $1,129 (6%) EBIT 90 (15) 76 (614) 685 71 6% EBIT Margin 8.5% 7.1% (54.4%) 6.3% 80 bps EPS .38 (.08) .30 (4.39) 4.68 .29 3% Cash from Operation
Slide 6: Q2 2025 Sales & Adjusted EBIT Bridge
Q2 2025 Sales & Adjusted EBIT Bridge Sales: mln $’s % change 2nd Qtr 2024 $1,129 Divestitures (4) —% Adjusted 2nd Qtr 2024 Sales $1,125 Approx volume decrease (74) (7%) Approx raw material-related pricing and currency impact 7 1% Organic Sales (67) (6%) Acquisitions — —% 2nd Qtr 2025 $1,058 (6%) Adj
Slide 7: Q2 2025 Earnings
Q2 2025 Earnings $’s in millions 1 Reported Adj.2 Adj.2 Reported Adj.2 Adj.2 Change (except EPS) Q2-25 Q2-25 Q2-24 Q2-24 EBIT $90 ($15) $76 ($614) $685 $71 6% Net interest 19 19 20 20 Pre-tax earnings 72 (15) 57 (634) 685 51 11% Income taxes 19 (4) 16 (32) 44 11 Tax rate 27.4% 22.3% Net earnings 53
Slide 8: Adjusted Working Capital
Adjusted Working Capital $’s in millions 1 6/30 3/31 6/30 2025 2025 2024 Cash & equivalents $369 $413 $307 Accounts receivable, net 577 558 649 Inventories, net 649 678 755 Other current assets 148 135 78 Total current assets 1,743 1,784 1,789 Current debt maturities (1) (1) (301) Current operating
Slide 9: Net Debt to Adjusted EBITDA
Net Debt to Adjusted EBITDA $’s in millions 6/30 3/31 6/30 2025 2025 2024 Long-term debt $1,792 $1,935 $1,702 Current maturities 1 1 301 Total debt 1,794 1,936 2,003 Less: Cash & equivalents (369) (413) (307) Net debt 1,425 1,524 1,696 EBIT, trailing 12 months 275 (430) (827) Depreciation & amortiza
Slide 10: Cash Flow
Cash Flow $’s in millions 1 2nd Qtr YTD 2025 2024 2025 2024 Net earnings $53 ($602) $83 ($571) D&A 30 33 61 66 Impairment, write-offs & other 5 694 11 708 Other non-cash (20) (50) (17) (52) Changes in working capital: Accounts receivable 9 (12) (18) (41) Inventory 30 34 17 35 Other current assets (7
Slide 11: YTD 2025 Financial Highlights
YTD 2025 Financial Highlights $’s in millions Reported Adj.1 Adj.1 Reported Adj.1 Adj.1 Change (except EPS) 2025 2025 2024 2024 Sales $2,080 $2,080 $2,226 $2,226 (7%) EBIT 153 (11) 142 (551) 686 135 5% EBIT Margin 7.4% 6.8% (24.8%) 6.1% 70 bps EPS .60 (.06) .54 (4.16) 4.68 .52 4% Cash from Operation
Slide 12: YTD 2025 Sales & Adjusted EBIT Bridge
YTD 2025 Sales & Adjusted EBIT Bridge Sales: mln $’s % change YTD 2024 $2,226 Divestitures (7) <1% Adjusted YTD 2024 Sales $2,219 Approx volume decrease (126) (6%) Approx raw material-related pricing and currency impact (13) (1%) Organic Sales (139) (6%) Acquisitions — —% YTD 2025 $2,080 (7%) Adjust
Slide 13: YTD 2025 Earnings
YTD 2025 Earnings $’s in millions 1 Reported Adj. 2 Adj.2 Reported Adj. 2 Adj.2 Change (except EPS) 2025 2025 2024 2024 EBIT $153 ($11) $142 ($551) $686 $135 5% Net interest 37 37 41 41 Pre-tax earnings 117 (11) 106 (592) 686 94 12% Income taxes 34 (2) 31 (21) 44 22 Tax rate 29.7% 23.7% Net earnings
Slide 14: 2025 Sales and Adj. EPS Guidance Unchanged
2025 Sales and Adj. EPS Guidance Unchanged o Sales: $4.0–$4.3 billion, down 2% to 9% versus 2024 • Expect demand to remain pressured due to economic uncertainty and restructuring-related sales attrition • Volume is expected to be down low single to low double digits vs prior guidance of down low to
Slide 15: 2025 Guidance (continued)
2025 Guidance (continued) o Depreciation and amortization ~$125 million (vs ~$135 million) o Net interest expense ~$70 million o Tax rate ~26% (vs ~25%) o Diluted shares ~139 million o Operating cash flow $275–$325 million o Cap-ex $80–$90 million (vs ~$100 million) o Minimal acquisitions and share
Slide 16: Tariff Overview
Tariff Overview
Slide 17: Tariff Impacts
Tariff Impacts Work Furniture Textiles Flooring Hydraulic Cylinders Home Furniture • Limited sourcing • Significant global • Mainly domestic • Sources some finished • Meaningful disruptions exposure and sales sourcing with ability to business with product and in early Q2 that from foreign locations
Slide 18: Tariff Mitigation Strategy and Risks
