Overview

• Furniture maker's fiscal Q3 sales rose 4% yr/yr to $542 mln

• Adjusted EPS for fiscal Q3 missed analyst expectations

• Company announced closure of UK manufacturing facility by fiscal year end

Outlook

• La-Z-Boy expects Q4 sales between $560 mln and $580 mln

• Company anticipates Q4 adjusted operating margin of 7.5% to 9.0%

• La-Z-Boy remains cautious due to macroeconomic conditions and weather impacts

Result Drivers

• RETAIL EXPANSION - Retail segment sales increased 11% due to new and acquired stores, despite a 4% decline in same-store sales

• WHOLESALE GROWTH - Wholesale segment sales rose 1%, marking the seventh consecutive quarter of growth in North America

• JOYBIRD DECLINE - Joybird sales decreased 13% due to volatility in the consumer segment

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the home furnishings peer group is "hold."

• Wall Street's median 12-month price target for La-Z-Boy Inc is $44.50, about 16.1% above its February 13 closing price of $38.34

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nGNX3jJmpx

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)