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Nov 27, 2021

MillerKnoll Q2 2022 Earnings Report

Reported strong demand and made progress on the Knoll acquisition integration.

Key Takeaways

MillerKnoll reported second quarter consolidated net sales of $1.0 billion, a 63.9% increase on a reported basis and 11.1% organically compared to the prior year. Orders were up 83.9% to $1.2 billion. Adjusted earnings per share were $0.51, compared to $0.89 in the prior year.

Quarterly orders increased by 83.9% year-over-year, and 26.4% organically.

Growth was seen in every segment due to a diversified go-to-market strategy.

Integration of the Knoll acquisition is progressing as planned.

The company now expects $120 million of run rate cost synergies by the end of year three.

Total Revenue
$1.03B
Previous year: $626M
+63.8%
EPS
$0.51
Previous year: $0.89
-42.7%
Total Orders
$1.16B
Previous year: $630M
+83.9%
Backlog
$967M
Previous year: $403M
+139.8%
Gross Profit
$353M
Previous year: $244M
+44.6%
Cash and Equivalents
$227M
Previous year: $378M
-39.9%
Free Cash Flow
-$33.6M
Previous year: $85.6M
-139.3%
Total Assets
$4.47B
Previous year: $2.03B
+120.2%

MillerKnoll

MillerKnoll

MillerKnoll Revenue by Segment

Forward Guidance

The company expects sales in the third quarter of fiscal year 2022 to range between $1,010 million and $1,050 million and earnings per share to be between $0.24 and $0.30.

Positive Outlook

  • Revenue increase of 74% compared to the same quarter last fiscal year on a reported basis.
  • Revenue increase of 18% on an organic basis, excluding the impact of the Knoll acquisition.

Challenges Ahead

  • Near-term impacts of supply chain disruptions.
  • Inflationary pressures.

Revenue & Expenses

Visualization of income flow from segment revenue to net income