Tariff Mitigation Strategy and Risks Mitigation Strategies Foreign Direct Sourcing Exposure by Country ~$400m annual spend (prior to tariff implementation) Sourcing product domestically or from alternative lowest total cost countries Other 5% Shifting production to take advantage of our global f
Slide 19: Restructuring Update
Restructuring Update
Slide 20: Restructuring Initiatives
Restructuring Initiatives 2024 Accomplishments YTD 2025 Progress Bedding Products Bedding Products Reduced footprint by 14 locations (10 in U.S. Spring, 3 in Divested a small U.S. machinery business Specialty Foam, 1 in Adjustable Bed) Sold 2 properties Consolidated all domestic innerspring
Slide 21: Restructuring Plan Financial Update
Restructuring Plan Financial Update 2025 2025 Full Plan 2024 YTD 2025 Q2 2024 Q2 2025 Incremental1 Run Rate Run Rate Actuals Incremental1 Estimates Estimates Estimates Sales Attrition2 $15m $3m $14m $25m ~$45m ~$60m ~$65m *Prior estimate for Full Plan Run Rate was ~$80m EBIT Benefit $22m $3m $16m $2
Slide 22: Segment Detail
Segment Detail
Slide 23: Q2 2025 Segment Summary
Q2 2025 Segment Summary Q2-25 Q2-25 ∆ vs Q2-24 Q2-25 ∆ vs Q2-24 Organic Adj. EBIT 2 Adj. EBIT 2 Adj. EBITDA 2 Adj. EBITDA 2 Sales Margin Margin Margin Margin Growth 1, 2 Bedding Products (10%) 3.2% +310 bps 6.6% +320 bps Specialized Products (5%) 12.4% +130 bps 15.1% +80 bps Furniture, Flooring & (2
Slide 24: Bedding Products
Bedding Products Trade Sales mln $’s % change 2nd Qtr 2024 $438 Divestitures (3) (1%) Adjusted 2nd Qtr 2024 Sales 435 Organic Sales 1 (43) (10%) 2nd Qtr 2025 3 $391 (11%) 1 Lower volume (12%) and raw material-related selling price increases and currency benefit 2% mln $’s Adj. Adj. EBIT2 D&A Adj. Ad
Slide 25: Bedding – Key Points
Bedding – Key Points o Q2 organic sales were down 10%: • Volume decreased 12%, primarily due to demand softness in U.S. and European bedding markets, retailer merchandising changes in Adjustable Bed, and restructuring-related sales attrition, partially offset by higher trade rod and wire sales • Raw
Slide 26: Specialized Products
Specialized Products Trade Sales mln $’s % change 2nd Qtr 2024 $320 Organic Sales 1 (16) (5%) 2nd Qtr 2025 $304 (5%) 1 Lower volume (6%) and raw material-related selling price increases 1% mln $’s Adj. Adj. EBIT2 D&A Adj. Adj. EBITDA2 EBIT2 margin EBITDA2 margin 2nd Qtr 2024 $35 11.1% $10 $46 14.3%
Slide 27: Specialized – Key Points
Specialized – Key Points o Q2 organic sales were down 5%: • Volume decreased 6% from declines in Automotive and Hydraulic Cylinders partially offset by growth in Aerospace • Raw material-related selling price increases added 1% to sales o Sales trends: Q2 Q2 Organic Sales Volume1 Automotive (5%) (5%
Slide 28: Furniture, Flooring & Textile Products
Furniture, Flooring & Textile Products Trade Sales mln $’s % change 2nd Qtr 2024 $371 Divestitures (0) 0% Adjusted 2nd Qtr 2024 Sales 371 Organic Sales 1 (8) (2%) 2nd Qtr 2025 $363 (2%) 1 Lower volume (1%) and raw material-related price decreases, net of currency (1%) mln $’s Adj. Adj. EBIT2 D&A Adj
Slide 29: Furniture, Flooring & Textile – Key Points
Furniture, Flooring & Textile – Key Points o Q2 organic sales were down 2%: • Volume decreased 1% from demand softness in Home Furniture and Flooring, partially offset by growth in Textiles and Work Furniture • Raw material-related selling price decreases, net of currency, reduced sales 1% o Sales t
Slide 30: Contact Us for Additional Information
CONTACT US FOR ADDITIONAL INFORMATION Ticker: LEG (NYSE) Website: www.leggett.com Email: invest@leggett.com Phone: (417) 358-8131 Steve West Katelyn Pierce Vice President, Investor Relations Analyst, Investor Relations Webcast replay and Company Fact Book are available at www.leggett.com
Slide 31: Non-GAAP Adjustments
Non-GAAP Adjustments $’s in millions Q2-25 Q2-24 YTD YTD (except EPS) 2025 2024 Non-GAAP Adjustments 1,2 Restructuring, restructuring-related and impairment charges 3 $4 $11 $11 $22 Gain on sale of restructuring real estate 4 (17) — (17) — Gain on sale of idle real estate 4 (2) (5) (5) (13) Goodwill