Core Viewpoint - Legget & Platt (LEG) is anticipated to report flat earnings of $0.23 per share for the quarter ended March 2025, with revenues expected to decline by 6.3% to $1.03 billion compared to the previous year [3][10]. Earnings Report Expectations - The earnings report is scheduled for April 28, 2025, and could influence the stock price positively if results exceed expectations, while a miss could lead to a decline [2]. - Management's discussion during the earnings call will be crucial in determining the sustainability of any immediate price changes and future earnings expectations [2]. Estimate Revisions - The consensus EPS estimate has been revised down by 3.23% over the last 30 days, indicating a collective reassessment by analysts [4]. - The Most Accurate Estimate for Legget & Platt is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -3.30%, suggesting a bearish outlook from analysts [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, particularly when combined with a favorable Zacks Rank [8]. - However, Legget & Platt currently holds a Zacks Rank of 4, making it challenging to predict an earnings beat [11]. Historical Performance - In the last reported quarter, Legget & Platt met the consensus EPS estimate of $0.21, resulting in no surprise [12]. - The company has not surpassed consensus EPS estimates in any of the last four quarters [13]. Conclusion - Legget & Platt does not appear to be a compelling candidate for an earnings beat, and investors should consider other factors when making decisions regarding this stock ahead of the earnings release [16].

Core Viewpoint - Leggett & Platt is set to release its first quarter earnings results on April 28, 2025, followed by a conference call on April 29, 2025, to discuss various financial and operational aspects [1][2]. Company Overview - Leggett & Platt (NYSE:LEG) is a diversified manufacturer with a history of 142 years, producing engineered components and products for various markets, including bedding, automotive, furniture, and aerospace [3]. - The company is recognized as a leading supplier of bedding components, automotive seat systems, furniture components, flooring underlayment, hydraulic cylinders, and aerospace tubing [3]. Earnings Call Details - The earnings release and financial summary slides will be available on the Investor Relations section of the company's website shortly after market close on April 28, 2025 [2]. - The conference call will be accessible via webcast and can be joined by dialing 201-689-8341 without a passcode [2]. - An audio replay and transcript of the call will be available on the website for 12 months following the event [2]. Contact Information - Investor Relations can be reached at (417) 358-8131 or via email at invest@leggett.com [4]. - Key contacts include Cassie J. Branscum, Vice President of Investor Relations, and Katelyn J. Pierce, Analyst in Investor Relations [4].

Core Viewpoint - Leggett & Platt is set to release its first quarter earnings results on April 28, 2025, followed by a conference call on April 29, 2025, to discuss various financial and operational aspects [1][2]. Company Overview - Leggett & Platt (NYSE: LEG) is a diversified manufacturer with a history of 142 years, producing a wide range of engineered components and products for homes and automobiles [3]. - The company is a leading supplier in several markets, including bedding components, automotive seat systems, furniture components, flooring underlayment, hydraulic cylinders, and aerospace tubing [3]. Earnings Call Details - The earnings release and financial summary slides will be available on the Investor Relations section of the company's website shortly after market close on April 28, 2025 [2]. - The conference call will be accessible via webcast and can be joined by dialing 201-689-8341, with no passcode required [2].

Core Insights - Leggett & Platt has agreed to sell its Aerospace Products Group to Tinicum Incorporated for a cash price of $285 million, with expected after-tax proceeds of approximately $240 million [1][2]. Company Overview - Leggett & Platt is a diversified manufacturer with a history of 142 years, producing a wide range of engineered components and products for homes and automobiles [4]. - The Aerospace Products Group specializes in complex tube and duct assemblies for commercial and military aircraft and space launch vehicles, generating net trade sales of $190 million in 2024 [2]. Transaction Details - The transaction is anticipated to close in 2025, pending regulatory approvals and other customary conditions [1]. - Lazard is acting as the exclusive financial advisor, while Freshfields is the legal advisor for Leggett & Platt in this transaction [3]. Strategic Context - This divestiture is part of Leggett & Platt's ongoing strategic business review to assess long-term business fit [2]. - Full year guidance for 2025, excluding the Aerospace Products Group, will be provided after the transaction closes [3].

