Somnigroup International Inc. · NYSE:SGI
Somnigroup International — Investor Presentation (August 2026)
50 slides from Somnigroup International's investor presentation, Aug 6, 2026
Slide 1: Somnigroup NYSE: SGI
7 SOMNIGROUP NYSE: SGI
Slide 2: Somnigroup Investment Thesis
SOMNIGROUP INVESTMENT THESIS Global Scale, Vertical Integration: World’s leading bedding company with end-to-end capabilities from design and manufacturing to retail. Omnichannel Reach & Iconic Brands: Portfolio of trusted brands and products, reaching consumers wherever they shop – online, in 2,800
Slide 3: Somnigroup's Structure
SOMNIGROUP’S STRUCTURE High-level strategic direction • Corporate governance • Capital allocation Tactical go-to-market strategy • Operational excellence • Passionate customer service 3
Slide 4: The world's leading bedding company
SOMNIGROUP The world’s leading bedding company, dedicated to enriching people’s lives through the power of a great night’s sleep. CONSUMER-CENTRIC DIVERSIFIED MANUFACTURING OMNI-CHANNEL INNOVATION PORTFOLIO & LOGISTICS RETAIL • Advanced R&D • Diverse brand • Global • Leading bedding capabilities dri
Slide 5: Uniquely positioned to optimize consumer experience
SOMNIGROUP Uniquely positioned to optimize consumer experience Optimize investments in sleep technology Improve targeted innovation Drive advertising share of voice Enhance consumer outcomes Accelerate continuous feedback loop 5
Slide 6: Somnigroup's Vertically Integrated Strategy
SOMNIGROUP’S VERTICALLY INTEGRATED STRATEGY 20,000 160+ associates E-commerce Manufacturing platforms and R&D facilities OPERATIONS FACILITIES SOMNIGROUP Tempur® ECOSYSTEM Distribution WITH retail stores centers 2,800+ RETAIL STORES Dreams retail stores Logistics fleet Mattress Firm retail stores 6
Slide 7: Somnigroup's Journey to Vertical Retailer
SOMNIGROUP’S JOURNEY TO VERTICAL RETAILER DIRECT TO CONSUMER as a percentage of 70% TOTAL SALES 63% 66% 60% 50% 40% 30% 23% 24% 25% 18% 20% 13% 13% 9% 7% 10% 4% 4% 0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025* 2Q26 *Somnigroup acquired Mattress Firm in February 2025. 7
Slide 8: Somnigroup Executive Team
SOMNIGROUP EXECUTIVE TEAM SCOTT THOMPSON CHAIRMAN, CEO CLIFF STEVE JONATHAN BHASKAR DAVID KINDEL KINDRA TOM BUSTER RUSING HIRST RAO MONTGOMERY NUÑO BELLIS MURRAY CEO CEO CEO EVP, CFO EVP, GLOBAL EVP, CHRO, GC EVP, CIO EVP, CMO BUSINESS DEVELOPMENT 8
Slide 9: Somnigroup's Robust Capital Allocation
SOMNIGROUP’S ROBUST CAPITAL ALLOCATION 2020 - 2025 INVESTMENTS IN GROWTH INITIATIVES CAPITAL RETURNED TO SHAREHOLDERS $1B $5.6B $2B $400M+ 2x-3x invested in our invested in invested in invested in target leverage2 plants and accretive M&A share quarterly range supported processes to activities repur
Slide 10: A Leading U.S. Bedding Retailer
A Leading U.S. Bedding Retailer 10
Slide 11: Overview – Mattress Firm
OVERVIEW – MATTRESS FIRM LEADING OMNICHANNEL U.S. RETAILER 2,100+ brick-and-mortar retail stores integrated with e- commerce and sleep education platforms to enable a seamless consumer purchase journey STRONG CONSUMER ENGAGEMENT Robust consumer touchpoints with deep insight into evolving preferences
Slide 12: Retail Footprint
RETAIL FOOTPRINT • 2,100+ owned retail stores across 45 states • Integrated e-commerce capabilities with 75M+ website visitors3 annually Geographic Footprint WA ND MT MN ME ID SD WI VT OR MI NH WY NY IA NE MA PA RI OH CT IL IN NJ NV UT CO WV KS MO DE HI KY VA MD CA DC OK TN NC AR AZ NM SC MS AL GA T
Slide 13: Mattress Firm's Diversified Product Offerings
