Office furniture maker Herman Miller Inc. (MLHR), Wednesday reported an increase in profit for the third quarter, helped mainly by revenue growth and better margins. Herman Miller's earnings for the quarter came in ahead of analysts estimates, but revenues fell short of expectations. The company also issued its guidance for the fourth quarter, which is in line with current Street estimates.
Herman Miller's net sales for the quarter grew 5.9 percent to $423.5 million from $399.8 million last year. Analysts polled by Thomson Reuters expected revenues of $436.30 million for the quarter.
North American segment sales, the biggest contributor to the top line, increased 1.8 percent to $285.4 million, while new orders increased 8.1 percent.
Meanwhile, sales at the non-North American division, which is a smaller segment, rose 16.7 percent to $90.8 million. Specialty and consumer segment sales grew 13.4 percent to $47.3 million.
Chief Executive Brian Walker said, "While we are pleased with the overall results, net sales and orders fell short of our expectations. The shortfall was primarily driven by the difficult environment in key economies outside the U.S. and declines in business with the U.S. federal government, including within the healthcare sector."
Gross margins for the period improved to 34.1 percent from 33.6 percent last year.
Michigan-based Herman Miller's third-quarter profit advanced to $16.5 million or $0.28 per share from $14.9 million or $0.26 per share last year. Adjusted earnings at $0.32 per share, topped analysts' estimate of $0.28 per share. Analysts' estimates typically exclude special items.
Looking forward to the fourth quarter, the company expects earnings of $0.30 and $0.34. per share, adjusted earnings of $0.34 to $0.38 per share and revenues of $430 million to $450 million. Analysts currently estimate earnings of $0.35 per share on revenues of $448.43 million.
MLHR closed Wednesday's trading at $25.46, up $0.09 or 0.35%, on the Nasdaq.
For comments and feedback contact: editorial@rttnews.com
Business News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.