MillerKnoll Inc. (NASDAQ: MLKN) has reported its financial results for the second quarter of fiscal year 2026, which ended on November 29, 2025. Here are the key financial metrics and their changes compared to the same period last year:
- Net sales: $955.2 million, down 1.6% compared to the second quarter of the previous year.
- Gross margin %: 39.0%, a 0.5% increase from the same period in the prior year.
- Operating expenses: $323.7 million, a 2.9% increase from the second quarter of fiscal year 2025.
- Operating margin: 5.1%, a decrease from 6.4% in the prior year.
- Earnings per share * diluted: $0.35, a decline of 28.6% from the same period last year.
The press release also highlighted the performance by segment:
- North America contract segment's net sales were down 3.1% year-over-year, with operating margin declining to 8.7%.
- International contract segment reported a 6.3% decrease in net sales and a decline in operating margin to 9.3%.
- Global retail segment saw a 4.7% increase in net sales, but operating margin decreased to 1.5%.
In terms of cash flow and liquidity, the company reported cash flow from operations of $64.6 million, compared to $55.3 million in the second quarter of the previous year. The net debt-to-EBITDA ratio stood at 2.87x.
Looking ahead, the company provided its outlook for the third quarter of fiscal year 2026, expecting net sales in the range of $923 million to $963 million and an adjusted earnings per share of $0.42 to $0.48.
It's essential to note that the company uses non-GAAP financial measures, including adjusted operating expenses, adjusted operating margin, and adjusted earnings per share, to provide a comparative basis for the periods presented. These non-GAAP measures are used to adjust for items such as integration charges, restructuring expenses, and other one-time charges.
Following these announcements, the company's shares moved 3.59%, and are now trading at a price of $17.2897. For the full picture, make sure to review MILLERKNOLL, INC.'s 8-K report.