MATTRESS FIRM’S DIVERSIFIED PRODUCT OFFERINGS • A leading retailer of Tempur-Pedic®, Sealy®, and Stearns & Foster® branded Somnigroup products Brands and SOMNIGROUP BRANDS Private Label • Retails Sleepy’s® and tulo® private label bedding manufactured by Tempur Sealy AND PRIVATE LABELS ARE EXPECTED T
Slide 14: Competitive Differentiators
COMPETITIVE DIFFERENTIATORS SCALE PRODUCT CONVENIENCE RETAIL EXPERTISE SELECTION Seamless experience Highly trained Diverse and curated nationwide on and offline Sleep Experts assortment EXPERIENCE CONSUMER LOGISTICS Personalized to TOUCHPOINTS Accelerated each consumer Data driven tools order-to-de
Slide 15: Sales Growth Outlook
SALES GROWTH OUTLOOK Leverage improving U.S. industry Continuously align brick-and-mortar footprint to consumer demand Invest in stores and products to improve consumer shopping experience Drive conversion and AOV through enhanced RSA training Drive e-commerce traffic via strategic investments in di
Slide 16: A Leading Global Manufacturer
A Leading Global Manufacturer 16
Slide 17: Overview – Tempur Sealy
OVERVIEW – TEMPUR SEALY CORE GEOGRAPHICAL COMPETENCIES CONCENTRATION Consumer-Centric Innovation Leading Product Brands ~70% Domestic PRODUCTS SOLD IN 100+ World-Class Manufacturing COUNTRIES Integrated WORLDWIDE Marketing Extensive Logistics ~30% International Capabilities 17
Slide 18: Competitive Differentiators
COMPETITIVE DIFFERENTIATORS SCALE ICONIC BRANDS DIVERSE GLOBAL Consumer preferred PORTFOLIO MANUFACTURING supported by advertising Wide range of price Extensive capabilities points and technologies across 70+ plants LOGISTICS R&D MARKETING Global integrated Advanced in-house Fully integrated logisti
Slide 19: Brand Portfolio
BRAND PORTFOLIO TEMPUR-PEDIC®: LEADING WORLDWIDE PREMIUM BEDDING BRAND Tempur-Pedic® uniquely adapts, supports, and aligns to you to deliver truly life- changing sleep. $2,300-$10,600* STEARNS & FOSTER®: HIGH-END-TARGETED BRAND The world’s finest beds that are made with exceptional materials, time-h
Slide 20: Global Manufacturing Footprint
GLOBAL MANUFACTURING FOOTPRINT 72 manufacturing facilities 4 state-of-the-art product testing locations 20 million sq. ft. of manufacturing and distribution operations 110k sq. ft. R&D innovation Wholly owned (30) Tempur-Pedic® Facility (4) Joint Venture (9) Licensee (29) 20
Slide 21: Successful Omni-Distribution Platform
SUCCESSFUL OMNI-DISTRIBUTION PLATFORM • Third-party retailers are our largest distribution channel TTM 2Q’26 Sales Wholesale • Significant private label opportunity • Valued win-win relationships with retailers NORTH AMERICA WHOLESALE INTERCOMPANY SALES TO MATTRESS FIRM* 23% 42% • Significant worldw
Slide 22: Key Markets
KEY MARKETS NORTH AMERICA • $45B1 bedding market • Historically strong bedding industry growth, emerging from a prolonged downturn* • Continued opportunities to expand through higher slot velocity, expansion into non- traditional channels, and growing DTC presence INTERNATIONAL • $75B1 bedding marke
Slide 23: Sales Growth Outlook
SALES GROWTH OUTLOOK Invest in innovation to meet customer demand. Grow wholesale through existing and new retail relationships. Expand into OEM market. Invest in U.S. Sealy and Stearns & Foster® products and marketing. Expand direct-to-consumer through e-commerce and company-owned stores. 23
Slide 24: Commodity Inflation & Pricing Actions
COMMODITY INFLATION & PRICING ACTIONS Tempur Sealy fully mitigating expected financial impact of commodity inflation • Tempur Sealy U.S. and international modest pricing actions offsetting inflationary pressures tied $10M to oil-derived inputs, including key chemicals, gasoline, and diesel • No net
Slide 25: A Leading UK Bedding Retailer
A Leading UK Bedding Retailer 25
Slide 26: Overview – Dreams