Group 1 - LEG Immobilien is identified as an interesting value play in the European real estate sector, particularly due to its focus on the residential market and attractive valuation [1] - The article suggests that the overall sector has not been performing well, which may present opportunities for value investors [1] Group 2 - The author has extensive experience in the financial markets, specifically in portfolio management, which adds credibility to the analysis presented [1]

Business Strategy and Operations - The company is exploring the potential sale of its Aerospace business as part of a strategic review for long-term growth opportunities[31]. - The company did not acquire any businesses in 2024 or 2023, maintaining its current portfolio[32]. - The company launched CombiCore in 2023 and a pre-foam encased product in 2024, enhancing its product offerings in the mattress segment[51]. - The company has consolidated 14 production and distribution facilities in the Bedding Products segment and expects further consolidations in 2025, primarily in Specialty Foam[82]. - The company expects to achieve full implementation of manufacturing efficiency improvements in its Hydraulic Cylinders business by 2025[83]. Financial Performance and Projections - The Bedding Group accounted for 40% of trade sales in 2024, down from 46% in 2022, indicating a shift in market demand[43]. - The company expects overall demand in 2025 to be down modestly from 2024 levels due to economic factors impacting market demand, including housing turnover and consumer confidence[65]. - The 2024 Restructuring Plan incurred total costs of $48 million in 2024, with estimates for 2025 costs ranging from $30 to $40 million[84]. - The company anticipates an EBIT benefit of $55 to $60 million from the 2024 Restructuring Plan in 2025[84]. - Sales attrition related to the restructuring plan is estimated at $60 million for 2025[84]. Innovation and Intellectual Property - The company had 1,281 patents issued and 503 patents in process as of December 31, 2024, indicating a strong focus on innovation[49]. Labor and Employment - The company had approximately 17,700 employees at year-end 2024, with 14% represented by labor unions[54]. - The company did not experience any material work stoppage related to labor contract negotiations during 2024[54]. - The company has a 100% internal promotion rate for corporate officer positions over the last three years, indicating strong succession development[64]. Market and Competitive Environment - The company is facing competitive pressure from foreign competitors, which has led to adjustments in pricing and the development of new proprietary products[68]. - The company faces competitive pressure from lower-priced imports of mattresses and innersprings, which have adversely affected market share and earnings[121]. - Tariffs imposed by the U.S. government on steel and aluminum could lead to lower margins and lost sales, impacting overall results of operations[133]. Supply Chain and Operational Challenges - The company has experienced supply chain disruptions impacting manufacturing processes, financial condition, and cash flows due to various factors including foam chemical shortages and semiconductor shortages[76]. - The company faced potential supply chain disruptions due to geopolitical risks, particularly concerning semiconductor supply from Taiwan and China[99]. Financial Condition and Debt - The total long-term debt as of December 31, 2024, was $1,862.8 million, an increase from $1,679.6 million in 2023[357]. - The weighted average interest rate for commercial paper outstanding was 5.6% for the year ended December 31, 2024, compared to 5.2% for 2023[357]. - The fair value of fixed-rate debt was approximately $245 million less than carrying value at December 31, 2024, compared to $175 million less at December 31, 2023[356]. Asset Management and Impairments - Goodwill and other intangible assets represented $935 million, or 26% of total assets, as of December 31, 2024[103]. - The company recorded impairments of $588 million in its Bedding segment and $44 million each in the Work Furniture and Hydraulic Cylinders segments in 2024[105]. - A non-cash pretax charge of $444 million for long-lived asset impairments was recognized in the Bedding Products segment during the fourth quarter of 2023[108]. Risk Factors - Increased compliance costs and potential liabilities related to environmental regulations could negatively impact the company's financial condition and competitive position[140]. - Cybersecurity risks remain a concern, with potential disruptions to operations and financial results due to technology failures or breaches[128]. - The evolving landscape of privacy and data protection regulations could impose additional compliance obligations, adversely affecting the company's operations and reputation[137]. - The company faces transition risks related to reducing its carbon footprint, which could materially affect its business and financial condition[141]. - Increased scrutiny from stakeholders regarding sustainability practices could negatively impact the company's liquidity and stock price[143]. International Operations - In 2024, the company reported that 35% of its trade sales were related to products manufactured outside the United States, with the Specialized Products segment having a higher percentage at 84% to 86%[38]. - As of December 31, 2024, the company operated 119 manufacturing facilities across 18 countries, with 40% of sales generated outside the United States[91][97]. - The company's net investment in foreign operations with functional currencies other than the U.S. dollar totaled $1,022.8 million as of December 31, 2024, down from $1,202.1 million in 2023[360]. - In 2024, 40% of the company's sales were generated from international operations, exposing it to foreign currency exchange rate risks[127]. Cash Flow and Dividends - The company reduced its quarterly cash dividend per share, indicating potential for further reductions or suspension based on financial conditions and cash needs[116]. - The company experienced a bad debt expense of $6 million in 2024, with an allowance for doubtful accounts for trade receivables totaling $14 million[102]. Insurance and Weather-Related Costs - The company has experienced increased costs of property insurance due to severe weather-related incidents, although these costs have not been material to its financial condition[94].

