MillerKnoll (MLKN) Q4 2026 earnings summary

Executive summary

• Q4 net sales were $1.004 billion, up 4.4% year-over-year, with organic sales up 3.7%, and full-year net sales reached $3.842 billion, up 4.7%.

• Q4 adjusted EPS was $0.55, at the top end of guidance but down from $0.60 prior year; full-year adjusted EPS was $1.86 on net sales of $3.8 billion.

• Leadership is focused on operating discipline, cost control, and strengthening the balance sheet through debt reduction and improved cash flow.

• The business operates a diverse portfolio of 14 brands in over 110 countries, organized into North America Contract, International Contract, and Global Retail.

• Strategic shifts include expanding smaller-format Herman Miller stores and restructuring underperforming brands like Holly Hunt.

Financial highlights

• Q4 consolidated net sales: $1.004 billion, up 4.4% year-over-year; organic growth of 3.7%.

• Q4 adjusted EPS: $0.55 (vs. $0.60 prior year); full-year adjusted EPS: $1.86.

• Q4 gross margin increased 20 bps to 39.4%–39.5%.

• Q4 cash flow from operations: $65 million; full-year: $200 million; free cash flow for FY26 was $77.6 million.

• Net debt to EBITDA ratio at 2.8x; liquidity at year-end was $571.7 million.

Outlook and guidance

• Q1 FY27 net sales expected between $928 million–$968 million; adjusted EPS $0.33–$0.39.

• FY27 net sales guidance: $3.93–$4.13 billion (5% growth at midpoint); adjusted EPS: $1.85–$2.15 (7.5% growth at midpoint).

• 40% of FY27 EPS expected in H1, 60% in H2, reflecting store maturation and pricing actions.

• Incremental new store expense of ~$6 million per quarter; normalized incentive compensation adds ~$25 million in costs for FY27.

• Plans to open 14–18 new retail stores in FY27, with 3–4 in Q1; capex expected at $125–$135 million.