OVERVIEW – DREAMS LEADING UK BEDDING RETAILER 225+ brick-and-mortar retail stores, 2,000+ colleagues, and an integrated e-commerce platform attracting over 18M visitors3 annually VERTICALLY INTEGRATED In-house manufacturing, distribution and logistics operations result in Dreams producing and delive
Slide 27: Financials
FINANCIALS 27
Slide 28: Second Quarter Performance
SECOND QUARTER PERFORMANCE Three Months Ended Trailing Twelve Months Q2 ‘26 Sales by Channel (in millions, except June 30, June 30, June 30, June 30, percentages and per % Change % Change 2026 2025 2026 2025 common share amounts) Net Sales $1,824 $1,881 -3.0% $7,616 $5,993 27.1% 34% Net Income $111
Slide 29: 2026 Outlook
2026 OUTLOOK 4 Expect full-year adjusted EPS2 of $3.00 at the midpoint Projected Adjusted EPS2 CAGR of 17% 2019-2026 $4.00 • The global bedding industry to be down mid-single digits year over year $3.19 • We expect sales of approximately $7.6B at the midpoint $3.00 $3.00 • Consolidated adjusted gros
Slide 30: Mattress Firm Acquisition Net Synergies
MATTRESS FIRM ACQUISITION NET SYNERGIES 4 Adjusted EBITDA1,2 Impact 2025 Actual 2026 Target 2027 Target Total Sales Synergies $60 $65 $0 $125 Cost Synergies $20 $65 $50 $135 Total $80 $130 $50 $260 SALES SYNERGIES COST SYNERGIES • Mattress Firm is further aligning their • Expanded scale and vertical
Slide 31: Long Term Perspective
LONG TERM PERSPECTIVE 4 2026-2028 Adjusted EPS2 SALES TARGETS1 $6.00 • We are targeting sales to grow at a compound $5.15 annual rate of mid single-digits between 2025 and 2028. $4.00 • This indicates adjusted EPS2 would increase $3.00* from $2.70 in 2025 to approximately $5.15 by $2.70 2028, a comp
Slide 32: Capital Structure
CAPITAL STRUCTURE Debt Maturities* 2500 • Leverage2 was 2.99x and liquidity was ~$1,010M as of 6/30/26 $459 • In 2026, we intend to begin to allocate 2000 approximately 50 percent of free cash flow to capital returns to shareholders in $800 the form of dividends and share 1500 repurchases • In July
Slide 33: Leggett & Platt Agreement
LEGGETT & PLATT AGREEMENT 33
Slide 34: Transaction Summary
TRANSACTION SUMMARY • Total purchase price of approximately $2.5B, based on Somnigroup’s closing share price on April 10, 2026 • 100% stock consideration Consideration • Leggett & Platt shareholders will receive 0.1455 shares of Somnigroup common stock in exchange for each share of Leggett & Platt s
Slide 35: Transaction Rationale
TRANSACTION RATIONALE 1 Continues Vertical Integration Strategy, Enhancing Consumer-Centric Innovation 2 Expands Addressable Market in Bedding and into Non-Bedding Industries 3 Reduces Financial Leverage2 and Drives Operating Cash Flow 4 Drives Immediate Adjusted EPS2 Accretion Before Synergies 5 Cr
Slide 36: Thank you for your interest
Thank you for your interest in For more information, please email: investor.relations@somnigroup.com 36
Slide 37: Appendix
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Slide 38: U.S. Historical Industry Volumes
U.S. HISTORICAL INDUSTRY VOLUMES1 U.S. Produced Mattress Units 25.0 24.3 24.7 7.5% 24.1 23.6 24.0 23.5 23.5 22.5 7.0% 23.0 22.0 6.5% U.S. Produced Units / U.S. Population 20.9 U.S. Produced Units (Millions) 21.0 20.4 20.1 20.0 6.0% 19.0 18.1 18.0 5.5% 18.0 17.0 16.7 5.0% 15.9 16.0 15.0 4.5% 2009 201
Slide 39: SGI View - U.S. Mattress Industry Analysis
SGI VIEW - U.S. MATTRESS INDUSTRY ANALYSIS1 Total U.S. Produced Consumption in Units 30 Trend Line (Based on 2011–2021 CAGR) 25 20 15 10 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Source: ISPA, U.S. ITC, management estimates 39
Slide 40: Sustainability Initiatives
