SECOND QUARTER FY26: SUPPLEMENTAL INFORMATION 2 BUSINESS OVERVIEW & STRATEGIC ACTIONS CULP, INC. (NYSE: CULP) December 2025 FORWARD-LOOKING STATEMENTS This presentation contains "forward-looking statements" within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995 (Section 27A of the Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934). Such statements are inherently subject to risks and uncertainties that may cause actual ...

HIGH POINT, N.C.--(BUSINESS WIRE)--Culp, Inc. (NYSE: CULP), a leading provider of fabrics for bedding and upholstery fabrics for residential, commercial, and hospitality furniture and other applications, today reported financial and operating results for its second fiscal quarter ended November 2, 2025. Iv Culp, President and Chief Executive Officer, commented, "We continue to make aggressive adjustments to our cost structure in this challenging macro demand environment that seems to be acutely affecting ho ...

Company Overview - Culp, Inc is a major North American marketer of mattress and upholstery fabrics with global manufacturing in the US, China, Haiti, and Vietnam[6] - Culp's fiscal year 2025 revenue was $213.2 million[7] - The bedding segment accounts for 53% of Culp's fiscal 2025 revenue, while the upholstery segment accounts for 47%[8] Market Position and Strategy - Culp holds a 20-25% market share in the $500-600 million domestic mattress fabric and cover market[10] - Culp holds an 8-10% market share in the $1.5-$2.5 billion domestic upholstery fabric market[13] - Restructuring actions completed in fiscal year 2025 are projected to yield $10 to $11 million in annualized cost savings and efficiency gains[21] - Additional integration actions in fiscal year 2026 are expected to generate ~$6 million in total annualized additional benefits[32] - Pricing initiatives in fiscal year 26 are expected to generate ~$2.5 million annualized margin improvement in bedding segment[32] Liquidity and Financial Health - As of August 3, 2025, Culp's total liquidity was $28.7 million, including cash and availability from credit lines[15] - Estimated proceeds from a Canadian real estate sale will add $3 million to liquidity, bringing the total to $31.7 million[15] - Culp has U S Federal NOL carryforwards totaling ~$88.1 million as of April 27, 2025[16] Market Outlook - The mattress industry may be nearing the end of a period of low demand[35] - UBS forecasts 4% growth in mattress industry sales in 2026 and 8% growth in 2027[40]