Abstract
Leggett & Platt will report quarterly results on February 11, 2026, Post Market; this preview synthesizes recent financials, company projections, and analyst commentary to frame expectations for revenue, margins, EPS, and segment performance for the upcoming print.
Market Forecast
Consensus for the current quarter points to revenue of $0.95 billion, an adjusted EPS of $0.23, and EBIT near $57.75 million; year over year, revenue is projected to decline by 7.23% while adjusted EPS is projected to rise by 14.82%. Company data and market expectations imply mixed margin dynamics, with a potential stabilization in gross profit margin and a modest improvement in net profitability; EBIT is guided to be roughly flat year over year, and adjusted EPS growth reflects mix and cost actions.
The core Residential Products, Furniture Products, and Specialized Products segments remain the principal revenue engines; outlook centers on residential bedding demand normalization and order replenishment trends, as well as pricing discipline and cost efficiencies. Specialized Products is positioned as the segment with the most promising near-term trajectory on a profitability basis given mix and structural cost benefits, though revenue comparisons remain pressured year over year.
Last Quarter Review
In the previous quarter, Leggett & Platt delivered revenue of $1.04 billion, a gross profit margin of 18.86%, GAAP net profit attributable to the parent company of $0.13 billion, a net profit margin of 12.26%, and adjusted EPS of $0.29, with revenue declining by 5.93% year over year.
A notable highlight was EBIT of $72.80 million, surpassing internal and external estimates, underscoring effective cost control and operational execution despite muted demand. Main business revenue composition showed Residential Products at $402.50 million, Furniture Products at $356.40 million, and Specialized Products at $277.50 million; year-over-year revenue trends remained negative across categories, with resilience supported by pricing and productivity.
Current Quarter Outlook (with major analytical insights)
Residential Products: Bedding demand normalization and inventory discipline shape revenue and margin cadence
Residential Products remains the largest contributor, with the last quarter’s revenue at $402.50 million, reflecting a continued environment of subdued mattress and bedding components orders amid cautious retailer purchasing and inventory discipline. For the current quarter, the projected company-level revenue of $0.95 billion suggests ongoing softness in large-ticket home-related categories, implying Residential Products will likely post year-over-year declines in the mid- to high-single-digit range. However, adjusted EPS is forecast to increase to $0.23 despite lower revenue, pointing to improved product mix and cost efficiency within Residential Products that can support contribution margins even as volumes remain pressured. Watch for signs of replenishment orders as channel inventories normalize and promotions cool; a modest improvement in gross margin at the company level would be consistent with disciplined pricing and lower input costs across bedding components.
Furniture Products: Volume recovery remains uneven, with cost controls cushioning margin pressure
Furniture Products posted revenue of $356.40 million last quarter, reflecting ongoing demand variability across office, home, and motion furniture components. The revenue consensus for the current quarter implies that Furniture Products will continue to face challenging year-over-year comparisons, likely resulting in mid-single-digit declines as consumers remain selective on discretionary home furnishings. Margin resilience is likely to stem from operational efficiencies and rationalized capacity, which were evident in last quarter’s EBIT performance exceeding expectations. As steel and freight remain relatively benign versus the prior year, segment-level gross margin may see incremental improvement, but top-line acceleration likely requires a clearer turn in order trends from OEM and retail partners.
Specialized Products: Stronger mix and structural cost actions support profitability, but revenue comps stay pressured
Specialized Products contributed $277.50 million last quarter and continues to benefit from mix and structural cost actions that support profitability. This quarter’s forecast of $57.75 million EBIT and $0.23 EPS suggests that, while aggregate revenue is set to decline year over year by 7.23%, the company aims to protect margin through efficiency gains in Specialized Products and by prioritizing higher-value programs. The segment’s near-term revenue trajectory is likely influenced by macro-sensitive end markets and OEM production schedules, limiting year-over-year growth. Still, the margin profile should remain a relative bright spot due to portfolio mix and operational enhancements, offering a buffer to company-wide profitability as demand conditions evolve.
Stock price drivers this quarter: Margins versus volumes, order replenishment timing, and capital discipline
This quarter’s stock reaction is likely to hinge on the balance between volume declines and margin preservation. If gross profit margin holds near or slightly above the prior quarter’s 18.86% and EBIT aligns with guidance near $57.75 million despite a 7.23% revenue decline, investors may view the cost and pricing strategy as credible, supporting valuation stability. Conversely, any evidence that margin gains are purely temporary—such as from short-term cost tailwinds—without improving order trends could limit multiple expansion. Commentary on inventory normalization, promotional cadence in bedding, and the timing of replenishment orders will be closely parsed. Capital discipline, including cash generation and leverage considerations, will also be important, especially if revenue headwinds persist longer than expected.
Analyst Opinions
The majority of recent institutional commentary leans cautious, citing ongoing demand softness across home- and furniture-related categories and the risk of continued year-over-year revenue declines even as margins stabilize. Analysts highlight that the company’s guidance—revenue of $0.95 billion (down 7.23% year over year), EBIT of $57.75 million (approximately flat year over year), and adjusted EPS of $0.23 (up 14.82% year over year)—reflects disciplined cost execution offsetting weaker volumes, and they prefer clearer signs of a top-line inflection before turning more constructive. A number of sell-side voices emphasize watching the bedding end-market for signs of order stabilization and the cadence of promotional activity, which could influence near-term pricing and mix. Overall, the prevailing view is that while the margin trajectory is improving, the revenue backdrop remains challenging, keeping sentiment balanced with a slight bearish tilt until demand evidence improves.Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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