SUSTAINABILITY INITIATIVES 2025 Updates Environmental • Progressed towards our goal of achieving carbon neutrality by 2040 through reducing greenhouse gas emissions at our wholly owned manufacturing and logistics operations by 2% compared to the prior year* • Maintained zero waste to landfill status
Slide 41: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This investor presentation contains statements regarding the Company’s expectations of future performances, statements relating to the Company's expectations regarding the Mattress Firm acquisition and the pending Leggett & Platt acquisition, integration of acquired compan
Slide 42: Use of Non-GAAP Financial Measures Information
USE OF NON-GAAP FINANCIAL MEASURES INFORMATION In this investor presentation and certain of its press releases and SEC filings, the Company provides information regarding adjusted net income, adjusted EPS, EBITDA, adjusted EBITDA, free cash flow, consolidated indebtedness less netted cash, and lever
Slide 43: QTD Adjusted Net Income and Adjusted EPS
QTD ADJUSTED NET INCOME2 AND ADJUSTED EPS2 Three Months Ended (in millions, except per share amounts) June 30, 2026 June 30, 2025 Net income (loss) $ 110.9 $ 99.0 Transaction costs (1) 8.3 4.9 Business combination charges (2) — 17.6 Loss on disposal of business (3) — 13.9 Disposition-related costs (
Slide 44: QTD Adjusted Net Income and Adjusted EPS footnotes
QTD ADJUSTED NET INCOME2 AND ADJUSTED EPS2 (1) In the second quarter of 2026, we recorded $8.3 million of transaction costs, primarily associated with legal and professional fees related to the proposed acquisition of Leggett & Platt. In the second quarter of 2025, we recorded $4.9 million of transa
Slide 45: TTM Adjusted Net Income and Adjusted EPS
TTM ADJUSTED NET INCOME2 AND ADJUSTED EPS2 Trailing Twelve Months Ended (in millions, except per common share amounts) June 30, 2026 Net income $ 533.3 Business combination charges (1) 57.5 Transaction costs (2) 11.1 Legal and other charges (3) 8.6 Supply chain transition costs (4) 7.3 Cloud-based c
Slide 46: QTD Adjusted EBITDA
QTD ADJUSTED EBITDA2 Three Months Ended (in millions) June 30, 2026 June 30, 2025 Net income (loss) $ 110.9 $ 99.0 Interest expense, net 59.0 72.5 Income tax provision 37.2 3.2 Depreciation and amortization 73.7 69.1 EBITDA $ 280.8 $ 243.8 Adjustments: Transaction costs (1) 8.3 4.9 Business combinat
Slide 47: TTM Adjusted EBITDA
TTM ADJUSTED EBITDA2 Trailing Twelve Months Ended (in millions) June 30, 2026 Net income $ 533.3 Interest expense, net 253.1 Income tax provision 179.6 Depreciation and amortization 302.7 EBITDA $ 1,268.7 Adjustments: Business combination charges (1) 57.5 Transaction costs (2) 11.1 Legal and other c
Slide 48: TTM Adjusted EBITDA footnotes
TTM ADJUSTED EBITDA2 (1) In the trailing twelve months ended June 30, 2026, we recognized $57.5 million of business combination charges primarily related to the floor model transition associated with the refinement of Mattress Firm's multi-branded merchandising plan, professional fees and restructur
Slide 49: Leverage Reconciliation
LEVERAGE2 RECONCILIATION (in millions) June 30, 2026 Total debt, net $ 4,408.5 Plus: Deferred financing costs (1) 27.8 Total debt 4,436.3 Less: Netted cash (2) 112 Consolidated indebtedness less netted cash $ 4,324.3 (1) We present deferred financing costs as a direct reduction from the carrying amo
Slide 50: Footnotes
FOOTNOTES 1 Management estimates, informed by equity research notes and other industry reports 2 Adjusted net income, EBITDA, adjusted EBITDA, adjusted EBITDA per credit facility, adjusted EPS, leverage, and free cash flow are non-GAAP financial measures. Please refer to the “Use of Non-GAAP Financi
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