Financial Data and Key Metrics Changes - The company reported third quarter revenue of $778 million, slightly below expectations due to order fulfillment issues in the Americas [22] - Adjusted earnings per share included benefits from a decrease in acquisition earn-out liability and gains from asset sales, contributing approximately $0.10 per share [21] - Gross margin improved by 360 basis points year-over-year, driven by higher pricing benefits and lower operating expenses [8][23] Business Line Data and Key Metrics Changes - The Americas segment showed strong profitability improvement, with orders growing 16% year-over-year, primarily driven by large corporate customers [12][27] - The International segment reported over $9 million in adjusted operating income, a significant turnaround from a nearly $15 million adjusted operating loss in the first half of the year [10] - Orders in the International segment grew 10% year-over-year, with over 40% growth in the Asia Pacific region [11][27] Market Data and Key Metrics Changes - Overall orders grew 15% year-over-year, with a sequential increase of 1% compared to the second quarter [11][27] - In the Americas, order growth was led by large corporate customers, while International orders were bolstered by strong performance in Asia Pacific, particularly in India and Southeast Asia [12][27] - EMEA orders grew modestly, with notable growth in France and Iberia, offset by declines in other markets like the UK [27] Company Strategy and Development Direction - The company is focused on leading workplace transformation and diversifying its customer base while improving profitability [17][30] - Recent product launches emphasize innovation and sustainability, aligning with customer demands for environmentally friendly solutions [15][16] - The company is actively pursuing bolt-on acquisitions to accelerate growth initiatives, although no suitable opportunities have been identified yet [42] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about increasing investment levels as companies settle into a stronger in-office presence [17] - The company anticipates revenue growth to lag behind order growth in fiscal 2025 due to a lower beginning backlog compared to the prior year [30] - Management highlighted the importance of creating engaging office environments to encourage employee presence and productivity [56][75] Other Important Information - Total liquidity strengthened by $110 million during the quarter, with cash generated from operations amounting to $120 million [25][26] - The company expects fourth quarter revenue to range between $765 million and $790 million, approximately flat on an organic basis compared to the prior year [28] Q&A Session Summary Question: Can you help with the backlog math and why next year revenue might trail orders? - Management indicated that a decline in backlog compared to last year will impact revenue growth rates, as a portion of the backlog decline will affect revenue [37] Question: What is driving order strength among large customers? - Management noted that order strength is broad-based across various verticals, with no significant weakness observed in expected areas [41] Question: Can you clarify on the delivery issues that impacted the quarter? - Management confirmed that delivery times have improved year-over-year, although they remained flat compared to the previous quarter [69] Question: How much of the growth is driven by large corporate customers? - Management expects continued momentum from large corporate customers, correlating with a stronger return to the office [70] Question: What are the catalysts for growth in the office furnishings industry? - Management believes that beyond the return to office, there are broader macro-level trends, such as near-shoring and AI growth, that will provide opportunities for the business [75]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________________________________ FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended August 25, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-13873 ________________________________________________________ ...

Steelcase Inc. (NYSE:SCS) Q2 2024 Earnings Conference Call September 20, 2023 8:30 AM ET Company Participants Mike O'Meara - IR Sara Armbruster - President and CEO Dave Sylvester - SVP and CFO Conference Call Participants Greg Burns - Sidoti Reuben Garner - Benchmark Budd Bugatch - Water Tower Research Steven Ramsey - Thompson Research Group Budd Bugatch - Water Tower Research Operator Good morning. My name is Rob, and I will be your conference operator today. At this time, I would like to welcome everyone ...

