Abstract

La-Z-Boy Incorporated will report results on February 17, 2026 Post Market, with consensus pointing to modest revenue growth and margin compression; this preview distills the latest quarter’s baselines, the company’s projected revenue, EPS and EBIT trajectory, and the operational swing factors likely to shape the print.

Market Forecast

Based on the most recent forecast dataset for the current quarter, La-Z-Boy Incorporated is expected to deliver revenue of $533.65 million, representing year-over-year growth of 3.31%. Adjusted EPS is estimated at $0.65, implying a 5.37% year-over-year decline, while EBIT is projected at $31.40 million, down 10.92% year over year. Forecasts for gross profit margin and net profit margin are not available in the dataset, and the company has not issued explicit numerical guidance for these ratios in the period reviewed.

Within the revenue mix, the wholesale operation remains the principal engine, and the company’s retail footprint is a meaningful contributor that influences mix and operating leverage; current-quarter commentary from management will be closely watched for indications on order intake, promotions, and expense discipline. The most promising segment remains retail given its potential to drive mix and margin over time; last quarter’s retail revenue was $222.04 million, while year-over-year growth by segment was not provided in the dataset.

Last Quarter Review

In the previous quarter, La-Z-Boy Incorporated posted revenue of $522.48 million, a gross profit margin of 44.24%, GAAP net profit attributable to shareholders of $28.86 million, a net profit margin of 5.52%, and adjusted EPS of $0.71; revenue grew 0.28% year over year, while year-over-year growth for adjusted EPS was not disclosed in the dataset. Sequentially, net profit improved at a solid pace, with quarter-on-quarter growth of 58.53%, reflecting better throughput against a steady margin base and tighter cost control.

By business line, wholesale revenue was $369.44 million and retail revenue was $222.04 million, with corporate and other at $38.69 million and eliminations of -$107.69 million, positioning consolidated revenue in line with expectations. The segment mix underscored wholesale’s role in scale and capacity utilization, while retail’s contribution continued to shape margin and operating expense dynamics, with channel inventory normalization and promotional activity likely factoring into the quarter’s EBIT of $37.15 million.

Current Quarter Outlook (with major analytical insights)

Wholesale segment: what to watch for volume, price and margin

The wholesale operation anchors the company’s top line and sets the tone for manufacturing efficiency, and the current quarter’s forecasted revenue growth indicates a stabilizing demand environment despite a projected step down in EBIT year over year. Volume consistency is key: even modest unit growth can support absorption benefits in the plants, but a heavier promotional cadence or deeper dealer incentives can dilute realized pricing and pressure margins. Against last quarter’s gross margin of 44.24%, investors will be gauging whether realized average selling prices can hold as lead times normalize and whether product mix trends toward higher-margin custom upholstery or tilts toward value points.

Input costs and logistics will be closely watched, as cost deflation from earlier freight normalization has largely played through, and commodity inputs such as foam or steel may be relatively stable in the near term. If promotional activity intensifies to stimulate demand, any negative price/mix will need to be offset by throughput and SG&A containment to preserve EBIT dollars. Conversely, if order intake improves and backlogs remain healthy, the business could sustain margin resilience even with modest year-over-year comparisons. The forecast dataset implies EBIT of $31.40 million for the quarter, a 10.92% contraction year over year, which suggests the market expects either a slightly softer margin or a heavier expense load relative to last year; commentary on factory utilization and discounting will be pivotal in framing the actual result.

Dealer inventory and replenishment behavior will also affect the wholesale cadence. If dealer pipelines are lean and restocking trends strengthen, wholesale shipments could outpace retail sell-through in the near term, providing a top-line boost. However, if retail traffic constraints persist and dealers remain cautious, the company may need to lean more on promotions to sustain sell-in. In either case, the direction of mix—custom vs. ready-to-ship, and premium vs. entry—will influence whether the 44.24% gross margin baseline can be maintained or if the quarter sees a transient dip.

Retail segment: the near-term growth opportunities

Retail, including company-owned stores, remains a levered contributor with the potential to enhance gross-to-operating conversion when traffic and ticket dynamics cooperate. From last quarter’s $222.04 million revenue base, the most important swing variables this quarter will be conversion rates, average ticket size, and the effectiveness of localized promotions and design consultations in lifting order value. With adjusted EPS estimated at $0.65 for the current quarter, any outperformance will likely require retail to deliver positive mix—more premium motion seating or custom configurations—and to hold discount rates near planned levels.

