Abstract

HNI Corp will report its quarterly results on February 25, 2026 Pre-Market, and current estimates imply year-over-year growth in revenue and earnings per share alongside steady profitability metrics.

Market Forecast

Based on current estimates, HNI Corp’s revenue for the to-be-reported quarter is projected at $713.46 million, up 8.59% year over year, with adjusted EPS at $0.91, up 22.71% year over year, and EBIT at $66.10 million, up 24.74% year over year; margin guidance for the quarter was not available in the dataset. The company’s revenue mix is anchored by Workplace Furnishings and complemented by Residential Building Products, with expectations for modest top-line expansion supported by prior-quarter execution and operating leverage. The most promising contribution to growth is likely to come from Workplace Furnishings, which generated $516.90 million last quarter; with overall revenue projected to rise 8.59% year over year, a considerable portion of the expansion should be reflected in this segment.

Last Quarter Review

HNI Corp delivered revenue of $683.80 million, a gross profit margin of 42.18%, GAAP net profit attributable to the parent company of $41.20 million, a net profit margin of 6.03%, and adjusted EPS of $1.10, which rose 6.80% year over year. Adjusted EPS exceeded the prior-quarter estimate by $0.03, while net profit was down 14.52% quarter on quarter, reflecting near-term variability in profitability despite stable gross margins. Last quarter’s main business results showed Workplace Furnishings at $516.90 million and Residential Building Products at $166.90 million; segment-level year-over-year growth was not disclosed, but the revenue mix stood at 75.59% and 24.41%, respectively.

Current Quarter Outlook

Workplace Furnishings

Workplace Furnishings remains the largest revenue contributor and consequently the primary driver of this quarter’s earnings trajectory. With last quarter’s segment revenue of $516.90 million and company-level gross margin at 42.18%, incremental volume and mix improvements can yield earnings leverage even without a notable change in gross margin percentages. The segment’s sensitivity to operating expenses is particularly relevant this quarter: a small change in SG&A efficiency may translate to a disproportionate impact on EPS around the $0.91 estimate due to fixed-cost absorption. Given the projected 8.59% year-over-year increase in total revenue, the segment’s revenue share implies that the majority of any incremental gains will flow through Workplace Furnishings; execution on backlog conversion, pricing discipline, and product availability will be central to meeting or slightly exceeding the topline estimate. A key watchpoint is the relationship between revenue timing and margin capture; if revenue skews toward product lines with tighter margins or the sales mix tilts to lower-priced units, EBIT uplift could be less than proportional to revenue growth, pressuring the path to the $66.10 million EBIT estimate. Conversely, successful mix management and disciplined discounting would enhance operating leverage, supporting both EBIT and EPS outperformance.

Residential Building Products

Residential Building Products contributed $166.90 million last quarter and acts as a complementary profit center, with potential for incremental gains from channel sell-through and balanced pricing actions. The segment’s earnings power hinges on maintaining efficient logistics and inventory levels within distribution; any mismatch between shipment timing and end-demand can affect quarterly revenue recognition and margin realization. While segment-specific year-over-year growth data is not disclosed in the dataset, the company-level estimate suggests that the segment could share in the broader 8.59% revenue expansion, particularly if price/mix holds and warranty-related or service costs remain contained within planned ranges. From a profitability standpoint, the segment can reinforce consolidated margins when product pricing is retained and cost variance remains stable; even modest improvements in conversion costs or freight can augment EBIT given the scale of the segment. For this quarter, investors should monitor the recurring profitability cadence—especially whether last quarter’s 6.03% net margin can be sustained or improved—and any sign of promotional intensity that could compress margins despite top-line growth.

Stock-Price Drivers This Quarter

The stock’s near-term trajectory is likely to hinge on the interplay between revenue growth relative to the $713.46 million estimate, margin resilience around last quarter’s 42.18% gross margin baseline, and expense discipline driving EBIT toward the $66.10 million forecast. EPS sensitivity is high in this setup: with an estimate of $0.91 and last quarter’s adjusted EPS at $1.10, even small margin variations or timing-driven revenue shifts can produce notable changes in reported EPS. Investors will be attuned to any commentary on cost containment and operating efficiency—areas that can underpin a favorable gap between revenue growth and expense growth—thus enhancing the quality of earnings. Another important factor is the trajectory of net profit relative to last quarter’s $41.20 million and the 6.03% net margin, given the quarter-on-quarter net profit decline of 14.52% previously; a stabilization or rebound in net margin would reinforce the thesis for sustained EPS momentum. Finally, the balance between the two segments—Workplace Furnishings and Residential Building Products—will shape the revenue mix and margin outcome; in a quarter where segment-specific YoY data is limited, investors will likely assess whether consolidated figures align with the 8.59% revenue and 24.74% EBIT growth expectations, as those outcomes directly inform valuation multiples and the reaction to the print.

Analyst Opinions

Within the specified period, identifiable sell-side previews and formal rating changes were limited, yet the prevailing numerical estimates—calling for 8.59% revenue growth, 24.74% EBIT growth, and 22.71% EPS growth—indicate a constructive stance toward the quarter. Majority view: bullish. The bullish camp points to the combination of mid-to-high single-digit revenue expansion and disproportionate EBIT and EPS gains driven by operating leverage, consistent with the estimated $66.10 million EBIT and $0.91 EPS. Proponents emphasize that stable gross margin levels and disciplined cost control could allow HNI Corp to convert incremental revenue into earnings efficiently, reducing the risk of a negative surprise at the EPS line. The outlook further highlights that last quarter’s execution—anchored by a 42.18% gross margin and a modest year-over-year EPS increase—sets a workable base from which HNI Corp can deliver the estimated gains. Supporters also note that the segment mix, led by Workplace Furnishings at $516.90 million last quarter, offers a clear route for revenue scale benefits in the current quarter; even if segment YoY splits are not disclosed, the revenue concentration implies that the largest business can absorb fixed costs effectively and contribute to earnings uplift. In sum, the bullish emphasis centers on achieving the forecasted revenue and sustaining margin mechanics to realize an outsized increase in EBIT and EPS relative to top-line growth, which, if delivered, would validate the constructive expectations embedded in current estimates.