10-K · February 27, 2026
Somnigroup completed the Mattress Firm acquisition on February 5, 2025 for approximately $5.1 billion (net of $0.3 billion cash acquired), financed with $3.1 billion cash and ~34.2 million shares valued at $65.65 each,…
Earnings analysis · 10-Q
SGI earnings analysis
Filed May 8, 2026 · Our reading of the company's report
The latest report
For Q1 2026, Somnigroup International reported total revenue of $1.802 billion, reflecting a 12.3% increase from the previous year. EPS rose to $0.59, beating estimates, while operating income surged by 1,317.4% amid…
Read full summary
For Q1 2026, Somnigroup International reported total revenue of $1.802 billion, reflecting a 12.3% increase from the previous year. EPS rose to $0.59, beating estimates, while operating income surged by 1,317.4% amid ongoing operational improvements. However, revenue fell short of expectations, leading to mixed market reactions.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.59
What stood out
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Strong Operating Income Growth
Operating income soared to $187.1 million, a 1,317.4% increase from $13.2 million in Q1 2025.
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Record EPS Beat
Reported EPS of $0.59 exceeded estimates of $0.57, reflecting a substantial recovery from a loss of $(0.17) in Q1 2025.
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Solid Revenue Increase
Q1 2026 revenue reached $1.802 billion, up 12.3% from $1.605 billion a year prior.
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Improved Gross Margin
Gross margin improved to 43.1%, up from 36.2% in Q1 2025, reflecting enhanced operational efficiencies.
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Increased Cash Flow from Operations
Operating cash flow increased to $246.5 million compared to $106.4 million in Q1 2025.
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Debt Reduction Achieved
Total debt decreased to $4.578 billion from $4.717 billion at the end of 2025.
What to watch
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Significant Revenue Miss
Actual revenue of $1.802 billion was below the estimate of $1.833 billion, reflecting potential market challenges.
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Decline in Wholesale Segment
Tempur Sealy North America's revenue dropped by $142.7 million, or 20.2%, primarily due to discontinued sales to Mattress Firm.
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Ongoing Geopolitical Risks
Management highlighted persistent geopolitical tensions and inflation as headwinds impacting consumer spending.
Management's outlook
Management maintains guidance for full-year adjusted EPS between $3.00 and $3.40.
Earlier filings 4
10-Q · November 7, 2025
Somnigroup reported a strong Q3 driven by the Mattress Firm acquisition: revenue of $2,122.6M and gross profit of $952.8M for the quarter, materially above the prior-year quarter. Operating profit and diluted EPS…
10-Q · August 8, 2025
Somnigroup reported Q2 net sales of $1,880.8 million, up $647.2 million (+52.5%) versus Q2 2024 driven by the Mattress Firm acquisition. Gross profit rose to $827.2 million (44.0% margin) while diluted EPS was $0.47,…
10-Q · May 12, 2025
Somnigroup reported consolidated net sales of $1,604.7 million for the quarter (up $415.3 million, +34.9% vs. $1,189.4 million a year ago) driven by the February 5, 2025 acquisition of Mattress Firm (stub-period revenue…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.