Earnings analysis · 10-Q
LEG earnings analysis
Filed May 7, 2026 · Our reading of the company's report
The latest report
Leggett & Platt's Q1 2026 results reflect a significant decline in revenue and earnings, with sales of $918 million marking a 10% decrease year-over-year. The company reported a diluted EPS of $0.14, missing the…
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Leggett & Platt's Q1 2026 results reflect a significant decline in revenue and earnings, with sales of $918 million marking a 10% decrease year-over-year. The company reported a diluted EPS of $0.14, missing the consensus estimate of $0.25 by $0.11. Guidance for the year has been withdrawn due to ongoing merger negotiations with Somnigroup International.
Reported figures
- Earnings per share
- $0.14
What stood out
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Revenue Misses Expectations
Q1 2026 revenue stood at $918 million, missing the consensus estimate of $946 million.
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Significant EPS Decline
Diluted EPS for Q1 2026 was $0.14, missing the consensus estimate of $0.25 by $0.11.
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Year-Over-Year Revenue Decline
Revenue reflects a 10% decrease compared to the same quarter last year.
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Strategic Business Shifts
Revenue reduction primarily driven by recent divestitures.
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Free Cash Flow Change
Free cash flow registered at -$7 million, contrasting with $101 million in Q4 2025.
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Current Credit Standing
No commercial paper outstanding as of March 31, 2026.
What to watch
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Merger Uncertainty
The merger with Somnigroup may not be completed, creating uncertainty and potential loss of market presence.
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Withdrawn Guidance
Company has withdrawn 2026 guidance, indicating possible long-term operational impacts.
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Increased Legal and Tax Risks
Received three tax assessments totaling approximately $24 million from Chinese tax authorities.
Management's outlook
2026 guidance withdrawn due to pending merger with Somnigroup.
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.