Store-level expense management is a second lever to watch. If sales per store stabilize or improve modestly, fixed costs such as occupancy and staffing can be leveraged, supporting operating margin even if overall traffic remains mixed. Conversely, if traffic softness persists, the company may prioritize targeted marketing and curated assortments to sustain conversion without overly broad discounting. While segment-specific year-over-year growth rates were not provided in the dataset, the strategic importance of retail is clear: it influences the portfolio’s margin profile and can counterbalance wholesale-driven variability by adding direct-to-consumer mix benefits.

Digital and omni-channel integration also matter this quarter, especially for lead capture and scheduling design consultations that convert into higher-ticket sales. Shorter lead times and predictable delivery windows can improve close rates and reduce cancellations, aiding both revenue and customer satisfaction metrics. With EBIT forecasts signaling caution relative to last year, the retail contribution could be decisive for protecting EPS if mix and operating leverage track favorably. Management’s update on store initiatives, traffic patterns, and close rates will help the market interpret whether the retail engine can reinforce, or offset, wholesale swings in the quarter.

Key stock-price sensitivities this quarter

Three factors appear most likely to move the stock around the print: revenue delivery relative to the $533.65 million consensus, the gross margin trajectory versus the prior quarter’s 44.24% baseline, and expense discipline needed to translate revenue into EBIT and EPS near expectations. If revenue tracks near consensus but gross margin slips due to a heavier promotional mix, EPS may undershoot the $0.65 estimate, especially given the projected year-over-year EBIT contraction of 10.92%. Conversely, even a modest revenue beat could translate into in-line or better EPS if gross margin holds and SG&A stays contained.

Guidance tone and qualitative color on order intake will be equally important. Investors will parse comments on backlog normalization, dealer inventory, and the cadence of promotions to infer sustainability into the next quarter. The prior period’s 58.53% sequential net profit improvement highlights that operational momentum is possible when throughput and mix align; whether that trend can be sustained hinges on realized ASPs, unit volume, and the shape of discretionary spending within the company’s customer base. A reaffirmation of disciplined pricing and targeted promotions would support the case for stable margins, while indications of broader discounting would likely reset expectations lower for near-term profitability.

Cash deployment is another dynamic to monitor, especially if free cash flow remains healthy. Any update on repurchase activity or capital investments that support capacity or store productivity could influence sentiment, though these effects are usually secondary to the core revenue and margin prints on reporting day. In sum, the stock’s reaction will likely be dictated by how closely actuals hew to the $533.65 million revenue and $0.65 EPS markers and whether incremental commentary helps the market reassess the durability of the margin profile set by the last quarter’s 44.24% gross margin.

Analyst Opinions

Within the six-month period ending February 10, 2026, we did not identify qualifying analyst previews or ratings updates for La-Z-Boy Incorporated that would allow a clear tally of bullish versus bearish views. As a result, no majority stance can be reliably established here, and we refrain from attributing a consensus tilt that is not supported by identified, time-bounded commentary. In the absence of explicit institutional calls in this window, the most practical guide for expectations is the current-quarter forecast dataset: revenue of $533.65 million (+3.31% year over year), adjusted EPS of $0.65 (-5.37% year over year), and EBIT of $31.40 million (-10.92% year over year).

This setup implies that the market anticipates modest top-line progress with some pressure on profitability, likely from a mix of promotions, operating expense timing, or a less favorable product assortment. The balance of risk into the print appears to hinge on whether gross margin can hold near the prior quarter’s 44.24% level and whether SG&A remains aligned with revenue growth. If management indicates a measured promotional environment and stable order flow, it could tilt sentiment supportive even without overtly bullish analyst commentary. Conversely, any sign that discounting is broadening or that order intake is lagging would likely validate a cautious stance embedded in the EBIT and EPS forecasts.

Against this backdrop, investors will look for qualitative indicators—factory utilization, dealer replenishment signals, and conversion metrics in retail—that illuminate the trajectory into the subsequent quarter. Without a documented majority from external analysts in the reviewed timeframe, the prudent read is that expectations are neutral to restrained, anchored by the numbers above. An upside surprise on margin, or a tighter expense footprint that preserves the $0.65 EPS target, would probably be sufficient to improve sentiment. A downside deviation on either revenue or margin, however, would confirm the caution implied by the EBIT contraction and could prompt a recalibration of near-term profitability trajectories.