PART I Financial Information [Item 1. Financial Statements (Unaudited)](index=3&type=section&id=Item%201.%20Financial%20Statements%20%28Unaudited%29) Unaudited Q1 FY2024 financials show a return to profitability with $1.5 million net income and positive operating cash flow [Condensed Consolidated Statements of Operations](index=3&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q1 FY2024 revenue increased 1.5% to $751.9 million, with gross profit up 22.4%, leading to $1.5 million net income Q1 FY2024 vs Q1 FY2023 Statement of Operations (in millions, except per share data) | Metric | Q1 2024 (ended May 26, 2023) | Q1 2023 (ended May 27, 2022) | Change | | :--- | :--- | :--- | :--- | | **Revenue** | $751.9 | $740.7 | +1.5% | | **Gross Profit** | $234.6 | $191.6 | +22.4% | | **Operating Income (Loss)** | $7.3 | $(12.6) | Improved by $19.9M | | **Net Income (Loss)** | $1.5 | $(11.4) | Improved by $12.9M | | **Diluted EPS** | $0.01 | $(0.10) | Improved by $0.11 | | **Dividends per Share** | $0.100 | $0.145 | -31.0% | [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased to $2,125.5 million, while liabilities also fell, resulting in a slight increase in shareholders' equity Balance Sheet Comparison (in millions) | Account | May 26, 2023 | February 24, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $40.2 | $90.4 | | Total current assets | $815.9 | $884.0 | | **Total assets** | **$2,125.5** | **$2,202.8** | | Total current liabilities | $533.6 | $603.3 | | **Total liabilities** | **$1,296.4** | **$1,376.6** | | **Total shareholders' equity** | **$829.1** | **$826.2** | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow turned positive to $11.3 million, with a net cash decrease of $50.6 million for the quarter Cash Flow Summary (in millions) | Activity | Three Months Ended May 26, 2023 | Three Months Ended May 27, 2022 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $11.3 | $(55.1) | | Net cash used in investing activities | $(11.2) | $(7.3) | | Net cash used in financing activities | $(50.3) | $(20.7) | | **Net decrease in cash** | **$(50.6)** | **$(84.4)** | - The significant use of cash in financing activities was primarily due to a **$32.2 million repayment** on a note payable and **$12.1 million** in dividend payments[23](index=23&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail segment realignment, Q1 2024 restructuring costs of $8.1 million, and HALCON acquisition accounting completion - In Q1 2024, the company realigned its reportable segments into Americas and International (aggregating EMEA and Asia Pacific), with all prior period data reclassified for this change[76](index=76&type=chunk)[78](index=78&type=chunk)[81](index=81&type=chunk) - New restructuring actions were announced in Q1 2024 due to declining order volume and inflation, involving workforce reductions across regions, resulting in **$8.1 million** of restructuring costs during the quarter[85](index=85&type=chunk)[86](index=86&type=chunk) - The purchase accounting for the HALCON acquisition, which occurred in Q2 2023, was completed, adding **$51.8 million** in identifiable intangible assets and **$36.6 million** in goodwill to the Americas segment[72](index=72&type=chunk)[73](index=73&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes Q1 2024 profitability to pricing actions, with revenue up 2% and gross margin improving 530 bps - Q1 2024 revenue benefited from pricing actions, but volume declines substantially offset these benefits, particularly in the International segment, with orders declining **7% year-over-year** but growing **21% sequentially** from Q4 2023[93](index=93&type=chunk) - The company reported a significant improvement in profitability, with operating income of **$7.3 million** compared to a loss of **$12.6 million** in the prior year, driven by higher pricing benefits[94](index=94&type=chunk) Non-GAAP Financial Measure Reconciliation | Measure | Q1 2024 (ended May 26, 2023) | Q1 2023 (ended May 27, 2022) | | :--- | :--- | :--- | | **Adjusted Operating Income (Loss)** | $19.7M | $(4.6)M | | **Adjusted EPS** | $0.09 | $(0.05) | | **Organic Revenue Growth** | 0% | N/A | [Business Segment Review](index=23&type=section&id=Business%20Segment%20Review) Americas segment drove profitability with 5% revenue growth, while International segment's operating loss widened Segment Performance (in millions) | Segment | Revenue (Q1'24) | Revenue Change (YoY) | Operating Income (Loss) (Q1'24) | Operating Income (Loss) (Q1'23) | | :--- | :--- | :--- | :--- | :--- | | **Americas** | $572.8 | +5% | $19.8 | $(10.7) | | **International** | $179.1 | -9% | $(12.5) | $(1.9) | - Americas' operating income improvement was driven by higher pricing benefits of approximately **$65 million** and operational efficiencies, partially offset by lower volume and higher variable compensation[102](index=102&type=chunk)[103](index=103&type=chunk)[104](index=104&type=chunk) - International's increased operating loss was driven by lower volume (approx **$30 million** impact), higher operating expenses, and **$6.8 million** in restructuring costs, which more than offset pricing benefits[108](index=108&type=chunk)[109](index=109&type=chunk) [Liquidity and Capital Resources](index=25&type=section&id=Liquidity%20and%20Capital%20Resources) Total liquidity was $470.3 million, with operating cash flow improving to $11.3 million, sufficient for future needs Liquidity Sources (in millions) | Source | May 26, 2023 | February 24, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $40.2 | $90.4 | | Company-owned life insurance | $159.7 | $157.3 | | Availability under credit facilities | $270.4 | $269.7 | | **Total liquidity sources available** | **$470.3** | **$517.4** | - In Q1 2024, the company borrowed and repaid **$67.2 million** under its global facility to fund operations and a **$31.8 million** balloon payment for a matured note[125](index=125&type=chunk) - Planned capital expenditures for fiscal 2024 are expected to be approximately **$70 to $80 million**, an increase from **$59.1 million** in 2023[134](index=134&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=28&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes occurred in market risk exposures, including foreign currency, interest rate, and commodity price risks - The nature of market risks, including foreign exchange, interest rate, commodity price, and fixed income/equity price risks, has not materially changed during Q1 2024[139](index=139&type=chunk)[140](index=140&type=chunk)[141](index=141&type=chunk) [Controls and Procedures](index=29&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls and procedures were effective, with no material changes to internal control over financial reporting - The Chief Executive Officer and Chief Financial Officer concluded that as of May 26, 2023, the company's disclosure controls and procedures were effective[144](index=144&type=chunk) - No material changes to the company's internal control over financial reporting occurred during the first fiscal quarter[145](index=145&type=chunk) PART II Other Information [Risk Factors](index=30&type=section&id=Item%201A.%20Risk%20Factors) No material changes to previously disclosed risk factors were reported in the current period - There have not been any material changes to the risk factors set forth in the company's most recent Annual Report on Form 10-K[148](index=148&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=30&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased 429,624 shares for $3.3 million to cover tax obligations, with $6.4 million remaining Q1 2024 Share Repurchase Activity | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | 02/25/2023 - 03/31/2023 | 429,624 | $7.71 | | **Total** | **429,624** | **$7.71** | - All shares were repurchased to satisfy participants' tax withholding obligations upon the issuance of shares under equity awards[151](index=151&type=chunk) - As of May 26, 2023, **$6.4 million** remained available for repurchase under the Board-approved program from January 2016[150](index=150&type=chunk) [Exhibits](index=31&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including the Credit Agreement and required certifications - Exhibits filed include the Third Amended and Restated Credit Agreement, Sarbanes-Oxley Section 302 and 906 certifications, and various Inline XBRL data files[153](index=153&type=chunk) Signatures The report was signed on June 23, 2023, by Nicole C. McGrath, VP, Corporate Controller & Chief Accounting Officer - The Form 10-Q report was signed and authorized by Nicole C. McGrath, Vice President, Corporate Controller & Chief Accounting Officer, on June 23, 2023[156](index=156&type=chunk)[158](index=158&type=chunk)

