The following is a summary of the Leggett & Platt, Incorporated (LEG) Q3 2024 Earnings Call Transcript:
Financial Performance:
Leggett & Platt reported Q3 sales of $1.1 billion, down 6% year-over-year.
EBIT reached $78 million, with adjusted EBIT at $76 million, down $10 million from Q3 2023.
Adjusted earnings per share were $0.32, an 11% decrease compared to $0.36 in Q3 2023.
Business Progress:
Restructuring plan on track; key actions include exiting the Mexican innerspring operation, consolidating Specialty Foam operations, and closing one adjustable bed location.
Continuation of portfolio simplification and potential sale of aerospace business is under exploration.
Identified approximately $10 million in corporate cost savings expected to be realized in 2025 as part of an ongoing evaluation of the general and administrative cost structure.
Opportunities:
Focused on operational efficiency improvements, and margin expansions as restructuring initiatives are executed.
Potential divestitures to focus on core profitable areas, such as the ongoing strategic review potentially resulting in the sale of the aerospace segment.
Risks:
Persistent weak demand across bedding, automotive, and home furniture segments expected to continue affecting sales and earnings.
Anticipated sales attrition due to restructuring related actions.
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
