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Jul 27, 2024

La-Z-Boy Q1 2025 Earnings Report

Reported solid first quarter results with sales up 3% and operating cash flow doubled.

Key Takeaways

La-Z-Boy Incorporated reported first quarter results for the period ended July 27, 2024, with sales totaling $496 million, a 3% increase year-over-year. GAAP diluted EPS was $0.61 and Non-GAAP diluted EPS was $0.62. Operating cash flow doubled to $52 million compared to the previous year.

Consolidated delivered sales increased by 3% year-over-year, reaching $496 million.

Wholesale segment sales grew by 5% due to external customer growth.

GAAP diluted EPS was $0.61, and Non-GAAP diluted EPS was $0.62.

Operating cash flow doubled, generating $52 million for the quarter.

Total Revenue
$496M
Previous year: $482M
+2.9%
EPS
$0.62
Previous year: $0.62
+0.0%
Gross Profit
$213M
Previous year: $206M
+3.7%
Cash and Equivalents
$342M
Previous year: $336M
+1.7%
Free Cash Flow
$36.7M
Previous year: $12.5M
+194.6%
Total Assets
$1.92B
Previous year: $1.85B
+3.8%

La-Z-Boy

La-Z-Boy

La-Z-Boy Revenue by Segment

Forward Guidance

The company expects sales in the second quarter of fiscal 2025 to improve modestly versus the first quarter, supported by seasonality, with sales expected to be in the range of $495-515 million and Non-GAAP operating margin to be in the range of 6-7%.

Positive Outlook

  • Sales expected to improve modestly versus the first quarter
  • Supported by seasonality
  • Company continues to invest in Century Vision strategy
  • Building the business for the long term

Challenges Ahead

  • Overall macroeconomic environment remains challenging
  • Consumer spending environment remains challenging
  • Industry will remain under pressure in the near term
  • Market contends with still high interest rates
  • Muted housing turnover

Revenue & Expenses

Visualization of income flow from segment revenue to net income