Financial Data and Key Metrics Changes - The company reported consolidated revenue of $752 million, which was flat on an organic basis compared to the prior year, with a 2% growth in the Americas offset by a 7% decline in International [15][21] - Adjusted earnings per share for Q1 exceeded expectations, benefiting from operational efficiencies and pricing actions taken in response to inflation [13][16] - The company expects Q2 revenue to be in the range of $815 million to $840 million, reflecting a 3% to 6% decline year-over-year, with adjusted earnings per share projected between $0.19 and $0.23 [20][21] Business Line Data and Key Metrics Changes - Revenue from the Americas was driven by faster order fulfillment and higher-than-expected incoming orders, while the consumer retail segment experienced a shortfall [14] - Orders in the first quarter declined by 7% year-over-year, with a 6% decline in the Americas and an 11% decline in International [17] - The company noted a year-over-year growth in EMEA new project opportunity creation of 10%, despite a decline in overall orders [19] Market Data and Key Metrics Changes - The International revenue decline was attributed to a lower beginning backlog and macroeconomic concerns, leading to restructuring actions in EMEA and Asia Pacific [15] - In Asia Pacific, there was double-digit growth across all other markets, indicating some regional resilience [19] - The company observed that many larger customers regretted putting projects on hold during the last 18 months, indicating a potential shift in investment activity [4] Company Strategy and Development Direction - The company aims to lead workplace transformation and diversify its customer and market segments while improving profitability [9][30] - New product innovations showcased at the NeoCon trade show included solutions for mobile workers and enhanced seating offerings, emphasizing sustainability [32][33] - The company is focused on reducing costs and optimizing its distribution system, including the closure of a regional distribution center [6][21] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for the second half of the year, despite navigating an uncertain environment [9][30] - The company is seeing positive signs in customer conversations, with a focus on returning to the office and evolving workplace needs [51][78] - Management acknowledged challenges in international markets but noted improvements in operational agility and supply chain reliability [12][19] Other Important Information - The company generated $11 million in cash from operating activities in Q1, with a reduction in working capital contributing to this positive cash flow [37] - Liquidity at the end of the quarter totaled $200 million, with total debt at $447 million, reflecting a decrease due to the payoff of a maturing aircraft loan [38] - The company is committed to achieving its fiscal 2024 targets while navigating the current economic landscape [21] Q&A Session Summary Question: Can you provide more color on the activity with large corporate customers? - Management noted that many customers are now engaging with real projects and plans to evolve their office spaces, indicating a shift from hypothetical discussions to actionable plans [58] Question: How is the company addressing the sales cycle length? - Management observed that there is a trend of customers having clearer plans and timelines, suggesting a reduction in the length of the sales cycle [93] Question: What are the expectations for project activity moving forward? - Management believes project activity will improve, although significant year-over-year growth remains uncertain [84] Question: How is the company managing its operational efficiencies? - Management highlighted improvements in logistics and operational efficiencies, contributing to better gross margins despite ongoing inflation [95]

