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]

Leggett & Platt, Incorporated (NYSE:LEG) Q4 2024 Earnings Conference Call February 14, 2025 8:30 AM ET Company Participants Cassie Branscum - VP, IR Karl Glassman - CEO Ben Burns - CFO Tyson Hagale - President, Bedding Products Sam Smith - President, Specialized Products and Furniture, Flooring & Textile Products Conference Call Participants Susan Maklari - Goldman Sachs Bobby Griffin - Raymond James Keith Hughes - Truist Securities Peter Keith - Piper Sandler Operator Greetings, and welcome to the Leggett ...

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]

Fourth Quarter 2024 Summary Financial Information and Restructuring Update February 13, 2025 Forward-Looking Statements Statements in this presentation that are not historical in nature are "forward-looking." These statements are identified either by the context in which they appear or by use of words such as "anticipate," "estimate," "expect," "guidance," "may," "plan," or the like. These statements include, but are not limited to, future EPS, adjusted EPS, sales, volume for the Company and per segment, ra ...

For the quarter ended December 2024, Legget & Platt (LEG) reported revenue of $1.06 billion, down 5.3% over the same period last year. EPS came in at $0.21, compared to $0.26 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $1.03 billion, representing a surprise of +2.16%. The company has not delivered EPS surprise, with the consensus EPS estimate being $0.21.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street e ...

Legget & Platt (LEG) came out with quarterly earnings of $0.21 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.26 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this engineered component manufacturer would post earnings of $0.33 per share when it actually produced earnings of $0.32, delivering a surprise of -3.03%.Over the last four quarters, the company has not been able to surpass consensus EPS estimates.Le ...

Sales Performance - 2024 sales were $4.4 billion, a 7% decrease compared to 2023[6] - Fourth quarter sales were $1.1 billion, a 5% decrease versus fourth quarter last year[5] - Trade sales decreased by 5% in Q4 2024 compared to Q4 2023, totaling $1,056.4 million, and decreased by 7% year-to-date, totaling $4,383.6 million[34] - Trade sales for Bedding Products decreased by 6% in Q4 2024 compared to Q4 2023, totaling $420.2 million, and year-to-date sales fell by 11% to $1,751.7 million[35] - In 2023, the company reported trade sales of $4,725.3 million, while the forecast for 2024 is $4,383.6 million, indicating a decline of approximately 7.2%[38] Earnings and Profitability - 2024 adjusted EPS was $1.05, down $0.34 versus 2023 adjusted EPS[14] - 2024 EBIT was a loss of $430 million, down $340 million from 2023 EBIT[13] - Fourth quarter EBIT was $44 million, up from a loss of $367 million in fourth quarter 2023[8] - Net earnings attributable to Leggett & Platt for Q4 2024 were $14.2 million, a significant recovery from a loss of $297.3 million in Q4 2023, while year-to-date net loss was $511.5 million compared to a loss of $136.8 million in 2023[34] - Adjusted EBIT decreased by $6 million in the Bedding Products segment, primarily due to lower volume and raw material-related pricing adjustments[28] - The company recorded a $588 million non-cash goodwill impairment charge in 2024, contributing to a $205 million decrease in EBIT for the Specialized Products segment[28] - Adjusted EBIT for the total company dropped by 16% in Q4 2024, amounting to $55.6 million, with an adjusted EBIT margin of 5.3%, down from 5.9% in Q4 2023[35] - The company experienced a 51% decrease in adjusted EBIT for Bedding Products year-to-date, falling to $45.4 million[35] - The adjusted EBIT for 2023 was $333.5 million, with a projected decrease to $266.5 million in 2024, reflecting a decline of about 20.1%[38] - The adjusted EBIT margin for 2023 was 7.1%, projected to decrease to 6.1% in 2024, indicating a decline in operational efficiency[38] Cash Flow and Debt - Operating cash flow was $306 million, a decrease of $191 million versus 2023[21] - Debt at December 31 was $1.9 billion, with a reduction of $126 million in 2024[18] - Long-term debt increased by 11% from $1,679.6 million in 2023 to $1,862.8 million in 2024[34] - Cash and equivalents decreased from $365.5 million in 2023 to $350.2 million in 2024[34] - Long-term debt to adjusted EBITDA ratio was reported at 3.76, indicating a stable leverage position[36] - The net debt to adjusted EBITDA ratio increased from 3.16 in 2023 to 3.76 in 2024, suggesting a higher leverage position[38] - The company reported a net debt of $1,622.1 million in 2023, which is expected to decrease to $1,513.9 million in 2024[38] Future Outlook - 2025 guidance expects sales of $4.0–$4.3 billion, with EPS of $0.83–$1.24[6] - Anticipated cash proceeds from real estate sales related to restructuring are expected to be $15–$40 million in 2025[21] - Management will host a conference call on February 14, 2025, to discuss the financial results and future outlook[29] Operational Efficiency - The company plans to continue focusing on operational efficiency improvements and disciplined cost management to mitigate the impact of raw material price fluctuations[32] - The company incurred restructuring and impairment charges totaling $49.8 million in 2024, impacting overall profitability[38] Asset Management - Total assets decreased by 21% from $4,634.5 million in 2023 to $3,661.6 million in 2024, with total current assets down 10%[34] - The company recorded a gain on the sale of real estate of $(30.9) million in 2024, which may affect cash flow and liquidity[39]

Leggett & Platt, Incorporated (LEG) is scheduled to release fourth-quarter 2024 results on Feb. 13, after market close.In the last reported quarter, the company’s earnings and trade sales missed the Zacks Consensus Estimate by 3% and 0.4%, respectively. On a year-over-year basis, both metrics declined 11% and 6%, respectively.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Leggett’s earnings topped the consensus mark in two of the trailing four quarters and missed on two occasions, wi ...

Wall Street analysts forecast that Legget & Platt (LEG) will report quarterly earnings of $0.21 per share in its upcoming release, pointing to a year-over-year decline of 19.2%. It is anticipated that revenues will amount to $1.03 billion, exhibiting a decline of 7.3% compared to the year-ago quarter.The consensus EPS estimate for the quarter has been revised 3.1% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial ...

Carthage, MO, Jan. 27, 2025 (GLOBE NEWSWIRE) -- Leggett & Platt (NYSE:LEG), a diversified manufacturer of engineered products serving several major markets, will release fourth quarter and full year earnings results on Thursday, February 13, 2025 after the market closes, and hold its quarterly conference call to discuss fourth quarter and full year results, annual guidance, market conditions, company initiatives and related matters on Friday, February 14, 2025, at 8:30 a.m. Eastern Time (7:30 a.m. Central T ...