Floor & Decor (FND) Q4 2025 earnings summary

Executive summary

• Delivered Q4 diluted EPS of $0.36, in line with guidance; full year EPS was $1.92, up from $1.90 year-over-year.

• Full year sales grew 5.1% to $4.684 billion; Q4 sales rose 2% to $1.13 billion.

• Opened 20 new stores in 2025, ending with 270 locations, an 8% increase.

• Expanded market share despite softness in existing home sales and smaller project sizes.

• Record Net Promoter Scores achieved, reflecting strong customer experience.

Financial highlights

• Comparable store sales declined 4.8% in Q4 and 1.8% for the year.

• Q4 gross profit increased $9.8 million (2.0%) year-over-year; gross margin was 43.5%, flat year-over-year.

• Full year gross profit up $115.7 million (6.0%), with gross margin improving 30 bps to 43.6%.

• SG&A expenses rose 4.0% in Q4 and 6.1% for the year, mainly due to new store openings; Q4 SG&A was 38.9% of sales, full year 37.8%.

• Net cash from operations was $381.8 million, down from $603.2 million last year, mainly due to timing of inventory receipts.

• Year-end liquidity was $909.8 million, including $249.3 million in cash and $660.5 million available under ABL.

• Q4 operating income was $51.9 million, down 12.3% year-over-year; full-year operating income increased 5.4% to $270.1 million.

• Q4 net income was $39.3 million, down 17.2% year-over-year; full-year net income rose 1.3% to $208.6 million.

• Adjusted EBITDA for Q4 was $119.4 million (down 0.3%); full-year Adjusted EBITDA was $538.2 million (up 5.0%).

Outlook and guidance

• Fiscal 2026 sales expected at $4.88–$5.03 billion, up 4–7%, including a 53rd week contributing ~$65 million.

• Comparable sales guidance: down 2% to up 1%; average ticket to rise low single digits, transactions to decline mid- to low-single digits.

• Gross margin expected at 43.5–43.8%; SG&A at 37.7–37.8% of sales.

• Adjusted EBITDA guidance: $560–$590 million; diluted EPS: $1.98–$2.18, with the 53rd week adding ~$0.08.

• Plan to open 20 new stores in 2026, with CapEx of $250–$300 million.