We believe the office will continue to be very relevant for innovation, culture and collaboration Efforts to diversify the customers and markets we serve brings additional growth potential Recent price-cost tailwinds expected to continue $3.2B $210M 1.1x 770 12,000 innovative design, sustainability Named a 2022 Most Responsible Company by Newsweek Eight-time perfect score recipient of the Human Rights Campaign's Best Places to Work for LGBTQ Equality Investor Presentation FY2024 First Quarter FY2023 Third Q ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________ FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended February 24, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 1-13873 ____________________________ STEELCASE INC. (Exact name of registrant as specified in its charter) Michigan 38-0819050 (State o ...

Steelcase Inc. (NYSE:SCS) Q4 2023 Earnings Conference Call March 23, 2023 8:30 AM ET Company Participants Mike O'Meara - Director, Investor Relations and Financial Planning and Analysis Sara Armbruster - President and Chief Executive Officer David Sylvester - Senior Vice President and Chief Financial Officer Conference Call Participants Reuben Garner - The Benchmark Company Greg Burns - Sidoti & Company Steven Ramsey - Thompson Research Group Rex Henderson - Water Tower Research Operator Good morning. My na ...

Washington, D.C. 20549 ___________________________________________________________ FORM 10-Q Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended November 25, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-13873 ______________________________________________________ ...

Steelcase® Investor Presentation FY2023 Third Quarter Investment Thesis Steelcase Q3, 2023 We believe the office will continue to be very relevant for innovation, culture and collaboration Steelcase is an industry leader in a changing workplace environment that we believe provides growth opportunities Efforts to diversify the customers and markets we serve brings additional opportunity Experienced management team has led the company through similar previous cycles Recent price-cost tailwinds expected to con ...