Company Overview - Leggett & Platt (NYSE: LEG) is a diversified manufacturer with 142 years of history, producing a wide range of engineered components and products for homes and automobiles [2] - The company is a leading supplier in various sectors, including bedding components, automotive seat systems, furniture components, geo components, flooring underlayment, hydraulic cylinders, and aerospace tubing [2] Dividend Announcement - Leggett & Platt's Board of Directors declared a dividend of $0.05 per share for the first quarter of 2025 [1] - The dividend is scheduled to be paid on April 15, 2025, to shareholders of record as of March 14, 2025 [1]

Group 1 - Leggett & Platt, Incorporated (NYSE: LEG) has accumulated know-how over approximately 142 years in the United States and is currently making significant efforts to remain competitive [1] - The company is undergoing substantial reorganization efforts to enhance its market position [1] Group 2 - The analyst has a beneficial long position in the shares of LEG through stock ownership, options, or other derivatives [2] - The article expresses the analyst's own opinions and is not compensated for it, aside from Seeking Alpha [2]

Financial Data and Key Metrics Changes - Fourth quarter sales were $1.1 billion, down 5% compared to Q4 2023, primarily due to weak demand in residential markets and automotive sectors [27][29] - Full year 2024 sales decreased 7% to $4.4 billion, with EBIT down $340 million largely due to $676 million in goodwill impairment charges [29][30] - Adjusted EPS for 2024 was $1.05, a 24% decrease from 2023 adjusted EPS of $1.39 [30] - Operating cash flow was $306 million, a decrease of $191 million versus 2023 [31] Business Line Data and Key Metrics Changes - Sales in the bedding products segment decreased 6% in Q4 2024, specialized products declined 5%, and furniture, flooring, and textile products were down 4% [28] - For the full year, bedding products faced a decline primarily due to restructuring-related sales attrition and lower volume in adjustable beds [20][30] - The specialized products segment is expected to see mid-single-digit declines in 2025, influenced by automotive and hydraulic cylinder demand [22][24] Market Data and Key Metrics Changes - The U.S. mattress market was likely down low single digits in 2024, with domestic production down mid-single digits [19] - In 2025, market volume is expected to be flat, with domestic production down low to mid-single digits [20] - The automotive market is projected to face lower volume year over year due to softness in demand and challenges from Chinese EV manufacturers [22][24] Company Strategy and Development Direction - The company is focusing on balance sheet strength, operational efficiency, and margin improvement while exploring a potential sale of its aerospace business [25] - Continued product innovation and strong customer relationships are prioritized to navigate demand pressures [25] - Restructuring activities are expected to continue throughout 2025, with a focus on improving manufacturing efficiency and reducing costs [14][35] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the potential for recovery in the bedding market despite ongoing demand challenges [18][43] - Concerns were raised about consumer confidence, inflation, and affordability issues impacting demand in 2025 [100][112] - The company anticipates that macroeconomic factors will continue to influence performance, with no significant improvement expected in 2025 compared to 2024 [100][112] Other Important Information - The company reduced total debt by $126 million in 2024, ending the year with total liquidity of $793 million [32][33] - Restructuring costs for 2025 are expected to be approximately $30 million, with total restructuring costs projected to range from $80 million to $90 million [35][36] - The company expects to generate $15 million to $40 million in cash proceeds from real estate sales associated with the restructuring plan [38] Q&A Session Summary Question: Can you discuss the dynamics between imports and U.S. production in the bedding market? - Management highlighted that imported innersprings are significantly impacting the market, with nearly 50% of units sold through online platforms [49][50] Question: What is driving the increased expectations for EBIT benefits from restructuring? - Management credited the hard work of teams executing the restructuring plan, with potential upside in contribution margins as manufacturing efficiency improves [55][56] Question: How should we think about margins for the segments in 2025? - Margins are expected to improve in bedding despite volume declines, while specialized products are anticipated to remain flat [58][59] Question: What are the expectations for the bedding market in 2025? - The company expects a mid-single-digit decline in bedding demand, influenced by restructuring-related sales attrition and lower volume in adjustable beds [20][22] Question: Can you elaborate on the automotive market dynamics? - Management noted that the automotive sector is facing challenges due to a shift towards Chinese EV manufacturers and a decline in multinational production [22][134] Question: How is the company addressing tariff impacts? - Management is closely monitoring tariff impacts on steel pricing and downstream products, which could affect competitiveness [77][116]

Company Overview - Leggett & Platt (LEG) is currently rated with a Zacks Rank of 2 (Buy) and has a Value grade of A [3][6] - The stock is trading at a P/E ratio of 8.05, significantly lower than the industry average P/E of 10.94 [3] Valuation Metrics - LEG's P/B ratio stands at 1.76, which is attractive compared to the industry's average P/B of 1.93 [4] - The stock has a P/S ratio of 0.31, compared to the industry's average P/S of 0.41, indicating strong sales performance relative to its price [5] Investment Potential - The combination of LEG's low valuation metrics and strong earnings outlook suggests that the stock is likely undervalued at the moment, making it an impressive value stock [6]